Risk identification and assessment MCQs – Software Project  Management

1. What is the first step in the risk management process?
a) Risk control
b) Risk identification
c) Risk assessment
d) Risk monitoring
Answer: b) Risk identification

2. Which of the following is a common technique for identifying risks?
a) Gantt chart
b) Brainstorming
c) Network diagram
d) Cost estimation
Answer: b) Brainstorming

3. Which of the following describes a risk assessment?
a) Determining the project’s objectives
b) Evaluating the likelihood and impact of identified risks
c) Creating a project plan
d) Defining the project scope
Answer: b) Evaluating the likelihood and impact of identified risks

4. What is a risk register?
a) A document listing identified risks, their impact, and response strategies
b) A project management tool for tracking costs
c) A resource allocation document
d) A software testing tool
Answer: a) A document listing identified risks, their impact, and response strategies

5. Which technique involves identifying risks by examining project assumptions?
a) SWOT analysis
b) Assumption analysis
c) Expert judgment
d) Root cause analysis
Answer: b) Assumption analysis

6. Which of the following is a quantitative risk assessment technique?
a) Monte Carlo simulation
b) Brainstorming
c) Expert judgment
d) SWOT analysis
Answer: a) Monte Carlo simulation

7. In a risk probability and impact matrix, risks in the top-right corner are typically considered:
a) High priority
b) Low priority
c) Acceptable risks
d) Ignorable risks
Answer: a) High priority

8. What is a common output of the risk identification process?
a) Risk response plan
b) Risk register
c) Project charter
d) Work breakdown structure
Answer: b) Risk register

9. Which of the following is an internal risk factor?
a) Changes in government regulations
b) Poor project communication
c) Natural disasters
d) Market fluctuations
Answer: b) Poor project communication

10. What is the main goal of risk identification?
a) To avoid all risks
b) To identify and document potential risks
c) To reduce project costs
d) To accelerate project timelines
Answer: b) To identify and document potential risks

11. Which risk assessment method assigns numeric values to the probability and impact of risks?
a) Qualitative risk analysis
b) Quantitative risk analysis
c) Monte Carlo simulation
d) Expert judgment
Answer: b) Quantitative risk analysis

12. Which of the following is an example of a technical risk?
a) Loss of a key stakeholder
b) Scope creep
c) Integration failure between software components
d) Budget overrun
Answer: c) Integration failure between software components

13. What does a SWOT analysis focus on in risk identification?
a) Strengths, weaknesses, opportunities, and threats
b) Costs, timelines, resources, and scope
c) Risk probability and impact
d) Team members and stakeholders
Answer: a) Strengths, weaknesses, opportunities, and threats

14. Which of the following is used in quantitative risk assessment?
a) Probability-impact matrix
b) Monte Carlo simulation
c) Brainstorming
d) SWOT analysis
Answer: b) Monte Carlo simulation

15. In risk identification, what is a “risk event”?
a) The probability of a risk occurring
b) A known unknown
c) An occurrence that could have a negative impact on the project
d) A certain outcome
Answer: c) An occurrence that could have a negative impact on the project

16. Which of the following is a risk categorization method?
a) Risk probability matrix
b) Risk breakdown structure (RBS)
c) Monte Carlo analysis
d) Gantt chart
Answer: b) Risk breakdown structure (RBS)

17. What is the purpose of risk ranking in risk assessment?
a) To list all risks in alphabetical order
b) To prioritize risks based on their probability and impact
c) To eliminate risks
d) To ensure all risks are accepted
Answer: b) To prioritize risks based on their probability and impact

18. Which of the following risk assessment techniques is typically subjective?
a) Monte Carlo simulation
b) Decision tree analysis
c) Qualitative risk analysis
d) Sensitivity analysis
Answer: c) Qualitative risk analysis

19. In risk identification, a “trigger” refers to:
a) A factor that initiates a risk event
b) The elimination of a risk
c) The mitigation of a risk
d) A method for reducing project costs
Answer: a) A factor that initiates a risk event

20. What is the primary focus of qualitative risk analysis?
a) Assigning exact monetary values to risks
b) Ranking risks based on their probability and impact
c) Creating a detailed project schedule
d) Eliminating all risks
Answer: b) Ranking risks based on their probability and impact

21. Which of the following is an example of an external risk factor?
a) Poor project planning
b) A change in government regulations
c) Lack of team communication
d) Software defects
Answer: b) A change in government regulations

22. What is risk tolerance in the context of risk assessment?
a) The ability to eliminate risks
b) The level of risk an organization is willing to accept
c) The likelihood of a risk occurring
d) The ability to ignore risks
Answer: b) The level of risk an organization is willing to accept

23. Which tool helps visualize risks based on their likelihood and impact?
a) Risk probability-impact matrix
b) Gantt chart
c) Decision tree
d) Fishbone diagram
Answer: a) Risk probability-impact matrix

24. Which of the following is NOT a step in the risk identification process?
a) Risk identification
b) Risk monitoring
c) Risk prioritization
d) Risk analysis
Answer: b) Risk monitoring

25. What is a risk trigger?
a) A condition that leads to the occurrence of a risk event
b) A method for transferring risk
c) The person responsible for managing the risk
d) A tool to rank risks
Answer: a) A condition that leads to the occurrence of a risk event

