[Feb-2024] ISO-31000-CLA Exam Dumps - Free Demo & 365 Day Updates
Free Sales Ending Soon - Use Real ISO-31000-CLA PDF Questions
NEW QUESTION # 53
Relying on historic analysis when assessing potential risks and possible impacts implies that
- A. should adverse events occur, the impact can be accurately modelled.
- B. all significant risks can be confidently analysed.
- C. management believe that the future will behave much like the past.
Answer: C
Explanation:
Explanation
According to 1, page 19, historic analysis is "a method of risk identification based on past data". It assumes that past patterns and trends will continue in the future, which may not always be true.
NEW QUESTION # 54
A large manufacturing organisation has renewed an insurance policy and has accepted a significant increase in the policy deductible. What is this most likely to indicate?
- A. Decreased risk avoidance.
- B. Decreased risk tolerance.
- C. Increased risk elimination.
- D. Increased risk retention.
Answer: D
Explanation:
Explanation
A large manufacturing organisation has renewed an insurance policy and has accepted a significant increase in the policy deductible. This is most likely to indicate increased risk retention, which means accepting more responsibility for potential losses5. This could be done to reduce insurance premiums or increase control over claims.
NEW QUESTION # 55
Which ISO Standard is used for hazard identification and risk assessment?
- A. ISO 16776
- B. ISO 15776
- C. ISO 18776
- D. ISO 17776
Answer: D
NEW QUESTION # 56
Enhanced risk management emphasizes the continual improvement of risk management capabilities.
- A. True
- B. False
Answer: A
Explanation:
Explanation
Enhanced risk management emphasizes the continual improvement of risk management capabilities1. This means that risk management is regularly reviewed and updated to ensure its relevance, adequacy, and effectiveness.
NEW QUESTION # 57
Risk management professionals conduct supply-chain analyses to identify
- A. international regulatory requirements.
- B. customer technology needs.
- C. contingent business interruption coverage.
- D. potential vulnerabilities to the organization.
Answer: D
Explanation:
Explanation
According to page 12 of the source, risk management professionals conduct supply chain analysis to identify potential vulnerabilities to the organization. These vulnerabilities can arise due to supplier dependency, breakdowns or disruptions in the supply chain, natural or human-made disasters, political or social instability, cyberattacks or other threats. Identifying such risks is crucial to prevent adverse impacts on the organization's operations, reputation or financial position.
NEW QUESTION # 58
The organization's resources and internal support are ________ the risk management strategy.
- A. adjustable to match
- B. metrics used to measure the value of
- C. inputs in the development of
- D. outcomes of the development of
Answer: C
Explanation:
Explanation
according to page 15 of source 3, the development of a risk management strategy takes into account the organization's resources and internal support. These resources include factors such as human, capital, and technological resources; organizational structure, culture, and governance; communication and consultation mechanisms; and support from senior management and leadership. These inputs have an impact on the feasibility and effectiveness of the risk management strategy.
NEW QUESTION # 59
__________ means doing something according to a plan or method.
- A. Comprehensive
- B. Systematic
- C. Informal
- D. Formal
Answer: B
Explanation:
Explanation
Systematic means doing something according to a plan or method. Systematic implies orderliness, consistency, and rigor in applying risk management.
NEW QUESTION # 60
Which risk is sometimes called 'retained risk.'?
- A. Residual risk
- B. Procedural risk
- C. Conceptualize risk
- D. Analytical risk
Answer: A
Explanation:
Explanation
According to ISO/IEC Guide73 (2009), clause B., residual risk is "the level of remaining after controls have been applied". It is sometimes called 'retained risk' because it represents the amount of risk that an organization decides to accept or retain after implementing its mitigation strategies 3.
NEW QUESTION # 61
A broker is undertaking a business interruption review on behalf of a client. This would most commonly include an evaluation of the
- A. level of self insurance.
- B. effectiveness of a business continuity plan.
- C. level of risk tolerance.
- D. effectiveness of risk reserving.
Answer: B
Explanation:
Explanation
A business interruption review is an evaluation of the effectiveness of a business continuity plan, which is a set of procedures and resources to ensure that an organisation can continue its critical functions in the event of a disruption12.
