What is the main goal of risk assessment?

• A. To replace outdated technology
• B. To identify, evaluate, and prioritize risks
• C. To enhance employee training
• D. To boost company profits

Answer: (B)

The primary goal of risk assessment is to identify, evaluate, and prioritize risks. This process involves systematically examining the potential risks that could adversely affect an organization's operations, assets, or individuals. By identifying risks, organizations can understand their vulnerabilities and the potential impact these risks may have on achieving strategic goals.

Evaluating and prioritizing risks is essential because not all risks pose the same level of threat or likelihood of occurrence. Through this assessment, organizations can allocate resources effectively to manage these risks, ensuring that those with the most significant potential impact receive the necessary attention and mitigation strategies. The outcome of a thorough risk assessment provides a foundation for developing a robust risk management plan, which is critical for maintaining organizational resilience and security.

In contrast, options that focus on replacing technology, enhancing employee training, or boosting profits do not directly address the comprehensive understanding and management of risks. While these activities may play a role in the broader context of organizational operations and overall strategy, they are not the central focus of risk assessment.