The Highest Priority for IT Risk Management in the Digital Transformation Process
Question
An organization is going through a digital transformation process, which places the IT organization in an unfamiliar risk landscape.
The information security manager has been tasked with leading the IT risk management process.
Which of the following should be given the HIGHEST priority?
Answers
Explanations
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A. B. C. D.A.
As the organization is going through a digital transformation process, the IT organization is moving into an unfamiliar risk landscape. The information security manager has been tasked with leading the IT risk management process. In such a scenario, the highest priority should be given to the identification of risks (Option A).
The reason for this is that risk identification is the foundation for any successful risk management process. It involves identifying potential risks that could impact the organization's objectives, assets, and operations. Without proper identification of risks, the organization would be unable to take effective steps to mitigate them. Therefore, it is important to identify all possible risks before proceeding with any other steps.
Once the risks have been identified, the next step is to design key risk indicators (KRIs) to measure the effectiveness of controls put in place to manage these risks (Option B). KRIs are important in monitoring risk management efforts and measuring the effectiveness of controls put in place.
After identifying the risks and designing KRIs, the next step is to analyze control gaps (Option C). Control gaps are areas where controls are not effective or not present. Identifying control gaps is important to ensure that proper controls are put in place to mitigate identified risks.
Finally, after identifying risks, designing KRIs, and analyzing control gaps, the organization can move to select risk treatment options (Option D). Risk treatment options involve selecting the appropriate risk response strategy for each identified risk. This could involve avoiding, transferring, mitigating, or accepting the risks.
In summary, in a scenario where an organization is going through a digital transformation process, the highest priority should be given to identifying risks. This is because risk identification is the foundation for any successful risk management process, and it is important to identify all possible risks before proceeding with any other steps. Once risks are identified, KRIs can be designed, control gaps can be analyzed, and risk treatment options can be selected.
