The question is about a project that faces a potential threat from a competitor’s product launch using the same innovation. The project manager needs to assess the impact of this threat on the project’s objectives and take appropriate actions to mitigate it. The best option for the project manager to do next is:

Document the issue in the issue log and escalate to the project sponsor: This option is proactive and follows the best practice of issue management. The project manager should document the issue, its impact, and possible solutions in the issue log, which is a tool for tracking and resolving issues that affect the project. The project manager should also escalate the issue to the project sponsor, who is the person or group that provides the resources and support for the project. The project sponsor can help the project manager to evaluate the options and make decisions that align with the project’s goals and business strategy12

The other options are not as effective or appropriate as the first option. They are:

Inform the project sponsor and suggest canceling the project: This option is premature and pessimistic. The project manager should not suggest canceling the project without analyzing the situation and exploring alternatives. Canceling the project might result in wasted resources, lost opportunities, and damaged reputation. The project manager should work with the project sponsor to find ways to overcome the threat and deliver value to the customer3

Review the project goals and eat criteria m the project charter: This option is passive and incomplete. The project manager should review the project goals and acceptance criteria in the project charter, which is a document that authorizes the project and defines its scope, objectives, and stakeholders. However, this is not enough to address the issue. The project manager should also document the issue, communicate with the project sponsor, and take actions to resolve the issue4

Ask the leader of research and development to decide on next steps: This option is irresponsible and risky. The project manager should not delegate the decision-making to the leader of research and development, who might not have the authority, responsibility, or knowledge to handle the issue. The project manager should consult with the leader of research and development, who is a subject matter expert, but the project manager should also involve the project sponsor, who is the project owner, and other relevant stakeholders, who might be affected by the issue. The project manager should lead the issue resolution process and ensure that the decisions are aligned with the project’s goals and business strategy.