Welcome to the Risk Management Questions for PMP examination. These questions here have been collected from various sources. Please check the sources given with each of the question for any further information. The answers are given at the bottom of the page
Ques. 1.
A project lost 10 productive days due to bad weather. In order to make up for the lost time, the project management team calls for an emergency meeting and decides to apply Fast-tracking as a schedule compression technique. This is an example of:
A. Risk Mitigation
B. Risk avoidance
C. Accept strategy
D. Work-around
Source
A project lost 10 productive days due to bad weather. In order to make up for the lost time, the project management team calls for an emergency meeting and decides to apply Fast-tracking as a schedule compression technique. This is an example of:
A. Risk Mitigation
B. Risk avoidance
C. Accept strategy
D. Work-around
Source
Ques. 2.
During risk planning, your team cannot come up with an effective way to mitigate or insure against a risk. It’s not a task that can be outsourced, nor could it be deleted. What is the BEST solution?
A. Accept the risk
B. Continue to investigate ways to mitigate the risk
C. Look for ways to avoid risk
D. Look for ways to transfer the risk
Source
During risk planning, your team cannot come up with an effective way to mitigate or insure against a risk. It’s not a task that can be outsourced, nor could it be deleted. What is the BEST solution?
A. Accept the risk
B. Continue to investigate ways to mitigate the risk
C. Look for ways to avoid risk
D. Look for ways to transfer the risk
Source
PMP Questions according to Knowledge Area
Ques. 3.
Which of the following is generally not considered an external-unpredictable risk?
A. Changes in government regulations
B. Natural hazards
C. Unexpected environmental side effects
D. Inflation
Source
Which of the following is generally not considered an external-unpredictable risk?
A. Changes in government regulations
B. Natural hazards
C. Unexpected environmental side effects
D. Inflation
Source
Ques. 4.
Nathan is working as a member in print press .He decide to put a surge protector ot make sure lighting wont blow out .which technique has he used here ?
A.Avoid
B.MItigate.
C.Enhance
D.Accept
Source
Nathan is working as a member in print press .He decide to put a surge protector ot make sure lighting wont blow out .which technique has he used here ?
A.Avoid
B.MItigate.
C.Enhance
D.Accept
Source
Ques. 5.
You are in the build phase of a Build-Operate-Transfer (BOT) project, which has run into several unanticipated problems. Several risks have surfaced which you had not anticipated earlier. The project is over-budget and significantly behind schedule. What should you do?
A. Create updates to risk response plan
B. Create a revised project plan
C. Perform risk audits
D. Perform updated risk identification and analysis
Source
You are in the build phase of a Build-Operate-Transfer (BOT) project, which has run into several unanticipated problems. Several risks have surfaced which you had not anticipated earlier. The project is over-budget and significantly behind schedule. What should you do?
A. Create updates to risk response plan
B. Create a revised project plan
C. Perform risk audits
D. Perform updated risk identification and analysis
Source
Ques. 6.
In the last project that a building construction company took up, there was a major design flaw identified after the build phase began. For a similar project, the project management team has decided to hire a team of experienced architects to review the design of the building before the design phase is complete. This is an illustration of which type of risk response strategy?
A.Accept
B. Transfer
C. Avoid
D. Mitigate
Source
In the last project that a building construction company took up, there was a major design flaw identified after the build phase began. For a similar project, the project management team has decided to hire a team of experienced architects to review the design of the building before the design phase is complete. This is an illustration of which type of risk response strategy?
A.Accept
B. Transfer
C. Avoid
D. Mitigate
Source
Ques. 7.
A technique for resolving conflict in which the parties agree to have a neutral third party hear the dispute and make a decision is called:
A. Negotiation
B. Arbitration
C. Smoothing
D. Forcing
Source
A technique for resolving conflict in which the parties agree to have a neutral third party hear the dispute and make a decision is called:
A. Negotiation
B. Arbitration
C. Smoothing
D. Forcing
Source
Ques. 8.
A project manager is in the planning stage and is evaluating risks in the project. He wants to improve the project's chances of success by evaluating all possible risks.