NEW QUESTION # 62
Which of the following are ISO 31000:2009 Enhanced Risk Management attributes? (Choose two)
- A. Solution offering
- B. Full accountability for risk controls and treatment
- C. Decision making involves risk
- D. Crisis management and process attributes
Answer: B,C
Explanation:
Explanation
Full accountability for risk controls and treatment and decision making involves risk are two of the enhanced risk management attributes according to ISO 31000:20091. These attributes indicate that risk management is integrated into governance and decision-making processes.
NEW QUESTION # 63
Risk management processes, outcomes, and activities should be _________.
- A. rectifiable
- B. traceable
- C. executable
- D. routable
Answer: B
Explanation:
Explanation
Risk management processes, outcomes, and activities should be traceable . This means that there should be a clear record of how risks were identified, analyzed, evaluated, treated, monitored, reviewed, and communicated.
NEW QUESTION # 64
Which of the following statement about operations risk management is incorrect?
- A. Disregarding human factors
- B. Capable of continual improvement and enhancement
- C. Dynamic, iterative and responsive to change
- D. Transparent and inclusive
Answer: A
Explanation:
Explanation
According to ISO31000 (2018), clause 4., one of the principles of effective risk management is "taking human and cultural factors into account". This means that risk management should consider how people's behaviors, perceptions, values and attitudes influence or are influenced by risk .
NEW QUESTION # 65
Which type of risk management technique does insurance belongs to?
- A. Retention
- B. Sharing
- C. Reduction
Answer: B
Explanation:
Explanation
According to , page 16-17, insurance belongs to sharing technique which is "a way of transferring some or all financial consequences associated with a particular exposure". It involves paying a premium in exchange for compensation in case of loss.
NEW QUESTION # 66
After validating the training curricula, a risk management professional
- A. develops training.
- B. matches training to audience.
- C. schedules and conducts training.
- D. develops and schedules training.
Answer: C
Explanation:
Explanation
According to , page 23, after validating the training curricula, a risk management professional schedules and conducts training sessions based on the target audience's needs and availability.
NEW QUESTION # 67
Which type of risk presents only the chance of loss or no loss?
- A. Hazard risk
- B. Strategic risk
- C. Operational risk
- D. Financial risk
Answer: A
Explanation:
Explanation
According to , page 8, hazard risk is "the traditional pure risk that only has a downside". It is usually associated with natural disasters, accidents, lawsuits or other events that cause harm or damage.
NEW QUESTION # 68
How many risk management principles exists ISO 31000:2018?
- A. 0
- B. 1
- C. 2
- D. 3
Answer: D
Explanation:
Explanation
There are nine risk management principles in ISO 31000:2018. These principles are:
* Integrated
* Structured and comprehensive
* Customized
* Inclusive
* Dynamic
* Best available information
* Human and cultural factors
* Continual improvement
NEW QUESTION # 69
Which two of the following are types Integrated Processes? (Choose two)
- A. Soft processes
- B. People processes
- C. Quality analysis
- D. Hard process
Answer: B,D
Explanation:
Explanation
People processes and hard processes are two types of integrated processes3. People processes involve human factors such as culture, values, ethics, and behavior that influence risk management. Hard processes involve technical aspects such as methods, tools, techniques, and systems that support risk management.
NEW QUESTION # 70
Which of the following is an important aspect with stakeholders, customers, and interested parties is the essential element for maintaining the relevance of enhanced risk management within the structure of a changing context?
- A. Session Storming
- B. Brainstorming
- C. Communication
- D. Interviews
Answer: C
Explanation:
Explanation
Communication with stakeholders, customers, and interested parties is an essential element for maintaining the relevance of enhanced risk management within the structure of a changing context3. Communication helps to establish trust, transparency, accountability, and feedback mechanisms for risk management.
NEW QUESTION # 71
......
ISO-31000-CLA Dumps - Pass Your Certification Exam: https://torrentpdf.validvce.com/ISO-31000-CLA-exam-collection.html
