Understanding the Risk Appetite for Switching Application Hosting
Question
In an effort to reduce operation costs, an enterprise is switching from all internally-hosted applications to a mixture of internally- and externally-hosted applications.
Of the following, the risk appetite for this decision would BEST be defined by the:
Answers
Explanations
Click on the arrows to vote for the correct answer
A. B. C. D.C.
The risk appetite for an enterprise's decision to switch from all internally-hosted applications to a mixture of internally- and externally-hosted applications is a critical factor in determining the level of risk that the enterprise is willing to accept. The decision to adopt a hybrid model of application hosting introduces new risks and changes the existing risk landscape. Therefore, it is essential to define the risk appetite for this decision.
Out of the four options provided, the Board of Directors is the BEST suited to define the risk appetite for this decision.
Explanation: A. Vendor oversight committee: A vendor oversight committee is responsible for monitoring and managing vendor relationships. It is not responsible for defining the risk appetite for the enterprise.
B. Board of Directors: The Board of Directors is responsible for overseeing the management of the enterprise and making strategic decisions on behalf of the organization. The Board of Directors is ultimately responsible for defining the risk appetite for the enterprise.
C. Chief Information Security Officer: The Chief Information Security Officer is responsible for overseeing the security of the enterprise's information systems and ensuring that security policies and procedures are followed. While the CISO may provide input on the risk associated with adopting a hybrid model of application hosting, they do not have the authority to define the enterprise's risk appetite.
D. Chief Information Officer: The Chief Information Officer is responsible for managing the enterprise's information technology infrastructure and ensuring that IT operations support the organization's goals. While the CIO may be involved in the decision-making process, they do not have the authority to define the enterprise's risk appetite.
In summary, the Board of Directors is the best option to define the risk appetite for the enterprise's decision to switch from all internally-hosted applications to a mixture of internally- and externally-hosted applications.
