Question on Negative Risk

Submitted by Sunita on Mon, 12/31/2012 - 07:09

Need help on below question. I know the answer to the question will be either A(if it has been identified Risk) or C (if has not been identified) .But how to decide in this case.


When a negative risk occurs in a project, a response to it would be called:




  1. Add a note hereA contingency plan



  2. Add a note hereFailure planning



  3. Add a note hereA workaround



  4. Add a note hereBackup planning


 

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madunix (not verified)

Mon, 12/31/2012 - 18:12

 A Workaround, best alternative is to create a workaround to mitigate the risk impact.

MANOJ RAMRAOJI ...

Tue, 01/01/2013 - 08:06

Yes When any -ve Risk occurs, your immediate response will be workarounds. And then other plantings like Contingency reserve etc.

n689974

Wed, 01/09/2013 - 03:12

Hi Sunita,

IMO,

We should assume that the -ve risk was documented in the PM Plan and when it happens, we should go with the contigency plan. Please find the comments below

 

Although many people use the terms “contingency plan” interchangeably with “workaround”, they are not the same. The difference between the two terms is related to whether the problems being handled were identified ahead of time or not. Contingency plans are made based on potential risks that are identified that could derail a project. Workarounds are responses to problems that develop while the project is being worked that were never identified.

 

Contingency is for documented/known -ve risk

workaround is for unknown risk happened during the execution.

PMBOK. P.312

 

MAMPMP

Wed, 01/09/2013 - 05:16

Sunita, I think it should be workaround, per the PMBok on the Glossary section:

Workaround [Technique]. A response to a negative risk that has occurred. Distinguished from contingency plan in that a workaround is not planned in advance of the occurrence of the risk event. 

madunix (not verified)

Wed, 01/09/2013 - 08:13

yes, I think C because if the negative risk is know then we can apply corrective action ... create a workaround to mitigate the risk impact.

steelproject2012

Wed, 01/09/2013 - 19:34

I wwould go for A (contigency plan) since the question does not mention that the risk was unplanned for. Pls what is the official answer and would you mind the source of the question pls?

mpavas

Thu, 01/10/2013 - 01:01

 I too agree with the folks who gave justification with option A. Work around comes when the risk response is not planned. And in any question we should assume that there were all proper planning in place unless specified in the question.