What is Human Risk Management?

KnowBe4 Team | Jun 26, 2025

HRM-plus-1_imageCybersecurity has long focused on fortifying networks, securing endpoints and blocking malicious code. Yet one of the most persistent and costly security vulnerabilities isn’t technical — it’s human. Employees routinely fall for phishing scams, mishandle sensitive data or unintentionally violate security policies. While most people don’t mean to cause harm, their behavior still introduces significant cyber risk to the organization.

That’s where Human Risk Management (HRM) comes in. HRM is a strategic, data-driven approach to identifying, measuring and reducing human behavior that poses cybersecurity risk. Unlike security awareness training, HRM goes beyond education and awareness. It’s about transforming user behavior through continuous monitoring, targeted interventions and personalized security coaching, while empowering an organization with the ability to truly measure and manage cyber risk.

This article explains what is human risk management, the ROI on human risk management, and why it’s critical to reducing risk.

Key Takeaways

Human Risk Management (HRM) reduces the largest cybersecurity risk: human behavior. Most breaches stem from employee actions like phishing clicks, weak passwords and data mishandling.

  • HRM goes beyond traditional security awareness training. It continuously measures real behavior and applies targeted interventions to drive lasting risk reduction.

  • Human risk is a measurable business risk, not just a technical issue. HRM provides risk scores, trends and KPIs that help CISOs and executives make informed decisions.

  • Modern workplaces make HRM essential. Remote work, evolving threats and tighter regulations increase the need to manage workforce behavior at scale.

  • HRM strengthens the entire security stack. By addressing behaviors that bypass technical controls, HRM improves the effectiveness of existing security tools.

Human Risk Management: The Evolution of Security Awareness

Human Risk Management represents the next evolution of security awareness. Traditional awareness programs focus on educating users about threats and security best practices however it doesn’t always result in lasting behavioral change.. HRM closes that gap by combining behavioral data, continuous monitoring and targeted interventions to actively reduce human-driven cyber risk.

Instead of relying on training cycles or assumptions about user knowledge, HRM treats human behavior as a measurable and manageable risk domain. It enables security teams to move from reactive awareness initiatives to a proactive, data-driven approach that continuously adapts to how employees actually behave in real-world scenarios.

This shift, from awareness to accountability, is what differentiates modern human risk management platforms from legacy security training programs.

Why HRM Is Critical

Despite millions spent annually on firewalls, encryption and endpoint protection, human error remains the leading cause of security breaches. According to Verizon’s 2024 Data Breach Investigations Report, more than 70% of breaches involve the human element — whether through social engineering, misuse or unintentional actions. Ninety-six percent of organizations struggle to secure the human element, according to KnowBe4’s The State of Human Risk 2025 report.

The need for HRM is growing in today’s dynamic workplace for several reasons:

  1. Rise in Cyber Threats
  2. Remote and Hybrid Work
  3. Tighter Regulations
  4. Cultural Sensitivity
  5. Reputational Stakes

1. Rise in Cyber Threats

Human error remains the biggest cybersecurity vulnerability as attackers increasingly rely on social engineering, phishing and manipulation rather than purely technical exploits. Threat actors continuously refine their tactics to exploit human behavior, making it essential for organizations to identify, measure and reduce behavior-based risk rather than relying solely on perimeter defenses.

2. Remote and Hybrid Work

Remote and hybrid work environments reduce direct oversight and increase reliance on digital collaboration tools, personal devices and cloud services. This shift creates more opportunities for risky behavior to go unnoticed, such as insecure data sharing, weak password practices or falling for phishing attacks outside traditional office controls. HRM provides visibility into user behavior regardless of location.

3. Tighter Regulations 

Organizations face increasing compliance burdens that require employee alignment. to align with security and data protection standards. Frameworks and regulations, such as GDPR, NIST, ISO 27001 and PCI DSS, emphasize the role of people in maintaining security. HRM helps organizations demonstrate due diligence by tracking, measuring and improving user behavior over time.

4. Cultural Sensitivity 

Global operations require nuanced understanding of cultural and ethical differences. in how employees perceive risk, policies and acceptable behavior. A one-size-fits-all approach to security training often fails to address these nuances. HRM enables organizations to tailor interventions based on role, region and behavior, fostering a more inclusive and effective security culture.

5. Reputational Stakes 

In an era of instant communication, employee mistakes can quickly escalate into public incidents. Social media and mainstream media can amplify the consequences of security lapses, leading to reputational damage, customer distrust and financial loss. By proactively managing human risk, organizations can reduce the likelihood of incidents that harm brand reputation.

It’s a clear signal that organizations need to manage their workforces' security behavior with the same rigor as any other operational risk. HRM acknowledges this reality and provides a structured framework to measure, manage and mitigate it.

Why Is Human Risk Management a Business Imperative?

Human risk is not just a technical issue, it’s a business risk. A single employee mistake can trigger regulatory violations, financial loss, reputational damage and long-term erosion of customer trust. As cyber incidents increasingly originate from human behavior, organizations must manage workforce risk with the same rigor applied to financial, operational and compliance risk.

