The Fair Risk Management Methodology - 783 Words

One of the most common frame works that is used by risk assessment professionals is the FAIR risk management methodology FAIR stands for Factor Analysis of Information Risk and was first introduced in 2005 by Jack Jones with the goal of being able to provide an answer to two common questions asked by management in relation to risk management which are â€Å"how much risk does the organization have† and â€Å"how much less risk will there be if we spend the money you propose on mitigation.† The fair risk management methodology is comprised of five steps that allow you to find risk. The first step of the FAIR is the Scenarios. The goal of this step is to identify the asset that is at risk. Once the asset that is at risk has been identified you then develop the possible threats that could impact the asset that is at risk know as a threat community. Once the asset at risk and its potential threat community has been identified you can then move on to step two of FAIR which i s calculating the fair factors. In this stage you will analyze and calculate the Threat Event Frequency, Threat Capability and Control Strength for each threat to the asset outlined in the threat community. This in turn will allow you to identify the vulnerability and the loss event frequency for each threat/vulnerability pair. Once you have identify the vulnerability and the loss event frequency for each threat/vulnerability pair you can move on to the third step of the FAIR risk management methodology. The thirdShow MoreRelatedPlan Accounting : Defined Benefit Pension Plan, Health And Welfare Benefit Plans1596 Words   |  7 Pages†¢ Elimination of employee benefit plans (EBP) to measure the fair value of fully-benefit responsive investment contracts and provide the related fair value disclosures. †¢ Requires disaggregation of plan investments measured at fair value by general type on either the face or the notes to the financial statements, e.g. self-directed brokerage accounts. †¢ Eliminates the requirements to disclosure net appreciation (depreciation) in fair value of investments by general type or investments of individualRead MoreCase 14 Nike: Cost of Capital Essay1143 Words   |  5 Pagesmanager with NorthPoint Group, a mutual-fund management firm. She managed the NorthPoint Large-Cap Fund, and in July of 2001, was looking at the possibility of taking a position in Nike for her fund. 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