ARM 400 - RISK IN AN EVOLVING WORLD
Big Data - Answers - Sets of data that are too large to be gathered and analyzed by
traditional methods
Data Capture - Answers - enabled primarily by smart products that sense their
environment, process data, and communicate with other smart products and smart
operations through the Internet of Things (IoT). These interactions generate the data to
which advanced analytics can be applied.
Smart Product - Answers - An innovative item that uses sensors; wireless sensor
networks; and data collection, transmission, and analysis to further enable the item to
be faster, more useful, or otherwise improved.
Internet of Things (IoT) - Answers - A network of objects that transmit data to and from
each other without human interaction.
Cloud Computing - Answers - Information, technology, and storage services
contractually provided from remote locations, through the internet or another network,
without a direct server connection.
Blockchain - Answers - A distributed and decentralized ledger that records and verifies
transactions and ownership, making it difficult to tamper with or shut down.
Data Analytics - Answers - The collection, storage, and sharing of data empowers real-
time risk management for organizations that use data gleaned from sensors to react
immediately to hazardous situations
Telematics - Answers - The use of technological devices in vehicles with wireless
communication and GPS tracking that transmit data to businesses or government
agencies; some return information for the driver.
Text Mining - Answers - Obtaining information through language recognition
Tolerable Uncertainty - Answers - aligning risks with the organization's risk appetite
Risk Appetite - Answers - Amount of risk an organization is willing to take on in order to
achieve an anticipated result or return.
Value at Risk (VaR) - Answers - A technique to quantify financial risk by measuring the
likelihood of losing more than a specific dollar amount over a specific period of time.
Components of Tolerable Uncertainty - Answers - - Reduce downside Risk
- Earnings Stability
Big Data - Answers - Sets of data that are too large to be gathered and analyzed by
traditional methods
Data Capture - Answers - enabled primarily by smart products that sense their
environment, process data, and communicate with other smart products and smart
operations through the Internet of Things (IoT). These interactions generate the data to
which advanced analytics can be applied.
Smart Product - Answers - An innovative item that uses sensors; wireless sensor
networks; and data collection, transmission, and analysis to further enable the item to
be faster, more useful, or otherwise improved.
Internet of Things (IoT) - Answers - A network of objects that transmit data to and from
each other without human interaction.
Cloud Computing - Answers - Information, technology, and storage services
contractually provided from remote locations, through the internet or another network,
without a direct server connection.
Blockchain - Answers - A distributed and decentralized ledger that records and verifies
transactions and ownership, making it difficult to tamper with or shut down.
Data Analytics - Answers - The collection, storage, and sharing of data empowers real-
time risk management for organizations that use data gleaned from sensors to react
immediately to hazardous situations
Telematics - Answers - The use of technological devices in vehicles with wireless
communication and GPS tracking that transmit data to businesses or government
agencies; some return information for the driver.
Text Mining - Answers - Obtaining information through language recognition
Tolerable Uncertainty - Answers - aligning risks with the organization's risk appetite
Risk Appetite - Answers - Amount of risk an organization is willing to take on in order to
achieve an anticipated result or return.
Value at Risk (VaR) - Answers - A technique to quantify financial risk by measuring the
likelihood of losing more than a specific dollar amount over a specific period of time.
Components of Tolerable Uncertainty - Answers - - Reduce downside Risk
- Earnings Stability
