Exam CRISC topic 1 question 967 discussion

Should be B

Honestly a bit astonished here.. If apps remains unavailable post RTO then there is an increased likelihood that business will lose money. Tolerance and appetite is set by business leaders and do not change based on operational parameters. I would argue that RTO is based upon Tolerance set by higher management.

In this one, what is the risk? That the system will not be back online when the business expects? If the actual RTO is past what the business expects, would that not increase the actual likelihood. I do not see where either risk appetite or tolerance would increase specifically, as an RTO is not inherently tied to Tolerance. Of course everyone else says A so probably totally off base here. :)

sticking with A

When the majority of core IT application recovery time objectives (RTOs) have exceeded the maximum time defined by the business application owners, it indicates that the organization is facing greater operational risk than it initially anticipated. In this case, the organization may need to reassess its risk tolerance, which refers to the level of risk that an organization is willing to accept. Risk tolerance may need to be adjusted to either accommodate the increased risk associated with the longer recovery times or to prompt the organization to take corrective actions to bring recovery times back within acceptable limits. This adjustment in risk tolerance is the most likely change to occur in this situation because it directly relates to the organization's ability to manage and accept the risks associated with its IT applications and recovery processes.

Correct.

A It’s risk tolerance. Risk forecasting isnt part of CRISC

A: I believe it is Risk Tolerance. Certainly not sure what Risk forecasting has got to do with this.