Risk Management

KPIs

Description	Source	How to calculate	How to use it
Risk Exposure	Internal Risk Management Data	Sum of impact of risks * Probability of occurrence	Assess overall risk exposure
Risk Likelihood	Internal Risk Management Data	Likelihood of risk occurrence	Determine probability of risk occurrence
Risk Impact	Internal Risk Management Data	Potential impact of risk occurrence	Assess potential consequences of risks
Risk Velocity	Internal Risk Management Data	Rate of change of risk exposure	Monitor how quickly risks are evolving
Risk Severity	Internal Risk Management Data	Magnitude of impact if risk occurs	Assess seriousness of potential risks
Risk Tolerance	Internal Risk Management Policy	Maximum acceptable level of risk exposure	Set boundaries for acceptable risks
Risk Mitigation Effectiveness	Risk Management Plans	Reduction in risk impact due to mitigation	Evaluate effectiveness of risk mitigation
Risk Response Efficiency	Incident Response Data	Timeliness and effectiveness of response actions	Measure effectiveness of risk responses
Risk Identification Rate	Risk Register	Number of new risks identified per period	Assess effectiveness of risk identification
Risk Assessment Coverage	Risk Assessment Reports	Percentage of risks assessed against total risks	Ensure comprehensive risk assessment
Risk Response Time	Incident Response Data	Time taken to respond to identified risks	Measure responsiveness to emerging risks
Risk Management Cost	Financial Reports	Total cost of managing risks	Assess financial implications of risk management
Risk Management ROI	Financial Reports	Return on investment from risk management	Evaluate effectiveness of risk management
Risk Communication Effectiveness	Stakeholder Feedback	Effectiveness of communicating risks	Assess clarity and impact of risk communication
Risk Appetite	Risk Management Policy	Willingness to take on risk	Understand organisation's risk appetite
Risk Register Completeness	Risk Register	Percentage of identified risks recorded	Ensure all risks are documented
Risk Culture	Surveys/Interviews	Organisational attitude towards risk	Evaluate risk-aware culture within the organisation
Risk Monitoring Frequency	Risk Management Plan	Frequency of monitoring risk exposure	Monitor risks regularly for changes
Risk Governance Compliance	Compliance Reports	Adherence to risk management policies	Ensure compliance with risk governance
Risk Escalation Rate	Escalation Reports	Number of risks escalated per period	Measure effectiveness of risk escalation