QuestionQ864

Risk Assessment

Which of the following BEST enables the identification of suitable key performance indicators (KPIs) for a risk management program?

  • A Consulting risk owners
  • B Evaluating KPIs in accordance with risk appetite
  • C Aligning with industry best practices
  • D Reviewing control objectives
Explanation

Control objectives establish the specific outcomes that risk-management controls must achieve; suitable KPIs are derived from those objectives to measure control implementation, effectiveness, efficiency, and program performance. Risk appetite informs acceptable risk limits rather than identifying the performance measures themselves.

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