Final answer:
The risk that an IT project will not be completed on time and within budget is known as Project risk. It is crucial for project managers to manage this risk to avoid missing critical deadlines and potentially losing significant revenue or market share. The correct option is D.
Step-by-step explanation:
The risk that an IT project will not be completed on time and within budget is referred to as Project risk. Project risks encompass various aspects of a project's execution, including potential delays, cost overruns, and any other factors that could prevent the project from being completed as initially planned. This type of risk directly impacts the project's timeline and budget, making it essential for project managers and IT professionals to carefully manage and mitigate risks to ensure the successful completion of the project.
For example, consider an engineering team working on a new video game controller. The task deadlines for designing, testing, and manufacturing the product are critical. Missing just one of these deadlines could result in missing the lucrative holiday season, which can lead to significant revenue loss or allow competitors to capture market share. Similarly, IT initiatives are vulnerable to unexpected disasters, such as natural events that impact technological infrastructure, highlighting the importance of understanding and planning for project risk.