What Is a Risk Indicator?
A Risk Indicator is a measurable metric or signal used to monitor risk performance. It helps organisations identify early warning signs and track whether a risk is increasing, decreasing, or remaining stable over time.
There are two common types of indicators:
Key Risk Indicators (KRIs) – show rising or falling exposure to a risk
Performance Indicators – show progress in controlling or responding to a risk
Using risk indicators allows you to:
Detect issues early
Respond proactively
Track risk trends over time
How to Add a Risk Indicator to a Master Risk
Step 1: Go to the Master Risk
Navigate to GRC List > Master Risks
Click into the risk you want to monitor
Find and click the Risk Indicators tab
Click “+ New"
Step 2: Complete the Risk Indicator Form
Fill in the following fields:
Name (required): Give your indicator a clear title (e.g., “Weekly IT downtime hours”)
Description (optional): Add context for what the indicator measures
Target Type (required): Choose either Percentage or Count
Threshold (required): Set the acceptable limit or trigger value
Result (required): Choose Passed or Failed if the threshold is met or exceeded
Risk Indicator Launch Date (required): When monitoring starts
Task Due Date (required): When the input/result is expected
Frequency (required): How often it’s measured (e.g., Monthly, Quarterly)
Owner (required): Person responsible for monitoring/reporting
Failure Notice To (required): Who gets notified if the threshold is breached
Step 3: Save
Click Save or Save & Create New to finish.
Once saved, the indicator is now associated with the risk statement. BoardX will begin generating Risk Indicator Taskson the scheduled frequency, and alerts will be sent if thresholds are breached. Relevant Risk Statement will be paused.
Example
Risk: Cybersecurity Incident
Indicator: Number of failed login attempts exceeds 50/week
Target Type: Count
Threshold: 50
Result if exceeded: Failed
This indicator provides early warning of potential security threats and ensures timely action.
By linking indicators to your risks, you gain early insight into emerging issues and can track risk performance over time — a key part of any proactive risk management framework.
Need help designing meaningful indicators? Contact your Customer Success team.