What are the requirements of monitoring risk? Each correct answer represents a part of the solution.
Choose three.
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A. B. C. D.BCD.
It is important to first understand the risk to be monitored, prepare a detailed plan and define the project's scope for monitoring risk.
In the case of a monitoring project, this step should involve process owners, data owners, system custodians and other process stakeholders.
Incorrect Answers: A: Data regarding stakeholders of the project is not required in any phase of risk monitoring.
Monitoring risk is an essential aspect of managing risks in any organization. To ensure that risks are effectively monitored, there are several requirements that need to be considered. Three of these requirements are:
A. Information of various stakeholders: One of the critical requirements for monitoring risk is to gather information from various stakeholders. Stakeholders may include employees, customers, suppliers, regulators, and shareholders. Gathering information from stakeholders will help identify potential risks that may affect the organization's objectives, and provide valuable insights into how risks can be effectively monitored.
B. Preparation of a detailed monitoring plan: A detailed monitoring plan is necessary for monitoring risks effectively. The monitoring plan should outline the objectives of monitoring, the scope of the monitoring process, the roles and responsibilities of team members involved in the process, and the frequency of monitoring. The monitoring plan should be flexible and adaptable to changes in the organization's objectives or risk profile.
C. Identifying the risk to be monitored: The process of identifying the risk to be monitored involves identifying potential risks that may affect the organization's objectives. The risk identification process should be systematic and involve various stakeholders. Once the risks have been identified, they should be evaluated to determine their likelihood and potential impact. Risks with a high likelihood of occurrence and significant impact should be given priority in the monitoring process.
D. Defining the project's scope: Defining the project scope is another important requirement for monitoring risk. The scope of the project should be clearly defined to ensure that all risks are adequately monitored. The scope should include the objectives of the project, the stakeholders involved, the risks to be monitored, and the resources required for monitoring. A well-defined project scope will ensure that all risks are identified, monitored, and managed effectively.
In summary, monitoring risk requires gathering information from various stakeholders, preparing a detailed monitoring plan, identifying the risks to be monitored, and defining the project scope. By meeting these requirements, organizations can effectively monitor risks and ensure that they do not negatively impact their objectives.