Discuss Isaca CRISC Exam Topic 1 Question 117

Which of the following is the MAIN benefit to an organization using key risk indicators (KRIs)?

AKRIs assist in the preparation of the organization's risk profile.

BKRIs signal that a change in the control environment has occurred.

CKRIs provide a basis to set the risk appetite for an organization

DKRIs provide an early warning that a risk threshold is about to be reached.

Suggested Answer: D

The main benefit of using key risk indicators (KRIs) for an organization is that they provide an early warning that a risk threshold is about to be reached. KRIs are metrics that measure the likelihood and impact of risks, and help monitor and prioritize the most critical risks. KRIs also help to trigger timely and appropriate risk responses, before the risk becomes unmanageable or unacceptable. The other options are not the main benefit of using KRIs, although they may be secondary benefits or outcomes.Reference:= Risk and Information Systems Control Study Manual, Chapter 4, Section 4.4.1, page 4-36.

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12 comments · newest first

Jame 1 month ago

But A is important too. Understanding the risk profile is foundational.

Han 1 month ago

I agree, D is key. It helps prevent major issues.

Ranee 1 month ago

I think D is the best choice. Early warnings are crucial!

Judy 2 months ago

Definitely agree, early warnings are key!

Dulce 2 months ago

Not sure if they really signal control changes...

Eleonore 2 months ago

Wait, aren't KRIs mainly for risk profiles?

Lelia 2 months ago

I think they help with risk appetite too.

Shawna 2 months ago

KRIs are great for early warnings!

Bambi 2 months ago

I remember discussing how KRIs assist in preparing the risk profile, but I think the early warning function is the most significant benefit overall. It’s tricky!

Rene 3 months ago

I studied that KRIs signal changes in the control environment, but I'm leaning towards the early warning aspect being more critical. It just seems more proactive.

Kati 3 months ago

I'm not entirely sure, but I feel like KRIs might help with setting the risk appetite too. It seems like they could be related, but I can't recall the specifics.

Mammie 3 months ago

I think the main benefit of KRIs is that they provide an early warning about risks. I remember practicing a question like this where early detection was emphasized.

Isaca CRISC Exam - Topic 1 Question 117 Discussion