What refers to the risk remaining after risk mitigation measures have been implemented?

Residual risk refers to the level of risk that remains after specific measures have been taken to mitigate or reduce the original risk. This concept is crucial in risk management, as it acknowledges that, despite efforts to minimize risks through various strategies—such as implementing security controls, policies, and procedures—there will often still be some degree of risk present.

Understanding residual risk is essential for effective risk management because it helps organizations assess how much risk they are willing to retain after considering the effectiveness of their mitigation strategies. It encourages ongoing evaluation and monitoring of risks to adapt to changes in the environment or new threats that may emerge.

Inherent risk represents the natural level of risk present before any controls are put in place. Externally-derived risk typically involves risks that arise from sources outside of the organization, while acceptable risk refers to a level of risk that an organization is willing to take consciously after assessing both the potential impact and likelihood of a risk occurring.