PRINCE2F PRINCE2 Practices Practice Question
A project is in its initiation stage. The project manager needs to identify the major risks that could affect the project. Which practice should be applied to identify, assess, and control these risks?
⚠ Common exam trap
Many exam-takers confuse the Risk practice with the Business Case practice, mistakenly thinking that risk management is part of justifying the project, whereas PRINCE2 separates risk management as a distinct practice focused on uncertainty rather than justification.
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Risk
The Risk practice in PRINCE2 is specifically designed to identify, assess, and control uncertainties that could affect the project's objectives. During the initiation stage, the project manager applies this practice to systematically identify major risks, evaluate their probability and impact, and plan appropriate responses, ensuring proactive management of threats and opportunities.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
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Business Case
Why it's wrong here
The Business Case practice justifies the project's continued viability and benefits, not the identification, assessment and control of threats. Risk management performs those activities. Business Case would be correct when developing or reviewing the justification for investment, such as confirming continued business justification at a stage boundary.
- ✗
Progress
Why it's wrong here
Progress concerns tracking achievement against the plan and reporting status, not the systematic identification, assessment and control of threats. Risk management is the practice that owns those activities. Progress would be the right practice when the project manager needs to monitor and report performance against the stage plan.
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Organizing
Why it's wrong here
Organizing defines roles, responsibilities and the project management team structure, so it does not identify, assess or control threats. Risk management holds that remit. Organizing would be correct when establishing who is accountable for what, such as appointing the project board and defining team responsibilities.
- ✓
Risk
Why this is correct
The Risk practice covers identifying, assessing and controlling uncertainty throughout the project lifecycle, directly matching the initiation-stage requirement to surface major risks. Its risk management approach and risk register establish the treatment and ownership needed, satisfying the stem's demand for identification, assessment and control within PRINCE2's defined framework.
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