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NEW QUESTION 48
Which of the following is the BEST way for a risk practitioner to help management prioritize risk response?

• A. Implement an organization-specific risk taxonomy.
• B. Explain risk details to management.
• C. Assess risk against business objectives.
• D. Align business objectives to the risk profile.

Answer: D

Explanation:
Section: Volume D

NEW QUESTION 49
The PRIMARY purpose of a maturity model is to compare the:

• A. organization to industry best practices.
• B. organization to peers.
• C. current state of key processes to their desired state.
• D. actual KPIs with target KPIs.

Answer: C

Explanation:
Section: Volume D

NEW QUESTION 50
A teaming agreement is an example of what type of risk response?

• A. Share
• B. Transfer
• C. Acceptance
• D. Mitigation

Answer: A

Explanation:
Section: Volume D
Explanation/Reference:
Explanation:
Teaming agreements are often coming under sharing risk response, as they involves joint ventures to realize an opportunity that an organization would not be able to seize otherwise.
Sharing response is where two or more entities share a positive risk. Teaming agreements are good example of sharing the reward that comes from the risk of the opportunity.
Incorrect Answers:
A: Acceptance is a risk response that is appropriate for positive or negative risk events. It does not pursue the risk, but documents the event and allows the risk to happen. Often acceptance is used for low probability and low impact risk events.
B: Risk mitigation attempts to reduce the probability of a risk event and its impacts to an acceptable level. Risk mitigation can utilize various forms of control carefully integrated together.
C: Transference is a negative risk response where the project manager hires a third party to own the risk event.

NEW QUESTION 51
......

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