PK0-005 · Question #145
A critical piece of equipment that is needed for the installation of a point-of-sale solution is delayed from the manufacturer. The delay will cause the project to be significantly behind schedule. Th
The correct answer is B. Transfer. The project manager addressed a critical equipment delay by purchasing the item from another vendor at a higher cost, which is an example of a risk transfer strategy.
Question
A critical piece of equipment that is needed for the installation of a point-of-sale solution is delayed from the manufacturer. The delay will cause the project to be significantly behind schedule. The project manager decides to buy the item at a higher cost from another vendor who can supply it immediately. Which of the following risk management approaches has the project manager taken?
Options
- AMitigate
- BTransfer
- CAccept
- DShare
How the community answered
(18 responses)- A11% (2)
- B83% (15)
- D6% (1)
Why each option
The project manager addressed a critical equipment delay by purchasing the item from another vendor at a higher cost, which is an example of a risk transfer strategy.
Mitigate involves reducing the probability or impact of a negative risk, not shifting it to another party.
Transfer is a risk response strategy where the project manager shifts the impact or ownership of a negative risk to a third party, often for a fee. In this case, paying another vendor more transfers the risk of delay and its consequences to that vendor.
Accept means acknowledging the risk and not taking any proactive action to change its probability or impact.
Share is a strategy for positive risks (opportunities) where responsibility is shared with a third party to maximize the chance of occurrence, not for managing negative risks by shifting responsibility.
Concept tested: Risk response strategies - Transfer
Source: https://www.pmi.org/pmbok-guide-standards/foundational/pmbok
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