Organizations can encourage positive events and prevent negative ones by implementing proactive actions and controls. Proactive controls are preventive measures designed to address risks and opportunities before they occur, reducing the likelihood of undesirable outcomes and increasing the probability of achieving organizational objectives.
Key Aspects of Proactive Actions and Controls:
Prevention Focus:
Proactive controls mitigate risks by addressing vulnerabilities and root causes.
Example: Regular security audits to prevent data breaches.
Encouraging Positive Outcomes:
Proactive controls also identify opportunities and create conditions that increase the likelihood of achieving desirable results.
Example: Implementing reward systems to encourage employee innovation.
Early Identification:
Proactive actions help organizations identify risks and opportunities early, providing time to act effectively.
Why Option A is Correct:
Proactive actions and controls are designed to prevent negative events and promote positive ones, making them the most effective way to achieve this goal.
Why the Other Options Are Incorrect:
B. Employee training and follow-up: While training is an important part of proactive measures, it is not sufficient on its own to encourage positive events or prevent negative ones.
C. Using financial actions and controls: Financial controls focus on budgets and resources but do not inherently address broader risks and opportunities.
D. Relying on responsive actions and controls: Responsive controls address events after they occur, rather than preventing or encouraging outcomes proactively.
References and Resources:
ISO 31000:2018 – Highlights the role of proactive risk treatment and opportunity management.
COSO ERM Framework – Discusses preventive and proactive actions for achieving objectives.
NIST Cybersecurity Framework (CSF) – Recommends proactive controls for addressing risks.