Human Risk Management gives security leaders a common framework and language to communicate risk to executive stakeholders. By translating user behavior into measurable risk scores, trends and KPIs, HRM allows CISOs and boards to understand where human-driven risk exists, how it is changing over time and which areas require immediate attention.

This business-aligned approach makes HRM especially valuable in regulated industries, global organizations and enterprises with complex workforces..

How to Define Human Risk

In the context of cybersecurity, human risk refers to the probability that a person’s actions — intentional or not — could lead to a security incident. Examples include:

    • Clicking on a phishing email
    • Reusing weak or compromised passwords
    • Mishandling sensitive customer data
    • Violating acceptable use policies
    • Falling for social engineering scams

Clicking on a phishing email

Phishing remains one of the most common entry points for cyberattacks. When employees click malicious links or open infected attachments, attackers can gain access to credentials, deploy malware or initiate broader compromise across the organization.

Reusing weak or compromised passwords

Poor password hygiene significantly increases the likelihood of account takeover. Reusing weak or previously breached passwords allows attackers to exploit credential-stuffing attacks and move laterally across systems without triggering traditional security controls.

Mishandling sensitive customer data

Employees may unintentionally expose sensitive information by sharing files insecurely, emailing data to unauthorized recipients or storing customer data in unsanctioned tools. These actions can lead to data breaches, regulatory violations and loss of customer trust.

Violating acceptable use policies

Whether through shadow IT, unsafe browsing habits or unauthorized software usage, policy violations introduce risk that often goes unnoticed. These behaviors can expand the attack surface and undermine established security controls.

Falling for social engineering scams

Beyond phishing emails, attackers use phone calls, messaging platforms and impersonation tactics to manipulate employees into bypassing security safeguards. Social engineering exploits trust and urgency, making even well-trained users vulnerable without continuous risk monitoring.

These risks vary across roles, departments and individuals. For example, someone in finance may be more heavily targeted by business email compromise (BEC) attacks, while a developer might pose risk through poor Git hygiene. HRM focuses on measuring these risks at a granular level and taking action based on real behavior — not assumptions.

How HRM Differs from Traditional Awareness Training

Historically, organizations have reduced human risk by offering security awareness training. While training plays a critical role in establishing a security baseline, it doesn’t always lead to lasting change and it doesn’t give security teams comprehensive visibility into who actually poses a risk.

Human Risk Management changes the game by shifting from education to accountability. HRM programs:

  • Identify risky users using data from phishing simulations, policy violations, email behavior and more.
  • Measure behavior over time to see who is improving and who needs additional support.
  • Segment users based on their role, risk level and learning needs.
  • Deliver personalized interventions such as targeted training, contextual security nudges or 1:1 coaching.
  • Track risk reduction metrics to show tangible improvements in security posture.

This behavioral, feedback-driven model helps organizations understand not just what users know, but how they act.

How Does Human Risk Management Fit Into the Modern Security Stack?

Human Risk Management does not replace traditional security controls — it complements them. While technologies like email security gateways, identity and access management (IAM), data loss prevention (DLP) and endpoint protection are designed to stop technical threats, they still rely on users to make the right decisions.

HRM bridges this gap by addressing the human behaviors that often bypass technical defenses. It provides visibility into how employees interact with security controls, respond to threats and handle sensitive data. By integrating behavioral insights with existing security tools, HRM helps organizations close blind spots and reduce risk across the entire security ecosystem.

In this way, HRM becomes a foundational layer that strengthens both preventative and detective security controls.

5 Key Components of a Human Risk Management Program

A mature HRM program includes several foundational elements:

  1. Behavioral Risk Assessment

  2. Risk Segmentation and Prioritization

  3. Targeted Risk Interventions

  4. Continuous Monitoring and Feedback Loops

  5. Cross-Functional Collaboration

1. Behavioral Risk Assessment

HRM starts with visibility. Security teams need data to understand who’s clicking on phishing emails, using risky passwords, violating policies or triggering security alerts. This may include:

  • Phishing simulation results

  • Credential reuse or password hygiene reports

  • DLP alerts (e.g., emailing sensitive documents externally)

  • Shadow IT usage or policy violations

  • Reports of risky behavior from internal audits or incident response

These inputs are aggregated into individual or departmental risk scores, which can be monitored and trended over time.

2. Risk Segmentation and Prioritization

Once risks are identified, organizations must segment users based on their role, access level and behavior. Not all employees present the same risk. For instance:

  • A user with admin privileges who repeatedly fails phishing tests is a high-priority concern.

  • A new hire in marketing may simply need better onboarding and reinforcement.

Segmentation helps security teams focus their efforts where they will have the most impact.

3. Targeted Risk Interventions

Effective HRM requires more than blanket training. Instead, it uses personalized interventions to change behavior. These can include:

  • Role-based microlearning content

  • Real-time coaching messages when risky behavior is detected

  • Reminders integrated into tools like email or Slack

  • Gamified learning to keep users engaged

  • Manager-led coaching conversations

By delivering the right message at the right time — in the context of real work — HRM helps employees internalize good security habits.

