Module 10 ISM3314

Chad wants to assess the strengths and weaknesses associated with his project and to determine what threats and opportunities exist as he identifies project risk. Which tool should he use?

SWOT analysis

Expected monetary value analysis is most commonly associated with which of the following risk analysis tools?

a decision tree

Which Project Risk Management process is in the Executing process group?

Implement Risk Responses

What is the end of the path on a decision tree called?

a terminal node

The risk thresholds set by an organization are considered to be a(n) ________.

enterprise environmental factor

What is the risk score for a risk with a probability of nine and an impact of five?

45

Iterative simulations are typically performed using the ________.

Monte Carlo technique

Which of the following statements is false?

Qualitative and quantitative risk analysis should be done for all projects.

According to the chart below, the risk represented by an event with .90 probability and .05 impact would be classified as ________.

low risk

In a tornado diagram, negative impact is usually depicted ________.

on the left side of the diagram

To complete the project successfully, the organization should address risk management _________.

proactively

A ________ helps project practitioners decide if a certain risk event needs to be assigned a higher priority in the short term or if certain project phases are more likely to encounter risks than others.

risk urgency assessment

A tornado diagram is commonly used to show which of the following?

sensitivity analysis

Which positive risk response strategy is most like the transference strategy for negative risks?

sharing

Practitioners should spend the time and money to develop a risk response when ________.

I, II, and III

SWOT analysis is a technique employed in which process?

Identify Risks

What is a risk score?

a way to prioritize risks by multiplying risk probability by risk impact

What are the four response strategies for dealing with negative risk?

accept, avoid, mitigate, and transfer

Risk is best defined as ________.

an event that, if it occurs, can be either good or bad for a project

Assigning an experienced programmer to a project to ensure that a software program is completed on time is an example of what risk response strategy?

exploiting

Which risk management practice uses numbers to show the effect that a risk may have on project objectives?

quantitative risk analysis

Which is not a tool or technique of Identify Risks?

risk registers

Constance wants to measure the risks for her project as a whole, rather than for individual parts of her project. Which tool would she not use?

sensitivity analysis

In expected monetary value analysis, a decision that needs to be made is shown as a(n) ________, and an uncertainty is represented by a(n) ________.

square; circle

A project manager wants to identify risks for a project but does not want to convene a meeting of subject matter experts because she is afraid that a few dominant personalities will influence the thoughts of others. Which risk identification tool should she use to gather the information she needs?

the Delphi technique

What is the most important tool used in project risk management?

the risk register

Which one of these items is not a strategy recommended for negative threats or risks in planning risk responses?

to exploit

What are the objectives of Project Risk Management in a project?

to increase and decrease the impact of events

The decision tree shows how to make a decision between alternative capital strategies when the environment contains _________ elements.

uncertain

In general, lower priority risks are added to a ________ so project practitioners can focus the majority of their attention on higher priority risks.

watch list