Which strategy focuses on minimizing the probability of risks and losses by identifying vulnerabilities in the system and implementing appropriate controls?

The most effective strategy for minimizing the probability of risks and losses through identifying vulnerabilities and implementing appropriate controls is risk limitation. This approach involves assessing potential threats to the system, identifying vulnerabilities, and then applying controls to mitigate these risks to acceptable levels.

This proactive strategy allows organizations to not only understand the potential risks but also to implement measures that minimize the likelihood of those risks materializing. It encompasses a comprehensive approach to risk management, involving continuous monitoring and adjustment of controls as new vulnerabilities may arise over time.

In contrast, risk planning typically entails developing strategies and documentation to address risks but may not necessarily focus on implementing specific controls. Research and acknowledgment, while essential for understanding risks, do not inherently involve direct action to mitigate those risks. Risk avoidance, on the other hand, seeks to eliminate the risk entirely by changing plans or processes; however, this may not always be feasible or practical in every scenario. Therefore, risk limitation specifically emphasizes both identification of vulnerabilities and the application of controls, making it the appropriate choice in this context.