You work as a project manager for Blue Well Inc. You are working with your team members on the risk responses in the project. Which risk response will likely cause a project to use the procurement processes?
A.
Mitigation
B.
Sharing
C.
Exploiting
D.
Acceptance
Explanation:
Sharing allows the project manager to share an opportunity with another entity – often through partnerships and teaming agreement.
Sharing response is where two or more entities share a positive risk. Risk sharing deals with sharing of responsibility and accountability with others to facilitate the team with the best chance of seizing the opportunity. Teaming agreements are good example of sharing the reward that comes from the risk of the opportunity.
Answer option D is incorrect. Acceptance does not require a contractual agreement.
Answer option A is incorrect. Mitigation tries to lower the probability and/or impact of the risk, but does not use contracts to the extent that the sharing risk response does.
Answer option C is incorrect. Exploiting aims to take advantage of a positive risk and ensure that the risk event will happen.
Reference: "Project Management Body of Knowledge (PMBOK Guide), Fourth Edition"