ARM 401 - Holistically Assessing Risk UPDATED ACTUAL Questions and
CORRECT Answers
1. Risk threshold The range or amount of risk that is acceptable.
2. Sensor A device that detects and measures stimuli in its environment.
3. Radio frequen- A technology that uses radio frequency to identify objects.
cy identification
(RFID)
4. Artificial intelli- Computer processing or output that simulates human reasoning or knowledge.
gence (AI)
5. Computer vision A technology that simulates human vision.
6. Risk register A tool developed at the risk owner level that links specific activities, processes,
projects, or plans to a list of identified risks and results of risk analysis and
evaluation and that is ultimately consolidated at the enterprise level.
7. Risk map A template depicting the likelihood and potential impact/consequences of risks.
8. Risk appetite Amount of risk an organization is willing to take on in order to achieve an
anticipated result or return.
9. Inherent risk The level of risk that would be faced if it were to remain untreated or no action
were to be taken to alter the level of risk.
10. Residual risk The level of risk remaining after actions are taken to alter the level of risk.
11. Optimum risk The level of risk that is within an organization's risk appetite.
12. Risk control A conscious act or decision not to act that reduces the frequency and/or severity
of losses or makes losses more predictable.
13. Energy transfer An approach to accident causation that views accidents as energy that is released
theory and that affects objects, including living things, in amounts or at rates that the
objects cannot tolerate.
, 14. Technique of op- An approach to accident causation that views the cause of accidents to be a result
erations review of management's shortcomings.
(TOR)
15. Change analysis An analysis that projects the effects a given system change is likely to have on an
existing system.
16. Job safety analy- An analysis that dissects a repetitive task, whether performed by a person or
sis ( JSA) machine, to determine potential hazards if each action is not performed.
17. System safety A safety engineering technique also used as an approach to accident causation
that considers the mutual effects of the interrelated elements of a system on one
another throughout the system's life cycle.
18. Conceptual A phase in the life of a system when the basic purpose and preliminary design of
phase the system are formulated.
19. Engineering A phase in the life of a system when the system's design is constructed and
phase prototypes are tested.
20. Production A phase in the life of a system when the actual system is created.
phase
21. Operational A phase in the life of a system when the system is implemented.
phase
22. Disposal phase A phase in the life of a system when the system reaches the end of its useful life
and is disposed of.
23. Causal factors The agents that directly result in one event causing another.
24. An analysis that reverses the direction of reasoning in fault tree analysis by starting
with causes and branching out to consequences.
CORRECT Answers
1. Risk threshold The range or amount of risk that is acceptable.
2. Sensor A device that detects and measures stimuli in its environment.
3. Radio frequen- A technology that uses radio frequency to identify objects.
cy identification
(RFID)
4. Artificial intelli- Computer processing or output that simulates human reasoning or knowledge.
gence (AI)
5. Computer vision A technology that simulates human vision.
6. Risk register A tool developed at the risk owner level that links specific activities, processes,
projects, or plans to a list of identified risks and results of risk analysis and
evaluation and that is ultimately consolidated at the enterprise level.
7. Risk map A template depicting the likelihood and potential impact/consequences of risks.
8. Risk appetite Amount of risk an organization is willing to take on in order to achieve an
anticipated result or return.
9. Inherent risk The level of risk that would be faced if it were to remain untreated or no action
were to be taken to alter the level of risk.
10. Residual risk The level of risk remaining after actions are taken to alter the level of risk.
11. Optimum risk The level of risk that is within an organization's risk appetite.
12. Risk control A conscious act or decision not to act that reduces the frequency and/or severity
of losses or makes losses more predictable.
13. Energy transfer An approach to accident causation that views accidents as energy that is released
theory and that affects objects, including living things, in amounts or at rates that the
objects cannot tolerate.
, 14. Technique of op- An approach to accident causation that views the cause of accidents to be a result
erations review of management's shortcomings.
(TOR)
15. Change analysis An analysis that projects the effects a given system change is likely to have on an
existing system.
16. Job safety analy- An analysis that dissects a repetitive task, whether performed by a person or
sis ( JSA) machine, to determine potential hazards if each action is not performed.
17. System safety A safety engineering technique also used as an approach to accident causation
that considers the mutual effects of the interrelated elements of a system on one
another throughout the system's life cycle.
18. Conceptual A phase in the life of a system when the basic purpose and preliminary design of
phase the system are formulated.
19. Engineering A phase in the life of a system when the system's design is constructed and
phase prototypes are tested.
20. Production A phase in the life of a system when the actual system is created.
phase
21. Operational A phase in the life of a system when the system is implemented.
phase
22. Disposal phase A phase in the life of a system when the system reaches the end of its useful life
and is disposed of.
23. Causal factors The agents that directly result in one event causing another.
24. An analysis that reverses the direction of reasoning in fault tree analysis by starting
with causes and branching out to consequences.
