ARM 401 Vocabulary With Solutions Verified By Experts
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ARM 401 Vocabulary With Solutions Verified
By Experts
Risk map a grid detailing the potential frequency and severity of risks faced by the
organization
Risk appetite The degree of uncertainty an entity is willing to take on, in anticipation of a
reward.
Inherent risk susceptibility to sign...
ARM 401 Vocabulary With Solutions Verified
By Experts
Risk map a grid detailing the potential frequency and severity of risks faced by the
organization
Risk appetite The degree of uncertainty an entity is willing to take on, in anticipation of a
reward.
Inherent risk susceptibility to significant control problems in the absence of internal
control
Residual risk the risk that remains after management implements internal controls or some
other response to risk
Optimum risk The level of risk that is within an organization's risk appetite
Risk control A conscious act or decision not to act that reduces the frequency and/or
severity of losses or makes losses more predictable.
,ARM 401 Vocabulary With Solutions Verified
By Experts
Energy transfer theory An approach to accident causation that views accidents as energy
that is released and that affects objects, including living things, in amounts or at rates that the
objects cannot tolerate.
Technique of operations review (TOR) An approach to accident causation that views the
cause of accidents to be a result of management's shortcomings.
Change analysis An analysis that projects the effects a given system change is likely to
have on an existing system.
Job safety analysis (JSA) An analysis that dissects a repetitive task, whether performed by
a person or machine, to determine potential hazards if each action is not performed.
System safety A safety engineering technique also used as an approach to accident
causation that considers the mutual effects of the interrelated elements of a system on one
another throughout the system's life cycle.
Conceptual phase A phase in the life of a system when the basic purpose and preliminary
design of the system are formulated.
, ARM 401 Vocabulary With Solutions Verified
By Experts
Engineering phase A phase in the life of a system when the system's design is constructed
and prototypes are tested.
Production phase A phase in the life of a system when the actual system is created.
Operational phase A phase in the life of a system when the system is implemented
Disposal phase A phase in the life of a system when the system reaches the end of its
useful life and is disposed of.
Causal factors Factors that increase risk for an event.
Failure mode and effects analysis (FMEA) a systematic approach to analyzing the causes
and effects of product failures; An analysis that reverses the direction of reasoning in fault tree
analysis by starting with causes and branching out to consequences.
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