How are risk decisions made according to Open FAIR?

In the Open FAIR framework, risk decisions are made by incorporating quantified risk levels alongside an organization’s risk tolerance. This approach prioritizes objective data and assessment over subjective opinions or regulatory requirements alone.

Quantified risk levels provide measurable insights into the potential impact and likelihood of various risk scenarios, allowing stakeholders to make informed decisions based on evidence rather than personal biases. By pairing these quantitative assessments with the organization's predefined risk tolerance, decision-makers can align their risk management strategies with the organization's overall objectives and capacity for risk.

This method ensures that each risk is understood not just in isolation but in the context of the organization's willingness to accept certain levels of risk. This comprehensive view integrates financial implications and compliance needs indirectly since these factors may influence both the risk assessment and the organization's risk tolerance, but they are not the sole basis for decisions.