As a part of risk management planning and identification he has used a standard questionnaire to identify risks and has identified about 20 risks in the project. What would you advise him to do before moving to the next process, 'qualitative risk analysis?'
A. Prioritize risk by determining each of their probability and impact
B. Update project management plan and other project documents based on inputs from these risks
C. Communicate the status of identified risks to stakeholders
D. Continue to identify more risks using other tools and techniques
Source
A project manager is in the planning stage and is evaluating risks in the project. He wants to improve the project's chances of success by evaluating all possible risks.
As a part of risk management planning and identification he has used a standard questionnaire to identify risks and has identified about 20 risks in the project. What would you advise him to do before moving to the next process, 'qualitative risk analysis?'
A. Prioritize risk by determining each of their probability and impact
B. Update project management plan and other project documents based on inputs from these risks
C. Communicate the status of identified risks to stakeholders
D. Continue to identify more risks using other tools and techniques
Source
Ques. 9.
The specific combinations of probability and impact that lead to a risk being rated as “high,” “moderate,” or “low” importance are usually set by
A. Project Manager taking inputs from Team
B. Everyone who is involved in Risk Management
C. Organization
D. Project Manager taking inputs from key stakeholders
Source
The specific combinations of probability and impact that lead to a risk being rated as “high,” “moderate,” or “low” importance are usually set by
A. Project Manager taking inputs from Team
B. Everyone who is involved in Risk Management
C. Organization
D. Project Manager taking inputs from key stakeholders
Source
Ques. 10.
Which of the following is a SECONDARY RISK ?
A. Employee burnout due to overwork as result of fast-tracking the project to avoid a possible project schedule overrun.
B. A risk that is written at the second-level in the Risk Breakdown Structure (RBS).
C. A risk that is of secondary importance (less impact) compared to the primary risk.
D. Any medium priority risk listed in the risk register.
Source
Which of the following is a SECONDARY RISK ?
A. Employee burnout due to overwork as result of fast-tracking the project to avoid a possible project schedule overrun.
B. A risk that is written at the second-level in the Risk Breakdown Structure (RBS).
C. A risk that is of secondary importance (less impact) compared to the primary risk.
D. Any medium priority risk listed in the risk register.
Source
Ques. 11.
Organizations and stakeholders are willing to accept varying degrees of risk depending on their...
A. Risk Tolerance
B. Risk Appetite
C. Risk Attitude
D. Risk Threshold
Source
Organizations and stakeholders are willing to accept varying degrees of risk depending on their...
A. Risk Tolerance
B. Risk Appetite
C. Risk Attitude
D. Risk Threshold
Source
Ques. 12.
Jack has replaced James as the PM for a new HVAC project.The project is now entering the second stage.There are a lot of risks associated with the project , but none of them have been evaluated.There doesn't seems to be a document showing the path forward.What should Jack do?
A. Take advice from experts to plan risk management
B. Call for a meeting with stakeholders to plan for risk management
C. Both A & B
D. Perform Qualitative Risk Analysis
Source
Jack has replaced James as the PM for a new HVAC project.The project is now entering the second stage.There are a lot of risks associated with the project , but none of them have been evaluated.There doesn't seems to be a document showing the path forward.What should Jack do?
A. Take advice from experts to plan risk management
B. Call for a meeting with stakeholders to plan for risk management
C. Both A & B
D. Perform Qualitative Risk Analysis
Source
Ques. 13.
You are an experienced construction project manager and know there are usually risks associated with the weather, cost of construction material, and labour turmoil that you should factor into your budget. On your current construction project which is adding a new wing to the downtown hospital you have identified the following risks: Risk 1 - Weather: There is a 25% chance of torrential downfall that will delay the construction by two weeks which will, in turn, cost the project $80,000. Risk 2 - Construction Material: There is a 10% probability of the price of construction material decreasing based on the forecasted currency fluctuations which will save the project $100,000. Risk 3 - Labour Turmoil: There is a 5% probability of construction coming to a halt if the workers go on strike. The impact would lead to a loss of $150,000. Using the EMV risk technique, how much should you add or decrease to the budget to accommodate these 3 risks?
