How is customer risk assessment different from entity risk assessment?

Risk assessment is the identification and assessment of ML/TF risk faced by the regulated person in relation to the jurisdictions or countries its customers are from or in; the jurisdictions or countries the regulated person has operations or dealings in and products, services, transactions and
delivery channels of the regulated person. Whereas KYC/CDD measures determine the risk profile of the customer only. Customers’ risk profiling is one of the facet used in the entity risk assessment.