Your company and a competing company have created a teaming agreement for an opportunity. Through this team agreement you and your competitor can complete a major program for a client. This is…

The correct answer is D. Sharing. Sharing is a positive risk (opportunity) response strategy where the ownership of an opportunity is allocated to a third party who is best able to capture the benefit - in this case, both companies share the risk and opportunity of a large program neither could handle alone. A…

Program Life Cycle Management

Question

Your company and a competing company have created a teaming agreement for an opportunity. Through this team agreement you and your competitor can complete a major program for a client. This is, technically, a risk response for both organizations. What type of risk response are you dealing with in this instance?

Options

ATeaming
BExploiting
CAccepting
DSharing

How the community answered

(25 responses)

B
4% (1)
C
4% (1)
D
92% (23)

Explanation

Sharing is a positive risk (opportunity) response strategy where the ownership of an opportunity is allocated to a third party who is best able to capture the benefit - in this case, both companies share the risk and opportunity of a large program neither could handle alone. A teaming agreement is the classic example of risk sharing. 'Exploiting' means taking actions to ensure the opportunity definitely occurs. 'Accepting' means doing nothing. 'Teaming' is not a formal PMI risk response category - 'Sharing' is.

Topics

#Risk Management#Risk Response Strategies#Sharing Risk#Program Life Cycle

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