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Questions and Answers
What is the purpose of using a Risk Breakdown Structure (RBS)?
What is the purpose of using a Risk Breakdown Structure (RBS)?
- To ignore trivial risks during a project
- To classify risks based on deliverables
- To reduce the chance a risk event will be missed (correct)
- To ensure multiple risk teams operate independently
Which technique is most commonly used for analyzing risks during the risk assessment phase?
Which technique is most commonly used for analyzing risks during the risk assessment phase?
- Expert judgment
- Quantitative analysis
- Scenario analysis (correct)
- Qualitative analysis
What does a risk profile typically consist of?
What does a risk profile typically consist of?
- A summary of past project outcomes
- A list of questions related to uncertainty (correct)
- An evaluation of project success criteria
- A detailed risk assessment form
How should managers prioritize risks that require attention?
How should managers prioritize risks that require attention?
What is the main goal of the second step in the risk management process?
What is the main goal of the second step in the risk management process?
Which types of risks are given the highest priority in addressing according to the risk severity matrix?
Which types of risks are given the highest priority in addressing according to the risk severity matrix?
Organizing multiple risk teams in large projects is primarily intended to?
Organizing multiple risk teams in large projects is primarily intended to?
What must managers do during the risk assessment step after identifying potential risks?
What must managers do during the risk assessment step after identifying potential risks?
What is the definition of risk in project management?
What is the definition of risk in project management?
At what stage of a project is the occurrence of risk events the greatest?
At what stage of a project is the occurrence of risk events the greatest?
Which of the following is a positive consequence of a risk?
Which of the following is a positive consequence of a risk?
What is the primary purpose of the Risk Management Process's first step?
What is the primary purpose of the Risk Management Process's first step?
How do organizations typically aid in identifying and analyzing risks?
How do organizations typically aid in identifying and analyzing risks?
Which of the following reflects the nature of risk events?
Which of the following reflects the nature of risk events?
What can be said about risks as a project approaches its final stages?
What can be said about risks as a project approaches its final stages?
Which of the following is NOT a type of risk mentioned?
Which of the following is NOT a type of risk mentioned?
What does the Failure Mode and Effects Analysis (FMEA) add to the risk severity matrix?
What does the Failure Mode and Effects Analysis (FMEA) add to the risk severity matrix?
Which response to risk involves changing the project plan to eliminate the risk?
Which response to risk involves changing the project plan to eliminate the risk?
What is considered a contingency plan?
What is considered a contingency plan?
What characterizes management reserves in contingency funds?
What characterizes management reserves in contingency funds?
What is the main purpose of a risk register?
What is the main purpose of a risk register?
What response type is characterized by being willing to take advantage of an opportunity without active pursuit?
What response type is characterized by being willing to take advantage of an opportunity without active pursuit?
What best describes risk mitigation?
What best describes risk mitigation?
Which response type involves assigning ownership of an opportunity to another party?
Which response type involves assigning ownership of an opportunity to another party?
What is a typical first step in managing changes in a project?
What is a typical first step in managing changes in a project?
How are budget reserves categorized in contingency funds?
How are budget reserves categorized in contingency funds?
What does the risk control process mainly involve?
What does the risk control process mainly involve?
What does the opportunity management involve?
What does the opportunity management involve?
What type of changes does a change management system typically handle?
What type of changes does a change management system typically handle?
Flashcards
Risk
Risk
An uncertain event or condition that can impact project goals, with potential positive or negative effects.
Identifiable risks
Identifiable risks
Risks that can be anticipated before a project begins, such as equipment malfunctions or changes in technical requirements.
Unforeseeable risks
Unforeseeable risks
Risks that are unpredictable and unexpected, like large-scale economic events or natural disasters.
Positive risks
Positive risks
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Risk probability over time
Risk probability over time
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Risk Management
Risk Management
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Risk Management Process
Risk Management Process
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Risk Identification
Risk Identification
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What is a Risk Breakdown Structure (RBS)?
What is a Risk Breakdown Structure (RBS)?
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What is a risk profile?
What is a risk profile?
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What is scenario analysis?
What is scenario analysis?
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What is a risk severity matrix?
What is a risk severity matrix?
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What is Risk Identification?
