Chapter 5 & 6

Question 1

Risk management is the means by which uncertainty is _______ managed

Answer 1

systematically

Question 2

Risk management is systematically managed by:

Answer 2

1. known unknown

2. unknown unknowns

Question 3

What are the 3 ways risk management relates to PM?

Answer 3

Project definition
project planning
project control

Question 4

What is the RM framework? (5 steps)

Answer 4

1- identity risks
2 analyze & prioritize
3 develop a response
4 establish reserves
5 repeat

Question 5

A risk profile is made up of question learned from ________ experiences

Answer 5

past

Question 6

A risk profile is _________ & ________ specific

Answer 6

industry & company

Question 7

“Analyzing & prioritizing” step in the RM framework includes these 3 steps

Answer 7

1. defining the risk
2. assign a probability to the risk
3. rank the risk

Question 8

the “developing a response” step in the RM framework includes these 5 categories

Answer 8

1 accepting risk (do nothing)
2 avoiding risk (choose something less risky)
3 contingency plans (plan B)
4. transfer risk (hiring expert)
5. mitigate the risk ( working to reduce risk)

Question 9

The Work Breakdown Structure (WBS) accomplished these 4 objectives:

Answer 9

1 detailed project scope
2 monitoring progress
3 accurate cost schedule estimates
4 builds project teams

Question 10

what are the 2 kinds of tasks on a WBS

Answer 10

1. summary tasks

2. work packages

Question 11

what are the three steps to developing a useful WBS?

Answer 11

1 begin at the top
2 name all tasks required to produce deliverables
3 organize the WBS

Question 12

what are the 3 rules to the ideal work package size

Answer 12

1 - 8/80 rule
2 - reporting period rule
3 - the “if it’s useful” rule