The PMI-RMP certification exam has been strategically crafted to evaluate your grasp and comprehension of fundamental risk management principles, methodologies, and strategies. It encompasses an extensive array of subject matter, spanning the realms of risk identification, comprehensive analysis, proactive response planning, vigilant monitoring, and effective control mechanisms.
To qualify for the PMI-RMP certification exam, certain prerequisites must be met. These prerequisites include possession of a secondary degree, a minimum of 4,500 accumulated hours in project risk management experience, and completion of 40 hours of formal project risk management education. It’s noteworthy that individuals holding a four-year degree are granted a concession, with the requisite project risk management experience reduced to 3,000 hours.
Preparing for the PMI-RMP certification exam can be a challenging and time-consuming process. It requires a dedicated study plan, access to reliable study materials, and effective study strategies. In this blog, we will provide you with a step-by-step guide on how to prepare for the PMI-RMP certification exam, including how to create a study plan, what study materials to use, and how to approach the exam questions.
Additionally, we will provide you with invaluable insights and strategies aimed at effective time management, alleviating exam-related stress, and enhancing the likelihood of achieving success on your initial attempt. Through our expert advice and unwavering assistance, you can navigate the path to becoming a certified PMI-RMP professional, thereby propelling your career in the domain of risk management.
Glossary of PMI-RMP Certification Exam Terminology
PMI-RMP (Project Management Institute – Risk Management Professional) Certification Exam is designed for individuals who want to demonstrate their expertise in identifying and assessing project risks. The following is a glossary of key terms that you may encounter while studying for the PMI-RMP certification exam:
- Risk: An uncertain circumstance or situation that could result in either advantageous or detrimental outcomes for project goals.
- Risk management: The systematic approach of recognizing, evaluating, and responding to potential project risks.
- Risk register: A comprehensive document cataloging all recognized project risks along with their corresponding strategies for risk mitigation.
- Risk appetite: The extent to which an organization is open to embracing risk.
- Risk tolerance: The level of uncertainty that an organization is willing to tolerate while pursuing its objectives.
- Risk identification: The systematic process of pinpointing potential risks that could impact a project.
- Risk assessment: The method of evaluating the likelihood and consequences of identified risks.
- Risk response: The proactive measures undertaken to address identified risks.
- Risk mitigation: The process of curbing the likelihood or consequences of identified risks.
- Risk avoidance: The strategy of eradicating risk by modifying the project plan or approach.
- Risk transfer: The act of shifting risk responsibility to another party, often through means like insurance.
- Risk acceptance: The acknowledgment of a risk without taking any specific action.
- Risk monitoring and control: The continuous oversight of identified risks and execution of response strategies as necessary.
- Contingency plan: A comprehensive blueprint detailing the steps to be taken if a risk event materializes.
- Risk threshold: The point at which a risk becomes intolerable and demands immediate intervention.
- Risk communication: The active sharing of risk-related information with stakeholders to ensure they understand potential risks and their consequences on the project.
- Risk probability: The likelihood of a risk event happening.
- Risk impact: The resultant effect of a risk event on project objectives.
- Risk categorization: The method of classifying risks into distinct groups to facilitate effective risk management.
- Risk analysis: The process of assessing the potential implications of identified risks on the project.
Preparation resources for the PMI-RMP Certification Exam
The PMI-RMP (Project Management Institute – Risk Management Professional) certification holds international recognition and is aimed at professionals seeking specialized expertise in project management’s realm of risk management.
Here are some official preparation resources for the PMI-RMP certification exam:
- PMI-RMP Handbook: The handbook provides an overview of the PMI-RMP certification, eligibility criteria, exam format, and policies. It is a must-read for anyone planning to take the exam. You can download it from the official PMI website.
- PMI-RMP Exam Content Outline: The content outline provides an overview of the domains, tasks, and knowledge areas that will be covered in the exam. It helps you to understand the exam format and prepare accordingly.
- PMI-RMP Exam Prep Course: The PMI-RMP Exam Prep Course is a self-paced online course offered by PMI. It covers all the topics in the exam content outline and includes practice questions, quizzes, and interactive exercises.
- PMI-RMP Exam Simulator: The PMI-RMP Exam Simulator offers a practice examination that closely replicates the format and level of difficulty of the actual exam. It encompasses 170 questions and offers comprehensive explanations for both correct and incorrect responses.
Link: https://www.pmi.org/shop/p/pmi-risk-management-professional-pmi-rmp-exam-simulator/16203
- PMI-RMP Community: The PMI-RMP Community is a forum where you can connect with other PMI-RMP professionals, ask questions, and share knowledge and experiences. It is a great resource to stay up-to-date on the latest trends and best practices in risk management.
Link: https://my.pmi.org/communities/home/48
I hope these resources will help you prepare for the PMI-RMP certification exam. Good luck!
Time-Line for PMP Application
The timeframe for the PMI Risk Management Professional (PMI-RMP) Certification process is depicted in the graphic below.
Before submitting the application form, keep in mind that you must meet the educational and professional experience criteria. As a result, all project management experience must be from the previous eight years and must not overlap. Any one of the following two possibilities must be met —
- You must possess a high school diploma, an associate’s degree, or an equivalent recognized worldwide.
