Why is monitoring and review crucial in the risk assessment process?

Monitoring and review are essential components of the risk assessment process because they help ensure that risk management strategies remain effective over time. As circumstances change—such as shifts in the business environment, new regulatory requirements, or advancements in technology—the risks faced by an organization can also evolve. Regular monitoring allows organizations to identify new risks, re-evaluate existing ones, and assess the effectiveness of current mitigation strategies.

Through ongoing review, organizations can confirm whether their risk management policies and measures are working as intended or if adjustments are necessary. This proactive approach enables timely responses to emerging threats, ensuring that the risk management framework adapts to changes and continues to protect the organization effectively. Therefore, the importance of this systematic and continuous evaluation cannot be understated, as it lays the groundwork for a responsive and resilient risk management strategy.