CAP · Question #393
Eric is the project manager of the MTC project for his company. In this project a vendor has offered Eric a sizeable discount on all hardware if his order total for the project is more than $125,000.
The correct answer is C. Sharing. When multiple parties combine resources or share ownership of an opportunity to collectively achieve a positive outcome, the risk response strategy used is Sharing.
Question
Eric is the project manager of the MTC project for his company. In this project a vendor has offered Eric a sizeable discount on all hardware if his order total for the project is more than $125,000. Right now, Eric is likely to spend $118,000 with vendor. If Eric spends $7,000 his cost savings for the project will be $12,500, but he cannot purchase hardware if he cannot implement the hardware immediately due to organizational policies. Eric consults with Amy and Allen, other project managers in the organization, and asks if she needs any hardware for their projects. Both Amy and Allen need hardware and they agree to purchase the hardware through Eric's relationship with the vendor. What positive risk response has happened in this instance?
Options
- ATransference
- BExploiting
- CSharing
- DEnhancing
How the community answered
(35 responses)- A9% (3)
- B3% (1)
- C71% (25)
- D17% (6)
Why each option
When multiple parties combine resources or share ownership of an opportunity to collectively achieve a positive outcome, the risk response strategy used is Sharing.
Transference shifts the negative impact of a threat to a third party such as an insurer or contractor, and applies exclusively to negative risks, not opportunities.
Exploiting is used when a project team wants to ensure a positive risk definitely occurs by eliminating uncertainty, not by forming partnerships to reach a spending threshold.
Sharing involves allocating partial or full ownership of a positive risk to a third party or partnering with others who are positioned to capture the opportunity together. Eric partners with Amy and Allen so all three projects collectively reach the $125,000 threshold, enabling everyone to benefit from the vendor discount.
Enhancing increases the probability or impact of a positive risk opportunity, but it does not involve sharing resources, costs, or ownership with other project managers.
Concept tested: Positive risk response strategy - Sharing
Source: https://www.pmi.org/pmbok-guide-standards/foundational/pmbok
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