JIJIGA UNIVERSITY

SCHOOL OF GRADUATE STUDIES

PROJECT PLANNING & MANAGEMENT

INDIVIDUAL ASSIGNMENT ON PROJECT RISK MANAGEMENT

Maximum Value: 15%

Submission Date: on Your Final exam

Name _________________________________ ID No _____________

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PART I: CHOOSE THE BEST ANSWER AND ENCIRCLE IT.

1. Risk is an uncertain event or condition that, if it occurs, has a positive or negative effect
on a project's objectives.
A. True B. False
2. Risk [Blank] individuals do not like to take risks. Which of the following is NOT
considered Risk Categorization?
A. External C. Technical
B. Internal D. Methodology
3. A hierarchical representation of risks according to their risk categories is called:
A. Risk Categorization C. Risk Data Assessment
B. Risk Breakdown Structure D. Risk Reassessment
4. The process of determining which risks may affect the project and documenting their
characteristics.
A. Identify Risks C. Risk Register
B. Risk Management Plan D. Scope risks baseline
5. Plan Risk Management Inputs include
A. Project Management Plan C. Stakeholder Register
B. Project Charter D. Expert Judgement
6. Exploit, Enhance, Share and Accept are :
A. Strategies for Negative Risks or Threats
B. Strategies for Positive Risks or Opportunities
C. Contingent Response Strategies
D. Expert Judgment
7. Which of the following is not a tools or techniques in Risk response planning?
A. Strategies for Negative Risks or Threats
B. Strategies for Positive Risks or Opportunities
C. Contingent Response Strategies
D. Variance & Sensitivity analysis
E. Expert Judgment
8. _____________ is the process of developing options and actions to enhance opportunities
and to reduce threats to project objectives.

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 A. Risk Responses Planning C. Risk identification
B. Risk Planning D. Risk control
9. Suppose there is a 30 percent chance that you will lose $10,000 and a 70 percent chance
that you will earn $100,000 on a particular project. What is the project's estimated

monetary value?
A. -$30,000 C. $67,000
B. -$67,000 D. $70,000

10. Your project team has decided not to use an upcoming release of software because it
might cause your schedule to slip. Which negative risk response strategy are you using?

A. Transference C. Avoidance
B. Mitigation D. Acceptance
11. Your project involves using a new release of a common software application, but if that
release is not available, your team has _____________ plans to use the current release.
A. Reserve C. Contigency
B. Mitigation D. Fallback
12. A risk _____________ is a document that contains results of various risk management

processes, and is often displayed in a table or spreadsheet format.

A. Probability/impact matrix C. Management plan
B. Register D. Breakdown structure
13. Which risk identification tool involves deriving a consensus among a panel of experts by
using anonymous input regarding future events?
A. Risk breakdown structure C. Delphi technique
B. Interviewing D. Brainstorming
14. _____________ are indicators or symptoms of actual risk events, such as a cost overrun
on early activities being a symptom of poor cost estimates.
A. Watch list items C. Probabilities
B. Impacts D. Triggers
15. Which risk management process involves prioritizing risks based on their probability and
impact of occurrence?

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 A. Performing quantitative risk C. Performing qualitative risk analysis
analysis D. Identifying risks
B. Planning risk management
16. _____________ is an uncertainty that can have a negative or positive effect on meeting
project objectives.
A. Risk tolerance C. Risk utility
B. Risk management D. Risk
17. A document you use to capture all known risks is called:
A. Risk Log C. Risk List
B. Risk Register D. Risk Diary
18. A process that involves prioritizing risks for further action or analysis by assessing the
impact and the probability of occurrence is called
A. Qualitative Risk Analysis C. Quantitative Risk Analysis
B. Risk Brainstorming D. Risk Retrospective
19. As a part of your project, you need to organize a conference. You learn that in the place
that you rented there’s a 70% chance of a tropical storm on the selected dates. How
should you handle such risk?
A. Change the location of the conference.
B. Buy insurance to cover possible damage.
C. Book another place nearby to mitigate the risk of the first location being unavailable
due to the storm.
D. Inform all participants of the possible storm.
20. Who should be involved in Risk Management activities?
A. Only Project Team. C. As many stakeholders as practical.
B. Only Project Manager. D. All stakeholders except clients.
21. After you performed Qualitative Risk Analysis you need to create:
A. A prioritized list of risks. C. List of urgent risks
B. List of risks for additional D. Watch list
analysis and investigation.

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 PART II: DISCUSS THE FOLLOWING QUESTIONS BRIEFLY AND NEATLY!

1. Discuss briefly the six project risk management processes with not more than one page.
2. What are the attributes and elements of project risk management plan? Discuss.
3. Explain the 6 basic steps that need to be followed in order to develop an all-
encompassing and successful project risk management plan.
4. Differentiate between Qualitative and quantitative risk analysis.
5. Explain the tools and techniques used in the Control Risks process.

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