26. What is the primary purpose of risk assessment in a project?
a) To reduce project duration
b) To evaluate the significance of identified risks
c) To eliminate risks completely
d) To avoid stakeholder communication
Answer: b) To evaluate the significance of identified risks

27. Which technique is used to simulate the impact of risks in quantitative analysis?
a) Brainstorming
b) Monte Carlo simulation
c) Risk ranking
d) Risk register
Answer: b) Monte Carlo simulation

28. What is the purpose of a risk assessment matrix?
a) To assign responsibilities for risks
b) To evaluate the impact and likelihood of identified risks
c) To create a project budget
d) To define the project scope
Answer: b) To evaluate the impact and likelihood of identified risks

29. In qualitative risk assessment, risks are typically categorized based on:
a) Numeric probability values
b) Probability and impact rankings
c) Detailed cost estimates
d) Risk tolerance
Answer: b) Probability and impact rankings

30. Which of the following methods is used to calculate the expected monetary value (EMV) of risks?
a) SWOT analysis
b) Decision tree analysis
c) Brainstorming
d) Fishbone diagram
Answer: b) Decision tree analysis

31. What is a “known unknown” in risk assessment?
a) A risk event that is expected but uncertain
b) A risk that has no impact on the project
c) A risk that has already occurred
d) A certain event
Answer: a) A risk event that is expected but uncertain

32. Which of the following is a common method for identifying risks?
a) Risk monitoring
b) Delphi technique
c) Resource allocation
d) Gantt chart analysis
Answer: b) Delphi technique

33. What is the goal of risk categorization?
a) To eliminate risks
b) To group risks based on their source or type
c) To avoid risk documentation
d) To prioritize project deliverables
Answer: b) To group risks based on their source or type

34. Which of the following is a potential consequence of a poorly conducted risk assessment?
a) Enhanced team collaboration
b) Increased likelihood of project success
c) Underestimated project risks
d) Elimination of all risks
Answer: c) Underestimated project risks

35. Which risk identification technique relies on previous project experiences to predict risks?
a) Checklist analysis
b) Monte Carlo analysis
c) Root cause analysis
d) Delphi technique
Answer: a) Checklist analysis

36. What is risk impact assessment?
a) Evaluating the likelihood of a risk
b) Determining the consequences of a risk if it occurs
c) Eliminating risks from the project
d) Assigning team members to manage risks
Answer: b) Determining the consequences of a risk if it occurs

37. Which of the following is a qualitative risk assessment tool?
a) Decision tree
b) Probability-impact matrix
c) Monte Carlo simulation
d) Sensitivity analysis
Answer: b) Probability-impact matrix

38. What is the primary objective of risk response planning?
a) To eliminate all risks
b) To develop strategies to address identified risks
c) To create a project timeline
d) To assign resources to the project
Answer: b) To develop strategies to address identified risks

39. What is a “black swan” event?
a) A known risk with high impact
b) A risk event with a low probability but high impact
c) A controllable risk
d) A risk event that is easily mitigated
Answer: b) A risk event with a low probability but high impact

40. Which of the following is an example of a schedule-related risk?
a) Resource availability
b) Regulatory changes
c) Cost overruns
d) Scope creep
Answer: a) Resource availability

41. What is the purpose of risk response strategies?
a) To define the project scope
b) To provide ways to manage and mitigate risks
c) To monitor project performance
d) To identify potential risks
Answer: b) To provide ways to manage and mitigate risks

42. What does a risk breakdown structure (RBS) categorize?
a) Project deliverables
b) Risk types and categories
c) Project milestones
d) Resource allocation
Answer: b) Risk types and categories

43. Which of the following is NOT a risk response strategy?
a) Mitigation
b) Transfer
c) Elimination
d) Expansion
Answer: d) Expansion

44. What is the purpose of risk mitigation?
a) To avoid all risks
b) To reduce the likelihood or impact of risks
c) To eliminate risks
d) To ignore risks
Answer: b) To reduce the likelihood or impact of risks

45. What is a contingency plan in risk management?
a) A list of identified risks
b) A strategy to address unforeseen risks
c) A method for assessing risks
d) A way to eliminate risks
Answer: b) A strategy to address unforeseen risks

46. In risk analysis, what does “risk tolerance” refer to?
a) The level of risk that is acceptable to the organization
b) The likelihood of a risk occurring
c) The cost of addressing a risk
d) The time needed to respond to a risk
Answer: a) The level of risk that is acceptable to the organization

47. What is a key characteristic of a “high priority” risk?
a) Low probability and low impact
b) High probability and high impact
c) High probability and low impact
d) Low probability and high impact
Answer: b) High probability and high impact

48. What is risk acceptance in the context of risk management?
a) Avoiding the risk
b) Transferring the risk
c) Acknowledging the risk and accepting its consequences
d) Eliminating the risk
Answer: c) Acknowledging the risk and accepting its consequences

49. What is the role of a risk owner in risk management?
a) To identify all potential risks
b) To manage and monitor specific risks throughout the project
c) To eliminate risks from the project
d) To define the project budget
Answer: b) To manage and monitor specific risks throughout the project

50. In qualitative risk assessment, risks are typically classified into which of the following categories?
a) Known and unknown risks
b) High, medium, and low priority risks
c) Technical and non-technical risks
d) Schedule, budget, and scope risks
Answer: b) High, medium, and low priority risks