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HRM-CORE-07Term

Risk appetite

The amount of human risk leadership agrees to accept, written as thresholds on key risk indicators. A program at the Preempt level reports whether each indicator sits inside its threshold.

Example

A board risk committee sets the share of people at Stage 3 or above for the ransomware breach scenario that it will tolerate, and the CISO reports against it each quarter.

Sources

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Related terms

4
Cite this term

"Risk appetite" (HRM-CORE-07), Human Risk Management Framework v2.0.0, Living Security, CC BY 4.0. https://www.humanriskmanagement.com/taxonomy/terms/risk-appetite

Part of the open HRM Taxonomy, CC BY 4.0. Download the taxonomy as JSON · What's new in 2.0.

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