PMI Risk Management Professional Practice Exam

A project team member rates a risk as high impact and low probability based on biased estimates. What should the project manager do?

1. Give decision makers the team member's assessment, but revisit it later.

2. State that an estimate for this risk cannot be made at this time.

3. Give the team the assessment for further analysis in expected monetary value.

4. Ask the team member to remove the bias and resubmit the risk rating.

The correct answer is: State that an estimate for this risk cannot be made at this time.

In situations where a team member's risk assessment is influenced by biased estimates, it's crucial for a project manager to ensure that accurate and objective information is considered when making decisions about risks. By stating that an estimate for this risk cannot be made at this time, the project manager acknowledges the presence of bias in the assessment and the need for a more thorough evaluation before any conclusions can be drawn. This approach emphasizes the importance of relying on data and facts rather than subjective judgments, which is vital for effective risk management. Acknowledging that an estimate cannot be determined at this moment allows the team to take a step back, gather more information, and possibly conduct a more detailed analysis to arrive at a more reliable risk rating. Other responses may not effectively address the need for objectivity. Simply passing along the biased assessment or suggesting a reevaluation without a clear plan can lead to reliance on flawed data, not promoting the integrity needed in the risk management process. Thus, establishing that a reliable estimate cannot be made until further clarity is achieved is a prudent and strategic step in risk management.