Risk Management and Mitigation Flashcards
7 cards from real Project Management practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Risk Management and Mitigation flashcards as text
In the context of risk management, what is a 'trigger' (also called a risk symptom or warning sign)?
Answer: An indication that a risk event is about to occur or has occurred
A risk trigger is an early warning signal or condition that indicates a risk event is imminent or has already been activated.
A project manager implements additional testing phases to reduce the probability that software defects reach production. Which risk response is being applied?
Answer: Mitigate
Mitigation reduces the probability or impact of a negative risk, such as adding testing phases to lower the chance of defects reaching users.
What is the MAIN purpose of conducting a risk audit during project execution?
Answer: To evaluate the effectiveness of risk responses and the risk management process
Risk audits examine whether risk responses are effective and whether the overall risk management process is being followed as planned.
A project manager calculates a risk's Expected Monetary Value (EMV) as -$30,000. What does this negative value indicate?
Answer: The risk is a threat with a negative expected impact of $30,000
A negative EMV indicates a threat—the expected financial impact of the risk on the project is a loss of $30,000.
Which risk management process involves determining which risks may affect the project and documenting their characteristics?
Answer: Identify Risks
The Identify Risks process focuses on finding, recognizing, and documenting all possible risks that could affect project objectives.
A high-priority risk on a software project has been mitigated, but a small residual risk remains. What should the project manager do?
Answer: Document the residual risk and accept or monitor it
Residual risks are risks that remain after mitigation and should be documented in the risk register with an acceptance or monitoring plan.
A project manager is conducting a risk review and finds that a supplier's financial instability could threaten on-time delivery. She negotiates a backup supplier agreement as a precaution. This is an example of:
Answer: Contingency planning
Arranging a backup supplier is a contingency plan—a predefined response that will be activated if the primary risk event (supplier failure) occurs.