ITIL 4 Foundation Practice Exam

In risk management, what does 'control' refer to?

1. A method for tracking project expenses

2. The means of managing a risk or ensuring a business objective is achieved

3. A guideline for employee performance reviews

4. Strategies for market competition

The correct answer is: The means of managing a risk or ensuring a business objective is achieved

In risk management, 'control' specifically refers to the means of managing a risk or ensuring that a business objective is achieved. It encompasses the strategies, processes, and actions implemented to mitigate risks and enhance the likelihood of achieving desired outcomes. Control measures can include various forms of risk assessment, monitoring, and mitigation strategies that help organizations navigate uncertainties effectively. By employing controls, organizations are better positioned to avoid potential pitfalls and respond proactively to risk events, thus supporting their strategic objectives. Effective control is essential because it allows organizations to anticipate challenges and prepare responses, ensuring a more stable and predictable environment in which to operate. This is why option B accurately captures the essence of what control means in the context of risk management. Other options, while related to different aspects of business processes or goals, do not align with the specific definition of control within the realm of risk management.