PMP Question #102: Real Exam Question with Answer & Explanation

Question

During the implementation phase of a construction project, a key supplier went bankrupt and cannot supply the contracted material. This issue could affect the project schedule. What should the project manager do first?

Options

• AEscalate to the management team for delay approval
• BAdd the risk and the delay to the risk register
• CUpdate the schedule to include the delay
• DUpdate the issue log and act to minimize the impact

Explanation

A critical supplier bankruptcy has become an issue impacting the project schedule, so the project manager must first document it as an issue and then address its impact.

Common mistakes.

• A. Escalating for delay approval is premature; the project manager first needs to understand the full impact and potential solutions before seeking approval for a delay.
• B. This is no longer a risk; it's an actual event, so it should be managed as an issue, not added to the risk register.
• C. Updating the schedule is an action that follows the identification and initial assessment of the issue; the immediate first step is to recognize and log the issue and plan a response.

Concept tested. Issue management in project execution

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