An organization maintains independent departmental risk registers that are not automatically aggregated. Which of the following is the GREATEST concern?
A.
Resources may be inefficiently allocated
B.
Management may be unable to accurately evaluate the risk profile
C.
Multiple risk treatment efforts may be initiated to treat a given risk
D.
The same risk factor may be identified in multiple areas
B. Management may be unable to accurately evaluate the risk profile
When risk registers are not automatically aggregated and consolidated into a central view, it becomes challenging for senior management and decision-makers to get a comprehensive and accurate view of the organization's overall risk profile. This lack of visibility can hinder the organization's ability to make informed decisions, prioritize risk treatments, and allocate resources effectively. It can also lead to the misalignment of risk management efforts and a fragmented understanding of the organization's total risk exposure. While the other concerns listed (inefficient resource allocation, multiple risk treatment efforts, and the same risk factor identified in multiple areas) are valid issues, the inability to accurately evaluate the risk profile can have a more significant and overarching impact on the organization's risk management and decision-making processes.
Yes agree with option "B", the greatest concern is that maintaining independent departmental risk registers that are not automatically aggregated may result in management being unable to accurately evaluate the overall risk profile of the organization which could result in making wrong decisions about risk management and mitigation.
Agree with B. Second would be inefficient allocation.
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