Citation Matching

Citation Reference: Identifying Triggers for Reassessment ¶ 1

Citation Guidance: The organization strives to identify triggers that will prompt a reassessment of severity when required. Triggers are typically changes in the business context, but may also be changes in the risk appetite, and they serve as early-warning indicators of changes to assumptions underpinning the severity assessment. A trigger may be an increase in the number of customer complaints, an adverse change in an economic index, a drop in sales, or a spike in employee turnover. Triggers may also come from a competitor (e.g., competitor's product recalled for defects).