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WorksheetsRisk Management
Total questions: 10
Worksheet time: 5mins
From the three actions Tom Brown is undertaking, which is categorized as a pure risk?
Buying 100 lottery tickets
Selling his house even though he receives less than he paid for it because he thinks prices will fall further.
Going horse riding without wearing a riding helmet
none of above
Hopkins states “most standard definitions of risk refer to risks being attached to corporate objectives”. What is another important factor to consider when linking risk to an organisation?
Core processes
Hazard management
Risk correlation.
none of above
Enterprise Risk Management (ERM) is considered to have a significant difference compared with traditional risk management approaches because ERM
ensures that an organisation’s objectives will be achieved
takes an integrated or holistic approach
addresses strategic, tactical and operational risk management
none of above
Which of the following would you expect to see in the context of the risk strategy of an organisation?
1. The risk and audit team report to the board quarterly.
2.The tolerance level of risk is clearly defined.
3.Ownership of risk is delegated to business units.
4.The organisation has a defined risk appetite.
2 and 3
1, 2 and 4
2 and 4
none of above
As part of the ISO 31000 risk management process, ‘monitoring and review’ is best thought of as which of the following?
An extra stage
A feedback loop
Part of risk assessment
none of above
COSO research (2014) identifies which three elements in addition to ‘Business Planning’ to make up the contextual business model?
1. Execution.
2. Strategy.
3. Monitoring.
4. Control.
5. Adapting.
2, 3 and 4
1, 3 and 4
1, 3 and 5
none of above
An international bank has identified the risks associated with economic changes in the countries in which it operates.
Which of the following correctly describes these risks?
Internal – Infrastructure
External – Reputation
External – Marketplace
none of above
Which of the following factors are most likely to influence your view on whether the damage to a building due to a natural disaster will be high?
1. The history of natural disasters in the vicinity of the production unit
2. The standard of construction of your building
3. Whether you have a disaster recovery plan
4. The products you produce
1 and 2
3 and 4
2 and 3
none of above
The consequence of a failure to identify all significant risks that an organisation faces is likely to be
1. business objectives may not be achieved
2. operating costs may increase
3. opportunities may be overlooked
4. Risks will be better identified in future.
1 and 2
1, 3 and 4
1, 2 and 3
none of above
Relying on historic analysis when assessing potential risks and possible impacts implies that
should adverse events occur, the impact can be accurately modeled
all significant risks can be confidently analysed
management believe that the future will behave much like the past
none of above
