Cisco Cyber Security Practice Exam

When performing a qualitative risk analysis, what elements will an organization evaluate?

1. The probability of successful attacks

2. The impact of a threat and the likelihood of a threat

3. The effectiveness of current security measures

4. The financial cost of implementation

The correct answer is: The impact of a threat and the likelihood of a threat

In a qualitative risk analysis, an organization focuses on understanding the potential impact of threats as well as the likelihood of those threats occurring. This approach allows organizations to prioritize risks based on their severity and chances of happening rather than relying solely on quantitative measurements, which may not capture the nuances of every threat. By evaluating the impact of a threat, organizations can assess how damaging an event could be if realized. Simultaneously, assessing the likelihood helps in understanding how probable it is that a particular threat will materialize. This dual evaluation is critical for effective risk management, as it enables organizations to allocate resources and implement security measures where they are most needed, ultimately enhancing their overall security posture. The other elements mentioned, such as the probability of successful attacks, the effectiveness of current security measures, and the financial cost of implementation, do contribute to a broader risk management strategy, but they are not the primary focus of qualitative risk analysis. Instead, qualitative risk analysis prioritizes understanding the essence of threats and their potential impacts to inform decision-making and risk mitigation strategies.