Plan Risk Responses

Question 1

What is the purpose of Plan Risk Responses?

Answer 1

The process of developing options and actions to enhance opportunities and reduce threats to project objectives.

Question 2

What is Contingency Plan?

Answer 2

Planned risk response that’s implemented after the risk occurs. (Referred to as secondary or alternative course of action)

Question 3

What is Fallback Plan?

Answer 3

Alternate set of actions and task available in the event the primary plan needs to be abandoned because of issues, risk, and other causes.

Question 4

What is Risk Residual?

Answer 4

Risk that remains after the risk response has been implemented.

Question 5

What is Secondary Risk?

Answer 5

Risk that arises as the direct result of implementing a risk response.

Question 6

What are the 2 types of Risk Reserves?

Answer 6

1) Contingency Reserves, 2) Management Reserves

Question 7

What is Contingency Reserves?

Answer 7

Risks that can be foreseen and derived for time and cost. Managed by Project Manager. (Known unknown)

Question 8

What is Management Reserves?

Answer 8

Unforeseeable risks to the entire project and can be derived for time and cost. Not included in schedule or cost baseline. Managed by Management. (Unknown unknown)

Question 9

What are the tools and techniques for Plan Risk Responses?

Answer 9

1) Strategies for Negative Risks (Threats), 2) Strategies for Positive Risks (Opportunities), 3) Contingent Responses Strategies, 4) Expert Judgement

Question 10

What are the 4 Strategies dealing with Negative Risks?

Answer 10

1) Avoid - change something so that the risk no longer a threat, 2) Transfer - shift risk to a 3rd party (contract), 3) Mitigate - reduce the probability of it occurring and minimize the impact if it does, 4) Accept - live with risk; a) active acceptance - setting aside a contingency reserve but doing nothing further or b) passive acceptance - does not have contingency reserve

Question 11

What are the 4 Strategies dealing with Positive Risks?

Answer 11

1) Explore - change something to ensure it occurs, 2) Share - share with a 3rd party (joint agreement), 3) Enhance - increase the probability and and positive impacts, 4) Accept - not accept and do nothing.

Question 12

What is Contingent Response Strategies?

Answer 12

Plans for what to do in a certain scenario.

Question 13

What is the output in Control Risks?

Answer 13

Project Management Updates, 2) Project Document Updates