Who MUST know when a risk event occurs so that a response can be implemented?

Question

Options

• ACustomers
• BProject sponsors
• CProject management team
• DInsurance claims department

• A
  10% (3)
• B
  17% (5)
• C
  69% (20)
• D
  3% (1)

Explanation

The project management team must know when a risk event occurs because they are responsible for executing the risk response plan - they own the day-to-day monitoring of risks and are positioned to activate contingency plans immediately when a trigger is detected.

Why the distractors are wrong:

• A (Customers): Customers are stakeholders who may need to be informed of impacts, but they are not responsible for implementing risk responses.
• B (Project sponsors): Sponsors provide oversight and funding authority but are typically escalated to only for major risks, not every risk event - that's the management team's job.
• D (Insurance claims department): Only relevant if a risk involves an insured loss; this is far too narrow and reactive to apply broadly to project risk management.

Memory tip: Think of risk response as a fire drill - the fire department (project management team) must know first so they can act. You might notify the building owner (sponsor) or tenants (customers) afterward, but the response team goes first.

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