The PRIMARY objective of a risk management program is to:
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A. B. C. D.D.
The goal of a risk management program is to ensure that residual risk remains within manageable levels.
Management of risk does not always require the removal of inherent risk nor is this always possible.
A possible benefit of good risk management is to reduce insurance premiums, but this is not its primary intention.
Effective controls are naturally a clear objective of a risk management program, but with the choices given, choice C is an incomplete answer.
The primary objective of a risk management program is to identify, assess, and manage risks to achieve an acceptable level of risk. A risk management program involves a continuous process of identifying risks, assessing the potential impact of those risks, and implementing measures to mitigate or manage those risks.
Risk management is a critical component of information security management. The objective of a risk management program is not to eliminate all risks but rather to manage them effectively to ensure that the organization can achieve its goals and objectives without being unduly exposed to risks that could result in financial or reputational damage.
Option A, "minimize inherent risk," is not the primary objective of a risk management program, as inherent risk is the level of risk that exists before controls are put in place to mitigate the risk.
Option B, "eliminate business risk," is not feasible as every business activity involves some level of risk, and the goal of a risk management program is not to eliminate risks but to manage them effectively.
Option C, "implement effective controls," is an important component of a risk management program, but it is not the primary objective. Effective controls are put in place to manage risks and reduce their impact.
Option D, "minimize residual risk," is an important objective of a risk management program, but it is not the primary objective. Residual risk is the level of risk that remains after controls have been put in place to manage the risk.
In summary, the primary objective of a risk management program is to identify, assess, and manage risks to achieve an acceptable level of risk, taking into consideration the organization's goals and objectives, resources, and risk appetite.