ICA GOVERNANCE RISK & COMPLIANCE MODULE 1 UNIT
1
GRC cc- ccCORRECT ccANS✔✔...the cccapability ccor ccintegrated cccollection ccof cccapabilities, ccthat ccenables ccan ccorganisation ccto
ccreliably ccachieve ccobjectives, ccaddress ccuncertainty, ccand ccact ccwith ccintegrity; ccincluding ccthe ccgovernance, ccassurance ccand
ccmanagement ccof ccperformance, ccrisk, ccand cccompliance cc
GRC ccis ccan ccumbrella ccterm ccwhich cccovers cca ccfirms ccapproach ccto ccthe ccthree ccdistinct ccdisciplines ccof ccGovernance ccRisk
ccand ccCompliance
Governance ccin ccpractice cc- ccCORRECT ccANS✔✔Governance ccin ccpractice ccinvolves cchaving ccthe ccnecessary ccmechanisms
ccto ccidentify ccrisks, ccand ccthe ccability ccto ccrespond ccto ccrisks ccby ccworking ccacross ccthe ccbusiness ccto ccdevise cccompliant
ccsolutions
Who ccare ccmain ccstakeholders ccin cca ccfirm cc- ccCORRECT ccANS✔✔customers cc
shareholders
ccmanagement ccand ccother ccemployees cc
the ccregulators ccwho ccsupervise ccthe ccindustry ccIncreasingly,
focus ccis ccplaced ccon ccother ccstakeholders cc, ccincluding ccwider ccsociety cc, ccthe cclocal cccommunities ccin ccwhich ccthe ccfirm
ccoperates cc, ccthe ccenvironment cc, ccand cceven ccother ccfirms ccin ccthe ccsame ccmarket cc.
Risk cccan ccaffect cca ccfirm ccin ccthe ccimmediate cc, ccshort cc, ccmedium ccand cclong ccterms cc, ccand ccthese cctimeframes cccan cclink
ccrisks ccto cc: cc- ccCORRECT ccANS✔✔Crisis ccmanagement cc( ccimmediate ccrisks cc) cc
operational ccactivities cc( ccshort cc- ccterm ccrisks cc) cc
business cctactics ccmedium ccterm ccrisks cc) cc
overall ccstrategic ccdecision ccmaking cc( cclong cc- ccterm ccrisks
Compliance cc- ccCORRECT ccANS✔✔The ccsimplest ccdescription ccof cccompliance ccis ccconfirming ccto ccrules, cclaws, ccpolicies,
ccand ccstandards
Regulatory ccCompliance cc- ccCORRECT ccANS✔✔Regulatory cccompliance ccis ccthe ccstandard ccthat ccfirms ccneed ccto ccachieve
ccto ccbe ccable ccto ccdo ccbusiness ccwithin ccthe ccframeworks ccset ccby ccthe ccapplicable cclaws ccregulations ccand ccother ccstandards
What ccare ccbenefits ccof cceffective ccGRC ccoutside ccof ccregulatory cccomplaince ccand ccavoidance ccof ccthe ccrisk ccof ccsanctions? cc-
ccCORRECT ccANS✔✔Quality cccorporate ccgovernance cc- ccprovides ccthe ccbusiness ccstructures ccand ccframeworks ccneeded ccfor
ccthe ccboard ccto cccontrol ccand ccdirect ccthe ccfirm cc
Risk ccanalysis ccand ccmanagement cc- ccenables ccdecisions ccto ccbe ccmade ccon ccan ccinformed ccbasis cc
Compliance ccmanagement cc- ccmeans ccthat ccfirms ccare ccengaged ccwith ccthe cclegal cc, ccregulatory ccand ccother ccexternal
ccstandards ccrequirements ccor ccobligations ccthat ccare ccenforced ccon ccthe ccindustry
Risk ccculture cc- ccCORRECT ccANS✔✔can ccbe ccdefined ccby ccthe ccsystem ccof ccvalues ccand ccbehaviours cccollectively cccalled
ccthe ccculture cc, ccthat ccaffect ccthe ccfirm's ccrisk ccdecisions cc. ccIn ccpractical ccterms cc, ccemployees ccneed ccto ccunderstand ccthe
ccfirm's ccrisk ccexposures
ccThe ccrisk ccculture ccis cccreated ccby ccrisk cc- ccmanagement cctraining cc, ccrisk ccassessment ccand ccguidance ccabout ccdecision cc-
ccmaking cc. ccIt ccinvolves ccrisk ccpolicies ccas ccwell ccas ccrisk ccstatements ccand ccprocedures cc.
