You are the project manager of HFD project. You have identified several project risks. You have
adopted alternatives to deal with these risks which do not attempt to reduce the probability of a
risk event or its impacts. Which of the following response have you implemented?

A.
Acceptance

B.
Mitigation

C.
Avoidance

D.
Contingent response

Explanation:

Contingent response strategy, also known as contingency planning, involves adopting alternatives
to deal with the risks in case of their occurrence. Unlike the mitigation planning in which mitigation
looks to reduce the probability of the risk and its impact, contingency planning doesn’t necessarily
attempt to reduce the probability of a risk event or its impacts. Contingency comes into action
when the risk event actually occurs.
Answer B is incorrect. Risk mitigation attempts to reduce the probability of a risk event and its
impacts to an acceptable level. Risk mitigation can utilize various forms of control carefully
integrated together. The main control types are:

Managerial(e.g.,policies)
Technical (e.g., tools such as firewalls and intrusion detection systems)
Operational (e.g., procedures, separation of duties)
Preparedness activities
Answer A is incorrect. Risk acceptance means that no action is taken relative to a particular risk;
loss is accepted if it occurs. If an enterprise adopts a risk acceptance, it should carefully consider
who can accept the risk. Risk should be accepted only by senior management in relationship with
senior management and the board. There are two alternatives to the acceptance strategy, passive
and active.
Passive acceptance means that enterprise has made no plan to avoid or mitigate the risk but
willing to accept the consequences of the risk.
Active acceptance is the second strategy and might include developing contingency plans and
reserves to deal with risks.
Answer C is incorrect. Risk avoidance means to evade risk altogether, eliminate the cause of the
risk event, or change the project plan to protect the project objectives from the risk event.