Risk Management & Assessment Flashcards

Funds set aside within a training project budget specifically for identified risks are called:

Answer: Contingency reserve

Contingency reserves cover known, identified risks, while management reserves cover unknown risks.

A steady decline in pilot-course enrollment that signals a risk of program cancellation is best described as a:

Answer: Risk trigger

A risk trigger is an early warning sign that a risk is about to occur or has occurred.

An unplanned response to a negative event for which no response had been prepared is called a:

Answer: Workaround

Workarounds are improvised responses to unanticipated or unplanned risk events.

A training initiative has a 20% chance of incurring a $50,000 vendor penalty. What is the expected monetary value (EMV) of this risk?

Answer: $10,000

EMV equals probability multiplied by impact: 0.20 x $50,000 = $10,000.

Running a pilot session with a small learner group before a full rollout primarily serves to:

Answer: Identify and reduce design and delivery risks before scaling

Pilots surface content, logistics, and technology problems while the cost of fixing them is low.

Which risk identification technique collects anonymous expert input over multiple rounds to reach consensus?

Answer: Delphi technique

The Delphi technique uses anonymous, iterative expert questionnaires to reduce bias and groupthink.

A training team assigns its top grant writer to guarantee it secures a workforce development grant. Which positive-risk strategy is this?

Answer: Exploit

Exploiting an opportunity means taking action to ensure it definitely happens.