Along with your sponsor, you are working with your key stakeholders regarding the approach to risk management on the construction project. After extended discussion, one of your key stakeholders approaches you to discuss their concerns. She states that renovating the work area of her team will be extremely disruptive and she is concerned that if the work is not completed on time, it will have a negative impact on her team during the busy holiday season. What should you do next?

The risk management plan has been completed and approved by the key stakeholders. You are working with your team to identify risks to the project and are performing a qualitative risk analysis. The objective of the qualitative risk analysis is to:

You were assigned the strategic development project which is your first large project for your new organization. You carefully documented the risk management plan, identified the project risks, analyzed the risks both qualitatively and quantitatively, and planned your risk responses. What did you do wrong?

There was a software risk associated with the infrastructure project. To mitigate the risk, you leveraged a software provider that has been known to be compatible with your organization’s systems. However, upon install, you realize that the new software is causing a major problem. What is the next thing you do?

You are the Project Manager of ABC project. The project is being executed in an earthquake-prone area. To take care of this you buy insurance for earthquakes. This is an example of:

You are the project manager of ABC project. One of the risks that have been identified is attrition of team members. Mid-way through the project you notice that the morale and motivation of the team members is going down. You think that this is a precursor to people leaving the organization. For this risk, low motivation is an example of a:

You are managing the project of planning a party for your company employees. There is a risk that the employees will not come to the party. You decide to not take any action against this as the likelihood of this is low. Which risk response strategy are you following?

Which of the following is a true statement about risks?

The organization is very sensitive to any risk impacting the project budget or schedule. You are working with your team and subject matter experts to conduct a quantitative risk analysis on the identified risks. Which statement is least accurate?

This is the process of analyzing the effect of identified risks on overall project objectives, assigning a numerical rating to those risks individually or evaluating the aggregate effect of all risks affecting the project, and presents an approach to making decisions in the presence of uncertainty.

There is a meeting in Europe for the organization’s senior leadership team. To reduce the risk associated with having the executives all on one plane, you send no more than two executives on the same flight. What risk strategy are you using?

There is a potential opportunity if your product is first to market. You decide to team up with another business in order to increase the chances that you will make it to market first. What risk strategy are you using?

Mitigation is to threats as _____________________ is to opportunities.

Upon discussion with the work package owner you learn that based on the vendor used, there are four potential durations for the work. There is a 20% chance of using a local vendor, with a duration of 12 days; a 30% chance of using a domestic vendor, with a duration of 18 days; a 10% chance of using an international vendor, with a duration of 27 days; the remaining possibility is to do the work in-house, with a duration of 15 days. What is the best estimate to use?

You have been presented with three options for purchasing materials for your project. Option A will cost $40,000. With Option A, there is a 30% probability additional support will cost $12,000 and 70% probability additional support will cost $18,000. Option B will cost $38,000. With Option B, there is a 60% probability additional support will cost $15,000 and a 40% probability additional support will cost $30,000. Option C will cost $25,000. With Option C, there is a 75% probability additional support will cost $18,000 and a 25% probability additional support will cost $40,000. There is a 30% probability the organization will pursue Option A and a 40% probability the organization will pursue Option C. Based on the probability of the selection process, what is the value of Option B?