PMI-RMP: PMI Risk Management Professional Part 3
Question #: 41
Topic #: 1
A project team’s risk facilitator identifies a number of risks and must prioritize them based on the organization’s risk appetite levels. Which technique should be used?
A. PERT
B. Stakeholder risk profile analysis
C. Project scope statement analysis
D. Monte Carlo technique
Selected Answer: C
Question #: 42
Topic #: 1
While preparing for a project review meeting with leadership, the project team analyzes and checks its scope activities and discovers missing requirements. The project risk manager decides to hire a subcontractor to fulfill these newly discovered requirements.
What risk strategy did the project risk manager use?
A. Avoid
B. Transfer
C. Accept
D. Mitigate
Selected Answer: B
Question #: 43
Topic #: 1
During project execution, the project team realizes that the power outlet for imported equipment is not compatible with the current customer’s electrical infrastructure. This event was originally identified as a risk during earlier stages of the project and the associated risk response indicated a plan to purchase a new power adapter.
Which project fund will be used to cover this cost?
A. Management reserve
B. Management budget
C. Project budget
D. Contingency reserve
Selected Answer: D
Question #: 44
Topic #: 1
A heavy industrial design firm has over USS3 billion in current contract value. As a result of quantitative risk analysis of a geographically separated project, opportunities have been identified and assessed as high priorities for the project.
What is the most effective method to capture these opportunities?
A. Integrate them into the RBS.
B. Schedule a project team meeting.
C. Formally notify the project manager.
D. Establish a contingency reserve.
Selected Answer: D
Question #: 45
Topic #: 1
How can the project manager rank competing stakeholder priorities for all the identified risks?
A. Perform qualitative and quantitative risk analysis.
B. Engage the project sponsor to decide.
C. Refer to stakeholder analysis prioritization tree.
D. Perform a review of organizational process assets.
Selected Answer: D
Question #: 46
Topic #: 1
The senior risk manager hears that critical deliverables are delayed, because a key subject matter expert (SME) does not have enough time to allocate to the tasks. Which area should be reviewed, as an opportunity for the risk manager to coach the project manager responsible for the project?
A. Scope reduction to reduce SME reliance
B. Risk management plan and planned risks responses
C. Risk identification process and participation
D. Detailed review of the project schedule before approval
Selected Answer: B
Question #: 47
Topic #: 1
A project manager has a two-month project with three project team members. The project sponsor does not agree with the project manager that a risk planning process is necessary, since the project is very small.
Would it be appropriate for the project manager to implement some level of risk management?
A. Yes, even small projects may require risk planning.
B. No, small projects do not usually require risk planning.
C. No, risk planning should be initiated with the sponsor’s consent.
D. Yes, the risk planning process implementation is ultimately the project manager’s decision.
Selected Answer: A
Question #: 48
Topic #: 1
Which of the following would a proactive risk manager do during the Monitoring and Controlling Process?
A. Develop risk responses, create risk management plan, and stay alert for risk events.
B. Update the lessons learned documents, develop risk responses, and create the risk management plan.
C. Review identified risks, stay alert for risk events, and remind team members to keep the risk manager informed about risk triggers.
D. Review lessons learned document to identify risks, quantify risks, and lower impact ratings.
Selected Answer: B
Question #: 49
Topic #: 1
A stakeholder is asked to approve additional funding to implement a risk response plan. However, the stakeholder is unsure of the amount that could be approved without escalation.
Where should the stakeholder look to determine the amount that can be approved?
A. Project charter
B. Risk management plan
C. Risk register
D. Organizational process assets
Selected Answer: D
Question #: 50
Topic #: 1
Project stakeholders identify, analyze, and plan the risk responses for a project. However, the contingency reserves are depleted before the project is completed.
What recommendation could be implemented to prevent this from recurring?
A. Use the Monte Carlo simulation.
B. Implement a reserve analysis process.
C. Conduct more frequent reserve watch list status meetings.
D. Increase the contingency reserve.
Selected Answer: B
Question #: 51
Topic #: 1
After a risk review meeting, three key risks are identified as likely to be realized. The project manager requests a risk scenario be calculated to establish the impact on the budget.
