Which of the following principles is part of the risk management process?

Making risk decisions at the appropriate level is a key principle in the risk management process. This principle emphasizes the importance of aligning risk decisions with the authority and knowledge of the individuals or committees responsible for those decisions. It ensures that risks are assessed, managed, and responded to by those who have the necessary expertise and context, which allows for effective governance and accountability.

By involving the right levels of management in the decision-making process, organizations can better identify, analyze, and mitigate risks that can impact their objectives. This principle supports a structured approach to risk management, where each level of an organization understands its roles and responsibilities related to risk.

Focusing only on one aspect of risk management, such as ignoring minor risks or allowing only the highest level of management to make decisions, could lead to inadequate risk assessment and management. This undermines the overall effectiveness of the risk management strategy and can leave an organization vulnerable to unforeseen threats or challenges.