Unit 2 Digital Disruption, Ethics and Risk Management Flashcards
What is a general purpose technology?
A technology which has lots of different purposes eg electricity and internet connectivity
What is a specific technology?
A technology that does a specific thing such as a refrigerator
What are the three agreed characteristics of general-purpose technologies?
Pervasive
Improve over time
Spawn their own innovations
What is recombinant innovation?
A term used to describe how one innovation can
build on other innovations. Instagram combines
photo-sharing plus editing on a smartphone.
What is a seed idea?
A piece of knowledge that adds value to things that are
essential to the economy.
Four benefits of predictive models in Artificial Intelligence
More accurate
Unbiased
Fast
Cheap
Two components of a risk management standard
The risk management framework \+ The risk management process
Definition of risk management
“the creation and protection of value”
Risk management should be PACED what is PACED?
Proportionate to the size of organisation and nature of risks,
Aligned to the objectives of the organisation and the needs of the stakeholders,
Comprehensive - covering all types of risk,
Embedded in the ongoing processes for strategic and operational decision making, and
Dynamic - able to change as the organisation and its environment changes
8Rs of risk management (Hopkin 2018)
Recognition Rating Ranking Responding Resourcing Reaction planning Reporting Reviewing
Three components of risk assessment
Risk identification
Risk analysis
Risk evaluation
4Ts how to respond to hazard risk Hopkin 2018
Tolerate
Treat
Transfer
Terminate
What is risk appetite?
The amount of risk that an organization is willing to seek or accept in pursuit of its long term business objectives”
What is risk tolerance?
Lines in the sand beyond which the organisation will no move we will not expose more that x% of our capital to losses in a certain line of business”?
Three components of loss control
loss prevention + damage limitation + cost containment
