The risk owner is primarily accountable for risk treatment decisions, as they are the person or entity with the authority and responsibility to manage a particular risk. The risk owner should evaluate the available risk response options, select the most appropriate one, implement the chosen response, and monitor its effectiveness. The risk owner should also communicate and report on the risk status and any issues or changes. The business manager, data owner, and risk manager are not primarily accountable for risk treatment decisions, although they may be involved in the risk management process. The business manager is responsible for the overall performance and objectives of a business unit or function. The data owner is responsible for the security and quality of a specific data asset. The risk manager is responsible for facilitating and coordinating the risk management activities across the organization. References = Risk and Information Systems Control Study Manual, Chapter 2: IT Risk Identification, page 47.

The security risk associated with wearable technology in the workplace is the possibility and impact of unauthorized access, disclosure, or use of the data or information that are collected, stored, or transmitted by the wearable devices, such as smartwatches, fitness trackers, or glasses, that are worn or used by the employees12.
The first step in managing the security risk associated with wearable technology in the workplace is to identify the potential risk, which is the process of recognizing and describing the sources,causes, and consequences of the risk, and the potential impacts on the organization's objectives, performance, and value creation34.
Identifying the potential risk is the first step because it provides the basis and input for the subsequent steps of the risk management process, such as assessing, treating, monitoring, and communicating the risk34.
Identifying the potential risk is also the first step because it enables the organization to understand and prioritize the risk, and to allocate the appropriate resources and controls for the risk management process34.
The other options are not the first step, but rather possible subsequent steps that may depend on or follow the identification of the potential risk. For example:
Monitoring employee usage is a step that involves collecting and analyzing data and information on the frequency, duration, and purpose of the wearable devices that are used by the employees, and detecting and reporting any deviations, anomalies, or issues that may indicate a security risk5 . However, this step is not the first step because it requires theidentification of the potential risk to provide the guidance and standards for the monitoring process5 .
Assessing the potential risk is a step that involves estimating and evaluating the likelihood and impact of the risk, and the level of risk exposure or tolerance for the organization34. However, this step is not the first step because it requires the identification of the potential risk to provide the information and data for the assessment process34.
Developing risk awareness training is a step that involves educating and training the employees and other stakeholders on the security risks and best practices associated with the wearable technology, and informing them of their roles, obligations, and responsibilities for the risk management process . However, this step is not the first step because it requires the identification of the potential risk to provide the content and objectives for the training process . References =
1: Wearable Devices in the Workplace: Security Threats and Protection1
2: 10 security risks of wearables | CSO Online2
3: Risk IT Framework, ISACA, 2009
4: IT Risk Management Framework, University of Toronto, 2017
5: Continuous Monitoring - ISACA3
Continuous Monitoring: A New Approach to Risk Management - ISACA Journal4 What Is Security Awareness Training and Why Is It Important? - Kaspersky5 Security Awareness Training - Cybersecurity Education Online | Proofpoint US

The BEST way to demonstrate alignment of the risk profile with business objectives is through risk scenarios, because they are the descriptions and illustrations of the potential events or situations that may affect the achievement of the business objectives and processes. Risk scenarios can help to demonstrate how the risk profile, which is the summary and representation of the identified and assessed risks, is related and relevant to the business objectives and processes, and how the risk responses and controls are designed and implemented to support and enable the business objectives and processes. The other options are not the best way, because:
* Option B: Risk tolerance is the level of variation or deviation from the expected or desired outcome that the organization is willing to accept or endure, but it does not demonstrate alignment of the risk profile with business objectives, which is the process of ensuring that the risk profile and the business objectives are consistent and compatible with each other.
* Option C: Risk policy is the document that defines the principles, guidelines, and requirements for the risk management process and activities in the organization, but it does not demonstrate alignment of the risk profile with business objectives, which is the process of showing and proving that the risk profile and the business objectives are coherent and integrated with each other.
* Option D: Risk appetite is the amount and type of risk that the organization is willing to take or pursue in order to achieve its objectives and goals, but it does not demonstrate alignment of the risk profile with business objectives, which is the process of establishing and maintaining that the risk profile and the business objectives are aligned and balanced with each other. References = Risk and Information Systems Control Study Manual, 7th Edition, ISACA, 2020, p. 104.

Identifying specific risk events provides the foundational input for creating relevant and actionable risk scenarios. These scenarios form the basis of assessing potential impacts and determining effective controls.
This is a key step in theRisk Identification and Assessmentprocess.

A legacy system is an old or outdated IT system that is still in use by an organization. A legacy system may pose various risks to the organization, such as security vulnerabilities, compatibility issues, performance degradation, maintenance challenges, etc. When an internal audit report reveals that a legacy system is no longer supported by the vendor or the manufacturer, the risk practitioner's most important action before recommending a risk response is to assess the potential impact and cost of mitigation, which means to estimate the consequences and expenses of the risk event if the legacy system fails or malfunctions. By assessing the potential impact and cost of mitigation, the risk practitioner can evaluate the risk exposure and determine the appropriate risk response, such as accepting, avoiding, transferring, or reducing the risk. References = 4