PMI Risk Management Professional Practice Exam

What is the first action a project manager should take after identifying project risks?

1. Prioritize them.

2. Respond to them.

3. Place an expected monetary value on them.

4. Record them in the issue log.

The correct answer is: Prioritize them.

The first action a project manager should take after identifying project risks is to prioritize them. This step is crucial because it allows the project manager and the team to focus on the most significant risks that could impact the project's objectives. Prioritizing risks involves evaluating their potential impact and likelihood of occurrence so that resources and efforts can be appropriately allocated. This process helps in determining which risks require immediate attention and which can be monitored over time. By prioritizing risks, the project team can develop effective response strategies for the highest-priority risks, ensuring that they are managed proactively rather than reactively. This structured approach is fundamental in risk management, enabling the project manager to make informed decisions that enhance the likelihood of project success. After prioritization, the project manager can then move on to responses, valuation, and documentation, but prioritization is the foundational step that informs these subsequent actions.