Certified in Risk and Information Systems Control (CRISC) — Question 1201

An organization moved one of its applications to a public cloud, but after migration decided to move it back on-premise after an issue caused the application to be down for one day. What does this scenario indicate?

Answer options

• A. The organization has high risk tolerance.
• B. The organization has low risk tolerance.
• C. The organization has high risk appetite.
• D. The organization has low risk appetite.

Correct answer: B

Explanation

The organization's decision to revert to on-premise after experiencing downtime indicates a low risk tolerance, as they were not willing to accept the disruption caused by the cloud environment. In contrast, a high risk tolerance would suggest they could accept such issues without reverting back, while high risk appetite would imply a willingness to take on more risks, which is not the case here.