Risk Management in Process Improvement Flashcards
7 cards from real CPP 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 in Process Improvement flashcards as text
What is the primary purpose of risk management in process improvement initiatives?
Answer: To identify, assess, and mitigate risks that could impact process improvement outcomes
Risk management in process improvement aims to proactively identify, assess, and mitigate risks to protect the initiative's outcomes and objectives.
Which internationally recognized framework provides principles and guidelines for risk management in process improvement projects?
Answer: ISO 31000
ISO 31000 is the internationally recognized standard that provides principles, a framework, and a process for managing risk across organizations.
In a risk matrix, which two dimensions are used to evaluate and prioritize risks?
Answer: Probability and impact
A risk matrix evaluates risks based on their probability (likelihood of occurrence) and impact (consequence if the risk materializes) to determine priority.
What is a 'risk trigger' in the context of process improvement?
Answer: A condition or event indicating a risk is about to occur or has occurred
A risk trigger is a warning sign or condition that indicates a risk event is imminent or has begun to materialize, prompting execution of contingency plans.
Which of the following best describes 'residual risk' in process improvement?
Answer: Risk that remains after risk response measures have been implemented
Residual risk is the level of risk that remains after risk control measures and mitigation strategies have been applied to the original risk.
What does the FMEA technique primarily analyze in a process improvement context?
Answer: Potential failure modes, their causes, and their effects within a process
FMEA (Failure Mode and Effects Analysis) systematically analyzes potential failure modes within a process to identify causes and effects, prioritizing risk reduction efforts.
In risk management terminology, what does 'risk appetite' refer to?
Answer: The amount and type of risk an organization is willing to accept in pursuit of its objectives
Risk appetite is the amount and type of risk an organization is willing to accept in pursuit of its strategic objectives before further action is required.