Amidst an increasingly uncertain business environment, risk intelligence becomes vitally important to businesses. Risk Intelligence incorporates a broader concept including the identification of potential risks, prioritisation of risks, and assessing their likely impact to make informed decisions. It incorporates the use of technological tools for monitoring and data analysis. Risks can be of varying nature including financial, operational, and regulatory, geopolitical instability, cyberthreats, espionage, or natural calamities.
Key concepts in Risk Intelligence:
- Threat:
- An event or situation which has the capability of interrupting the assets or operation of the organization is referred to as a threat.
- Identifying and defining potential threats that may affect the organisation including natural disasters, cyberattacks, or physical security threats.
- Risk and Vulnerability:
- Vulnerability: A gap or lacunae within the organisation’s infrastructure and operational procedure which makes it vulnerable to the potential threat.
- Risk: Risk is the probability of a negative event which includes the frequency of the event and the potential impact of the disruptive event.
- Risk Appetite:
- Different organisations have distinct vulnerabilities and risk appetite with respect to potential threats. An organisation with resilient infrastructure and operational processes will be less vulnerable to threats.
- Understanding Risk Appetite helps organisations optimise their limited resources toward resolving gaps and strengthening resilience.
- Data Aggregation and Analysis:
- Collecting relevant data with the help of AI – Machine Learning, and running quantitative tools for predictive analytics.
- For instance, Mitkat’s Datasurfr provides a platform to monitor potential threats and current developments that may affect business operations through real-time updates.
- Risk Assessment:
- Using Qualitative assessment including subject matter experts and risk analysts to understand the risks holistically.
- Understanding implications of risk in various contexts including Industry-specific risks and location-specific risks – local, regional, or global.
- Understanding the impact of risk on other potential threats and further amplification of risks through risk mapping.
- Risk Matrix:
- Prioritization of risks with respect to likelihood and their impact on the organisation’s assets and operations.
- Risk Mitigating Strategies:
- Developing strategies and protocols to reduce the impact of the risks through preventive, detective, and corrective measures.
- Formulating multiple scenario planning to analyse the impact of risks and testing standard procedures to find gaps.
- Continuous Monitoring and Feedback mechanisms:
- Reviewing risk mitigating strategies to understand gaps within the risk management frameworks.
Difference between Risk Intelligence and Risk Management
Applications of Risk Intelligence
- With the help of risk intelligence, organisations can ensure critical business operations remain functional during disruptive events ensuring business continuity.
- Understanding the geopolitical trends including civil disturbances, trade disputes, and conflicts helps organisations secure their assets, business operations, and supply chains.
- Formulating Enterprise Risk Management framework which helps organisations manage risks across all departments.
- Developing Crisis Management plans for effective response to natural disasters, financial downturns, or reputational crises.
- Predictive risk analysis helps safeguard business operations from potential threats ensuring supply chain resilience.
Risk Intelligence empowers organisations not only to avoid potential threats while protecting their business but also helps in identifying opportunities. With the help of risk intelligence, organisations can make better informed decisions and build resilience.
Collaborate with Mitkat to build business resilience Mitkat offers a variety of services including Risk Consulting and Security Design which helps organisations to develop risk intelligence and build robust Risk Management Framework. Tailored risk analysis and risk-mitigating solutions help organisations navigate evolving security landscape and complex risks. Our comprehensive solutions, including Risk consulting and Security Design, Protective Services and cyber security services ensure organisations remain safe and secure; and build sustainable resilience.