Risk Management

Read this page and watch the video to learn more about the purpose of risk management and the four stages of the risk management process. Before you move on, make sure you have a good understanding of the formulas, and that you are able to use the formulas on this page to calculate single loss expectancy (SLE), annual rate of occurrence (ARO), and annual loss expectancy (ALE).

Instruction

Tangible and Intangible Asset Valuation

An "asset" is any resource, product, system, process, or any other organizational resource that has value to an organization. As such, all assets must be protected. Assets can be physical/tangible items, such as equipment or computers, and they can also be non-tangibles, such as information or intellectual property.

Figure 4 – Tangible assets versus intangible assets