RIMS CRMP IMPLEMENTING THE RISK
PROCESS FINAL EXAMINATION TEST 2026
COMPLETE QUESTIONS AND SOLUTIONS
◉ Risk Register Analysis. Answer: compile risk into a risk register to
analyze and manage those risks in an organized way, typically by
category.
◉ Scenario analysis. Answer: process of analyzing possible and
plausible future events by considering alternative settings,
circumstances and outcomes. It provides a basis for making
decisions in the context of different conditions.
◉ Site analysis. Answer: leaders at each site perform an assessment
by analyzing and evaluating the potential risks based on what is
being produced at the site and its environmental factors. This may
include threat, vulnerability and criticality analyses.
◉ SWOT analysis. Answer: strengths and weaknesses (internal),
opportunities and threats (external)
◉ Monte Carlo analysis. Answer: mathematical technique that
generates random variables for modelling risk or uncertainty of a
,certain system (simulation). The random variables or inputs are
modelled on the basis of probability distributions
◉ Stress analysis. Answer: a form of simulation used to determine
reactions to different situations. Also used to gauge how certain
stressors will affect a company or industry.
◉ Influence diagrams, scenario analysis, site analysis, SWOT.
Answer: Examples of qualitative methodology for analyzing data
◉ Bowtie, business impact analysis, fault tree, cause/consequence
analysis. Answer: Examples of combined methodology for analyzing
data
◉ Monte Carlo, stress analysis. Answer: Examples of quantitative
methodology for analyzing data
◉ Risk evaluation. Answer: uses which risk criteria (risk appetite,
risk tolerance, outputs from risk identification and risk analysis
process) to determine which risks are acceptable and which require
additional modification or treatment
◉ Risk appetite. Answer: is the total exposed amount that an
organization wishes to undertake on the basis of risk-return trade-
offs for one or more desire and expected outcomes.
, ◉ Risk tolerance. Answer: is the amount of uncertainty an
organization is prepared to accept in total - or more narrowly, within
a certain business unit, a particular risk category, or for a specific
initiative.
◉ Risk interdependencies. Answer: are situations where risks can
have a cascading effect. Understanding this provides an opportunity
to facilitate collaboration among various business units by
addressing similar or related risks together.
◉ Indemnification. Answer: contractual obligation placed on the
indemnifier to return the indemnified to essentially the same
financial condition that existed prior to the loss or claim or to stand
in as the source for financing the legal liability.
◉ Contractual risk transfer. Answer: a legally binding agreement
between two parties whereby one agrees to indemnify and hold
another party harmless for specified actions, inactions, injuries or
damages.
◉ Hold harmless. Answer: wording that requires one party to shield
the other party from the effects of the legal liability assignable to
transferor or obligor.
PROCESS FINAL EXAMINATION TEST 2026
COMPLETE QUESTIONS AND SOLUTIONS
◉ Risk Register Analysis. Answer: compile risk into a risk register to
analyze and manage those risks in an organized way, typically by
category.
◉ Scenario analysis. Answer: process of analyzing possible and
plausible future events by considering alternative settings,
circumstances and outcomes. It provides a basis for making
decisions in the context of different conditions.
◉ Site analysis. Answer: leaders at each site perform an assessment
by analyzing and evaluating the potential risks based on what is
being produced at the site and its environmental factors. This may
include threat, vulnerability and criticality analyses.
◉ SWOT analysis. Answer: strengths and weaknesses (internal),
opportunities and threats (external)
◉ Monte Carlo analysis. Answer: mathematical technique that
generates random variables for modelling risk or uncertainty of a
,certain system (simulation). The random variables or inputs are
modelled on the basis of probability distributions
◉ Stress analysis. Answer: a form of simulation used to determine
reactions to different situations. Also used to gauge how certain
stressors will affect a company or industry.
◉ Influence diagrams, scenario analysis, site analysis, SWOT.
Answer: Examples of qualitative methodology for analyzing data
◉ Bowtie, business impact analysis, fault tree, cause/consequence
analysis. Answer: Examples of combined methodology for analyzing
data
◉ Monte Carlo, stress analysis. Answer: Examples of quantitative
methodology for analyzing data
◉ Risk evaluation. Answer: uses which risk criteria (risk appetite,
risk tolerance, outputs from risk identification and risk analysis
process) to determine which risks are acceptable and which require
additional modification or treatment
◉ Risk appetite. Answer: is the total exposed amount that an
organization wishes to undertake on the basis of risk-return trade-
offs for one or more desire and expected outcomes.
, ◉ Risk tolerance. Answer: is the amount of uncertainty an
organization is prepared to accept in total - or more narrowly, within
a certain business unit, a particular risk category, or for a specific
initiative.
◉ Risk interdependencies. Answer: are situations where risks can
have a cascading effect. Understanding this provides an opportunity
to facilitate collaboration among various business units by
addressing similar or related risks together.
◉ Indemnification. Answer: contractual obligation placed on the
indemnifier to return the indemnified to essentially the same
financial condition that existed prior to the loss or claim or to stand
in as the source for financing the legal liability.
◉ Contractual risk transfer. Answer: a legally binding agreement
between two parties whereby one agrees to indemnify and hold
another party harmless for specified actions, inactions, injuries or
damages.
◉ Hold harmless. Answer: wording that requires one party to shield
the other party from the effects of the legal liability assignable to
transferor or obligor.
