What term refers to the risk remaining after actions have been taken to mitigate the original risk?

The term that refers to the risk that remains after actions have been taken to mitigate the original risk is known as residual risk. This concept is essential in risk management and helps organizations understand that while it is possible to reduce or control risks through various strategies, it is often not possible to eliminate them entirely. Consequently, residual risk represents the level of risk that an organization accepts after implementing risk management strategies, which allows for informed decision-making regarding further actions that may be necessary to address these remaining risks.

Inherent risk refers to the level of risk that exists in the absence of any controls or mitigation measures. Mitigated risk is not a standard term used in risk management, and while it may imply some reduction of original risk, it does not capture the notion of what is left after mitigation efforts. Potential risk generally refers to risks that could occur in theory but may not have been identified or assessed yet, which differs significantly from the idea of risk that persists after mitigation. Understanding these distinctions is crucial for effective risk management in any organization.