RISK - Question - Pls answer..:)

Submitted by maheshgonuguntla on Fri, 12/20/2013 - 10:05

The highest risk impact generally occurs during which one of the following project life-cycle phases?
a. Concept and planning
b. Planning and implementation
c. Implementation and closeout
d. Concept and closeout

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EddieD

Fri, 12/20/2013 - 12:22

Uncertainty and risk is highest at the start of the project and likelihood of project completion increases as it moves toward the concluding phases. Thats what i would have chosen.

kinnumann1

Fri, 12/20/2013 - 13:19

Hi EddieD, could you please explain your response just a bit more? Why Concept? Why Closeout?

Thanks.

Regards.
-KM

Sierra8

Fri, 12/20/2013 - 14:47

At the start of any project is when you have the most unknown risks, as the project progresses you uncover more risks and are able to plan for them.

ExpertJudgement

Fri, 12/20/2013 - 15:46

i think its important to differentiate between risk probability and risk impact.

The question is asking about risk impact which can be the highest at closeout as you have already invested a lot of money in the project. during planning, even if a lot of things are unknown, you can still change the course of the project based on an occured risk. so its better for the risk to occur in planning than in closeout as the closeout impact will be more

kinnumann1

Sat, 12/21/2013 - 03:22

Yes, exactly. That's what I was thinking as well. Thanks for the response.
The question says Impact, so anything going wrong during Closeout will have maximum Impact. However, the answer choices are in pairs... with Closeout appearing in C & D.
So why not answer C (Implementation & Closeout) instead of D?

Thanks.

Regards.
-KM

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admin

Sat, 12/21/2013 - 04:07

Answer is C , which is in the later phases, i am not sure why in Concept phase the impact would be high.