Mid semester examTime: 1h30minsStructure: 5 MC questions + 20 Short answer questions Material covered: Lectures 1-7Week 1 Key concepts: definitions and explanations Risk The probability of harm or loss due to exposure to a hazard. The effect of uncertainty on objectives Acceptable risk:The level of risk an individual or organization is willing to accept Hazard: A source of potential harm or a situation with a potential to cause loss. A dangerous phenomenon, substance, human activity or condition that may cause: Injury， Other health impacts， Property damage， Loss of livelihood and services， Social and economic disruption， Environmental damage.Uncertainty The state, even partial, of deficiency of information related to, understanding or knowledge of an event, its consequence, or likelihoodA few important notes on the definition:It can be either positive or negative Objectives can be different aspects (financial, health and safety, environmental etc) and can apply at different levels (such as strategic, organization-wide, project, product and process). Risk is often expressed in terms of a combination of the consequences of an event and the associated likelihoodof occurrence. 它可以是正的，也可以是负的目标可以是不同的方面(财务、健康和安全、环境等)，可以应用于不同的级别(如战略、组织范围、项目、产品和过程)。风险通常用事件的后果和发生的相关可能性的组合来表示。Consequences of risks in organizations What effect do these uncertainties have on the objective?(Potential events + consequences of that event)Example: Will Sam be able to wake-up on time and be ready to leave on time?Event leading from uncertainty:Sam may wake up late due to faulty alarm clock.Consequences:Sam may not be ready when the time comes to get out of the house1
要预测这件事所产生出的结果A statement of a risk should encompass the cause of the impact (event/cause/hazard), and the impact to the objective (consequences) which might arise. Risk Management (what it is, its characteristics, its purpose etc) Organisations manage risk by: (1) Anticipating (2) Understanding(3) Deciding on modifications What is the risk management: Risk management refers to a coordinated set of activities and methods that is used to direct an organization and to control the many risks that can affect its ability to achieve objectives.Three components of the risk management architecture:(1) Principles – guiding force that underpins the framework 原则——支撑框架的引导力量(2) Framework - Set of components that support and sustain risk management throughout an organization. There are two types of components:Foundations: risk management policy, objectives and commitmentOrganizational arrangements: plans, relationships, resources that that you use to manage the risks.