A critical path activity will be delayed. The team proposes a fallback that could recover schedule but requires extra cost to an already tight budget. What should the project manager do?

The project manager should evaluate the proposed fallback plan because it's a potential solution to a critical path delay. This aligns with proactive problem-solving and risk response. If the evaluation shows the plan is viable and beneficial despite the cost, a change request is necessary to formally propose the schedule recovery and associated budget adjustment, ensuring all impacts are documented and approved. Adding additional resources (fast-tracking) is a potential solution, but the team has already proposed a specific fallback that needs evaluation first. Communicating the delay without exploring solutions is passive and doesn't address the problem. Using the existing budget without formal approval and baseline updates bypasses proper change control and financial governance.