What is Risk Identification?
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What is Risk Assessment?
What is Risk Assessment?
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What is a risk register?
What is a risk register?
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What is Risk Management?
What is Risk Management?
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Risk Severity Matrix
Risk Severity Matrix
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Risk Response Development
Risk Response Development
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Mitigating Risk
Mitigating Risk
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Avoiding Risk
Avoiding Risk
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Transferring Risk
Transferring Risk
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Accepting Risk
Accepting Risk
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Contingency Planning
Contingency Planning
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Risk Response Matrix
Risk Response Matrix
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Opportunity
Opportunity
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Exploit
Exploit
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Share
Share
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Enhance
Enhance
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Accept
Accept
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Contingency Funds
Contingency Funds
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Risk Register
Risk Register
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Risk Response Control
Risk Response Control
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Change Control Management
Change Control Management
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Study Notes
Project Management for Computer Scientists - Risk Management
- Risk is an uncertain event or condition that impacts project objectives, positively or negatively.
- Examples of risks include delayed deliveries, accidents, illness, equipment malfunction and changes in technical requirements.
- Risks can be unforeseen, like the 2008 financial crisis, or even have unexpected positive outcomes, such as a reduction in material prices.
- Risk events are often greatest in the early stages of a project.
Risk Reduction Over Time
- As projects progress, risks tend to decrease as uncertainties are resolved, such as confirming the viability of a technology or the feasibility of project timelines.
Proactive Risk Management
- Proactive risk management aims to anticipate and mitigate risks before they occur.
- It minimizes surprises and impact of undesirable events.
- Prevention is emphasized over reactive measures.
The Risk Management Process - Step 1: Risk Identification
- Identifying all possible risks affecting the project.
- Risk Breakdown Structures (RBS) help in conjunction with Work Breakdown Structures (WBS) to identify and analyze risks.
- Using RBS reduces the chance of missing risk events.
- Large projects often use multiple risk teams.
The Risk Management Process - Step 2: Risk Assessment
- Step 1 produces a list of potential project risks.
- Not all these risks need attention; some are minor.
- Managers prioritize risks based on importance and need for attention.
- Scenario analysis helps examine the significance of each risk event.
- Significance is evaluated in terms of probability and impact.
The Risk Management Process - Step 3: Risk Response Development
- A decision is made on how to address identified and assessed risks.
- Responses to risk can be classified into:
- Mitigating risk: decrease the chance of risk, or reduce its impact.
- Avoiding risk: changing the project plan to eliminate the risk.
- Enhancing opportunities: increasing the chance/impact of a positive risk event.
- Accepting risk: being willing to deal with risk if it occurs.
- Transferring risk: passing the risk responsibility to another party (e.g., insurance).
The Risk Management Process - Step 4: Risk Response Control
- Summarizing the results of the first three steps into a risk register.
- The risk register documents risks, descriptions, probability, impact, responses, contingency plans, owners, and current statuses.
- Risk control includes executing response strategies, monitoring triggering events, initiating contingency plans and watching for new risks.
Contingency Planning
- Contingency plans are alternative plans for dealing with foreseen risks if they occur.
- Contingency plans reduce or mitigate the negative impact of risk events.
- The absence of a contingency plan may cause delays in dealing with potential problems.
- Contingency plans use risk response and consider the trigger event.
Opportunity Management
- Opportunities are events with a positive impact on project objectives.
- Example opportunities include favorable weather or lower fuel prices.
- Types of responses to an opportunity include exploiting, sharing, enhancing, and accepting opportunities.
Contingency Funds
- Contingency funds are set up to cover both known and unknown project risks.
- Allocation is done before the event occurs.
- Contingency funds are divided into budget reserves for specific risks and management reserve for risks unidentified.
Change Control Management
- Changes are inevitable in projects.
- Change management systems are for reporting, controlling, and recording changes.
- Changes may come from various sources, including customers, owners, and team members.
- Common change categories include scope, design, and additions.
- Project contingency plans, in implementation, present adjustments to baselines and schedules.
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Description
This quiz explores the concepts of risk management specifically for computer scientists. It covers the identification, reduction, and proactive management of risks within project management. Understand how to mitigate potential risks and ensure project success through effective strategies.
