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Exam Code: PC0-006
Exam Name: Management of Risk (MoR) Foundation

What step is used to determine those risks which have the greatest effect on the objectives of a planned activity?

A.    Identify
B.    Assess
C.    Plan
D.    Implement

Answer: B

Which is NOT a reason for carrying out an `M_o_R health check?

A.    Identify areas for improvement
B.    Help gain maximum value from investment in risk management
C.    Provide a snapshot of the current status of identified risks
D.    Review how well risk management practices have been embedded

Answer: C

Which document describes how risk management activities will support the achievement of corporate objectives throughout an organization?

A.    Risk management strategy
B.    Risk management process guide
C.    Risk progress report
D.    Risk management policy

Answer: D

Which is a goal of the ‘assess – evaluate’ step?

A.    Evaluate the impact, probability and how soon risks might occur
B.    Calculate the net effect of risks facing the activity
C.    Assess and evaluate the effectiveness of procedures for managing risks
D.    Evaluate the net cost of planned risk responses

Answer: B

Which of the M_o_R framework core concepts is informed by corporate governance principles and the international standard for risk management ISO31000:2009?

A.    M_o_R approach
B.    M_o_R principles
C.    M_o_R process
D.    Embedding and reviewing M_o_R

Answer: B

What ensures that an organization’s implementation of the M_o_R approach’ and ‘M_o_R process’ undergoes frequent improvement to remain effective?

A.    Corporate governance
B.    Internal controls
C.    Embedding and reviewing
D.    Contingency planning

Answer: C

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

Which does the SWOT analysis technique help to identify about an organization?

A.    Long-term trends
B.    Stakeholder views
C.    Corporate governance requirements
D.    Internal strengths

Answer: D

Which technique can be used to clarify potential sources of risks across an activity?

A.    Probabilistic risk models
B.    Summary risk profiles
C.    Risk breakdown structure
D.    Decision trees

Answer: C

What objectives are associated with decisions on risks to the achievement of long-term goals?

A.    Strategic
B.    Programme
C.    Project
D.    Operational

Answer: A

Which explains a use of the risk management policy in the identify context’ step?

A.    Identifies changes to the organization’s market
B.    Identifies how past events could become sources of risk
C.    Describes how corporate governance will affect the risk management process
D.    Understand the maximum amount of risk that should be taken

Answer: D

Which is NOT an action needed to achieve the goal of the ‘assess – evaluate’ step?

A.    Determine which other risks will occur if a risk occurs
B.    Calculate the total risk exposure for the activity
C.    Evaluate the effectiveness of risk management across the organization
D.    Determine which risks are independent of other risks

Answer: C

Which role provides sponsorship to ensure that risk management is embraced within the organization?

A.    Senior manager
B.    Manager
C.    Assurance
D.    Risk specialist

Answer: A

What step is used to determine the time period when a risk might occur?

A.    Identify – risks
B.    Assess – estimate
C.    Assess – evaluate
D.    Identify ?context

Answer: B

How is the risk progress report used in the ‘implement’ step?

A.    Identify the status against the activity’s stated measures for risk management
B.    Identify the scales used to measure the probability and impact of a risk
C.    Describe actions to enhance how risk management is performed
D.    Gain agreement for the amount of risk that can be taken

Answer: A

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