How should risks be evaluated according to ITIL?

Evaluating risks according to ITIL involves a structured approach that takes into account both the potential impacts of risks and their likelihood of occurrence. This methodology is essential for organizations to prioritize their risks effectively, enabling them to allocate resources where they are needed most and ensure that they are prepared for various scenarios.

By assessing both potential impacts and likelihood, organizations can understand the severity of various risks and make informed decisions about which ones to address. This comprehensive evaluation allows for a balanced risk management strategy that aligns with the organization’s goals and objectives. It also ensures that a wide range of risks is considered rather than just a narrow focus on certain types of risks, which may lead to significant vulnerabilities being overlooked.

The other approaches, such as disregarding lower impact risks, focusing only on immediate-action risks, or outsourcing the risk assessment, do not promote a thorough and effective risk management strategy. They could result in either underestimating the importance of certain risks or failing to build internal capabilities to manage risks effectively. Therefore, the correct approach as defined by ITIL emphasizes a careful and informed assessment of risks based on their potential consequences and probability.