Which of the following is NOT a key component of a risk management framework?

The correct answer indicates that "Risk enhancement" is not a key component of a risk management framework. In risk management, the primary focus is on understanding and addressing risks through systematic processes. The main components typically include risk identification, risk mitigation, and risk monitoring.

Risk identification involves recognizing potential risks that could impact an organization. This is vital for establishing the foundation of effective risk management. Once risks are identified, risk mitigation strategies are developed to reduce the likelihood or impact of these risks. Lastly, risk monitoring ensures that identified risks and the effectiveness of mitigation strategies are continually assessed and adjusted as necessary.

In contrast, risk enhancement is not a recognized component in mainstream risk management frameworks. While organizations may seek to enhance certain aspects of their operations or capitalize on opportunities, this does not fit into the core mechanisms of risk management, which are focused on managing negative outcomes rather than enhancing potential advantages. Thus, the absence of "Risk enhancement" aligns with the outlined components of a traditional risk management framework.