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Answer: A,B
NEW QUESTION: 2
Standards describe how work will be measured. A Standard answers the question:
A. When
B. Why
C. What
D. Where
Answer: C
Explanation:
Topic 2, Volume B
NEW QUESTION: 3
Which of the following terms is described in the statement below?
"They are the prime monitoring indicators of the enterprise, and are highly relevant and possess a high probability of predicting or indicating important risk."
A. Lead indicators
B. Key risk indicators
C. Lag indicators
D. Risk indicators
Answer: B
Explanation:
Explanation/Reference:
Explanation:
Key Risk Indicators are the prime monitoring indicators of the enterprise. KRIs are highly relevant and possess a high probability of predicting or indicating important risk. KRIs help in avoiding excessively large number of risk indicators to manage and report that a large enterprise may have.
Incorrect Answers:
B: Lag indicators are the risk indicators that is used to indicate risk after events have occurred.
C: Lead indicators are the risk indicators that is used to indicate which capabilities are in place to prevent events from occurring.
D: Risk indicators are metrics used to indicate risk thresholds, i.e., it gives indication when a risk level is approaching a high or unacceptable level of risk. The main objective of a risk indicator is to ensure tracking and reporting mechanisms that alert staff about the potential risks.
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