Risk Avoidance at the Overall Project Level: Removing High-Risk Scope

PMBOK v8 Definition

Risk avoidance is when the project team acts to eliminate the threat or protect the project from its impact. At the overall project level, when the level of overall project risk is significantly negative and outside the agreed-upon risk thresholds for the project, an avoid strategy may be adopted. An example of avoidance at the overall project level might include removal of high-risk elements of scope from the project. Where it is not possible to bring the project back within the thresholds, the project may be canceled, representing the most extreme degree of risk avoidance, used only if the overall level of threat is, and will remain, unacceptable.

Why It Matters for the Exam

This concept appears frequently in PMI exam questions about risk response strategies, particularly in scenario-based questions where you must identify the correct strategy when overall project risk exceeds thresholds. Questions often test your ability to distinguish avoidance at the individual risk level versus avoidance at the overall project risk level, and to recognize when cancellation is the appropriate response.

Key Points to Remember (for the exam)

• Definition: Risk avoidance eliminates the threat entirely, reducing its probability of occurrence to zero
• Overall Project Level Trigger: Used when overall project risk is significantly negative and outside agreed-upon thresholds
• Primary Action: Removal of high-risk elements of scope from the project
• Extreme Measure: Project cancellation when it is not possible to bring the project back within thresholds
• Individual Risk Examples: Removing the cause of a threat, extending the schedule, changing the project strategy, or reducing scope
• Common Confusion: Avoidance at the overall project level (changing scope/strategy) vs. individual risk avoidance (specific threat elimination)
• Key Distinction: Avoidance reduces probability to zero; other strategies (mitigation, transfer, accept) do not eliminate probability entirely

Typical PMI Exam Example

A large infrastructure project has identified that the overall level of project risk is significantly negative and exceeds the organization's risk thresholds. The project manager recommends removing the most technically uncertain deliverables from the project scope. This is an example of which overall project risk response strategy? Answer: Avoidance

PMI Exam Traps

• Trap: Confusing avoidance with mitigation at the overall project level

  • Reality: Avoidance eliminates the threat (probability to zero); mitigation reduces probability/impact but does not eliminate it

• Trap: Thinking cancellation is always the first avoidance action

  • Reality: Removal of high-risk scope elements is attempted first; cancellation is the most extreme measure used only when the overall threat level remains unacceptable

• Trap: Applying individual risk avoidance examples (insurance, bonds) to overall project level

  • Reality: Insurance and bonds are transfer strategies, not avoidance; overall project avoidance involves scope changes, strategy changes, or cancellation

• Trap: Confusing project exclusions (scope statement) with risk avoidance scope removal

  • Reality: Project exclusions define what is out of scope from the start; avoidance scope removal is a risk response action taken after risk identification

Important PMI Connections

Quick Review Questions

1. What is the most extreme degree of risk avoidance at the overall project level, and when should it be used?

2. A project manager removes high-risk elements of scope from the project. Is this an example of individual risk avoidance or overall project risk avoidance?

3. What is the key difference between risk avoidance and risk mitigation at the overall project level?

4. If overall project risk remains outside thresholds after removing high-risk scope, what strategy should be considered?

5. Which document contains the detailed description of scope components that may be removed through avoidance?

PMBOK v8 Reference

Section 11.5 - Plan Risk Responses (Overall Project Risk Response Strategies - Avoid)