Insufficient Skills in Development Phase

A.

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The strategy that the project manager is applying in this situation is "accepting."

"Accepting" is a risk response strategy that involves acknowledging the existence of a risk and taking no action to address it. This strategy may be appropriate when the cost of addressing the risk is greater than the potential impact of the risk itself, or when there are time constraints that make it difficult to address the risk.

In this scenario, the project manager has recognized that the development team supporting the project does not have sufficient skills to complete the development phase, which presents a risk to the project. However, due to time restrictions, the project manager and the functional manager have agreed to continue with the development phase despite this risk. This means that they are accepting the risk and proceeding with the project as planned, even though there is a possibility that the development team may not be able to complete the work to the required standard.

The other risk response strategies are:

• Mitigating: This involves taking actions to reduce the likelihood or impact of a risk. For example, the project manager could hire additional resources or provide training to the development team to address their skills gap.

• Avoiding: This involves eliminating the risk by changing the project's objectives or approach. For example, the project manager could decide to outsource the development phase to a third-party vendor who has the required skills.

• Transferring: This involves shifting the risk to another party, such as an insurance company or a subcontractor. For example, the project manager could purchase insurance to cover the potential cost of the development team's skills gap or hire a subcontractor who has the necessary skills to complete the work.