13.1 Risk management in practice Flashcards
Risk management is a broad discipline that can be applied to a range of organisational activities. Some common applications of risk management include o___________ risk management, p_____ risk management, supply chain risk management and c____ risk management.
operational
project
cyber
Operational risk management is concerned with identifying, a_________, monitoring and c__________ the risks that arise as a result of operational activities. All organisations have operations and a wide range of risks can affect the e_________, continuity and cost effectiveness of these operations.
assessing
monitoring
effectiveness
C_____ risk management is concerned with the management of digital risks. Cyber risk management ensures that an organisation’s information and t________ resources are secure, only accessible to authorised personnel, are used for their intended purpose only and are complete and intact. This includes IT security and d____ p__________.
Cyber
technical
data protection
As internet and social media use grows, cyber risk management has changed to incorporate h____ r_____ related issues, such as cyber bullying and other forms of online m____________. The change means that new people related and legal controls are required, as well as technical IT controls.
human resource
misconduct
P________ management is concerned with planning and coordinating the work of a team of people to achieve specific goals within a specified time period, often with limited financial and human r________. Where there are projects there are risks which may prevent the project from being achieved on time and on b_______.
Project
resources
budget
A formal m___________ for managing projects, including the risks that are associated with projects is known as PRINCE2 (PRojects IN Controlled Environments). The PRINCE2 methodology includes the use of risk registers, related issues logs and q_______ logs. Lessons logs ensure that valuable l________ experiences are recorded to help manage project risks more effectively in the future.
methodology
quality
learning
Supply chain risk management is concerned with identifying, a___________, monitoring and controlling supply chain risks. Supply chain risk management applies a range of common risk management tools to maintain the c_________, quality, and affordability of its upstream supplies. It also ensures that d___________ clients and customers recieve the quality of goods and services they expect on time and on budget.
assessing
continuity
downstream
C__________ s_________ r____________ is an activity that is connected with compliance but is concerned with exceeding the minimum requirements of laws and regulations. Corporate social responsibility is a form of s___-r__________ mechanism to encourage behaviours that are e_______ and consistent with national and international norms.
Corporate social responsibility
self-regulation
ethical
S___________ is a parallel management philosophy that acts as an extension to CSR. The focus of CSR is primarily social. Sustainability adds a stronger e___________ dimension, as well as a financial element. Sustainability is often expressed in terms of the triple bottom line of people, planet and p_____.
Sustainability
environmental
profit
In some organisations, the discipline of sustainability risk management (SRM) is emerging. SRM uses conventional risk management tools and techniques to assess and control risks that may affect the f________, social, or environmental s__________ of an organisation.
financial
sustainability
Where an organisation is required to provide reports to r__________, it must manage the compliance risks associated with missing reporting deadlines or providing incomplete or i_________ reports.
regulators
inaccurate
Regulatory reporting processes ensure that reports are on time, accurate and c______. These processes are supported by a variety of functions, including the c__________ function, risk function and company secretary and other governance professionals.
complete
compliance
