Project Risk Management Professional Standards & Competencies 3

Question 1

Which of the following BEST describes the concept of 'risk ownership' as a professional standard in project risk management?

Accepted Answer

A designated individual is accountable for monitoring and managing a specific risk

Answer

Assigning a risk owner for each identified risk ensures clear accountability for monitoring and executing the risk response.

Question 2

The PMI Code of Ethics includes four core values. Which combination is correct?

Accepted Answer

Responsibility, Respect, Fairness, Honesty

Answer

PMI's Code of Ethics and Professional Conduct is built on four values: responsibility, respect, fairness, and honesty.

Question 3

A risk manager notices a conflict of interest because their spouse works for a vendor bidding on the project. What should they do?

Accepted Answer

Disclose the conflict of interest to their manager and recuse themselves from vendor evaluation

Answer

PMI's fairness principle requires proactive disclosure of conflicts of interest and recusal from affected decisions to protect project integrity.

Question 4

Which professional standard requires that risk management processes be tailored to the size, complexity, and importance of each project?

Accepted Answer

ISO 31000 scalability principle

Answer

ISO 31000 explicitly requires that risk management frameworks and processes be customized and proportionate to the organization's context and project characteristics.

Question 5

In professional risk management practice, what distinguishes 'risk appetite' from 'risk tolerance'?

Accepted Answer

Risk appetite is the strategic level of risk an organization is willing to accept; risk tolerance is the acceptable variation around objectives

Answer

Risk appetite is a high-level strategic statement of willingness to accept risk, while risk tolerance defines specific measurable thresholds for acceptable deviation.

Project Risk Management Practice Test

Project Risk Management Practice Test

Project Risk Management Professional Standards & Competencies 3