Risk Management & Mitigation Flashcards
7 cards from real CAP practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Risk Management & Mitigation flashcards as text
A retail analytics model was trained on pre-pandemic sales data and now performs poorly. Which risk does this scenario primarily illustrate?
Answer: Data or concept drift invalidating model assumptions
When the underlying data-generating process changes, drift causes model performance to degrade because training assumptions no longer hold.
Which control is most effective for mitigating the risk of unauthorized access to sensitive data during an analytics project?
Answer: Role-based access controls combined with data encryption
Role-based access and encryption limit exposure of sensitive data to only authorized users, both at rest and in transit.
Expected monetary value (EMV) analysis quantifies a risk by multiplying which two quantities?
Answer: The probability of the risk event and its monetary impact
EMV equals the probability of an event times its financial consequence, giving a quantitative expected cost or benefit.
An analytics team builds a simpler backup model in case the primary machine learning model fails validation before a hard deadline. This is best described as what?
Answer: A contingency plan for an identified project risk
A contingency plan is a predefined fallback that activates if an identified risk materializes.
Which of the following is a secondary risk introduced by a mitigation action?
Answer: Outsourcing data cleaning to reduce schedule risk, which creates new vendor-confidentiality risk
A secondary risk arises directly from implementing a risk response, such as new confidentiality exposure created by outsourcing.
Why should residual risk be documented after mitigation strategies are applied?
Answer: Because stakeholders must understand and accept the risk that remains despite mitigation
Mitigation rarely eliminates risk entirely, so the remaining exposure must be visible for informed stakeholder acceptance and monitoring.
During deployment, which practice best mitigates the risk of a new predictive model disrupting business operations?
Answer: Phased rollout or A/B testing with the ability to roll back quickly
Gradual rollout with rollback capability limits the blast radius if the model behaves unexpectedly in production.