Module 9: L1

Question 1

Standard thinking on risk is that it is viewed as a set of _____________ and ______________

Answer 1

events and consequences

Question 2

What are some of the steps in the STANDARD risk management process or “standard thinking on risk” (7x pts)?

Answer 2

1. ID events affecting processes
2. Estimate likelihood of each event
3. ID outcomes
4. Estimate value of each outcome
5. Classify severity of each outcome
6. Indicate decisions to be made
7. Describe response actions

Question 3

We must make risk “_________” rather than random: _______ is as important as decision

Answer 3

“learnable”
process

Question 4

What are some cognitive constraints of risk management?

Answer 4

1. Perception of risk doesn’t follow decision tree logic
2. Individuals have variable perception of reality

Question 5

The 3x components of knowledge risk management are:

Answer 5

1. Individual characteristics
2. Knowledge characteristics
3. Organizational characteristics

Question 6

Within the individual characteristic of knowledge risk management (KRM) there are 3x subcomponents of “intellectual capital.” What are they?

Answer 6

1. Human capital
2. Structural capital
3. Relational capital

Question 7

What are the 2x human capital risks identified?

Answer 7

1. Ineffective recruitment (NQL)
2. Inefficient training (TTL)

Question 8

Which component of KRM do the acronyms NQL and TTL fall under? What do they stand for?

Answer 8

Individual component
NQL: Necessary Qualification Levels
TTL: Time to Learn

Question 9

There are barriers to knowledge within the knowledge component of KRM. _____ knowledge is more difficult to transfer than ________ knowledge.

Answer 9

Tacit
Explicit

Question 10

What are some knowledge resource risks within the knowledge component of KRM?

Answer 10

1. Tacitness (RTA)
2. Complexity (DOC)

Question 11

Which component of KRM do the acronyms RTA and DOC fall under? What do they stand for?

Answer 11

Knowledge component
RTA: Receiver transfer access
DOC: Degree of creativity

Question 12

The organizational component of KRM is grounded in __________ capacity. What are the two subcomponents of this?

Answer 12

Absorptive
1. Potential
2. Realized

Question 13

Which component of KRM do the acronyms RMC and RMM fall under? What do they stand for?

Answer 13

Organizational component
RMS: Risk management capability
RMM: Risk management motivation

Question 14

The KRM model is used separate from the decision tree. T/F

Answer 14

False. It is used in tandem with the decision tree

Question 15

KRM tends to cluster all risks in the ______.

Answer 15

middle

Question 16

To compute indices for the KRM, we (3x steps):

Answer 16

1. Use two dimensional ordinal scales for all activities
2. Compute mean scores
3. Classify: intolerable, unacceptable, acceptable