Portfolio Management Professional (PfMP) — Question 10

You have proposed a portfolio governance model to your company, but an executive told that the current culture might not be flexible enough to change the organizational structure. What kind of risks did the executive raise?

Answer options

Correct answer: D

Explanation

The executive highlighted structural risk as the concern is related to the organization's ability to adapt its structure to accommodate the proposed governance model. Cultural risk relates to the values and behaviors within the organization, execution risk pertains to the implementation of strategies, and portfolio risk focuses on the management of the portfolio itself, none of which directly address the rigidity of the organizational structure.