For which of the following risk management capability maturity levels do the statement given below is true? "Real-time monitoring of risk events and control exceptions exists, as does automation of policy management"
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A. B. C. D.C.
An enterprise's risk management capability maturity level is 5 when real-time monitoring of risk events and control exceptions exists, as does automation of policy management.
Incorrect Answers: A, D: In these levels real-time monitoring of risk events is not done.
B: In level 0 of risk management capability maturity model, enterprise does not recognize the importance of considering the risk management or the business impact from IT risk.
The Capability Maturity Model Integration (CMMI) is a framework used to measure an organization's capability in a particular area, such as risk management. The model consists of five levels, with Level 0 being the lowest and Level 5 being the highest. Each level has specific characteristics and requirements that organizations must meet to achieve that level of maturity.
The statement "Real-time monitoring of risk events and control exceptions exists, as does automation of policy management" indicates a high level of maturity in risk management. Real-time monitoring allows organizations to identify and respond to risks as they occur, while automation of policy management ensures that policies are consistently applied across the organization.
Based on this statement, the correct answer is C. Level 5. Level 5 organizations have achieved the highest level of maturity in risk management, where risk management processes are fully integrated into the organization's operations and decision-making processes. In Level 5, risk management is a continuous and proactive process that is fully integrated into the organization's culture.
Level 3, on the other hand, is characterized by a defined risk management process, where risks are identified, assessed, and managed in a standardized way across the organization. Real-time monitoring and automation of policy management may exist at Level 3, but it is not a requirement for this level.
Level 2 organizations have implemented basic risk management processes but may not have a standardized approach to risk management across the organization.
Level 0 organizations have no formal risk management processes in place and may not even be aware of the risks that they face.