In: Operations Management
When managing activity risk, you can use ____ to determine the source and type of any significant risks
Select one:
a. Qualitative Risk Analysis
b. Quantitative Risk Analysis
c. Root Cause Analysis
d. Monte Carlo Simulation
Answer: (c) Root Cause Analysis
Explanation: As the name suggests, Root Cause Analysis also known as RCA is a method to identify risks on the basis of their root causes and categorize them according to the types of causes that triggers a risk. In RCA, the potential sources of risks are identified and the sources that causes an undesirable event to occur. When managing activity risk, a project manager can use root cause analysis to determine the source and type of any significant risks in the system.