What is a risk assessment?

A risk assessment is fundamentally about understanding potential threats and vulnerabilities that could impact an organization's assets, operations, or individuals. It involves a systematic process of identifying, analyzing, and evaluating risks to determine their likelihood and potential impact. By conducting a risk assessment, organizations can prioritize risks and make informed decisions about the most appropriate mitigations to implement, thereby reducing their overall risk exposure.

This process includes defining what needs protection (such as data or systems), identifying possible risks (like natural disasters, cyber threats, or human error), analyzing the potential impact of those risks, and evaluating existing controls. The insights gained from a risk assessment can guide organizations in allocating resources effectively and developing a robust risk management strategy.

The other options focus on different aspects of security practices, such as encoding data or training employees, but they do not encapsulate the holistic approach and purpose of risk assessments in the same way. By honing in on the specific process of analyzing and evaluating risks, option A accurately describes what a risk assessment entails.