Upon reviewing the risk analysis results, the project manager notices several risks that occur more frequently than others. What should the project manager do?

Question

Options

• AReduce the probabilities of those risks on the risk register
• BTransfer ownership of those risks to the customer
• CImplement the risk handling strategies for those risks
• DRequest additional management reserve for those risks

• A
  7% (2)
• B
  4% (1)
• C
  7% (2)
• D
  82% (23)

Explanation

When quantitative risk analysis (such as a Monte Carlo simulation) shows certain risks triggering more frequently than anticipated, it signals that the project's existing contingency reserves may be insufficient to cover the increased exposure. Requesting additional management reserve (D) is the appropriate response because it ensures the organization has the financial buffer needed to absorb losses if these high-frequency risks materialize. Option A is incorrect - probabilities in the risk register should reflect reality, not be artificially reduced. Option B (transferring to the customer) is a risk response strategy requiring contract negotiation, not an immediate analytical response. Option C (implementing handling strategies) may already be in place; the higher frequency finding specifically points to a reserve adequacy concern.

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