What is 'control risk' in SAP GRC-SPC - GRC Process Controls for SAP?

control risk - Overview

• Component: GRC-SPC

• Component Name: GRC Process Controls for SAP

• Description: An attribute of a control, which refers to the chance that your organization would be exposed to undesirable consequences when the control failed to work as expected. The higher the control risk level, the worse consequences and higher amount of damages and losses that your organization would suffer if the control failed.

control risk - Details

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  Key Concepts: 
  Control risk is a term used in SAP GRC Process Controls to refer to the risk of errors or fraud occurring in a business process due to inadequate controls. It is the risk that arises when there are insufficient controls in place to detect and prevent errors or fraud from occurring.
  
  How to use it: 
  In SAP GRC Process Controls, control risk is used to assess the effectiveness of existing controls and identify areas where additional controls may be needed. The control risk assessment process involves evaluating the existing controls, identifying any gaps or weaknesses, and then implementing additional controls to reduce the risk of errors or fraud.
  
  Tips & Tricks: 
  When assessing control risk, it is important to consider both the likelihood of an error or fraud occurring and the potential impact of such an event. This will help you determine which areas require additional controls and how much effort should be put into implementing them.
  
  Related Information: 
  Control risk is closely related to compliance risk, which is the risk of non-compliance with laws, regulations, and other standards. Compliance risk can also be assessed using SAP GRC Process Controls.