Exam 7: Risk Management

Use the failure probability and consequence scores shown in the table to determine the consequence of failure for the project. Maturity 0.6 Cost 0.2 Complexity 0.8 Bchedule 0.3 Dependency 0.6 Reliability 0.2 Performance 0.5

PRAM (project risk analysis and management)should be conducted as a "one-shot" activity during the project planning phase.

The difference between projects that fail and those that are ultimately successful has to do with:

The overall project risk factor is known to be 0.5.The probability of dependency failure is twice the probability of complexity failure and four times the probability of maturity failure.The consequence of performance failure is twice the consequence of reliability failure,four times the consequence of schedule failure and eight times the consequence of cost failure.What is the difference between the probability of maturity failure and the consequence of cost failure? Maturity Cost Complexity Bchedule 2Y Dependency 4 Reliability 4Y Performance 8Y

The PRAM model for risk management proposes that risk management follow a life cycle much as projects follow a life cycle.

How does risk level vary with project life cycle stages? Where is the period of highest risk impact? Why?

Sketch a flow chart for the PRAM methodology for risk management and briefly describe each step.

The risk is highest in the earliest phase of the project life cycle.

When new projects involve unproven technology,they are under significant technical risk.

Project risk is highest during the:

The house had almost been framed when an F-5 tornado ripped across the plains and turned the house back into a lumber pile,albeit not stacked as neatly as it was originally.The homeowner's fears of:

Fred Knievel took out a substantial life insurance policy before he began his trek across North America in his Volvo.Doing so enabled him to:

The inability of a company to accurately predict the market's acceptance of its new product or service,and the product's profitability or success,is best described as:

Project risk is lowest during the:

The deliverable from the focus step of the project risk analysis and management model is:

Which of these statements about the project risk analysis and management program is BEST?

The period of highest risk impact for a project risk exists primarily in the:

The overall risk factor for the project is known to be 0.5.The individual failure probability and consequence scores are not known with certainty,only that all of the failure probability scores are identical and all of the consequence scores are identical.What are the individual failure probability scores? Maturity Cost Complexity Schedule Y Dependency Reliability Performance

What are the four distinct stages of systematic risk management and what takes place at each?

A project team assigns probabilities of 0.1,0.2,and 0.4 respectively to the maturity,complexity,and dependency categories.The probability of failure can be calculated as: