Project Risk Management Risk Monitoring and Control 3 — Questions and Answers
Question 1: What is the difference between a 'residual risk' and a 'secondary risk'?
- They are the same concept with different names
- Residual risks remain after responses; secondary risks are created by responses (Correct answer)
- Secondary risks are more severe than residual risks
- Residual risks only apply to schedule risks
Correct answer: Residual risks remain after responses; secondary risks are created by responses
Residual risks are smaller risks that remain after a response is applied, while secondary risks are new risks introduced as a direct result of implementing a risk response.
Question 2: A project's risk exposure has significantly increased due to scope changes. Which action should the project manager take?
- Wait until the next scheduled risk review to reassess
- Perform an unscheduled risk reassessment immediately (Correct answer)
- Remove low-priority risks from the register to focus on new ones
- Transfer all new risks to the sponsor
Correct answer: Perform an unscheduled risk reassessment immediately
Significant changes like scope additions warrant immediate, unscheduled risk reassessments to ensure the risk management plan reflects current project realities.
Question 3: Which output of the Monitor Risks process can result in change requests to the project management plan?
- Risk register updates only
- Work performance information
- Recommended corrective or preventive actions (Correct answer)
- Lessons learned documentation
Correct answer: Recommended corrective or preventive actions
Recommended corrective actions (to deal with occurred risks) and preventive actions (to reduce future risk probability) can trigger formal change requests to the project management plan.
Question 4: A risk owner reports that the probability of a high-priority risk has decreased significantly. What should the project manager update?
- Only the issue log
- The risk register with new probability and priority ranking (Correct answer)
- The project charter
- The stakeholder engagement plan
Correct answer: The risk register with new probability and priority ranking
When risk parameters change, the risk register must be updated to reflect the new probability, impact, and resulting priority to ensure accurate monitoring.
Question 5: What does 'variance and trend analysis' help a project manager understand during risk monitoring?
- The number of risks added to the register each week
- Whether project performance deviations indicate emerging risks (Correct answer)
- The total cost of risk responses implemented
- How well stakeholders are responding to risk communications
Correct answer: Whether project performance deviations indicate emerging risks
Variance and trend analysis examines project performance data over time to identify trends that might indicate emerging risks or signal that existing risks are materializing.
Question 6: In risk monitoring, 'risk reassessment' differs from 'risk audits' in that:
- Risk reassessment is done only once; audits are ongoing
- Reassessment identifies new risks and re-evaluates existing ones; audits evaluate the effectiveness of risk processes (Correct answer)
- Risk audits replace the need for reassessment
- Reassessment is performed by external parties only
Correct answer: Reassessment identifies new risks and re-evaluates existing ones; audits evaluate the effectiveness of risk processes
Risk reassessment focuses on identifying new risks and re-evaluating existing risk rankings, while risk audits examine whether risk management processes and responses are being executed effectively.
Question 7: Which of the following is NOT typically an input to the Monitor Risks process?
- Risk register
- Work performance data
- Risk management plan
- Project scope statement (initial) (Correct answer)
Correct answer: Project scope statement (initial)
The initial project scope statement is not a direct input to Monitor Risks; rather, work performance data, the risk register, and the risk management plan are the key inputs.
Project Risk Management Risk Monitoring and Control 3
What is the difference between a 'residual risk' and a 'secondary risk'?