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Lecture Note Professional practices in information technology - Lecture No. 32: Risk Management (Cont’d)
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Lecture Note Professional practices in information technology - Lecture No. 32: Risk Management (Cont’d)
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Lecture Note Professional practices in information technology - Lecture No. 32: Risk Management (Cont’d). After studying this chapter you will be able to understand: Introduction, risk management, risk identification, risk assessment, documenting the results of risk assessment. | Professional Practices in Information Technology HandBook COMSATS Institute of Information Technology (Virtual Campus) Islamabad, Pakistan Lecture 31 Risk Management (Cont’d) Risk Determination Example Asset A has a value of 50 and has one vulnerability, which has a likelihood of 1.0 with no current controls. Your assumptions and data are 90% accurate Asset B has a value of 100 and has two vulnerabilities: vulnerability #2 has a likelihood of 0.5 with a current control that addresses 50% of its risk; vulnerability # 3 has a likelihood of 0.1 with no current controls. Your assumptions and data are 80% accurate The resulting ranked list of risk ratings for the three vulnerabilities is as follows: – Asset A: Vulnerability 1 rated as 55 = (50 × 1.0) – 0% + 10% – Asset B: Vulnerability 2 rated as 35 = (100 × 0.5) – 50% + 20% – Asset B: Vulnerability 3 rated as 12 = (100 × 0.1) – 0 % + 20% Likelihood and Consequences Likelihood and consequence rating – Another approach – From the Australian and New Zealand Risk Management Standard 4360i – Uses qualitative methods of determining risk based on a threat’s probability of occurrence and expected results of a successful attack – Consequences (or impact assessment) are evaluated on 5 levels ranging from insignificant (level 1) to catastrophic (level 5), as assessed by the organization – Qualitative likelihood assessments levels are represented by values ranging from A (almost certain) to E (rare), as determined by the organization Identify Possible Controls For each threat and its associated vulnerabilities that have residual risk, create a preliminary list of control ideas. Three general categories of controls exist: – Policies – Programs – Technical controls Figure 32.5: Likelihood and Consequences 1 Figure 32.6: Likelihood and Consequences 2 Consequences and likelihoods are combined – Enabling the organization to determine which threats represent the greatest danger to the organization’s information assets The resulting rankings can then be inserted into the TVA tables for use in risk assessment Figure 32.7: Likelihood and Consequences 3 Documenting the Results of Risk Assessment Goals of the risk management process – To identify information assets and their vulnerabilities – To rank them according to the need for protection In preparing this list, a wealth of factual information about the assets and the threats they face is collected. Information about the controls that are already in place is also collected. The final summarized document is the ranked vulnerability risk worksheet. Figure 32.8: Documenting the Results of Risk Assessment 1 What should the documentation package look like? What are the deliverables from this stage of the risk management project? The risk identification process should designate what function the reports serve, who is responsible for preparing them, and who reviews them. Figure 32.9: Documenting the Results of Risk Assessment 2 – Professional Practices in Information Technology CSC 110
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