(also risk assessment monitoring)
Risk monitoring definition
Risk monitoring forms a crucial segment of risk management, encompassing the consistent observation and tracking of identified risks impacting a network or information system. This procedure guarantees that changes in the risk scenario are noticed, facilitating prompt identification and reaction to evolving threats or vulnerabilities. Typically, risk monitoring is a perpetual process aimed at sustaining maximum security measures and confirming the successful operation of risk reduction strategies.
Risk monitoring examples
- Cybersecurity: Companies monitor risks associated with data breaches, malware attacks, and unauthorized access to systems. For instance, monitoring unusual network traffic patterns could reveal an ongoing cyberattack.
- Regulatory compliance: Organizations may monitor risks related to changes in privacy laws or industry regulations, which can impact the ways they handle data.
Advantages and disadvantages of risk monitoring
- Proactive response: Regular risk monitoring allows organizations to detect threats early, providing an opportunity to take mitigating actions before any substantial harm occurs.
- Improved decision-making: By staying aware of the current risk environment, organizations can make better-informed decisions regarding their cybersecurity strategies and resource allocation.
- Resource consumption: Risk monitoring can require significant resources, including specialized software tools and trained personnel, to conduct effectively.
- Potential false positives: Overly sensitive monitoring systems may generate false alarms, leading to wasted resources in investigating non-existent threats.
Using risk monitoring
- Adopt a comprehensive risk monitoring strategy that includes both automated tools and human analysis to effectively manage potential threats.
- Integrate risk monitoring with your overall risk management plan to ensure a coordinated response to identified risks.