Active

Risk Governance

The organization shall establish governance processes for exception risk management that ensure exceptions are properly assessed, approved, and monitored. Risk governance shall include oversight of exception risk assessments, review of risk acceptance decisions, and monitoring of exception risk mitigation activities.

Requirement ID
EXC-001-R005
Parent Control
EXC-001
Domain Code
EXC

Requirement Details & Guidance

EXC-001-R005 · EXC-001
Why This Requirement Exists

To ensure exception decisions are made with explicit consideration of security, operational, privacy, and compliance risk and remain within approved risk appetite and tolerance.

Implementation Guidance

Integrate exception risk assessments with enterprise risk management; define residual-risk scoring and acceptance thresholds; require documented treatment and compensating controls; escalate exceptions exceeding tolerance to appropriate risk authorities.

Practical Application & Audit Readiness

EXC-001-R005 · Field Guidance

Business Examples

    Common Audit Findings

      Common Mistakes

        Best Practices & Ownership

        EXC-001 · Recommended Approach

        Recommended Practices

          Typical Owner

          Cross-Mapped Regulatory Frameworks

          Harmonized Control Mappings
          FRAMEWORK CODE FRAMEWORK NAME & DETAILS FAMILY / CATEGORY VERSION ACTION
          ISO27001 ISO/IEC 27001 ISO/IEC 27001 specifies auditable requirements for... Clause: 6.1.1 – General
          ISO
          Standard
          		 v2022 View →
          RBI-CSF RBI Cyber Security Framework / Master Directions RBI cyber-security requirements and directions set... Clause: 2) Preventing execution of unauthorised software – 2.4 Defined exception framework, approval and periodic review; Circular §5 – Identification/assessment of inherent cyber risks and controls
          India
          Regulation
          		 vLatest View →
          HIPAA Health Insurance Portability and Accountability Act HIPAA is a U.S. federal law supported by implement... Clause: § 164.308(a)(5) Standard: Risk management
          US
          Law
          		 vCurrent View →
          PCI-DSS PCI DSS PCI DSS is an industry security standard maintaine... Clause: 12.3.2 – A targeted risk analysis is performed for each
          PCI
          Standard
          		 v4 View →
          COBIT2019 COBIT COBIT is an enterprise governance and management f... Clause: 4.2 – Align, Plan and Organize (APO) > APO12 – Managed Risk > APO12.02 – Analyze risk. 4.2 – Align, Plan and Organize (APO) > APO12 – Managed Risk > APO12.05 – Define a risk management action portfolio.
          COBIT
          Governance Framework
          		 v2019 View →
          NIST-CSF NIST Cybersecurity Framework (CSF) The NIST Cybersecurity Framework provides high-lev... Clause: ID.RA – Risk Assessment | ID.RA-07 – Changes and exceptions are managed, assessed for risk impact, recorded, and tracked
          NIST
          Framework
          		 v2 View →
          NIST80053 NIST SP 800-53 NIST SP 800-53 Rev. 5 presents control families, i... Clause: 3.16 – RISK ASSESSMENT, 3.4 – ASSESSMENT, AUTHORIZATION, AND MONITORING; RA-7 – RISK RESPONSE, CA-6 – AUTHORIZATION
          NIST
          Control Catalog
          		 vRev. 5 View →
          NPCI-ISR NPCI Information Security Requirements NPCI information-security requirements define cont... Clause: Governance Controls; Policy, Roles and Risk Linkages – Cyber Risk Management programs
          India
          Standard
          		 vLatest View →
          SOC2 SOC 2 Trust Services Criteria SOC 2 is an independent examination and reporting... Clause: CC3.2 – Risk Assessment – COSO Principle 7: The entity identifies risks to the achievement of its objectives across the entity and analyzes risks as a basis for determining how the risks should be managed. CC5.3 – Control Activities – COSO Principle 12: The entity deploys control activities through policies that establish what is expected and in procedures that put policies into action.
          AICPA
          Audit Framework
          		 vLatest View →

          Parent Domain Context

          Governance Domain Baseline
          Domain Name:
          Exception Management (EXC)
          Purpose:
          To manage deviations from established policies and standards through a formal risk-based process.
          Scope:
          Enterprise
          View

          Parent Control Context

          Control Baseline
          Control Name:
          Exception Management Program (EXC-001)
          Summary:
          Establishes exception management program including governance, scope, roles, policy, risk governance, metrics, reporting, review, compliance, and continuous improvement.
          Business Description:
          Establish and maintain an enterprise exception management program to govern the identification, evaluation, approval, monitoring, renewal, and closure of approved deviations from security, privacy, risk, and compliance requirements.
          View