A. $17,500
B. $18,500
C. $27,500
D. $130,000
Source
You are an experienced construction project manager and know there are usually risks associated with the weather, cost of construction material, and labour turmoil that you should factor into your budget. On your current construction project which is adding a new wing to the downtown hospital you have identified the following risks: Risk 1 - Weather: There is a 25% chance of torrential downfall that will delay the construction by two weeks which will, in turn, cost the project $80,000. Risk 2 - Construction Material: There is a 10% probability of the price of construction material decreasing based on the forecasted currency fluctuations which will save the project $100,000. Risk 3 - Labour Turmoil: There is a 5% probability of construction coming to a halt if the workers go on strike. The impact would lead to a loss of $150,000. Using the EMV risk technique, how much should you add or decrease to the budget to accommodate these 3 risks?
A. $17,500
B. $18,500
C. $27,500
D. $130,000
Source
Ques. 14.
Steve, the sponsor, requested Paul, the manager, to advise if the deliverables are completed as scheduled. Paul informed Steve that the project is slipping badly on schedule and is likely to stretch significantly over budget. Steve, however, would like Paul to consider a change that Carol, one of the stakeholders has insisted on including in the project. Among the following which one factor is Steve LEAST LIKELY to IGNORE:
A. Risk
B. Triple Constraint
C. Quality
D. Integrated Change Control
Source
Steve, the sponsor, requested Paul, the manager, to advise if the deliverables are completed as scheduled. Paul informed Steve that the project is slipping badly on schedule and is likely to stretch significantly over budget. Steve, however, would like Paul to consider a change that Carol, one of the stakeholders has insisted on including in the project. Among the following which one factor is Steve LEAST LIKELY to IGNORE:
A. Risk
B. Triple Constraint
C. Quality
D. Integrated Change Control
Source
Ques. 15.
William, the project manager of XYZ constructions is reviewing the Project risk management done on his project. His team was on the Plan risk management phase and they informed him that they already made the Risk Management Plan. For this they had used as inputs the project management plan, the project charter, Enterprise environmental factors, Organizational process assets and worked through using analytically techniques and expert judgment. In your opinion what input document did the team miss on arriving at the Risk Management Plan?
A. Risk register
B. Work performance reports
C. Stakeholder register
D. Scope baseline
Source
William, the project manager of XYZ constructions is reviewing the Project risk management done on his project. His team was on the Plan risk management phase and they informed him that they already made the Risk Management Plan. For this they had used as inputs the project management plan, the project charter, Enterprise environmental factors, Organizational process assets and worked through using analytically techniques and expert judgment. In your opinion what input document did the team miss on arriving at the Risk Management Plan?
A. Risk register
B. Work performance reports
C. Stakeholder register
D. Scope baseline
Source
Ques. 16.
You are in the middle of a risk assessment meeting with key stakeholders, customers and project team leaders. While identifying and assessing risks, you have realized that two key stakeholders are overemphasizing the impact of a risk. What is the BEST step you must take to avoid unfairness or bias when assessing risks?
A. Implement assumptions analysis to explore the validity of assumptions
B. Develop a risk response strategy to eliminate threats
C. Perform qualitative risk analysis to identify risk attitudes
D. Perform sensitivity analysis to establish which risks have the most impact on the project
Source
You are in the middle of a risk assessment meeting with key stakeholders, customers and project team leaders. While identifying and assessing risks, you have realized that two key stakeholders are overemphasizing the impact of a risk. What is the BEST step you must take to avoid unfairness or bias when assessing risks?
A. Implement assumptions analysis to explore the validity of assumptions
B. Develop a risk response strategy to eliminate threats
C. Perform qualitative risk analysis to identify risk attitudes
D. Perform sensitivity analysis to establish which risks have the most impact on the project
Source
Ques. 17.
Which of the following is the correct combination input to Control Risks Process?
A. Project Management Plan and Organization Process Assets.
B. Work Performance Data and Work Performance Reports.
C. Enterprise Environmental Factors and Risk Management Plan.
D. Risk Register and Organizational Process Assets.
Source
Which of the following is the correct combination input to Control Risks Process?
