Chapter 5

Question 1

Component of ERM\

Lead and establish accountability

Answer 1

1 Identify Risk Owners
2 Establish Key Performance Indicator
3 Establish Key Risk Indicator
4 Develop Risk Criteria

Question 2

Component of ERM\

Align And Integrate

Answer 2

Strategic Planning 
Performance Management 
Internal Control 
Compliance 
Governance

Question 3

Component of ERM\

Allocate Resource

Answer 3

Allocate Resources

Skilled Labour

Question 4

Component of ERM\

Communicate and Report

Answer 4

Important for Design and Implementation of Risk Management Framework

Question 5

Design And Implemented

1 Gap Analysis

2

Answer 5

It clearly states that Company framework and policies compare with international standard framework and policies , so with match will support the environment and others will not do and try to use the resources

Question 6

Internal And External

Answer 6

Organizational Objective 
Risk Appetite
Strategy
Organizational Structure 
Resources 
Communication Channel

Politics and

Question 7

Integrating Into New Process

Commitment of Resources
Monitoring
Communication and reporting

Answer 7

1 To Align the Framework and Policies into International Standard Framework and Policies
To Use Existing Process

Critical Component is Accountability and Responsibility

Question 8

WorldWide Risk Management Process

1 Scanning

Answer 8

Compare the Enterprise Framework and policies with the International Standard

2 To Aware about the risk Criteria 
Causes of Risk 
Effect of Risk 
Metrics Used to Measure effect of Risk 
Method to determine level of Risk

Question 9

WorldWide Risk Management Process

Identify Risk

Answer 9

All Quadrant

Question 10

WorldWide Risk Management Process

Analyze the risk

Answer 10

1 Likelihood
Cause
Potential Consequences

Question 11

WorldWide Risk Management Process

Treat Risk

Answer 11

Avoid
Seperate
Transfer
Retain

Question 12

Traditional Risk Management Process

Answer 12

1 Identify Loss Exposure
2 Analyze Loss Exposure
3 Check Feasibility of Risk Management Technique
4 Select the Risk Management Technique
5 Implement The Risk Management Technique
6

Question 13

1Scanning The environment

2 Identify The risk

3 Analyse the Risk

4 Treat

Monitor and Assurance

Answer 13

1Scan Internal and External

2 List the Risk involved in the process

Apply the Risk Criteria, to determine the source, cause ,
likelihood and consequences (Qualitative or Quantitative analysis )

Avoid , Prevent, transfer, retain

Question 14

Risk Control

Answer 14

Avoidance 
Loss Prevention
Loss Reduction
Seperation
Duplication
Diversification