A comprehensive risk management approach should address which of the following?

A comprehensive risk management approach is essential for identifying and mitigating potential risks within an organization. This approach should encompass various aspects of the business environment, reflecting the interconnectedness of different factors that can impact risk.

Focusing on people recognizes the human element in risk management, as employees are often at the forefront of both risks and solutions. Processes are vital because they define how tasks are performed, influencing the consistency and effectiveness of risk mitigation strategies. Performance evaluates how well these processes are supporting organizational goals and managing risk, while price refers to the financial implications of risk management decisions, including the cost-benefit analysis of different risk strategies.

By addressing these four elements collectively, organizations can create a robust framework that not only manages risks effectively but also enhances overall performance and decision-making. This holistic view ensures that all variables contributing to risk are considered, leading to more comprehensive assessments and strategies for managing those risks.