Podcast
Questions and Answers
What strategy would you follow if you decided to kill the project altogether due to high potential risks?
What strategy would you follow if you decided to kill the project altogether due to high potential risks?
Which strategy would be used if you acknowledged the risk but determined that the project could continue without changes?
Which strategy would be used if you acknowledged the risk but determined that the project could continue without changes?
What action represents a response strategy if you hire an insurance company to cover potential financial losses from the project?
What action represents a response strategy if you hire an insurance company to cover potential financial losses from the project?
Which risk response strategy would you employ if you implemented additional quality checks in the project to reduce the likelihood of failures?
Which risk response strategy would you employ if you implemented additional quality checks in the project to reduce the likelihood of failures?
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Study Notes
Risk Response Strategy
- The described scenario demonstrates a mitigation risk response strategy. This is because the project manager is taking steps to reduce the impact of the potential risk (loss of the senior developer) by using a contingency plan.
Contingency Plan
- A contingency plan is implemented in anticipation of potential risks affecting a project and details how to respond to the possible negative events.
Other Risk Response Scenarios
Scenario 1 (Avoidance):
- A project is planning to develop a new software product. A crucial external supplier announced substantial price increases for a necessary component. What risk response strategy is being used if the project decides to source the components from an alternative supplier?
- A
- B
- C
- D
Scenario 2 (Acceptance):
- A project involves deploying a new IT system. There is a known risk of a 5% chance of data loss due to network disruption. What risk response strategy is used if the project team accepts the potential loss and doesn't implement additional security measures to prevent such disruptions?
- A
- B
- C
- D
Scenario 3 (Mitigation):
- A project is developing a new mobile app. To safeguard against potential network problems, the development team creates redundant server infrastructure. What risk response strategy is being demonstrated?
- A
- B
- C
- D
Scenario 4 (Transference):
- A construction project involves building a high-rise building. The project identifies a considerable risk associated with adverse weather conditions. What response strategy is being used if the project takes out an insurance policy against potential weather-related damages that may affect the project?
- A
- B
- C
- D
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Description
Test your knowledge on risk response strategies including mitigation, avoidance, and acceptance. This quiz covers various scenarios and requires you to identify the appropriate response based on the descriptions provided. Perfect for project management students or professionals looking to enhance their understanding of risk management.
