What process involves systematically evaluating risks to maintain them within specified levels?

The process that involves systematically evaluating risks to maintain them within specified levels is risk management. This broader discipline encompasses identifying, assessing, and prioritizing risks, followed by coordinated efforts to minimize, control, or monitor the impact of those risks. It aims to ensure that the level of risk is acceptable to the organization and that risk responses are effectively implemented.

Risk management involves a series of steps, including risk identification, risk assessment (which includes risk analysis and evaluation), risk response planning, and ongoing risk monitoring. This comprehensive approach ensures that risks are continually kept at manageable levels and align with the organization’s objectives.

In contrast, the other choices relate to more specific aspects of handling risks. Risk evaluation primarily focuses on determining the significance of identified risks and comparing them against risk criteria, which is a part of the risk management process but does not encompass the entirety of it. Risk avoidance is a strategy that involves changing plans to sidestep potential risks altogether, while risk analysis is the practice of understanding the nature of risks and their potential impact as part of the broader risk management process. Thus, while these concepts are closely related and important, they are not as encompassing as risk management itself.