PMI-RMP Exam Practice Test Instant Access

Question 1

During a project's planning phase, the project team identifies a potential supplier delay and marks it as a significant risk. A risk manager is tasked with effectively monitoring this risk.

What should the risk manager document as the risk trigger?

AThe probability and impact rating of the supplier's delay on the project

BThe response strategy, such as increasing inventory or finding an alternative supplier

CThe specific event or condition, such as the supplier missing a delivery deadline

DThe threshold for acceptable delay, such as a maximum of three days before impacting project milestones

Answer : C

A risk trigger is a specific event or condition that signals that a risk is about to occur or has occurred. PMBOK Guide clarifies:

'Risk triggers (sometimes called warning signs) are indicators or symptoms that a risk event is about to occur. The risk register should include identified triggers for each risk.'

--- PMBOK Guide, 6th Edition, Section 11.2.3.1

Thus, documenting the specific event or condition (such as the supplier missing a delivery deadline) is the correct approach.

PMBOK Guide, 6th Edition, Section 11.2.3.1

Practice Standard for Project Risk Management, PMI, Section 5.3

Question 2

A project manager is developing the risk register and works with the team to analyze risks and determine their probability and impact. There is valuable historical data available that may be used to simulate the overall risk outcome.

Which type of analysis should the project manager use in this instance?

ACheck list analysis

BCause and effect

CSpecialized meeting

DQuantitative analysis

Answer : D

In this instance, the project manager should use quantitative analysis to simulate the overall risk outcome. Quantitative analysis techniques, such as Monte Carlo simul-ation or decision tree analysis, can be used to model the combined effect of individual risks on project objectives. By leveraging historical data, the project manager can generate more accurate and reliable risk assessments, which can help inform risk response strategies and improve project decision-making.

Quantitative analysis is a type of risk analysis that numerically analyzes the effect of identified risks on overall project objectives1.It involves using historical data and other information to estimate the probability and impact of risks, and then applying mathematical techniques such as simul-ation, sensitivity analysis, decision tree analysis, or expected monetary value analysis to quantify the overall risk exposure of the project2. Quantitative analysis can provide more accurate and objective results than qualitative analysis, which relies on subjective judgments and ratings.Quantitative analysis can also help the project manager prioritize risks, determine the optimal risk response strategy, and allocate contingency reserves3. Therefore, the correct answer is D.

Question 3

A project team is leading a software development project. During the project kickoff meeting, the risk manager discovers that a vendor has not finalized the timeline for delivering an essential component. This creates uncertainty in the overall project schedule.

What should the risk manager do to address the risk?

AHold a meeting to assess the risk's impact and create a response plan with alternative timelines.

BAdjust the overall project schedule based on assumptions about the vendor's timeline.

CDefer the risk discussion until the vendor finalizes the timeline to prioritize the project's start.

DFocus on internal risks and assume the vendor will resolve the issue independently.

Answer : A

Best practice in risk management is to immediately assess the impact of identified risks and develop appropriate response plans. The PMBOK Guide confirms:

'When a risk is identified, its impact and likelihood should be assessed as soon as possible, and risk response strategies developed and agreed upon.'

--- PMBOK Guide, 6th Edition, Section 11.5

This is especially important for critical dependencies such as vendor deliverables.

PMBOK Guide, 6th Edition, Section 11.5

ISO 31000:2018, Section 6.5

Question 4

Several key stakeholders approach the project manager with concerns. The stakeholders have received feedback from local businesses that have reported a reduction in customers because of construction activities at the worksite, and they plan to submit a claim to the municipality to fine the project manager's company.

How should the project manager address this concern?

AEvaluate the risk with the team and update the issueing

BDiscuss the concern with the local business owners.

CUpdate the key risks and perform a quantitative risk analysis.

DAdjust construction work hours to after business hours.

Answer : A

The project manager should evaluate the risk with the team and update the issueing to address the concerns of the stakeholders and local businesses.

