What is a consequence of not reporting changes in risk to stakeholders?

Not reporting changes in risk to stakeholders can lead to a scenario where potential undetected vulnerabilities remain unaddressed. Continuous monitoring and reporting of risks are critical for an organization to maintain a comprehensive understanding of its risk landscape. When stakeholders are not made aware of changes in risks or vulnerabilities, they may not take necessary actions to mitigate those risks, leading to gaps in security and protection.

Organizations rely on stakeholders to make informed decisions regarding resource allocation, policy adjustments, and response strategies based on the most current risk assessments. If these stakeholders are not informed about new or changing risks, they may not recognize the need for updates in policies, training, or security measures, thus leaving vulnerabilities unaddressed and potentially putting the organization at greater risk.

In contrast, improved risk mitigation strategies, increased awareness of risk management processes, and updating obsolete risk assessments all depend on effective communication regarding risks. Without proper reporting, the organization cannot leverage the knowledge and resources of its stakeholders effectively to manage risks proactively.