Understanding the Question:
The question asks what the most important update for keeping the risk register current is.
Analyzing the Options:
A). Modifying organizational structures when lines of business merge:Reflects significant changes in the organization that impact risk profiles.
B). Adding new risk assessment results annually:Important but periodic.
C). Retiring risk scenarios that have been avoided:Necessary but not as impactful as major organizational changes.
D). Changing risk owners due to employee turnover:Important but secondary to major structural changes.
Organizational Changes:When lines of business merge, it can significantly alter the risk landscape, introducing new risks and changing the impact and likelihood of existing ones. Updating the risk register to reflect these changes is crucial for accurate risk management.
Impact on Risk Profiles:Mergers and acquisitions can affect every aspect of an organization, from operational processes to regulatory compliance, making it essential to update the risk register accordingly.
References:
CRISC Review Manual, Chapter 3: Risk Response and Reporting, discusses the importance of keeping the risk register updated to reflect organizational changes and ensure effective risk management.