Single Loss Expectancy is a term related to Risk Management and Risk Assessment. It can be defined as the monetary value expected from the occurrence of a risk on an asset.
It is mathematically expressed as:
Where the Exposure Factor is represented in the impact of the risk over the asset, or percentage of asset lost. As an example, if the Asset Value is reduced two thirds, the exposure factor value is .66. If the asset is completely lost, the Exposure Factor is 1.0. The result is a monetary value in the same unit as the Single Loss Expectancy is expressed (euros, dollars, yens, etc.): Exposure Factor is the subjective, potential percentage of loss to a specific asset if a specific threat is realized. The exposure factor (EF) is a subjective value that the person assessing risk must define.
Read more about Single Loss Expectancy: See Also
Famous quotes containing the words single, loss and/or expectancy:
“Show me two villages, one embowered in trees and blazing with all the glories of October, the other a merely trivial and treeless waste, or with only a single tree or two for suicides, and I shall be sure that in the latter will be found the most starved and bigoted religionists and the most desperate drinkers.”
—Henry David Thoreau (1817–1862)
“One who shows signs of mental aberration is, inevitably, perhaps, but cruelly, shut off from familiar, thoughtless intercourse, partly excommunicated; his isolation is unwittingly proclaimed to him on every countenance by curiosity, indifference, aversion, or pity, and in so far as he is human enough to need free and equal communication and feel the lack of it, he suffers pain and loss of a kind and degree which others can only faintly imagine, and for the most part ignore.”
—Charles Horton Cooley (1864–1929)
“O, what a noble mind is here o’erthrown!
The courtier’s, soldier’s, scholar’s,eye, tongue, sword,
Th’ expectancy and rose of the fair state,
The glass of fashion and the mold of form,
Th’ observed of all observers, quite, quite down!”
—William Shakespeare (1564–1616)