A. Project Management Plan and Organization Process Assets.
B. Work Performance Data and Work Performance Reports.
C. Enterprise Environmental Factors and Risk Management Plan.
D. Risk Register and Organizational Process Assets.
Source
Ques. 18.
A number of identified risks occurred early in a project. As a result, most of the project objectives ended up in jeopardy. The project manager decided to present a case to management that the project be closed down. This is an example of:
A. Risk Acceptance
B. Risk Mitigation
C. Risk Avoidance
D. Risk Transfer
Source
A number of identified risks occurred early in a project. As a result, most of the project objectives ended up in jeopardy. The project manager decided to present a case to management that the project be closed down. This is an example of:
A. Risk Acceptance
B. Risk Mitigation
C. Risk Avoidance
D. Risk Transfer
Source
Ques. 19.
Kiribati government, an island nation in the Pacific ocean, recently planned to buy 6,000 acres of land in the Fiji's main island.
This action by the Kiribati government was intended to repatriate its citizens if the sea level rise, due to climate change, was to submerge the Kiribati islands, a potential threat in the future. This planned response to the identified potential risk, by the Kiribati government, is an example of :
A. Risk Avoidance
B. Risk Transfer
C. Risk Mitigation
D. Active Acceptance of the risk
Source
Kiribati government, an island nation in the Pacific ocean, recently planned to buy 6,000 acres of land in the Fiji's main island.
This action by the Kiribati government was intended to repatriate its citizens if the sea level rise, due to climate change, was to submerge the Kiribati islands, a potential threat in the future. This planned response to the identified potential risk, by the Kiribati government, is an example of :
A. Risk Avoidance
B. Risk Transfer
C. Risk Mitigation
D. Active Acceptance of the risk
Source
Ques. 20.
On a recent project, your Project Management Plan includes the following statement: "No impact on cost or timeline: Project Manager approval; Impact on cost < $10,000, or Impact on timeline < 1 week: Working Steering Committee approval; Impact on Cost > $10,000 but < $100,000, or Impact on timeline > 1 week: Executive Steering Committee approval". What is this section specifically talking about?
A. Risk Response Thresholds.
B. Approval Levels Necessary for Authorizing Changes.
C. Change Control Board Roles and Responsibilities.
D. Project Scope Management Plan.
Source
On a recent project, your Project Management Plan includes the following statement: "No impact on cost or timeline: Project Manager approval; Impact on cost < $10,000, or Impact on timeline < 1 week: Working Steering Committee approval; Impact on Cost > $10,000 but < $100,000, or Impact on timeline > 1 week: Executive Steering Committee approval". What is this section specifically talking about?
A. Risk Response Thresholds.
B. Approval Levels Necessary for Authorizing Changes.
C. Change Control Board Roles and Responsibilities.
D. Project Scope Management Plan.
Source
Ques. 21.
Your project sponsor has asked you to present your project's high-level risk register to him in the next project update meeting. Which of the following processes must be started to have your high level risk register?
A. Plan Risk Management
B. Perform Qualitative Risk Analysis
C. Identify Risks
D. Control Risks
Source
Your project sponsor has asked you to present your project's high-level risk register to him in the next project update meeting. Which of the following processes must be started to have your high level risk register?
A. Plan Risk Management
B. Perform Qualitative Risk Analysis
C. Identify Risks
D. Control Risks
Source
Ques. 22.
You are the project manager of a construction project. You find that a construction crane is needed during the project for a short period. You may or may not need that crane for future projects. Which of the following do you think is the best option?
A. Buying
B. Renting
C. Making
D. Borrowing
Source
You are the project manager of a construction project. You find that a construction crane is needed during the project for a short period. You may or may not need that crane for future projects. Which of the following do you think is the best option?
A. Buying
B. Renting
C. Making
D. Borrowing
Source
Answers:
1: D
2: A
3: D
4: B
5: D
6: D
7: B
8: D
9: C
10: A
11: C
12: A
13: A
14: A
15: C
16: C
17: B
18: C
19: D
20: B
21: B
22: B