- You need to have five years of professional project management experience, with a minimum of 7500 hours dedicated to project leadership and direction.
- Alternatively, if you have three years of professional project management experience, you should have accumulated 4,500 hours of leading and directing projects.
- If you hold a four-year bachelor’s degree or its global equivalent, this also meets the eligibility requirement.
PMI-RMP Course Outline
The following represents the proportion of questions from each domain to appear in the Project Management Institute – Risk Management Professional (PMI-RMP) exam:
Domain I Risk Strategy and Planning – 22%
Task 1 Perform a preliminary document analysis
- Gather and review documents
- Give examples of preliminary documents to review prior to risk identification includes industry benchmarks (if available), previous lessons learned, historical data, and the sources of the above information.
- Determine and assign who is responsible for the preliminary document analysis (e.g., project manager, risk manager, financial controller)
- Establish documents relevant to the risk process
Task 2 Assess project environment for threats and opportunities
- Determine which OPA / EEF / project methodology is needed (e.g., agile, waterfall, hybrid, etc.)
- Analyze the different environmental factors to be considered in the planning phase (e.g., PESTLE, SWOT analysis)
- Determine the organizational and cultural risk appetite
- Analyze environment for risk culture maturity
- Evaluate the project management information system process and data
- Conduct a stakeholder analysis
- Analyze constraints to risk management
- Government, market laws/rules, organizational, environmental, and technical risks
- Focus stakeholders on creating a culture of risk awareness
- Determine business driver of project, including key assumptions, benefits, and materialization of project.
Task 3 Confirm risk thresholds based on risk appetites
- Align project risk thresholds to organizational risk appetite
- Calculate the risk the organization can absorb (e.g., financial, scope, environmental, technical, legal, schedule, quality, contract, etc.)
- Discuss risk thresholds
- Lead conflict resolutions between stakeholders in agreeing on risk appetite
Task 4 Establish risk management strategy
- Establish risk processes and tools
- Provide risk management templates/forms
- Determine risk metrics
- Identify risk categories
- Coach/mentor team on risk management best practices (servant leadership)
- Lead stakeholders to adopt the risk strategy
Task 5 Document the risk management plan
- Define organizational risk roles and responsibilities
- Align roles and responsibilities with a project RAM (e.g., RACI) chart
- Prepare a list of the key artifacts/resources that will be used to compile a risk management plan
- Outline the list of key risk management activities (e.g., who, what, when, where, how)
- Explain how the Risk Breakdown Structure (RBS) can be used to support the risk management plan
- Define a risk communication plan
- Define risk prioritization criteria
- Define stakeholder empowerment and education strategy
Task 6 Plan and lead risk management activities with stakeholders
- Collaborate with the team that would conduct the risk planning on the project
- Leverage stakeholder analysis done by the project manager
- Manage stakeholder risk appetite and attitudes
- Engage stakeholders in the risk prioritization process
- Set appropriate expectations with stakeholders on the rules of engagement
- Tailor risk communication for stakeholders
- Lead stakeholder empowerment for risk strategies in the risk management plan
- Train, coach, and educate stakeholders in risk principles and processes in order to create shared understanding of principles and processes, and foster engagement in risk management
Domain II Risk Identification – 23%
Task 1 Conduct risk identification exercises
- Conduct meetings, interviews, focus groups, and other SME support activities
- Perform detailed analyses of risk identification exercise results
- Analyze documents, audio transcripts, telemetry data, etc. and understand business context of information
- Indicate risks as threats or opportunities
Task 2 Examine assumption and constraint analyses
- Leverage the results of the assumption and constraint analysis
- Categorize assumptions and constraints
- Assess the risk associated with each assumption and/or constraint
- Recognize the relationship between assumptions and/or constraints, and project objectives (e.g., predict the cascade effect of project stakeholder holiday schedules on project timelines)
- Encourage stakeholders to challenge assumptions and constraints
Task 3 Document risk triggers and thresholds based on context/environment
- Assess, confirm, and document risk compliance thresholds, and categories against updated risk data
- Assess and document risk triggers, causes and timing
- Assess and document risk consequences and/or impact
- Empower stakeholders to challenge existing thresholds
Task 4 Develop risk register
- Analyze the validity of identified risks and triggers
- Examine the risk attributes like probability, impact, urgency
- Establish risk origin and ownership e.g., internal/external
- Classify risks as threats or opportunities
Domain III Risk Analysis – 23%
Task 1 Perform qualitative analysis
- Perform a nominal classification or risks in the RBS using classifications from the risk management plan (e.g., environment, organizational, project management, technical, etc.)
- Estimate the impact of risk on project schedule, budget, resources, and scope
- Prioritize the risk based on impact, and urgency
- Apply the risk matrices
- Agreed-upon assessment approach, Historical information, Definitions of probability and impact, Risk categories, Preestablished criteria
- Perform an ordinal classification
- Coach stakeholders on risk categorization strategies
Task 2 Perform quantitative analysis
- Analyze risk data and process performance information against established metrics
- Analyze a project’s general risks
- Perform a forecast and trend analysis on new and historical information
- Perform sensitivity analysis
- Monte Carlo, decision trees, critical path, expected monetary value,
etc.
