risk priority number

Submitted by vijayavadrevu on Mon, 05/06/2013 - 14:55

 A project manager is in the process of evaluating and prioritizing risks on the project by calculating the Risk Priority Number (RPN) for the risks. A Risk priority number will consider which of the following factors?

A)Probability, Impact, and Timeframe

B)Probability, Impact, and owner

C) Probability, Impact, and Cost

D)Probability, Impact, and Schedule

 

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Vishwanath

Mon, 05/06/2013 - 14:58

 C is the correct answer

crushPMP's picture

crushPMP

Mon, 05/06/2013 - 15:00

Weird question - Am split between Cost and Schedule, but I'll go with Option C.

vijayavadrevu

Mon, 05/06/2013 - 15:45

 Hi,

I too have answered as C. But the answer is given as A

Jgrind07

Mon, 05/06/2013 - 21:20

What is the source of your question, Vijaya?

Thanks

Jai

vijayavadrevu

Tue, 05/07/2013 - 09:06

It's one of the questions from Simplilearn question bank

 

Regards

Vijaya

sspawar

Tue, 05/07/2013 - 10:53

 LIKE all courseware, simplilearn also have some question nonrlelevant to pmbok.

and in actual from reliable resources 

What is RPN?

See here (ref: http://www.ombuenterprises.com/LibraryPDFs/Understanding_Risk_Priority_Numbers.pdf )

 

RPN 
One common approach in FMECA calculates a Risk Priority Number (RPN). Each failure 
(mode) has an assigned severity, probability, and detectability values. This common approach 
uses the following qualitative scale for ranking. 
• The severity score (S) is an integer between 1 and 10, where the most severe is a 10 
• The probability score (P) is an integer between 1 and 10, where the highest probability is 
a 10 
• The detectability score (D) is an integer between 1 and 10 where most difficult to detect 
is a 10. 
The RPN is the product of the three ranks. For example, with S = 5, P = 3, D = 6, the RPN is 
90 = (5)(3)(6). 
------------------
Not only this , looking to many other sites related to RPN , all 4 options are wrong
 
here  severity means Impact.
but detectibility = may not be , a cost, schedule, or owner.
Also not any time frame.
 
the definition of 3rd parameter Detectibility or Detection = how difficult to detect a risk is called Detectibility.

 

bkthakkar

Tue, 05/07/2013 - 11:49

Thanks a lot for clarifying the RPN


Bhavesh

vijayavadrevu

Tue, 05/07/2013 - 12:27

Thank You Sir

SumathiCH's picture

SumathiCH

Tue, 03/03/2015 - 19:09

Risk analysis is done based on Probability x Impact on project objectives. Also timeframe is important for prioritisation. For example, I would rather like to concentrate on a risk that might occur next week rather than one that might occur after six months. So answer A is correct IMHO.