A project has a significant impact on an organization. Multiple stakeholders expressed concerns regarding the overall project risk during construction of the risk management plan, and they agreed that

The correct answer is A. Risk thresholds. When stakeholders agree that risk appetite is low, the project risk manager must closely monitor risk thresholds-the specific, measurable boundaries that define when a risk requires escalation or a response. Low risk appetite translates directly into low (tight) thresholds, meani

Risk Monitoring and Reporting

Question

A project has a significant impact on an organization. Multiple stakeholders expressed concerns regarding the overall project risk during construction of the risk management plan, and they agreed that the risk appetite is low. What should the project risk manager monitor closely?

Options

ARisk thresholds
BRisk response strategies
CRisk management reports
DRisk breakdown structure (RBS)

How the community answered

(26 responses)

A
81% (21)
B
12% (3)
C
4% (1)
D
4% (1)

Explanation

When stakeholders agree that risk appetite is low, the project risk manager must closely monitor risk thresholds-the specific, measurable boundaries that define when a risk requires escalation or a response. Low risk appetite translates directly into low (tight) thresholds, meaning even minor deviations trigger action. Monitoring thresholds ensures that no risk is allowed to grow beyond the organization's stated tolerance. Option B (risk response strategies) are the plans already in place, not the monitoring target. Option C (risk management reports) are outputs of monitoring, not the primary focus. Option D (the Risk Breakdown Structure) is a planning tool for categorizing risks, not a monitoring instrument tied to risk appetite.

Topics

#Risk thresholds#Risk appetite#Risk monitoring#Risk control

Community Discussion

No community discussion yet for this question.

Full PMI-RMP Practice