Chapter 11: Project Risk Management
Difficulty: Moderate
INFO.SCHW.14.81 – LO: 11-6
United States – BUSPROG: Technology
Performing Quantitative Risk Analysis
Bloom’s: Comprehension
40. A _____ is a technique used to show the effects of changing one or more variables on an outcome.
a.
sensitivity analysis
b.
c.
Monte Carlo analysis
d.
Difficulty: Moderate
INFO.SCHW.14.81 – LO: 11-6
United States – BUSPROG: Technology
Performing Quantitative Risk Analysis
Bloom’s: Comprehension
41. _____ involves eliminating a specific threat, usually by eliminating its causes.
a.
Risk avoidance
b.
Risk acceptance
c.
Risk transference
d.
Risk mitigation
Difficulty: Moderate
INFO.SCHW.14.85 – LO: 11-7
United States – BUSPROG: Technology
Planning Risk Responses
Bloom’s: Knowledge
42. _____ involves reducing the impact of a risk event by reducing the probability of its occurrence.
a.
Risk avoidance
b.
Risk acceptance
c.
Risk transference
d.
Risk mitigation
43. _____ involves doing whatever you can to make sure the positive risk happens.
a.
Risk exploitation
b.
Risk sharing
c.
Risk enhancement
d.
Risk acceptance
INFO.SCHW.14.85 – LO: 11-7
United States – BUSPROG: Technology
Planning Risk Responses
Bloom’s: Knowledge
44. _____ involves shifting the consequence of a risk and responsibility for its management to a third party.
a.
Risk avoidance
b.
Risk acceptance
c.
Risk transference
d.
Risk mitigation
Difficulty: Moderate
INFO.SCHW.14.85 – LO: 11-7
United States – BUSPROG: Technology
Planning Risk Responses
Bloom’s: Knowledge
45. _____ involves allocating ownership of the risk to another party.
a.
Risk exploitation
b.
Risk sharing
c.
Risk enhancement
d.
Risk acceptance
Feedback: Risk sharing involves allocating ownership of the risk to another party.
Difficulty: Moderate
Planning Risk Responses
INFO.SCHW.14.85 – LO: 11-7
United States – BUSPROG: Technology
Planning Risk Responses
Bloom’s: Knowledge
46. _____ involves changing the size of the opportunity by identifying and maximizing key drivers of the positive risk.
a.
Risk exploitation
b.
Risk sharing
c.
Risk enhancement
d.
Risk acceptance
and maximizing key drivers of the positive risk.
1
Difficulty: Moderate
p.454
INFO.SCHW.14.85 – LO: 11-7
Planning Risk Responses
Bloom’s: Knowledge
47. _____ applies to positive risks when the project team cannot or chooses not to take any actions toward a risk.
a.
Risk enhancement
b.
Risk acceptance
c.
Risk sharing
d.
Risk exploitation
b
not to take any actions toward a risk.
1
Difficulty: Moderate
p.454
INFO.SCHW.14.85 – LO: 11-7
United States – BUSPROG: Technology
Planning Risk Responses
Bloom’s: Knowledge
48. _____ risks refer to those that are direct results of implementing risk responses.
a.
Architectural
b.
Primary
c.
Residual
d.
Secondary
d
Feedback: Secondary risks are a direct result of implementing a risk response.
1
Difficulty: Moderate
p.454
INFO.SCHW.14.85 – LO: 11-7
United States – BUSPROG: Technology
Planning Risk Responses
49. _____ are unplanned responses to risk events used when project teams do not have contingency plans in place.
a.
Workarounds
b.
Fallback plans
Bloom’s: Knowledge
Chapter 11: Project Risk Management
c.
Contingency plans
d.
Triggers
not have contingency plans in place.
Difficulty: Moderate
INFO.SCHW.14.82 – LO: 11-8
United States – BUSPROG: Technology
Bloom’s: Knowledge
Completion
50. Potential problems that might occur on the project and how they might impede project success are _____ risks.
1
Difficulty: Easy
INFO.SCHW.14.77 – LO: 11-1
The Importance Of Project Risk Management
Bloom’s: Knowledge
51. A project _____ is an uncertainty that can have a negative or positive effect on meeting project objectives.
risk
1
p.429
United States – BUSPROG: Technology
Bloom’s: Knowledge
52. _____ is the amount of satisfaction or pleasure received from a potential payoff.
1
Difficulty: Moderate
INFO.SCHW.14.77 – LO: 11-1
The Importance Of Project Risk Management
53. Risk utility rises at a decreasing rate for a(n) _____ person.
Chapter 11: Project Risk Management
54. The term _____ is used to describe risks that the project team has identified and analyzed.
55. The main output of the _____ process is the start of a risk register.
56. A(n) _____ documents the procedures for managing risk throughout the project.
57. A(n) _____ is a hierarchy of potential risk categories for a project.
58. _____ is the process of understanding what potential events might hurt or enhance a particular project.
59. _____ is a technique by which a group attempts to generate ideas or find a solution for a specific problem by amassing
ideas spontaneously and without judgment.
60. The basic concept of the _____ technique is to derive a consensus among a panel of experts who make predictions
about future developments.
61. System or process _____ are diagrams that show how different parts of a system interrelate.
62. A(n) _____ is a document that contains results of various risk management processes.
risk register
Difficulty: Moderate
United States – BUSPROG: Technology
Bloom’s: Knowledge
63. _____ are indicators or symptoms of actual risk events.
INFO.SCHW.14.79 – LO: 11-4
Identifying Risks
64. The _____ is the person who will own or take responsibility for the risk.
risk owner
Difficulty: Easy
INFO.SCHW.14.79 – LO: 11-4
United States – BUSPROG: Technology
Bloom’s: Knowledge
65. _____ are numbers that represent the overall risk of specific events, based on their probability of occurring and the
consequences to the project if they do occur.
Risk factors
Difficulty: Moderate
INFO.SCHW.14.80 – LO: 11-5
United States – BUSPROG: Technology
Bloom’s: Knowledge
66. The main output of qualitative risk analysis is updating the ________.
Identifying Risks
Chapter 11: Project Risk Management
.
67. A(n) _____ is a list of risks that are low priority, but are still identified as potential risks.
68. _____ is the product of a risk event probability and the risk event’s monetary value.
69. _____ are provisions held by the project sponsor or organization to reduce the risk of cost or schedule overruns to an
acceptable level.
70. _____ helps professionals to see the effects of changing one or more variables on an outcome.
71. _____ involves accepting the consequences should a risk occur.
72. Risk _____ refers to reducing the impact of a risk event by reducing the probability of its occurrence.
73. _____ risks are risks that remain after all of the response strategies have been implemented.
74. Project teams sometimes use _____, which are unplanned responses to risk events, when they do not have contingency
plans in place.
75. List and briefly describe the six major processes involved in risk management.
76. List and briefly describe four methods for identifying risks.
77. Explain decision trees and expected monetary value.
78. Explain the basic steps involved in performing a Monte Carlo analysis.
79. What are the four basic response strategies for negative risks? Describe each strategy.