Nov 2020

Question 1

What are the 4 Ts of risk?

Answer 1

Transfer; treat; tolerate; terminate

Question 2

What are the four risk control techniques?

Answer 2

Preventive; corrective; directive; detective

Question 3

Name 26 risk treatment controls

Answer 3

1. alarms (F/Det)
2. Audits and review (F/Det)
3. Business recovery plans (F/Dir)
4. Comms (F&I/All)
5. Emergency shut down (F/Corr)
6. Inspections (F/Det)
7. Maintenance (F/Prev)
8. Policies and procedures (F/Dir)
9. Property protection devices (F/Prev)
10. Safety equipment (F/Prev)
11. Safety training (F/Dir)
12. Testing (F/Det)
13. Tone from top (I/Prev & Dir)
14. Action plans (F/Dir)
15. Automation (F/Prev)
16. Computer firewalls (F/Prev)
17. Data backup (F/Corr)
18. Due diligence (F/Det)
19. Financial provisions (F/Corr)
20. Insurance contracts (F/Corr)
21. Redundancy (F/Corr)
22. Segregation of duties (F/Prev)
23. Skills and professional training (F/Prev)
24. Soft skills training (I/All)
25. Team building (I/All)
26. Systems based validation (F/Det)

Question 4

What are the risk perceptions (6)?

Answer 4

1. Choice
2. Control
3. Familiarity
4. Distance
5. Media
6. Randomness

Question 5

What are the three ERM characteristics?

Answer 5

1. holistic focus
2. emphasis on value added risk management
3. blend of formal and informal risk management tools and actions

Question 6

Name 8 ERM benefits

Answer 6

1. improved reporting to support strategic decision-making
2. avoidance of silos
3. improved operational efficiency and cost effectiveness
4. improved profit and equity value
5. improved ability to achieve other business objectives
6. consistent decision-making
7. effective resource allocation for risk management at local level
8. spread risk ownership - managed by local experts locally

Question 7

What makes up the triple bottom line?

Answer 7

People; Planet; Profit

Question 8

What is a risk event?

Answer 8

A random, discrete occurrence which may affect, positively or negatively, an organisation.

Question 9

Name 6 non-analytical techniques

Answer 9

1. expert judgement
2. focus groups/surveys
3. checklists
4. physical inspections
5. loss events and near miss reporting (learning)
6. bow-tie/PESTLE/SWOT/etc

Question 10

Name 4 analytical techniques

Answer 10

1. SWIFT (Structured What If Technique)
2. Delphi technique (anon.)
3. Root cause analysis
4. System and process mapping

Question 11

Name the (5) components of compliance management

Answer 11

1. establish compliance standards
2. develop processes and controls
3. link with internal control
4. risk-based compliance
5. roles and responsibilities

Question 12

Name compliance tools (9)

Answer 12

1. policies and procedures
2. codes of conduct
3. reviews and audits (assessments)
4. impact analysis (form of RM)
5. gap analysis and action planning
6. compliance reporting
7. HR-related controls
8. whistleblowing
9. establish appropriate culture