An internal auditor will adopt the same seven procedures in (a) risk management and (b) internal control improvement

A risk map plots high/low severity or impact of an event and high/low probability or likelihood of an event. Match transfer, accept, avoid/abandon and reduce to the four quadrants
?
– high impact, low probability: transfer eg insure
– high impact high probability: avoid/abandon
– low impact, high probability: reduce
– low impact, low probability: accept