4. Continuous Monitoring and Feedback Loops

Human risk is not a one-and-done problem. People change roles, attackers evolve tactics and new threats emerge. A modern HRM program uses continuous monitoring and ongoing feedback loops to adapt.

Behavioral risk scores should be recalculated regularly, with dashboards showing improvements or regressions over time. Security leaders should also establish KPIs like:

  • Reduction in click rates on phishing simulations

  • Fewer policy violations or DLP alerts

  • Increased reporting of suspicious emails

  • Improved password hygiene

These metrics demonstrate the value of HRM in tangible, business-aligned terms.

5. Cross-Functional Collaboration

HRM isn’t just an IT initiative — it requires buy-in from HR, compliance, legal and executive leadership. HR can help incorporate risk insights into onboarding or performance reviews. Legal and compliance teams can align HRM efforts with regulatory expectations. And executive support is key to driving culture change from the top down.

Benefits of Human Risk Management

Organizations that adopt HRM see a range of benefits, including:

  • Reduced Security Incidents Caused by Human Error

  • Better Visibility Into Who Presents Risk and Why

  • More Efficient Use of Training Budgets

  • Improved Compliance Posture

  • Stronger Security Culture

Reduced Security Incidents Caused by Human Error

By identifying risky behaviors early and intervening before incidents occur, HRM helps significantly reduce the number of security events caused by employee actions. Continuous monitoring and targeted interventions lower the likelihood of phishing success, credential misuse and policy violations.

Better Visibility Into Who Presents Risk and Why

HRM provides security teams with clear insight into which users, roles or departments present the highest levels of risk and the behaviors driving that risk. This visibility allows organizations to move beyond assumptions and make informed, data-driven decisions.

More Efficient Use of Training Budgets

Instead of applying the same training to every employee, HRM enables targeted, risk-based education. High-risk users receive focused support, while low-risk users avoid unnecessary training, resulting in better outcomes and more efficient use of security awareness budgets.

Improved Compliance Posture

Human Risk Management supports compliance with regulatory and security frameworks such as NIST, ISO 27001 and PCI DSS by demonstrating ongoing efforts to manage employee behavior. Behavioral metrics and documented improvements help organizations show due diligence during audits and assessments.

Stronger Security Culture

When employees receive timely, relevant guidance rather than punitive responses, they become active participants in security. HRM fosters a culture where users feel empowered to report suspicious activity, correct mistakes and contribute to overall risk reduction.
More importantly, HRM helps security teams move from reactive to proactive — identifying risks early and addressing them before they become breaches.

Ready to Put Human Risk Management into Practice?

HRM represents the next evolution of cybersecurity — one that acknowledges people as both the greatest vulnerability and the greatest defense. By identifying and addressing risky behavior at the individual level, HRM enables security teams to protect their organizations more effectively and sustainably. It’s not just about changing what people know; it’s about changing what they do. And in today’s threat landscape, that makes all the difference.

If you want to feel HRM+ in action, check out the demo.


Human Risk Management FAQs

What is Human Risk Management (HRM)?

Human Risk Management is a cybersecurity approach focused on identifying, measuring and reducing risk introduced by employee behavior. Instead of relying solely on technical controls or periodic training, HRM continuously evaluates how users interact with systems, data and threats. By translating real behavior into measurable risk insights, HRM allows organizations to proactively manage human-driven cyber risk.

How does Human Risk Management differ from traditional security awareness training?

Traditional security awareness training emphasizes education, specifically teaching employees about cyber threats, organizational policies and best practices. Human Risk Management goes further by allowing organizations to identify, quantify and mitigate human-related cyber risks. HRM uses behavioral data such as phishing interactions, password hygiene and policy violations to identify risk and apply targeted interventions. This shift from education to accountability enables sustained behavior change and measurable risk reduction.

Why is Human Risk Management important for modern organizations?

Human behavior is involved in the majority of security incidents, especially as attackers increasingly rely on social engineering rather than technical exploits. Remote work, cloud services and tighter regulatory requirements further increase exposure to behavior-based risk. HRM gives organizations a structured way to manage this risk continuously, rather than reacting after incidents occur.

What types of human risk does HRM measure?

HRM measures a wide range of behaviors, including phishing susceptibility, password reuse, insecure data handling, policy violations and responses to security alerts. These behaviors are analyzed at the individual, role and departmental levels, allowing organizations to understand not just where risk exists, but why it exists and how it changes over time.

How does Human Risk Management support compliance and governance?

Many regulatory frameworks emphasize the role of people in maintaining security. HRM supports compliance by documenting behavioral risk assessments, tracking improvement over time and demonstrating ongoing efforts to reduce human-driven risk. This helps organizations show due diligence during audits and align employee behavior with security and data protection standards.

How does HRM fit into an existing security stack?

Human Risk Management complements existing security tools such as email security, identity and access management and data loss prevention. While those technologies focus on technical threats, HRM addresses the human behaviors that often bypass them. By integrating behavioral insights with technical controls, HRM strengthens the overall security posture.


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