Unit 3: Risk Management Processes

Question 1

What are the 4 benefits of risk management processes?

Answer 1

1. Accurately measure risk exposure
2. Balance risk and reward within risk appetite
3. Protect customers and investors
4. Meet obligations

Question 2

What are the steps of the Risk Management Process?

Answer 2

1. Establish context
2. Identification
3. Analysis
4. Evaluation
5. Treatment
6. Monitoring and review

Question 3

Which 3 parts of the Risk Management Process are considered ‘Risk Assessment’?

Answer 3

1. Identification
2. Analysis
3. Evaluation

Question 4

What are 4 methods we can use to identify risks?

Answer 4

1. Workshop
2. Questionnaires
3. Loss data capture and analysis
4. Near miss analysis

Question 5

What are 6 risk mitigation options?

Answer 5

1. Avoid
2. Accept
3. Remove
4. Reduce
5. Transfer
6. Change