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? 

Answer options:

A. Acceptance
B. Mitigation
C. Avoidance
D. Contingent response

D

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. Incorrect Answers: A: 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. B: 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 C: 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.