What are the PRIMARY requirements for developing risk scenarios? Each correct answer represents a part of the solution.
Choose two.
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A. B. C. D.AB.
Creating a scenario requires determination of the value of an asset or a business process at risk and the potential threats and vulnerabilities that could cause loss.
The risk scenario should be assessed for relevance and realism, and then entered into the risk register if found to be relevant.
In practice following steps are involved in risk scenario development: -> First determine manageable set of scenarios, which include: -> Frequently occurring scenarios in the industry or product area.
-> Scenarios representing threat sources that are increasing in count or severity level.
-> Scenarios involving legal and regulatory requirements applicable to the business.
-> After determining manageable risk scenarios, perform a validation against the business objectives of the entity.
-> Based on this validation, refine the selected scenarios and then detail them to a level in line with the criticality of the entity.
-> Lower down the number of scenarios to a manageable set.
Manageable does not signify a fixed number, but should be in line with the overall importance and criticality of the unit.
-> Risk factors kept in a register so that they can be reevaluated in the next iteration and included for detailed analysis if they have become relevant at that time.
-> Risk factors kept in a register so that they can be reevaluated in the next iteration and included for detailed analysis if they have become relevant at that time.
-> Include an unspecified event in the scenarios, that is, address an incident not covered by other scenarios.
Incorrect Answers: C, D: Determination of actors and threat type are not the primary requirements for developing risk scenarios, but are the components that are determined during risk scenario development.
The primary requirements for developing risk scenarios are:
A. Potential threats and vulnerabilities that could lead to loss events: To develop risk scenarios, it is essential to identify the potential threats and vulnerabilities that could lead to loss events. This involves identifying the possible sources of harm or damage to an organization's assets or operations, as well as the weaknesses or gaps in its security or control systems that could make it vulnerable to these threats. Examples of potential threats could include cyber attacks, natural disasters, human errors, or malicious insider actions, while vulnerabilities could include weak passwords, unpatched software, or poor physical security controls.
C. Determination of actors that have the potential to generate risk: Another critical aspect of developing risk scenarios is to determine the actors that have the potential to generate risk. This involves identifying the individuals, groups, or organizations that could pose a threat to an organization's assets or operations, whether intentionally or unintentionally. Examples of actors could include hackers, employees, competitors, or suppliers. Understanding the motivations, capabilities, and methods of these actors can help organizations develop more realistic and effective risk scenarios.
B and D are not the primary requirements for developing risk scenarios. While it is important to determine the value of an asset at risk (B) to prioritize risk management efforts and allocate resources effectively, it is not a primary requirement for developing risk scenarios. Similarly, determining the threat type (D) is also important but not a primary requirement for developing risk scenarios. Threat type helps to categorize and analyze different types of risks, but identifying potential threats and actors is more important in developing specific risk scenarios for an organization.