- Monte Carlo, decision trees, critical path, expected monetary value,
- Perform risk weighting and calculate risk priority
Task 3 Identify threats and opportunities
- Assess project risk complexity
- SWOT analysis, Ishikawa, Tree Diagram
- Perform an impact analysis on project objectives
- project scopes, schedule cost, and resources, quality, and stakeholders
- Assess project compliance objectives against organizational strategic objectives
- procedures, project plans, corporate, and project governance, regulatory governance
- Empower stakeholders to independently identify threats and opportunities
Domain IV Risk Response – 13%
Task 1 Plan risk response
- Determine appropriate risk response strategy
- avoid, accept, mitigate, enhance, contingency planning etc.
- Decide the risk response actions (time bound) based on the risk response strategies and identify action owners
- Assess the effectiveness of the risk response actions against the identified strategy and the project objectives impact
- cost/schedule/environment etc., effect of the action on the probability or the risk impact
- Illustrate and communicate effectiveness of the risk response strategies
- risk burndown chart, dot plots
- Determine the work around
- Allocate responsibilities
- Outline an appropriate responsibility matrix for a metricized project environment
- Re-evaluate organizational risks
Task 2 Implement risk response
- Execute the risk response plan(s)
- Execute the contingency plan(s)
- Encourage stakeholders to provide feedback on the risk response
- Evaluate and react to secondary and residual risks from the response implementation
- Improvise as needed
Domain V Monitor and Close Risks – 19%
Task 1 Gather and analyze performance data
- Reconcile performance data & reports from risk relevant work packages
- Analyze data to determine the completion status against the baseline
- Perform a variance analysis
- Monitor impact against overall project risk exposure to enterprise
Task 2 Monitor residual & secondary risks
- Monitor risk response and document residual risk
- Monitor risk response for secondary risks
- Assess impact of residual and secondary risks on project objectives
- Update and communicate impact of residual and secondary risks
Task 3 Provide information required to update relevant project documents
- Aggregate and summarize risk data, and update project documents
- risk register, lessons learned, project management plan, change logs etc.
- Monitor and close out expired risks
Task 4 Monitor project risk levels
- Assess project risk level
- Prepare reports for different stakeholders
- Communicate risk levels to key stakeholders
Exam Format:
The PMI-RMP Certification Exam comprises 170 multiple-choice questions, and there are no definite right or wrong answers. Among these questions, twenty are considered pretest questions and do not influence the final exam score. The questions are presented randomly throughout the exam. You are required to complete the exam within the designated time of 3.5 hours. While there are no scheduled breaks, you have the option to take a break if needed. However, please note that the exam timer will continue counting down during any breaks you take. Before the exam, there is a preparatory session, followed by an optional survey, both of which can take around 15 minutes to complete.
Features of PMI-RMP examination questions:
- Global workgroups of project risk management practitioners design and independently validate questions.
- Questions are based on current project risk management and project management titles, such as PMI’s worldwide standards, but are not restricted to these.
- Psychometric analysis is used to keep track of the questions.
- Questions are built to satisfy the test specifications of the PMI–Risk Management Professional Examination
Preparation Strategy for PMI-RMP Certification Exam
Here is the preparation strategies for PMI Risk Management Professional PMI-RMP Exam Preparation:
- Begin by crafting a well-structured study plan that outlines the when, where, and what of your study sessions.
- Approach your exam preparation akin to managing a project, allocating approximately three months for the PMP exam.
- Thoroughly study the PMBOK Guide, aiming for at least two complete readings, and create concise and pertinent notes.
- Evaluate the PMP Exam Content outline to ensure you have a comprehensive grasp of the topics.
- Identify diverse study resources aligned with the PMBOK guide, focusing on those that provide in-depth insights.
- Select a study format that best suits your learning style, whether it’s a hard copy, e-book, online course, or exam simulation.
- Consider forming study groups or engaging with your local PMI chapter to connect with fellow PMP exam candidates and expand your network.
- Prioritize revisiting areas that require further clarity, refining your understanding.
- Gauge your progress by taking practice mock exams, aiming to achieve a minimum score range of 80%.
- Delve into your answered questions, analyzing the corrections, and striving to maintain a strong performance in the final exam.
- Strategically plan and schedule your exam in advance to set a clear goal and direct your efforts effectively.
- Ensure you are fully prepared before taking the exam, avoiding hasty decisions, and feeling confident in your knowledge.
- Tailor your approach to different question types based on your strengths and weaknesses, optimizing your time and effort.
- Approach ITTO (Inputs, Tools and Techniques, Outputs) related questions as if they were real project scenarios, identifying the necessary components for generating desired outcomes.
- When answering questions, review them diligently, and resist the urge to second-guess your choices, maintaining your initial assessment.
PMP aspirants are required to follow the above guideline and tips-tricks to clear the PMI-RMP Certification Exam Now!
