Project Risk Management Professional Standards & Competencies 4 — Questions and Answers
Question 1: A project risk manager is leading a lessons-learned session after a major risk event. What is the PRIMARY professional purpose of this activity?
- To assign blame for the risk materializing
- To document insights that improve risk management on future projects (Correct answer)
- To justify the risk budget overrun to senior management
- To close out the risk register without further action
Correct answer: To document insights that improve risk management on future projects
Lessons-learned sessions capture knowledge from risk events to improve risk identification, assessment, and response processes on future projects.
Question 2: According to professional standards, how should a risk manager handle residual risks after a risk response has been implemented?
- Close them in the risk register as resolved
- Accept all residual risks without further action
- Monitor them and develop contingency plans if thresholds may be exceeded (Correct answer)
- Escalate all residual risks immediately to the executive sponsor
Correct answer: Monitor them and develop contingency plans if thresholds may be exceeded
Residual risks are risks remaining after responses are applied; they require ongoing monitoring and contingency plans if they approach acceptable thresholds.
Question 3: Which professional practice is MOST aligned with the 'fairness' value in the PMI Code of Ethics for a risk manager?
- Prioritizing risks that benefit the project manager's reputation
- Applying consistent evaluation criteria to all risks regardless of which team owns them (Correct answer)
- Sharing risk information only with senior stakeholders
- Adjusting risk scores based on stakeholder preferences
Correct answer: Applying consistent evaluation criteria to all risks regardless of which team owns them
Fairness requires impartial and consistent application of risk evaluation criteria without bias toward any individual, team, or political interest.
Question 4: In the context of professional competency development, what does 'continuing education' mean for a PMI-RMP holder?
- Reading project management books for personal interest only
- Earning PDUs through structured learning, giving back, and working in risk management (Correct answer)
- Attending one conference every ten years
- Retaking the PMI-RMP exam every year
Correct answer: Earning PDUs through structured learning, giving back, and working in risk management
PDUs for PMI-RMP recertification are earned through the PMI Talent Triangle categories: education, giving back, and working as a professional.
Question 5: When a risk manager identifies that a project's risk threshold has been breached, what is the FIRST professional action they should take?
- Wait until end of the reporting cycle to notify stakeholders
- Immediately notify the appropriate stakeholders and escalate per the risk management plan (Correct answer)
- Adjust the threshold upward to resolve the breach
- Implement a risk response without informing the team
Correct answer: Immediately notify the appropriate stakeholders and escalate per the risk management plan
Professional risk management standards require prompt escalation and notification when risk thresholds are breached to enable timely decision-making.
Question 6: A risk practitioner is offered a gift by a contractor whose risk assessment they are currently performing. According to PMI ethical standards, the practitioner should:
- Accept small gifts as a professional courtesy
- Decline the gift to avoid any appearance of impropriety or conflict of interest (Correct answer)
- Accept the gift and disclose it only if it exceeds $100
- Accept and report it to HR after the assessment is complete
Correct answer: Decline the gift to avoid any appearance of impropriety or conflict of interest
PMI's fairness and honesty principles prohibit accepting gifts that could create or appear to create a conflict of interest in professional assessments.
Question 7: Which professional standard emphasizes the importance of a risk manager communicating risk information in a way that is understandable to non-technical stakeholders?
- ISO 9001 quality management
- PMI communication competency within the Talent Triangle (Correct answer)
- OSHA safety reporting standards
- SOX financial disclosure requirements
Correct answer: PMI communication competency within the Talent Triangle
PMI's Talent Triangle includes communication as a leadership competency, requiring risk managers to translate technical risk information for diverse stakeholder audiences.
Project Risk Management Professional Standards & Competencies 4
A project risk manager is leading a lessons-learned session after a major risk event.
What is the PRIMARY professional purpose of this activity?