Which of the following is necessary for the effective risk management in IT governance?
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A. B. C. D.A.
The effective risk management in IT governance requires several key elements, including:
A. Risk evaluation is embedded in management processes: This means that risk assessment and management are integrated into the organization's overall management practices and decision-making processes. It ensures that risks are identified, evaluated, and addressed at every level of the organization. This approach ensures that risk management is not viewed as a separate activity but as an integral part of the overall organizational strategy.
B. Risk management strategy is approved by the audit committee: The audit committee oversees the organization's risk management activities and approves the risk management strategy. This ensures that the organization's risk management practices align with its overall objectives and that it follows best practices in risk management.
C. Local managers are solely responsible for risk evaluation: This option is incorrect because effective risk management requires involvement and input from all levels of the organization. Local managers may have a role in identifying and assessing risks within their area of responsibility, but they should work collaboratively with other stakeholders, such as risk management professionals and the audit committee.
D. IT risk management is separate from corporate risk management: This option is incorrect because IT risk management should be integrated with the organization's overall risk management program. IT risks are an important component of the organization's overall risk profile, and they should be evaluated and managed in the context of the organization's overall objectives.
In summary, options A and B are necessary for effective risk management in IT governance. Risk management should be integrated into management processes, and the risk management strategy should be approved by the audit committee. Local managers should not be solely responsible for risk evaluation, and IT risk management should not be separate from corporate risk management.