In the FAIR model, what are the two primary components of risk?

In the FAIR model, the two primary components of risk are identified as threat and vulnerability. Understanding these components is crucial for properly assessing risk within an organization.

A threat refers to any potential event or circumstance that could exploit a vulnerability, leading to negative outcomes or harm. For example, a cyberattack or a natural disaster could be considered threats.

Vulnerability, on the other hand, pertains to the weaknesses or gaps in security that may be exploited by a threat. This could be a flaw in software, inadequate physical security, or insufficient employee training, which makes an organization susceptible to the threats that exist.

The combination of these two elements—threat and vulnerability—forms the basis for calculating risk, as risk can be summarized as the potential for loss or damage when a threat exploits a vulnerability.

The other options, while relevant to the broader discussion of risk management, do not capture the primary components as defined by the FAIR model. Mitigation and response strategies are important for managing and controlling risk but do not represent the inherent components that define risk itself. Likewise, consequence relates to the outcome of a risk event but does not address the foundational elements needed to assess and quantify risk effectively.