The five steps of risk management include:
A) Identify risks, consider likelihood, evaluate risks, treat the risks, review and evaluate
B) Identify risks, consider consequences, evaluate risks, treat the risks, review and evaluate
C) Establish the context, identify risks, evaluate risks, treat the risks, review and evaluate
D) Evaluate risks, treat the risks, develop contingency plans, take out insurance, review

Question

Quizplus · Accepted Answer

C is correct because it outlines a comprehensive approach to risk management that starts with establishing the context (understanding the environment and setting the scope), identifying risks (finding potential issues), evaluating risks (assessing their impact and likelihood), treating the risks (implementing measures to mitigate or eliminate risks), and finally, reviewing and evaluating (assessing the effectiveness of the risk management process and making adjustments as necessary). This sequence is widely recognized in risk management methodologies.

The Five Steps of Risk Management Include