PMP · Question #1254
A global petroleum crisis has affected the distribution of crude oil in the region where the construction project is underway. Materials are not being delivered on time and this phase of construction
The correct answer is D. Perform a risk assessment and define a risk response action plan.. The project manager must first conduct a thorough risk assessment to understand the full impact of the petroleum crisis on material delivery and schedule, then define a comprehensive risk response action plan. This proactive approach helps mitigate further deviations.
Question
A global petroleum crisis has affected the distribution of crude oil in the region where the construction project is underway. Materials are not being delivered on time and this phase of construction is already behind for what was initially planned. What should the project manager do first to prevent the project from going further off track?
Options
- APropose a pause in this phase to save labor costs and asset depreciation.
- BProceed with the project using management reserves to cover any delays or losses.
- CEstablish new partnerships with other suppliers in anticipation of any delays.
- DPerform a risk assessment and define a risk response action plan.
How the community answered
(49 responses)- A14% (7)
- B8% (4)
- C4% (2)
- D73% (36)
Why each option
The project manager must first conduct a thorough risk assessment to understand the full impact of the petroleum crisis on material delivery and schedule, then define a comprehensive risk response action plan. This proactive approach helps mitigate further deviations.
Proposing a pause might be a response, but it should come after a full risk assessment and evaluation of alternatives, as it has significant cost and schedule implications.
Proceeding using management reserves is a reactive measure and should only be considered after assessing the risk and determining that it's the best response, not the first step in addressing an ongoing crisis.
Establishing new partnerships is a potential risk response strategy, but it requires a prior assessment of the risk's nature, scope, and impact to determine if this is the most appropriate or feasible response.
The global petroleum crisis is a new, significant external event causing delays and threatening the project schedule, making it a major risk. The first step is to formally assess this risk (e.g., impact on cost, schedule, quality) and then develop a detailed risk response plan, which could include options like exploring new suppliers, adjusting the schedule, or using reserves. This structured approach ensures a comprehensive and effective solution rather than a knee-jerk reaction.
Concept tested: Proactive risk assessment and response planning
Source: https://www.pmi.org/pmbok-guide-standards/foundational/pmbok/risk-management
Topics
Community Discussion
4Our group landed on D. When a crisis hits and materials are lagging, the first move is always to assess the risk and build a response plan before spending reserves or locking in new suppliers. A is too passive and B burns through contingency without understanding the full impact. C sounds proactive but you are skipping the analysis step that tells you whether new partnerships are even the right fix. D first, then act on whatever the assessment reveals. Anyone disagree or did you see this one worded differently on your attempt?
Saw this one on my exam last month. When a crisis is already impacting the project, the first move is always to perform a risk assessment and define a response plan, which is exactly why D is correct.
Good call on D, Orla, but remember the question might also expect you to update the risk register as part of that response so dont skip that step.
D for sure. C is tempting but you gotta assess the risk first before acting.