PMP · Question #102
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
The correct answer is D. Update the issue log and act to minimize the impact. 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.
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
How the community answered
(24 responses)- A4% (1)
- B8% (2)
- C13% (3)
- D75% (18)
Why each option
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.
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.
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.
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.
The supplier's bankruptcy is no longer a potential risk but a realized event, making it an issue. The project manager's immediate priority is to log this issue in the issue log and then take proactive steps to mitigate its negative effects on the project, such as finding an alternative supplier or adjusting the plan, to minimize impact.
Concept tested: Issue management in project execution
Topics
Community Discussion
4
Yusuf A.Jun 15, 2026D is correct. My senior always says once a risk actually happens it becomes an issue, so you log it there first and work on minimizing the impact before touching the schedule or escalating.
Carlos M.May 30, 2026Leaned toward B but its already an issue not a risk, so D first.
Yuki V.Jun 6, 2026Going with C here. The stem says the issue could affect the schedule, so updating the schedule to include the delay is the most direct response to an issue that is already happening in the implementation phase.
Yusuf A.Jun 9, 2026Actually D is the right call here. My mentor showed me that when an issue could impact the schedule during implementation, the PM should first assess the impact before updating anything, so the analysis step in D comes before the schedule update in C.