Asset Management Risk-Based Asset Management 3

Question 1

What does 'consequence of failure' include in asset risk analysis?

Accepted Answer

Safety impact, environmental harm, financial loss, and reputational damage

Answer

Only repair cost

Answer

The time to replace the asset

Answer

Supplier lead time for spare parts

Question 2

What is the term for risk that remains after all mitigation measures have been applied?

Accepted Answer

Residual risk

Answer

Inherent risk

Answer

Primary risk

Answer

Transfer risk

Question 3

Which tool assigns a Risk Priority Number (RPN) by multiplying severity, occurrence, and detectability scores?

Accepted Answer

FMEA

Answer

RBI

Answer

RCA

Answer

FTA

Question 4

Risk mitigation strategies in asset management include all of the following EXCEPT:

Accepted Answer

Ignoring low-probability failures

Answer

Installing redundant equipment

Answer

Increasing inspection frequency

Answer

Training operators on emergency response

Question 5

What is 'probability of failure on demand' (PFD) most commonly used to assess?

Accepted Answer

Safety instrumented systems and protective devices

Answer

Financial asset default likelihood

Answer

Infrastructure bridge load ratings

Answer

Software application uptime

Question 6

Which document specifies the minimum acceptable risk levels and organizational risk appetite for an asset portfolio?

Accepted Answer

Asset risk policy

Answer

Maintenance schedule

Answer

Procurement contract

Answer

Depreciation schedule