Risk Management in IT

It is the method, by which the business managers control the overall operational and financial costs, on all their important business procedures which ultimately yield them profits.

Asset is an entity that demands security/safety. For e.g.

1. Information assets: e.g.

 Databases: about customers, personnel, production, sales, marketing, financial. These Information assets are critical for the business its confidentiality, integrity and availability is of utmost importance.
Data files: transaction data giving up to date information about each event.
Operation and support procedures: These have been developed over the years and provide detailed instructions on how to perform various activities.
Archived Information : Old Information that may be required to maintain by law.
 Continuity plans: These would be developed to overcome any disaster and maintain the continuity of business. Absence of these will lead to Ad-hoc decisions in crisis.


2. Software Assets:

 Application softwares.
 System Softwares.


3. Physical Assets:

 Computer Equipments
 Communication Equipments
 Storage Media
 Technical Equipments
 Furnitures and fixtures.

4. Services:

Computing services that the organization has outsourced.
Communication services like voice communication, data communication, value added services, wide area network. Environmental Conditioning services like heating, lighting, air conditioning and power.



Risk Assessment:

 A step in Risk Management Process
It is the determination of quantitative or qualitative value of risk related to a real situation and a well-known threat.
Quantitative risk assessment requires calculations of two components of risk:
R, the magnitude of the potential loss L, and the probability p that the loss will occur.