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PMI-RMP · Question #588

An undocumented risk is realized during the rollout of a new product line important to the company. The product owner escalates this matter to the company president, who expects all risks to be docume

The correct answer is A. Risks are documented to the practicable extent possible.. No risk identification process can capture every possible risk. The PMI standard acknowledges that risks are documented 'to the practicable extent possible'-meaning the team identifies as many risks as reasonably feasible given the available time, information, and resources, but

Risk Strategy and Planning

Question

An undocumented risk is realized during the rollout of a new product line important to the company. The product owner escalates this matter to the company president, who expects all risks to be documented in the project risk plan. How should the risk manager address this concern?

Options

  • ARisks are documented to the practicable extent possible.
  • BProbability of the risk was very low. so the risk was not documented.
  • CImpact of the risk was assessed to be insignificant, so the risk was not documented.
  • DA similar risk never occurred in the past, so it was not considered.

How the community answered

(61 responses)
  • A
    70% (43)
  • B
    3% (2)
  • C
    10% (6)
  • D
    16% (10)

Explanation

No risk identification process can capture every possible risk. The PMI standard acknowledges that risks are documented 'to the practicable extent possible'-meaning the team identifies as many risks as reasonably feasible given the available time, information, and resources, but complete documentation of all conceivable risks is not a realistic or achievable standard. Justifications based on low probability, insignificant impact, or no historical precedent are problematic alone because they imply the risk was considered but dismissed; however, stating that risks are documented to the practicable extent is the professional and standards-aligned explanation for undocumented risks.

Topics

#Undocumented risk#Risk documentation#Risk identification limits#Stakeholder expectation management

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