In the SASB risk-management process, which phase uses SASB performance metrics to assess the likelihood, impact, and timing of a risk or opportunity?

In the SASB risk-management process, which phase uses SASB performance metrics to assess the likelihood, impact, and timing of a risk or opportunity?

• A. Identify
• B. Assess
• C. Respond
• D. Monitor

Answer: (B)

In SASB’s risk-management process, the phase that uses SASB performance metrics to assess likelihood, impact, and timing of a risk or opportunity is the Assess phase. This step turns identified signals into a quantified picture: you evaluate how likely a risk is to occur, how severe its potential financial/material impact could be, and when it might materialize. Using SASB performance metrics here helps prioritize which risks or opportunities to address by comparing them on a consistent scale and aligning with material topics that matter for disclosures and value creation. Identify focuses on spotting and describing risks and opportunities, not quantifying them with metrics. Respond is about choosing actions to manage or exploit the risks, while Monitor involves ongoing tracking and re-evaluation.

In SASB’s risk-management process, the phase that uses SASB performance metrics to assess likelihood, impact, and timing of a risk or opportunity is the Assess phase. This step turns identified signals into a quantified picture: you evaluate how likely a risk is to occur, how severe its potential financial/material impact could be, and when it might materialize. Using SASB performance metrics here helps prioritize which risks or opportunities to address by comparing them on a consistent scale and aligning with material topics that matter for disclosures and value creation.

Identify focuses on spotting and describing risks and opportunities, not quantifying them with metrics. Respond is about choosing actions to manage or exploit the risks, while Monitor involves ongoing tracking and re-evaluation.