PMP · Question #623
A project manager was informed by their supplier that there will be an upcoming raw material shortage due to a regulatory change. What should the project manager do?
The correct answer is D. Assess the possible impact of the raw material shortage on the project.. Upon learning of an upcoming raw material shortage, the project manager's immediate priority is to assess the potential impact on the project's schedule, cost, scope, and quality to inform subsequent risk response strategies.
Question
A project manager was informed by their supplier that there will be an upcoming raw material shortage due to a regulatory change. What should the project manager do?
Options
- ASeek advice from the legal department and implement penalties.
- BSearch for a new supplier that can deliver the same materials on time.
- CTell the supplier that they have an obligation to supply the raw material.
- DAssess the possible impact of the raw material shortage on the project.
How the community answered
(40 responses)- A3% (1)
- B10% (4)
- C8% (3)
- D80% (32)
Why each option
Upon learning of an upcoming raw material shortage, the project manager's immediate priority is to assess the potential impact on the project's schedule, cost, scope, and quality to inform subsequent risk response strategies.
Seeking legal advice and implementing penalties is a confrontational and potentially premature step, especially before understanding the full impact on the project or exploring collaborative solutions with the supplier.
Searching for a new supplier might be a mitigation strategy, but it should be considered *after* assessing the impact and understanding the extent of the problem, as it could incur significant costs or delays.
Telling the supplier about their obligation without understanding the regulatory context or assessing impact is an unconstructive approach and may not resolve the issue effectively or maintain good supplier relations.
The first step in responding to a potential issue like a raw material shortage is to assess its impact on the project. This involves evaluating how the shortage might affect the project schedule, budget, quality, and overall objectives, which is crucial for determining the appropriate course of action and developing an effective mitigation plan before making decisions.
Concept tested: Risk impact assessment and analysis
Source: https://www.pmi.org/pmbok-guide-standards/foundational/pmbok/project-risk-management
Topics
Community Discussion
6
Brenda K.Dec 10, 2025D is correct and it is a 20-second quick win. Before you chase new suppliers or start swinging contract penalties you have to figure out what the shortage actually does to your schedule and budget. Impact assessment is always step one in PMI land because you cannot make a smart next move without it. Flag B as the tempting trap for people who want to fix it immediately, but pick D and move on fast.
Yusuf A.Nov 13, 2025D is the right call here. One of the senior PMs at my company always says before you react to any supplier issue, you have to quantify the impact on scope, schedule, and budget first, then decide on a response strategy.
Dervla O.Nov 15, 2025Good call, but before you quantify the impact, make sure you have the actual issue documented and verified directly with the supplier, because responding to secondhand information or assumptions will burn your schedule twice.
Prof. SaraDec 6, 2025D is the exam-correct move because the PMs first job in any risk event is impact analysis, which maps to the Monitor Risks domain in the PMBOK. A, B, and C are all reactive leaps that skip the evaluate step. I use the mnemonic PAID for risk events: Pause, Assess, Investigate options, then Decide, and only D sits in that Assess bucket. Curious how people are tracking the line between a pure risk response and a formal contract remedy here, since a regulatory change feels like force majeure territory but the question still wants us to size the
Luis F.Nov 17, 2025D for sure, had this on my exam last month, assess impact before acting.
Dervla O.Nov 24, 2025D is correct here because before taking any action you need to understand what the shortage actually means for your scope, schedule, and budget. The regulatory change piece is interesting though, since that sounds like an external business risk that should already be captured in your risk register, so I am curious whether the exam expects you to update that register as part of the impact assessment or treat it as a separate next step.