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NO.1 Identify the missing words in the following sentence. Because organizations [ ? ] they need to
use the environmental risk management' specialism.
A. are concerned about stakeholder perceptions
B. see brand and reputation as key assets
C. face financial penalties for polluting waterways
D. fail to deliver minimum standards
Answer: C
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NO.2 Which describes the cause of a risk?
A. Likelihood of the risk occurring
B. Potential trigger point for a risk
C. Impact of the risk on an activity
D. Risk remaining after implementing a risk response
Answer: B
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NO.3 Which describes the threat response option 'accept the risk'?
A. Perform an action to minimize the impact of the risk should it occur
B. Carry out an action to make the uncertain situation certain
C. Take no action except monitor the risk to ensure it remains tolerable
D. Partake in a pain/gain contract with another party for the specified risk
Answer: C
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NO.4 Which specialism has been developed to offer business as usual in the quickest possible time
in the event of an emergency?
A. Incident and crisis management
B. Business continuity management
C. Health and safety management
D. Reputational risk management
Answer: B
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NO.5 Which effect on the organization's objectives could the PESTLE analysis technique help to
identify
A. Risk exposure trends
B. Current external factors
C. Long-term developments
D. Internal strengths
Answer: B
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NO.6 Which is a method for obtaining senior management commitment and support for
understanding and managing risk?
A. Developing management of risk guidance handbooks and training materials
B. Ensuring the risk management function has a direct reporting line to a senior executive
C. Escalating risks from the programme, project or operational perspectives to higher levels as
required
D. Making formal assessments of management of risk implementation in areas of concern
Answer: B
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NO.7 Which is a purpose of using a risk maturity model?
A. Identify where the application of risk management within an organization can be improved
B. Understand the nature of risks facing an organization and the actions needed to respond
C. Provide independent risk information at key decision points within a programme or project
D. Show to which organizational activities risk management should be applied
Answer: A
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NO.8 Which is a definition of a risk maturity model?
A. A framework of mature practices for appraising an organization's risk management competency
B. A tool for checking the health of current risk management
C. An assessment of an organization's risk management practice
D. A self-assessment check that the principles have been applied well
Answer: A
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