Abstract: The standards allow the selection of a number of quantitative and qualitative methods to systematically assess risk to critical processes, systems, and products identified by the Business Impact Analysis or by independent examination of the risk to organizational and business continuity objectives through the risk assessment process. Departing from a strictly pure risk methodology in its approach to risk assessment, ISO 22301’s suggested use of the ISO 31000 Risk Management Standard enables the analyst to look at speculative risk to these objectives, systems, and processes that include financial and reputational risk. Using an Enterprise Risk Management framework, the context of the analysis is established through communication and consultation. The Risk Assessment then systematically identifies, analyzes, and treats the risk of disruption to the organization’s prioritized activities in accordance with the organization’s risk appetite. If a hazard is not identified, the risk it presents cannot be prevented, prepared for, or treated. Hazard identification is aided by a healthy degree of paranoia, knowledge of history, research, and the extrapolation of cause and effect. Once identified, the likelihood and consequence of the hazards are analyzed and entered into the risk registry for treatment or monitoring. Depending on the type of analysis used, an Annual Loss Expectancy (ALE) could be used to help prioritize treatment of risk and residual risk through risk avoidance, risk control, risk transfer, or risk assumption. The assessment and the methodology used to conduct the assessment are documented and communicated to management and to third parties as appropriate. The organization’s risk appetite, risk registry, and process for the monitoring and review of risk are important components of this documentation.
Publication Year: 2015
Publication Date: 2015-01-01
Language: en
Type: book-chapter
Indexed In: ['crossref']
Access and Citation
AI Researcher Chatbot
Get quick answers to your questions about the article from our AI researcher chatbot