Which among the following is the MOST crucial part of risk management process?

A.
Risk communication

B.
Auditing

C.
Risk monitoring

D.
Risk mitigation

Explanation:

Risk communication is a critical part in the risk management process. People are naturally
uncomfortable talking about risk and tend to put off admitting that risk is involved and
communicating about issues; incidents; and; eventually, even crises.
If risk is to be managed and mitigated, it must first be discussed and effectively communicated
throughout an enterprise.
Answer D is incorrect. Risk mitigation is one of the phases of risk management process for
effective mitigation of risk it should be first communicated throughout an enterprise.
Answer B is incorrect. Auditing is done to test the overall risk management process and the
planned risk responses. So it is the very last phase after completion of risk management process.
Answer C is incorrect. Risk monitoring is the last phase to complete risk management process,
and for proper management of risk it should be communicated properly. Hence risk
communication is the most crucial step.