The risk management team of a software project has decided that due to the lack of adequate talent in the company, development of a specific part of…

The risk response strategy described is Transfer. This strategy involves shifting the ownership of a threat to a third party to manage the risk and bear the impact if it occurs. By outsourcing the development of a specific part of the system, the project team is transferring the responsibility and potential negative consequences of the talent-gap risk to the external vendor. The vendor, through a contractual agreement, now assumes the risk associated with delivering that component successfully. This does not eliminate the risk but moves the direct responsibility for its management.

1. Project Management Institute. (2021). A Guide to the Project Management Body of Knowledge (PMBOK® Guide) – Seventh Edition. Section 2.8.3.2

"Responses to Threats

" p. 103. The guide defines Transfer as a strategy for threats where ownership and impact are shifted to a third party

with outsourcing being a common example.

2. Project Management Institute. (2021). The Standard for Project Management (ANSI/PMI 99-001-2021). Section 2.8

"Uncertainty

" p. 53. This standard outlines that dealing with uncertainty involves selecting and implementing appropriate strategies to address risks

such as transferring them.

3. MIT OpenCourseWare. (2006). 1.040J / ESD.051J Project Management

Fall 2006. Lecture 10: Risk Management

Slide 21. This university material defines the "Transfer" strategy for threats as shifting risk to a third party through mechanisms like contracts

which is the basis of outsourcing.