Overview
Risk Mitigation is a strategy to prepare for and lessen the effects of threats faced by a business. It involves taking steps to reduce the likelihood of a risk occurring or the impact if it does.
Risk Treatment Options
- Avoidance: Changing plans to eliminate the risk entirely.
- Reduction (Mitigation): Implementing controls to lower the likelihood or impact (e.g., installing a firewall).
- Transference: Shifting the risk to a third party (e.g., buying cyber insurance).
- Acceptance: Acknowledging the risk and deciding not to take action (usually for low-impact risks).
Continuous Monitoring
Risk mitigation is not a one-time event; it requires ongoing monitoring to ensure that controls remain effective and that new risks are identified.