Three months into a program, multiple workstreams are showing issues. At this point, the program manager requires that a risk impact assessment be conducted. What will help calculate the impact?

Question

Options

• ARisk analysis
• BRisk identification
• CRisk treatment
• DRisk evaluation

• A
  90% (54)
• B
  2% (1)
• C
  5% (3)
• D
  3% (2)

Explanation

Risk analysis (A) is the process used to calculate the impact of risks. It includes both qualitative techniques (e.g., probability/impact matrices) and quantitative techniques (e.g., Monte Carlo simulation, expected monetary value) that numerically or descriptively assess how much a risk could affect the program's objectives. Risk identification (B) precedes analysis-it finds risks but does not calculate their impact. Risk treatment (C) refers to selecting and implementing response strategies after analysis is complete. Risk evaluation (D) is sometimes used interchangeably with analysis, but in standard risk frameworks (ISO 31000), evaluation compares risk levels against criteria to prioritize them, whereas analysis is explicitly the step that calculates impact.

No community discussion yet for this question.