Atlas Systems Named a Representative Vendor in 2025 Gartner® Market Guide for TPRM Technology Solutions → Read More

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Risk Appetite

Last updated: Nov 26, 2025

Glossary › Risk Appetite

What is Risk Appetite?

Risk appetite guides decisions on vendor onboarding, cloud adoption, outsourcing, and control expectations. It defines acceptable ranges for operational, compliance, cyber, and financial risks. In TPRM, risk appetite determines how vendors are tiered and which risks require mitigation or rejection.

FAQs

Why define risk appetite?

To align decisions with leadership expectations.

Does risk appetite change over time?

Yes, based on strategy or regulation.

Does risk appetite guide vendor approvals?

Yes, it sets boundaries for acceptable vendor risk.

robot-human

Responsible-AI TPRM Guide

Discover how risk teams apply AI responsibly to reduce third-party blind spots and stay audit-ready across global regulations.

Easier third-party onboarding. Seamless compliance. Complete risk control.