Risk Audits

Correct Answer: Risk responses are being implemented based on team members' personal judgment rather than the documented risk strategy

The best answer indicates a serious deviation from proper risk management practices, where team members are making decisions based on personal judgment rather than following the documented risk strategy. This is a clear red flag that requires corrective action because: 1. It shows a breakdown in following established risk management procedures 2. It can lead to inconsistent risk responses 3. It makes it difficult to track and measure the effectiveness of risk responses 4. It increases the likelihood of missing critical risks or implementing inappropriate responses The other options describe positive risk management practices: - Regular risk register updates are a good practice that shows proper risk monitoring - Following established protocols and maintaining documentation demonstrates proper risk response implementation - Active stakeholder participation in risk reassessment shows appropriate engagement and risk monitoring When team members bypass documented strategies and rely on personal judgment, it undermines the entire risk management framework and requires intervention to bring the process back into compliance with established procedures.

Correct Answer: Update the risk monitoring process and assign specific team members to track risk triggers

The best action is to update the risk monitoring process and assign specific team members to track risk triggers. Here's why: The issue identified is specifically about risk triggers not being monitored, which is an implementation problem with the existing risk monitoring process. Assigning specific team members creates clear accountability and ensures the triggers will be tracked going forward. This is a targeted solution that addresses the exact problem found in the audit. Why other options are not optimal: Creating a new comprehensive risk identification process is excessive since the problem isn't with identification but with monitoring. Escalating to senior management delays addressing a problem that can be solved at the project level. Revising the entire risk management plan and mandatory training is an overreaction to a specific monitoring issue. This would consume unnecessary time and resources when a more focused solution would suffice.

Correct Answer: At predefined project milestones and when major changes occur

The optimal frequency for conducting risk audits in high-complexity projects should occur at predefined project milestones and when major changes occur. This approach is most effective because: 1. It ensures risk assessments align with significant project developments 2. It provides structured timing while maintaining flexibility 3. It allows for both scheduled and event-driven risk evaluations 4. It optimizes resource usage by focusing on meaningful project points Other approaches are less effective because: - End-of-phase reviews may be too infrequent and miss critical risk developments - Bi-weekly reviews may be too frequent and resource-intensive, potentially leading to audit fatigue - Monthly intervals might be too rigid and miss important risk triggers that occur between scheduled reviews The best approach combines scheduled milestone reviews with dynamic response to major changes, ensuring both regular oversight and adaptability to emerging risks.