1. Increased global competition has forced an organization's leadership team to analyze and manage unanticipated risks. The team is using a risk scorecard to help assess a variety of risks. How should the various risks be weighted?

A) According to public relations impact
B) According to ISO 31000 principles
C) According to immediate financial gain
D) According to strategic importance



2. An organization must have a culture with certain elements in order to be able to compile a risk analysis that is accurate and reliable. Which factors best describe this culture?

A) The employees are honest and courageous in sharing and are willing to discuss the organization's shortcomings.
B) Responsibilities and accountabilities are known and adopted by all key employees.
C) The organization has intelligent employees who can appropriately analyze issues and are strong writers.
D) Integrity and ethical conduct are demonstrated by employees in all operational areas.



3. An HR task force has determined that inclement weather that could interfere with the ability of critical personnel to reach work occurs with moderate frequency in a particular region. Forecasting has become much better at providing accurate advanced warning. The group is using a PAPA model to decide appropriate risk management strategies. Which evaluation approach is best to take for this risk?

A) Prepare
B) Park
C) Adapt
D) Act



4. An organization has identified multiple goals for its risk management program. How does it go about sifting through the risks to prioritize those that will get attention and resources immediately?

A) A risk matrix can identify the impact and probability of a threat or event occurring.
B) A risk prioritization matrix called the PAPA model (prepare, act, park, adapt) can be used.
C) The executive in charge may have a list of priorities and personal inclinations for what should be prioritized.
D) A risk scorecard can identify the higher threats and priorities; these can be ranked by their scores.



5. A traditional risk grid/matrix identifies the probability and impact of a threat, including low, medium, and high risk categories. Which factor would provide a more accurate view of the risk if added to the discussion?

A) Likelihood of the threat to the organization if the event occurred
B) Severity of impact on the organization if the threat were to occur
C) Number of employees and families who would be impacted by the threat
D) Degree to which the organization is currently protected against the threat