What are the different types of risk analysis?
Risk analysis is a process that the company goes through to assess internal and external factors that can affect business productivity, profitability and operations. There are two primary types of risk analysis. These two wide categories are qualitative and quantitative risk analysis. By assessing these risks, companies can introduce plans to avoid and manage risks.
Qualitative risk analysis consists of six primary parts. Elements of qualitative risk include threats, attacks, vulnerability, control, impact and business impact. The company must assess all these elements as a comprehensive package for evaluating the qualitative risks that the company has. The first risk is that many employees in different departments have access to all these personal customers.
When they appear in a credit card company, the problem that auditors will find is the risk that files do not contain encrypted information. This means that when the information is sent to the business server business and KDIt sits in the database, is endangered. Information is endangered by employees or external hackers from obtaining personal
Quantitative risk analysis focuses more on the facts, numbers and data associated with the company. Two primary subcategories of quantitative analysis are the likelihood that there will be a risk and likelihood of loss if there is a risk.
For example, the office of a health insurance company, which has 1,000 sets of patients in the house, would have to assess the risk if there is a violation of confidentiality. Suppose in this case, health insurance records are placed in one database. Let us also assume that the database is a compromised hacker burglary into the database. In principle, this exposes 1,000 patient sets, personal data, medical and insurance records to a hacker.
Suppose the office of the insurance company places the value of the dollar of $ 30 (USD) for the axleeach patient file. The cost of $ 30 cover everything from a change in the number of patient accounts and printing new health insurance cards to contacting each of the patients to inform them about what happened. When performing quantitative risk analysis, the answer is $ 30,000. This is the loss of the Health Insurance Office for breach of its database.
As soon as the powers that perform risk analysis are then important to introduce plans to control the risk. For example, with an illustration of quality risk, credit cards must use a system or install a program that automatically encrypts its customer data.