International Project Management Association (IPMA) Practice Exam

What is the main goal of prioritizing risks in a project?

1. Test the team's risk tolerance

2. Assign a risk owner to accepted risks

3. Decide which risks to respond to

4. Calculate the correct values for risk triggers

The correct answer is: Decide which risks to respond to

Prioritizing risks in a project is primarily aimed at determining which risks warrant a response. This process helps project managers and teams focus their efforts and resources on the risks that have the highest potential impact on the project's success. By evaluating and ranking risks based on their likelihood of occurrence and potential consequences, teams can make informed decisions about where to allocate time and resources. This prioritization enables more effective risk management strategies, ensuring that critical risks are addressed promptly. For instance, if a risk is assessed as having a high likelihood of occurrence and significant impact, it may necessitate immediate action, whereas lower-priority risks might be monitored but not actively managed. This targeted approach ultimately supports the project's goals, enhances decision-making, and increases the likelihood of project success. Other options relate to aspects of risk management but do not capture the primary goal of prioritization. While testing the team’s risk tolerance is important for understanding the team’s capacity to deal with uncertainties, it does not directly guide risk response efforts. Assigning owners to accepted risks is an essential part of risk management but happens after prioritization has identified which risks need ownership. Calculating values for risk triggers is important in the context of monitoring risks but is a more technical aspect within the broader process of risk management