What distinguishes a risk response from a contingency plan?

A risk response refers to the specific actions or strategies that are executed in anticipation of a particular risk event occurring. This means that a risk response is often planned and set in place while the project is still ongoing, but it is designed with the expectation that the risk might actually materialize. For instance, if a project manager identifies a potential risk of a delay due to supplier issues, they might prepare a risk response by identifying alternative suppliers. Thus, when the risk arises, they are ready to implement their planned actions.

In contrast, contingency plans pertain to a broader set of actions that are developed to address unforeseen circumstances. These plans are typically reactive and come into play once a risk event has occurred, rather than while the risk is still merely a possibility. Therefore, the distinction lies in that a contingency plan is activated when a risk has materialized, while a risk response is the planned reaction in anticipation of that risk potentially occurring.

This is why the assertion that a risk response is implemented before the risk materializes is the correct choice, as it highlights the proactive nature of risk management, distinguishing it from the reactive nature of contingency planning.