Risk Management & Mitigation Flashcards
7 cards from real CPS 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
What is the primary purpose of conducting periodic risk reviews during process execution?
Answer: To ensure the risk register stays current as conditions and risks evolve
Regular risk reviews update the risk register to reflect changes in risk status, new risks, closed risks, and the effectiveness of mitigation actions.
A process operating within a 'risk tolerance' boundary means:
Answer: The actual risk level falls within the acceptable range defined by the organization
Risk tolerance defines the acceptable deviation from the risk appetite; operating within tolerance means the risk level is within the bounds the organization has declared acceptable.
Which of the following is an example of a 'secondary risk'?
Answer: A new risk introduced by the implementation of a risk response plan
Secondary risks are unintended risks that arise as a direct consequence of executing a risk response action, and they must also be assessed and managed.
In a process improvement project, a 'risk trigger' (also called a 'warning sign') is best described as:
Answer: An event or condition that indicates a risk is about to occur or has occurred
A risk trigger is a predefined indicator or event that signals a risk is materializing or is imminent, prompting execution of the contingency plan.
Which approach best supports a proactive risk management culture within a process team?
Answer: Encouraging team members to surface potential risks early and rewarding risk reporting
A proactive risk culture empowers all team members to identify and report risks early, increasing the likelihood of effective mitigation before problems escalate.
What distinguishes a 'known unknown' risk from an 'unknown unknown' risk in process management?
Answer: Known unknowns are risks identified but not fully characterized; unknown unknowns are risks not yet anticipated at all
Known unknowns are recognized uncertainties that can be planned for even if not fully defined, while unknown unknowns are surprises outside the current frame of awareness.
A process manager reviews a completed project and documents lessons learned about risk events that occurred. This activity primarily benefits:
Answer: Future projects by building organizational risk knowledge and improving risk identification
Lessons learned from risk events enrich the organization's risk knowledge base, enabling future teams to identify similar risks earlier and respond more effectively.