SWOT Analysis

Correct Answer: Under Threats, as it represents a known risk pattern based on historical data

In a SWOT Analysis, budget overruns from past projects should be placed under Threats because: 1. Historical patterns of budget overruns represent a documented risk that could negatively impact the current project 2. Past performance often indicates future risk exposure 3. This information serves as an early warning signal for potential project issues 4. Threats in SWOT analysis include external and historical factors that could harm project success The other options are incorrect because: - Experience with budget variations is not a strength; it represents documented problems - Converting negative historical data into opportunities misclassifies the risk nature of the information - While budget overruns may indicate weak controls, they belong in Threats because they represent a clear pattern of risk based on historical evidence that threatens current project success This placement allows for proper risk identification and development of appropriate mitigation strategies based on historical lessons learned.

Correct Answer: Weaknesses

SWOT Analysis is a strategic planning tool that stands for Strengths, Weaknesses, Opportunities, and Threats. In the context of a project, the 'Weaknesses' element is used to identify internal factors that are within the organization's control and could potentially affect the project negatively. These need to be managed and mitigated by the project manager. 'Strengths' are also internal factors but refer to the aspects that give the organization an advantage. 'Opportunities' and 'Threats' are external factors and while opportunities can be leveraged for the project's advantage, threats are to be prepared against, not necessarily internal vulnerabilities within the project. 'Market trends' are external factors that might influence the project but are not a standard category within SWOT and do not specifically represent internal project vulnerabilities.

Correct Answer: Threats and Weaknesses to identify potential risks that need mitigation plans

In risk assessment during project management, focusing on Threats and Weaknesses is the most appropriate approach because: 1. Threats and Weaknesses represent negative factors that could impact project success and require specific risk response strategies 2. These elements help identify potential risks that need mitigation plans, which is a core component of risk management 3. They align with PMI's emphasis on proactive risk management and mitigation Why other options are incorrect: - Strengths and Opportunities focus on positive aspects and competitive advantage, which is more relevant for strategic planning than risk assessment - Opportunities and Threats combination is more suited for strategic planning and market analysis rather than specific risk response development - Strengths and Weaknesses focus on internal capabilities, which is more relevant for organizational assessment than risk response strategies The correct combination enables project managers to identify potential problems and develop appropriate risk response strategies, which is the primary goal of risk assessment in project management.