You are the risk professional in Bluewell Inc.
You have identified a risk and want to implement a specific risk mitigation activity.
What you should PRIMARILY utilize?
Click on the arrows to vote for the correct answer
A. B. C. D.B.
As business case includes business need (like new product, change in process, compliance need, etc.) and the requirements of the enterprise (new technology, cost, etc.), risk professional should utilize this for implementing specific risk mitigation activity.
Risk professional must look at the costs of the various controls and compare them against the benefits that the organization will receive from the risk response.
Hence he/she needs to have knowledge of business case development to illustrate the costs and benefits of the risk response.
Incorrect Answers: A, C, D: These all options are supplemental.
As a risk professional, when identifying a risk and implementing a risk mitigation activity, the primary consideration should be the business case.
A business case is a document that outlines the justification for a proposed project or investment, including the costs and benefits, risks and opportunities, and expected outcomes. It provides an analysis of the potential impact of the risk and the proposed mitigation activity on the organization's objectives, stakeholders, and overall strategy.
Utilizing a business case allows the risk professional to assess the cost-effectiveness of the proposed risk mitigation activity and ensure that it aligns with the organization's strategic goals and priorities. It also helps to ensure that the activity is feasible and has a realistic chance of success.
While vulnerability assessment reports, technical evaluation reports, and budgetary requirements are all important considerations in implementing a risk mitigation activity, they are not the primary consideration. A vulnerability assessment report provides information on the organization's vulnerabilities but does not address the broader context of the risk or the potential impact of the mitigation activity. Technical evaluation reports are focused on the technical aspects of a proposed solution, and budgetary requirements are important but should not be the primary consideration when assessing the effectiveness of a risk mitigation activity.
In summary, the primary consideration when implementing a risk mitigation activity should be the business case, as it provides a comprehensive analysis of the potential impact of the risk and the proposed mitigation activity on the organization's objectives, stakeholders, and overall strategy.