This concern is a potential risk that could affect the project's reputation, stakeholder satisfaction, and profitability. The project manager should evaluate the risk with the team and update the issue log, which is a tool for documenting and monitoring the resolution of issues that arise during the project. The issue log should include information such as the issue description, the priority, the owner, the status, and the actions taken. The project manager should also communicate with the stakeholders and the local businesses to address their concerns and seek a mutually beneficial solution. The project manager should not ignore the concern, as it could escalate into a bigger problem. The project manager should not discuss the concern with the local business owners alone, as this could bypass the stakeholders and create more conflicts. The project manager should not update the key risks and perform a quantitative risk analysis, as this is a time-consuming and complex process that may not be necessary for this type of risk. The project manager should not adjust the construction work hours to after business hours, as this could incur additional costs, disrupt the project schedule, and affect the workers' safety and productivity.Reference: PMI, 2017. A Guide to the Project Management Body of Knowledge (PMBOK Guide) -- Sixth Edition. Newtown Square, PA: Project Management Institute, Inc., pp.115-116, 408-4091

Question 5

A risk manager has a well-structured risk management process in place for a complex project with a tight schedule. Despite implementing preventive actions, one of the risks identified in the early stages of the project has still occurred and is now an issue.

What should the risk manager do next?

AMeet with the project team to brainstorm potential solutions to the problem.

BImplement the risk response plan to remedy the problem as soon as possible.

CInitiate discussions with the project manager to decide how to manage the problem.

DEscalate the problem to the project sponsor to agree on the best course of action.

Answer : B

When a risk has materialized and become an issue despite preventive actions, the next logical step is to implement the pre-established risk response plan. This plan is designed specifically to address the risk if it occurs, ensuring that the project can quickly and effectively manage the issue. According to PMI's risk management guidelines, implementing the risk response plan is a critical step once a risk has been triggered, as it provides a structured approach to resolving the issue with minimal impact on the project.

Question 6

A project manager is identifying risks on a project and decides to use a risk checklist to gather historical data accumulated from similar projects. With several different historical project files to choose from, which two pieces of information should the project manager include in their risk checklist? (Choose two.)

ABudget variance data from previously completed projects.

BProject scope and cost management plans from previous projects.

CLessons learned from similar completed projects.

DPrevious project risks that may be relevant to this project.

EStakeholder analysis metrics from projects with similar risk profiles.

Answer : C, D

A risk checklist is a tool for identifying risks based on historical information and knowledge from similar projects. It is a list of potential risk sources or categories that can be used to prompt the project team to consider possible risks that may affect the project. A risk checklist should include information that is relevant and useful for identifying risks, such as lessons learned from similar completed projects and previous project risks that may be relevant to this project. These two pieces of information can help the project manager to learn from past experiences and avoid repeating the same mistakes or overlooking the same threats or opportunities. A risk checklist should not include information that is not directly related to risk identification, such as budget variance data from previously completed projects, project scope and cost management plans from previous projects, or stakeholder analysis metrics from projects with similar risk profiles. These pieces of information may be useful for other aspects of project management, such as planning, monitoring, or controlling, but they are not helpful for identifying risks on a project.Reference:PMI. (2017). A Guide to the Project Management Body of Knowledge (PMBOK Guide) -- Sixth Edition. Chapter 11: Project Risk Management, p. 397. 5

Lessons learned and previous project risks are valuable sources of information for creating a risk checklist. They provide insights into potential risks that may impact the current project and help the project manager develop appropriate risk responses. Budget variance data, project scope and cost management plans, and stakeholder analysis metrics, although useful, are not directly related to risk identification. (Reference: Project Management Institute. A Guide to the Project Management Body of Knowledge (PMBOK Guide) -- Sixth Edition, Section 11.2)

Question 7

A new risk manager has been assigned to a project experiencing delays, quality issues, low performance, and client complaints. The work is being completed with the

client's vendor, which apparently has been causing all of the issues.

What should the risk manager do first?

AEnhance risk identification.

BReview the contingency reserves.

CCreate a risk response plan.

DReview the risk registry.

Answer : D

The risk registry is a document that records the identified risks, their characteristics, their status, and their responses. It is a key input for risk management and a source of information for project stakeholders. The risk manager should review the risk registry first to understand the current state of the project risks, especially the ones related to the client's vendor, and to evaluate the effectiveness of the risk responses implemented so far. Enhancing risk identification, reviewing the contingency reserves, and creating a risk response plan are possible actions that the risk manager may take after reviewing the risk registry, but they are not the first thing to do. Reference: PMI Risk Management Professional (PMI-RMP) Exam Content Outline1, PMI Practice Standard for Project Risk Management2, Risk Management Professional (PMI-RMP) Cert Guide3

PMI Risk Management Professional PMI-RMP Exam Practice Test