A risk practitioner is reporting on an increasing trend of ransomware attacks in the industry.

The potential impact of events is the estimated magnitude and likelihood of the consequences that may result from a risk scenario. The potential impact of events can help key stakeholders understand the severity and urgency of the risk, and prioritize the appropriate response actions. The potential impact of events can be expressed in quantitative or qualitative terms, such as financial loss, operational disruption, reputational damage, legal liability, etc. The potential impact of events is the most important information to include when reporting on an increasing trend of ransomware attacks in the industry, as it can help stakeholders assess the level of risk exposure and the adequacy of the existing controls. References = Risk and Information Systems Control Study Manual, Chapter 2: IT Risk Assessment, Section 2.3: Risk Analysis, p. 87-89.