1.1 Strategic risk is one of four risk categories identified, whereby the management of similar risks can be streamlined. Which of the following statements relate to strategic risk? (1) Actions of the competitors (2) Day to day operations of the organisation (3) The organisation's position and relation with the external environment in the long-term (4) Risk from the external environment of the organisation that the organisation cannot control (5) Non-compliance with internal procedures and regulations a) Statements (1), (2) and (3) b) Statements (1), (3) and (4) c) Statements (2), (4) and (5) d) Statements (3), (4) and (5) 1.2 The following are descriptions of methods available to the risk management team or risk management department to monitor the effectiveness of the risk management process. Which ONE of the following is the correct description for scenario management? a) Key trends are measured against a specific threshold and risks are highlighted when the threshold is breached. b) Losses are recorded and a loss report drafted to summarise loss events, values, and root causes. Risk responses are then implemented to prevent or reduce the likelihood of similar events recurring. c) It is a method to determine future risks, based on the views of experts. d) It is an analysis of the organisation's objectives and processes. A tool used to assess management's perception of perceived strengths, risks, weaknesses, within the organisations processes and the adequacy and effectiveness of the controls designed to mitigate the risks and achieve organisation objectives. 1.3 Which ONE of the following alternatives is not a method to identify risk? a) PESTEL b) Organisation charts and flow charts c) WACC d) SWOT-analysis The management of Ultimate IT Solutions Company arranged a break-away weekend to brainstorm on their strategic planning and way forward. They approached you to explain the SWOT analysis approach to strategic planning to them. Which ONE of the following statements is FALSE and should therefore not be included in your explanation? a) The situational analysis should cover the organisation and its environment currently, as well as how the environment may develop in the future. b) The assumption is that the competitive environment within the industry depends on forces that has an impact on the organisation's success. c) Strategy achievement programmes (implementation) entails putting the strategy into action or making the strategy work as intended by developing detailed plans. d) Strategy evaluation is the final step at the end of the year when performance is measured to determine the success of the implementation of the detailed plans 1.1 Strategic risk is one of four risk categories identified, whereby the management of similar risks can be streamlined. Which of the following statements relate to strategic risk? (1) Actions of the competitors (2) Day to day operations of the organisation (3) The organisation's position and relation with the external environment in the long-term (4) Risk from the external environment of the organisation that the organisation cannot control (5) Non-compliance with internal procedures and regulations a) Statements (1), (2) and (3) b) Statements (1), (3) and (4) c) Statements (2), (4) and (5) d) Statements (3), (4) and (5) 1.2 The following are descriptions of methods available to the risk management team or risk management department to monitor the effectiveness of the risk management process. Which ONE of the following is the correct description for scenario management? a) Key trends are measured against a specific threshold and risks are highlighted when the threshold is breached. b) Losses are recorded and a loss report drafted to summarise loss events, values, and root causes. Risk responses are then implemented to prevent or reduce the likelihood of similar events recurring. c) It is a method to determine future risks, based on the views of experts. d) It is an analysis of the organisation's objectives and processes. A tool used to assess management's perception of perceived strengths, risks, weaknesses, within the organisations processes and the adequacy and effectiveness of the controls designed to mitigate the risks and achieve organisation objectives. 1.3 Which ONE of the following alternatives is not a method to identify risk? a) PESTEL b) Organisation charts and flow charts c) WACC d) SWOT-analysis The management of Ultimate IT Solutions Company arranged a break-away weekend to brainstorm on their strategic planning and way forward. They approached you to explain the SWOT analysis approach to strategic planning to them. Which ONE of the following statements is FALSE and should therefore not be included in your explanation? a) The situational analysis should cover the organisation and its environment currently, as well as how the environment may develop in the future. b) The assumption is that the competitive environment within the industry depends on forces that has an impact on the organisation's success. c) Strategy achievement programmes (implementation) entails putting the strategy into action or making the strategy work as intended by developing detailed plans. d) Strategy evaluation is the final step at the end of the year when performance is measured to determine the success of the implementation of the detailed plans
