15 Questions
What does LILAC headings provide an indication of?
Components of a successful initiative to embed risk management in the organization
What is the key part of risk training according to the text?
Learning and communication
What does Risk Culture refer to?
Collective values, beliefs, attitudes, and behaviors within an organization regarding risk and risk management
What is the process of exchanging information about risks, uncertainties, and potential hazards called?
Risk Communication
What does Risk Training refer to?
The process of educating individuals within an organization about various aspects of risk, risk management, and how to effectively handle uncertainties that could impact the organization's objectives
What does risk appetite refer to in the practice of risk management?
The level of risk that an organization is prepared to accept before action is deemed necessary to reduce the risk
What is the relationship between risk appetite and risk criteria?
Risk appetite is sometimes considered to be defined by the risk criteria established by the organization
What does risk exposure refer to in the context of risk management?
The cumulative total of all individual values at risk associated with the risks facing the organization
What does risk capacity represent in the context of risk management?
The capability of the organization to take risk
What is a risk appetite statement in the context of risk management?
A document stating an organization’s willingness and capacity to accept and manage risks
What does a college with high risk appetite accept?
Opportunities with inherent high risk
In the context of risk management, what does low risk appetite indicate for a college?
Unwillingness to accept risks in circumstances that may result in reputation damage
What is the acceptable level of variation relative to achievement of a specific objective called in risk tolerance?
Risk tolerance
What does moderate risk appetite indicate for a college in terms of accepting risks?
Willingness to accept some risks in certain circumstances
What is the process of exchanging information about risks, uncertainties, and potential hazards called according to COSO (2004)?
Risk communication
Learn about the components of successful risk management initiatives, including involvement, learning, accountability, and communication. Explore the importance of risk training for managers, staff, and stakeholders to achieve a greater understanding of risk-aware culture.
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