Continuous risk management process improvement is the practice of evaluating and enhancing the risk management process on a regular basis, to ensure that it is effective, efficient, and aligned with the business objectives and strategy. Continuous risk management process improvement can help identify and address the gaps, weaknesses, or opportunities for improvement in the risk management process, and ensure that the process is responsive and adaptable to the changing risk environment. The most effective method for continuous risk management process improvement is periodic assessments, which are systematic and objective evaluations of the risk management process, performed at predefined intervals or after significant events.
Periodic assessments can help measure and monitor the performance and maturity of the risk management process, using criteria such as the risk management framework, standards, policies, procedures, methods, tools, roles, responsibilities, and results. Periodic assessments can also help identify and analyze the strengths, weaknesses, threats, and opportunities of the risk management process, and provide feedback and recommendations for improvement. Periodic assessments can also help communicate and report the status and progress of the risk management process to the stakeholders, and obtain their input and support for improvement actions. References = Continuous Risk Management Guidebook, p. 7-8, ISO 31000: risk management and its continuous improvement, How Continuous Monitoring Drives Risk Management.

Section: Volume D

Explanation/Reference:
Explanation:
The foremost root cause of project risk is:
A lack of discipline in managing the software development process

Selection of a project methodology that is unsuitable to the system being developed

Incorrect Answers:
A: The risk associated with new system is not meeting the user business needs is business risks, not project risk.
B: This is not direct reason of project risk.

The best risk response for an identified high probability risk scenario involving a critical, proprietary business function with an annualized cost of control higher than the annual loss expectancy is to accept the risk.
Accepting the risk means acknowledging the risk but choosing not to take any specific action to address it.
This strategy is suitable when the cost of implementing controls exceeds the potential loss, as in this scenario.
The organization recognizes the risk, but the cost-benefit analysis suggests that the potential loss is acceptable given the higher cost of control. The other options are not the best risk responses, as they may not be feasible, practical, or cost-effective in this scenario. Mitigating the risk means reducing the risk by implementing controls or measures to minimize its potential impact, but this would increase the cost of control, which is already higher than the annual loss expectancy. Transferring the risk means shifting the risk to another party, typically through insurance or contracts, but this may not be possible or advisable for a critical, proprietary business function, and it may also increase the overall cost burden. Avoiding the risk means eliminating the risk entirely by not engaging in the activity that poses the risk, but this may disrupt essential business operations and potentially result in other adverse consequences. References = CRISC Exam: Best Risk Response for High Probability Risk Scenario; Risk Response Plan in Project Management: Key Strategies & Tips; Chapter 19: Summarizing Risk Management Concepts

Explanation/Reference:
Explanation:
The stakeholder register is not an input to the qualitative risk analysis process. The four inputs are the risk register, risk management plan, project scope statement, and organizational process assets.
Incorrect Answers:
A: The Risk management plan is an input to the risk qualitative analysis process.
B: The project scope statement is needed to help with qualitative risk analysis.
C: The risk register can help Wendy to perform qualitative risk analysis.