Which action best demonstrates proactive risk management?

Which action best demonstrates proactive risk management?

• A. Wait for issues to occur and then respond.
• B. Eliminate uncertainty entirely before starting.
• C. Identify risks early, assign owners, and implement mitigations.
• D. Avoid assigning responsibilities for risk.

Answer: (C)

Proactive risk management means spotting potential problems before they affect the project and taking preventive steps to reduce either their likelihood or impact. The best action is to identify risks early, assign owners, and implement mitigations because this creates accountability, enables preventive actions before issues escalate, and reduces potential disruption by putting controls in place in advance. Waiting for issues to occur is reactive, tackling problems only after they happen. Trying to eliminate uncertainty entirely before starting is unrealistic—some risk will always remain, and the goal is to manage it, not erase it. Avoiding assigning responsibilities for risk leads to no one owning or monitoring risks, which makes effective management unlikely.

Proactive risk management means spotting potential problems before they affect the project and taking preventive steps to reduce either their likelihood or impact. The best action is to identify risks early, assign owners, and implement mitigations because this creates accountability, enables preventive actions before issues escalate, and reduces potential disruption by putting controls in place in advance.

Waiting for issues to occur is reactive, tackling problems only after they happen. Trying to eliminate uncertainty entirely before starting is unrealistic—some risk will always remain, and the goal is to manage it, not erase it. Avoiding assigning responsibilities for risk leads to no one owning or monitoring risks, which makes effective management unlikely.