Governance ccculture ccand ccwhy ccis ccit ccan ccadvantage? cc- ccCORRECT ccANS✔✔can ccbe ccdefined ccas ccthe ccattitudes ccand
ccactions ccthat cclead ccto ccthe ccbuilding ccof cca ccstrong ccand cccompetitive ccbusiness ccthat ccenhances ccshareholder ccvalue cc. ccIt
1
GRC cc- ccCORRECT ccANS✔✔...the cccapability ccor ccintegrated cccollection ccof cccapabilities, ccthat ccenables ccan ccorganisation ccto
ccreliably ccachieve ccobjectives, ccaddress ccuncertainty, ccand ccact ccwith ccintegrity; ccincluding ccthe ccgovernance, ccassurance ccand
ccmanagement ccof ccperformance, ccrisk, ccand cccompliance cc
GRC ccis ccan ccumbrella ccterm ccwhich cccovers cca ccfirms ccapproach ccto ccthe ccthree ccdistinct ccdisciplines ccof ccGovernance ccRisk
ccand ccCompliance
Governance ccin ccpractice cc- ccCORRECT ccANS✔✔Governance ccin ccpractice ccinvolves cchaving ccthe ccnecessary ccmechanisms
ccto ccidentify ccrisks, ccand ccthe ccability ccto ccrespond ccto ccrisks ccby ccworking ccacross ccthe ccbusiness ccto ccdevise cccompliant
ccsolutions
Who ccare ccmain ccstakeholders ccin cca ccfirm cc- ccCORRECT ccANS✔✔customers cc
shareholders
ccmanagement ccand ccother ccemployees cc
the ccregulators ccwho ccsupervise ccthe ccindustry ccIncreasingly,
focus ccis ccplaced ccon ccother ccstakeholders cc, ccincluding ccwider ccsociety cc, ccthe cclocal cccommunities ccin ccwhich ccthe ccfirm
ccoperates cc, ccthe ccenvironment cc, ccand cceven ccother ccfirms ccin ccthe ccsame ccmarket cc.
Risk cccan ccaffect cca ccfirm ccin ccthe ccimmediate cc, ccshort cc, ccmedium ccand cclong ccterms cc, ccand ccthese cctimeframes cccan cclink
ccrisks ccto cc: cc- ccCORRECT ccANS✔✔Crisis ccmanagement cc( ccimmediate ccrisks cc) cc
operational ccactivities cc( ccshort cc- ccterm ccrisks cc) cc
business cctactics ccmedium ccterm ccrisks cc) cc
overall ccstrategic ccdecision ccmaking cc( cclong cc- ccterm ccrisks
Compliance cc- ccCORRECT ccANS✔✔The ccsimplest ccdescription ccof cccompliance ccis ccconfirming ccto ccrules, cclaws, ccpolicies,
ccand ccstandards
Regulatory ccCompliance cc- ccCORRECT ccANS✔✔Regulatory cccompliance ccis ccthe ccstandard ccthat ccfirms ccneed ccto ccachieve
ccto ccbe ccable ccto ccdo ccbusiness ccwithin ccthe ccframeworks ccset ccby ccthe ccapplicable cclaws ccregulations ccand ccother ccstandards
What ccare ccbenefits ccof cceffective ccGRC ccoutside ccof ccregulatory cccomplaince ccand ccavoidance ccof ccthe ccrisk ccof ccsanctions? cc-
ccCORRECT ccANS✔✔Quality cccorporate ccgovernance cc- ccprovides ccthe ccbusiness ccstructures ccand ccframeworks ccneeded ccfor
ccthe ccboard ccto cccontrol ccand ccdirect ccthe ccfirm cc
Risk ccanalysis ccand ccmanagement cc- ccenables ccdecisions ccto ccbe ccmade ccon ccan ccinformed ccbasis cc
Compliance ccmanagement cc- ccmeans ccthat ccfirms ccare ccengaged ccwith ccthe cclegal cc, ccregulatory ccand ccother ccexternal
ccstandards ccrequirements ccor ccobligations ccthat ccare ccenforced ccon ccthe ccindustry
Risk ccculture cc- ccCORRECT ccANS✔✔can ccbe ccdefined ccby ccthe ccsystem ccof ccvalues ccand ccbehaviours cccollectively cccalled
ccthe ccculture cc, ccthat ccaffect ccthe ccfirm's ccrisk ccdecisions cc. ccIn ccpractical ccterms cc, ccemployees ccneed ccto ccunderstand ccthe
ccfirm's ccrisk ccexposures
ccThe ccrisk ccculture ccis cccreated ccby ccrisk cc- ccmanagement cctraining cc, ccrisk ccassessment ccand ccguidance ccabout ccdecision cc-
ccmaking cc. ccIt ccinvolves ccrisk ccpolicies ccas ccwell ccas ccrisk ccstatements ccand ccprocedures cc.
Governance ccculture ccand ccwhy ccis ccit ccan ccadvantage? cc- ccCORRECT ccANS✔✔can ccbe ccdefined ccas ccthe ccattitudes ccand
ccactions ccthat cclead ccto ccthe ccbuilding ccof cca ccstrong ccand cccompetitive ccbusiness ccthat ccenhances ccshareholder ccvalue cc. ccIt
