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CISM/CISA · CISM

CISM Risk Management Basics

Information risk identification, assessment, and treatment concepts tested on the CISM exam.

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What is risk identification in information security?
The process of discovering, recognizing, and documenting potential security risks and threats to an organization's information assets.
Name three primary sources of information security risk.
Threats, vulnerabilities, and asset value.
What is the purpose of risk assessment?
To systematically identify, analyze, and evaluate risks to determine their potential impact and likelihood.
Define risk analysis.
The process of examining identified risks in detail to understand their nature, probability, and potential consequences.
What is qualitative risk analysis?
A method that rates risks using descriptive categories such as high, medium, and low rather than numerical values.
What is quantitative risk analysis?
A method that assigns numerical values to risks using data-driven calculations and financial metrics.
Define risk treatment.
The process of selecting and implementing strategies to respond to identified risks.
What is risk mitigation?
A risk response strategy that reduces the likelihood or impact of a risk through preventive controls or countermeasures.
What is risk acceptance?
A risk response strategy in which an organization decides to tolerate a risk and its potential impact.
What is risk avoidance?
A risk response strategy where an organization eliminates the activity or asset that creates the risk.
What is risk transfer?
A risk response strategy where the cost or responsibility for the risk is passed to a third party, such as through insurance.
Define risk tolerance.
The amount of risk an organization is willing to accept in pursuit of its business objectives.
What is asset valuation?
The process of determining the economic or operational value of an information asset for risk assessment purposes.
What is a threat assessment?
The process of identifying, analyzing, and evaluating potential threats that could exploit vulnerabilities in an organization's assets.
What is a vulnerability assessment?
The systematic process of identifying, quantifying, and prioritizing vulnerabilities in systems and applications.

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