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Which of the following is an example of project risk?

Multiple Choice
The technology will not work as expected.
The IT project is not aligned with the company's strategy.
The financial benefits may not be delivered.
The IT project may exceed budget.

1 Answer

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Final answer:

Examples of project risks include technology not working as expected, lack of alignment with company strategy, and exceeding the project budget. Options a, b and d are correct.

Step-by-step explanation:

One example of project risk is when the technology does not work as expected. This can happen if there are issues with the software or hardware that prevent it from functioning properly. For instance, if a company is developing a new app and the app crashes frequently or has major bugs, it can negatively impact the success of the project.

Another example of project risk is when the IT project is not aligned with the company's strategy. This means that the project may not contribute to the overall goals and objectives of the organization, leading to a waste of resources and a lack of meaningful outcomes. For example, if a company is focusing on expanding its online presence and customer engagement, but the IT project is solely focused on internal operations and has no customer-facing components, it may not provide the desired strategic value.

Lastly, the project may have a risk of exceeding the budget. This can happen due to unexpected expenses or insufficient planning and estimation. For example, if a construction project encounters unforeseen site conditions that require additional materials or labor, it can result in cost overruns.

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