Risk Avoidance
A risk response in which the team removes the threat or alters the plan so the project is not exposed to its effects.
Key Points
- Eliminates the risk source or changes scope, approach, or schedule to avoid exposure.
- Best used for high-impact threats when a feasible alternative exists.
- Often requires change requests and sponsor or stakeholder approval.
- Aims to drive the probability to zero or block any potential impact.
Example
A project faces regulatory uncertainty if hosting data in Country X. To avoid the threat, the team selects a compliant hosting region with clear regulations, removing the risky location from the plan.
PMP Example Question
During planning, a custom cryptography component is identified as technically uncertain and could cause major delays. Which action best represents risk avoidance?
- Replace the custom component with a certified commercial library and remove the custom build from scope.
- Purchase insurance to cover potential rework costs.
- Add additional testing and quality checks to reduce defects.
- Accept the risk and add schedule reserve.
Correct Answer: A — Avoid the risk by changing scope to remove the risky work
Explanation: Avoidance eliminates the threat by altering the plan so the project is no longer exposed, such as removing the risky custom development.