Risk Management: Identification, Qualitative/Quantitative Analysis, Response Planning and Risk Register Questions

Question 1

Define risk.

Accepted Answer

A **risk** is an uncertain event that may affect project objectives.

Question 2

Differentiate risk and issue (one line).

Accepted Answer

**Risk** may happen (future); **issue** has happened (current problem).

Question 3

What is risk register?

Accepted Answer

A **risk register** is a document to record and track risks, owners and actions.

Question 4

What is qualitative risk analysis?

Accepted Answer

It prioritizes risks using **probability** and **impact** rankings.

Question 5

Write EMV formula.

Accepted Answer

**EMV = probability × impact cost**.

Question 6

Name one threat response strategy.

Accepted Answer

**Mitigate**.

Question 7

Explain importance of risk management (any three points).

Accepted Answer

Risk management reduces surprises, improves planning accuracy, protects time/cost/quality objectives, and increases stakeholder confidence. It also helps allocate contingency reserves.

Question 8

Explain risk identification methods (any three).

Accepted Answer

Methods (any three): brainstorming, expert judgement, checklists from past projects, SWOT analysis, interviews, review of WBS/schedule assumptions. Output is a list of risks for the risk register.

Question 9

Explain qualitative risk analysis.

Accepted Answer

Qualitative analysis ranks risks based on **probability** and **impact** and classifies them (high/medium/low). It helps focus attention and response planning on the most important risks.

Question 10

Explain quantitative risk analysis with one example.

Accepted Answer

Quantitative analysis uses numerical values. Example: **EMV = probability × impact cost**. It supports better contingency planning and decision-making.

Question 11

Explain risk response strategies for threats (any four).

Accepted Answer

Threat responses: **Avoid** (eliminate), **Mitigate** (reduce probability/impact), **Transfer** (shift to third party), **Accept** (monitor; contingency).

Question 12

Explain risk owner and monitoring.

Accepted Answer

A **risk owner** is responsible for monitoring triggers and implementing response actions. Monitoring is done via reviews, audits, and updating the risk register throughout the project.

Question 13

Explain risk management process with a flowchart.

Accepted Answer

### **Explain risk management process with flowchart**

**Risk management** is a continuous process to identify and handle uncertainties.

Steps:
- plan risk management
- **identify** risks
- **analyze** (qualitative + quantitative)
- **plan responses**
- **monitor & control**

```text
Plan → Identify → Qualitative analyze → Quantitative analyze → Response plan → Monitor/Control
```

Thus, risk management reduces surprises and protects project objectives.

Question 14

Explain qualitative risk analysis and risk matrix with diagram/table.

Accepted Answer

### **Explain qualitative risk analysis and risk matrix with table/diagram**

**Qualitative risk analysis** prioritizes risks using **probability** and **impact**.

Risk matrix (probability–impact grid):
- High probability + high impact → critical
- Low probability + low impact → monitor

| Level | Action |
|---|---|
| High/Critical | plan strong response + assign owner |
| Medium | monitor + mitigation if needed |
| Low | accept/monitor |

So the matrix helps focus effort on the most important risks.

Question 15

Explain risk register and risk response strategies with example table.

Accepted Answer

### **Explain risk register and response strategies with an example**

A **risk register** records and tracks risks.

Typical fields:
- risk ID/description
- probability, impact, score
- response strategy/actions
- **risk owner**
- status and contingency

Threat responses:
- **Avoid**, **Mitigate**, **Transfer**, **Accept**

Opportunity responses:
- **Exploit**, **Enhance**, **Share**, **Accept**

Mini risk register example:

| Risk | P | I | Score | Strategy | Owner |
|---|---:|---:|---:|---|---|
| Supplier delay | 0.6 | 5 | 3.0 | **Mitigate** | Procurement lead |

Thus risk register ensures accountability and systematic tracking.

Risk Management: Identification, Qualitative/Quantitative Analysis, Response Planning and Risk Register

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