Program Management Professional (PgMP) — Question 165

A regional finance program is impacted by a new currency regulation issued by a country in the region. The new regulation requires changes to the financial statements of that country's branches by the end of the fiscal year. Failing to comply with the regulation may result in fines and/or closure of the branches. A branch general manager immediately meets with the program manager to select and secure a local fiscal expert to support the regulation, as these types of resources are in high demand. There is a high risk that the changes will not be completed on time if the resource is not secured.
What should the program manager do to address the risk?

Answer options

• A. Build a coalition with local companies that can influence the government to renegotiate the imposed deadline.
• B. Create fine and closure scenarios to assess the impact on the program and create a contingency plan.
• C. Generate a delivery incentive contract with the selected fiscal expert to ensure on-time delivery of the revised financial statements.
• D. Assess the risk, incorporate it in the program's risk management plan, and meet with the steering committee.

Correct answer: D

Explanation

The correct answer is D because assessing the risk and incorporating it into the risk management plan allows for a structured approach to addressing potential issues. Meeting with the steering committee ensures that stakeholders are informed and can provide support. Options A, B, and C focus on specific strategies that may not comprehensively address the risk management process.