Which of the following would be the BEST indicator that an organization is appropriately managing risk?
Click on the arrows to vote for the correct answer
A. B. C. D.B.
The best indicator that an organization is appropriately managing risk is option B: Risk assessment results are within tolerance.
Here's a detailed explanation:
Option A: The number of security incident events reported by staff has increased An increase in the number of security incidents reported by staff may indicate that the organization is experiencing more security incidents, which can be an indicator of poor risk management practices. Therefore, this option cannot be considered as the best indicator that an organization is appropriately managing risk.
Option B: Risk assessment results are within tolerance Risk assessment is a crucial component of risk management. It involves identifying and assessing risks to determine their likelihood and potential impact. Organizations can then determine how best to manage the risks based on their risk tolerance levels. If the risk assessment results are within tolerance, it means that the organization has appropriately identified and assessed risks and is managing them effectively. Therefore, this option is the best indicator that an organization is appropriately managing risk.
Option C: A penetration test does not identify any high-risk system vulnerabilities A penetration test is a method of evaluating the security of a system by simulating an attack. If a penetration test does not identify any high-risk vulnerabilities, it indicates that the organization has implemented appropriate security measures to protect the system from potential attacks. However, a penetration test is just one aspect of risk management, and relying solely on it to assess an organization's risk management practices would not be sufficient.
Option D: The number of events reported from the intrusion detection system has declined An intrusion detection system (IDS) is a tool that monitors network traffic for signs of unauthorized access or malicious activity. If the number of events reported by the IDS has declined, it could mean that the organization's security measures are effective in preventing intrusions. However, this option does not provide a comprehensive picture of an organization's risk management practices.
In summary, the best indicator that an organization is appropriately managing risk is when its risk assessment results are within tolerance, indicating that the organization has identified and assessed risks and is managing them effectively.