What is the forecasting methodology that should be utilized to calculate the impact?
A. Estimate to complete (ETC)
B. Budget at completion (BAC)
C. Estimate risk completion (ERC)
D. Estimate at completion (EAC)
Selected Answer: B
Question #: 52
Topic #: 1
Which of the following could be included in risk monitoring and controlling techniques?
A. Status review meetings, trend analysis, earned value analysis, McGregor’s analysis, defect repair, inspection
B. Status review meetings, variance analysis, trend analysis, earned value analysis, inspection, control charts
C. Status review meetings, control charts, Inspection, defect repair, Maslow’s analysis, trend analysis
D. Variance analysis, trend analysis, earned value analysis, Maslow’s analysis, control charts, brainstorming
Selected Answer: C
Question #: 53
Topic #: 1
The company is a risk seeking organization, and has experienced measurable success based on their current strategy for growth. A new project has that exceeds the risk levels documented in the risk management plan.
What would be the best course of action for the company to take with the project based on its current scope?
A. Monitor ongoing risks closely for any major changes.
B. Perform a Monte Carlo simulation to understand possible risk outcomes.
C. Cancel the project, as the overall level of risk remains unacceptable.
D. Conduct a stakeholder meeting to validate stakeholder risk appetite.
Selected Answer: B
Question #: 54
Topic #: 1
While creating the appropriate risk strategy, the project manager discovers that the project team lacks the necessary expertise to define the risk management plan. What additional resources should be utilized?
A. Consultants, organizational process assets, subject matter experts, and stakeholder tolerance analysis
B. Consultants, industry group, and subject matter experts
C. Consultants, professional and technical associations, subject matter experts, and industry groups
D. Consultants, professional and technical associations, and subject matter experts
Selected Answer: C
Question #: 55
Topic #: 1
A project manager is creating a risk management plan, but participants in a group meeting are hesitant to express their concerns. What will encourage participants to offer their opinions?
A. Brainstorming
B. Monte Carlo simulation
C. Interviews
D. Nominal group technique
Selected Answer: D
Question #: 56
Topic #: 1
Which of the following is a key element of neuro-linguistic programming?
A. Re-coding based on agile methodology
B. Flex-scheduling
C. Cross-training
D. Building rapport with others
Selected Answer: C
Question #: 57
Topic #: 1
When monitoring the execution quality of risk-related plans and processes, which of the following would be a useful metric to track and record?
A. The number of risks in the project risk register
B. The degree of variation from the baseline
C. The number of levels in the risk breakdown structure
D. The degree of variation from the risk response strategy
Selected Answer: B
Question #: 58
Topic #: 1
A project manager identifies a risk in a multifunctional project and decides to take no action. What should the risk manager do if the risk occurs?
A. Implement a workaround.
B. Create a change request.
C. Implement a contingency or fallback plan.
D. Review the project management plan.
Selected Answer: C
Question #: 59
Topic #: 1
The project manager must evaluate two separate contractors for a project with an absolute finish date of 15 December. After performing a Monte Carlo assessment on the submitted schedules, the following information is found:
Which contractor should be chosen, because of having the highest statistical output?
A. Contractor A should be chosen based on confidence level.
B. Contractor B should be chosen based on probability.
C. Contractor A should be chosen based on probability and confidence level.
D. Contractor B should be chosen based on probability and confidence level.
Selected Answer: D
Question #: 60
Topic #: 1
When analyzing the reward system in a company, there is evidence that “fire-fighter behavior” is the highest rewarded behavior. It suggests that people are dealing with major problems primarily in an emergency mode, and deploying quickly. Secondly, those who work efficiently are getting the most attention and recognition for their efforts.
What impact does this observation potentially have on the risk management process?
A. Nothing, since the reward system does not have any impact on the risk management process.
B. It means that this company’s culture does not reward all people, and it gives little attention to proactive behavior such as risk management.
C. It does not matter as each project has its own rewards system with no relationship to the company’s rewards.
D. This is a positive situation for risk management, since it encourages quick deployment of solutions and workarounds when necessary.
Selected Answer: B
