Ace the 2026 Certified Governance Risk & Compliance (CGRC) Challenge – Navigate the Governance Maze with Confidence!

A probability and impact matrix is utilized during the qualitative risk analysis process. This matrix assists in evaluating the identified risks by assessing their probability of occurrence and the impact they would have on the project's objectives if they were to occur. By using the matrix, risks can be prioritized, allowing project managers to allocate resources effectively and focus on the most critical risks first.

In this method, risks are categorized based on their likelihood and potential impact, helping teams to understand which risks require immediate attention and which are less significant. This prioritization is foundational in determining how to approach risk management strategies and responses.

While the other options involve risk management activities, they do not focus on the qualitative assessment that utilizes the probability and impact matrix. Planning risk responses is geared towards developing specific strategies for the risks identified, conducting quantitative analysis involves numerical methods to evaluate risks quantitatively, and monitoring and controlling risks focus on tracking identified risks and evaluating risk processes over time. Therefore, the correct answer reflects the specific context where the probability and impact matrix is most relevant.