Which of the following is the BEST indicator of the effectiveness of a control action plan's implementation?
Click on the arrows to vote for the correct answer
A. B. C. D.C.
The BEST indicator of the effectiveness of a control action plan's implementation is the reduction in risk level (C).
A control action plan is developed to address identified risks and control weaknesses. The plan outlines the actions needed to mitigate the risks and strengthen controls. Implementing the plan means putting the actions into effect, monitoring progress, and making any necessary adjustments to ensure that the controls remain effective over time.
The ultimate goal of implementing a control action plan is to reduce the level of risk to an acceptable level. Therefore, the reduction in risk level is the best indicator of the effectiveness of a control action plan's implementation. If the plan is working, the risk level should be decreasing.
Increased risk appetite (A) is not a good indicator of the effectiveness of a control action plan's implementation because it suggests that the organization is becoming more tolerant of risk. The goal of the control action plan is to reduce risk, not increase risk appetite.
Increased number of controls (B) is not necessarily a good indicator of the effectiveness of a control action plan's implementation. Adding controls without considering the underlying risks and control weaknesses may not be effective in reducing risk. Therefore, it is better to focus on the effectiveness of the controls that are in place, rather than just the number of controls.
Stakeholder commitment (D) is important for the success of a control action plan's implementation, but it is not the best indicator of effectiveness. Stakeholder commitment can help ensure that the plan is implemented successfully, but it does not necessarily guarantee that the plan is reducing risk effectively.