Your company help desk uses System Center 2012 Service Manager to manage and track problems.
You need to ensure that the manager of the help desk is notified automatically when a high-priority
incident is updated.
What should you configure? To answer, select the appropriate configuration in the answer area.
Answer: 
Explanation:
Service Manager uses notification subscriptions to automatically send notifications to selected
recipients when a selected condition occurs.
Source: System Center 2012 Service Manager Console
My opinion it would be the Subscriptions menu as it gives access to the ‘Notification Subscription’
wizard.
http://technet.microsoft.com/en-us/library/ff460891.aspx
Before notifications are sent, first configure each notification channel, such as the settings for Simple
Mail Transfer Protocol (SMTP). Notification messages are sent based on a notification template.
Therefore, you will need to create a notification template. You can then use the Notification
Subscription wizard to subscribe a group of users to a notification that will be sent whenever the
changes that you specify occur. Finally, you can verify that a notification is sent by manually
generating the change.
http://technet.microsoft.com/en-us/library/hh524284.aspx
– To create an email notification template and subscription – Step 4:
4. In the Administration pane, click Notifications, and then click Subscriptions. In the Tasks pane,
click Create
Subscription, and then complete the Create E-Mail Notification Subscription Wizard.