CRMP - Overall Questions

Which of the following is NOT a generic risk response option?

• Avoidance

• Reduction

• Ignorance​

• Transfer

What is the purpose of Monte Carlo analysis in risk management?

• To simulate multiple scenarios and assess potential outcomes​

• To visualise risks in a top-down manner

• To prioritise stakeholders in risk response plans

• To eliminate all risks through pre-defined thresholds

What is the main objective of quantitative risk analysis?

• To prioritise risks qualitatively

• To monitor the execution phase of a project

• To create contingency plans for all risks

• To calculate numerical probabilities and impacts of risks

How can risks related to project assumptions be minimised?

• By using assumption analysis to validate key assumptions

• By delegating all risks to a third party

• By ignoring low-priority assumptions

• By eliminating all assumptions during planning

Which principle ensures risk management aligns with organisational goals?

• Continuous monitoring and review

• Isolated department-level analysis

• Comprehensive risk elimination strategies

• Integration into all organisational processes

What is a benefit of a well-established risk management culture?

• Reducing the need for risk communication

• Eliminating all risks from the organisation

• Making proactive, risk-informed decisions across all levels

• Simplifying organisational objectives

Why is stakeholder engagement critical in risk management?

• It increases the complexity of the risk management process.

• It ensures transparency and alignment on risk responses.

• It focuses solely on external risks.

• It reduces the overall risk probability to zero.

Which tool helps assess organisational readiness for risk management?

• Probability-Impact Matrix

• Monte Carlo Simulation

• Checklist Analysis

• Risk Health Check

How does a fault tree analysis (FTA) assist in risk management?

• By mapping out potential failures and their root causes using logical gates

• By listing all identified risks in a project

• By documenting historical risks for future use

• By prioritising high-level risks based on probability and impact

What are the steps in the risk management process?

• Assess, Review, Act, Communicate

• Identify, Transfer, Accept, Eliminate

• Plan, Identify, Analyse, Respond, Monitor

• Map, Rank, Eliminate, Control