Certified Internal Auditor (CIA) Part 3: Business Knowledge for Internal Auditing — Question 44

Which of the following is a primary driver behind the creation and prioritization of new strategic initiatives established by an organization?

Answer options

• A. Risk tolerance.
• B. Performance.
• C. Threats and opportunities.
• D. Governance.

Correct answer: D

Explanation

Governance is essential as it sets the framework for decision-making and prioritization of initiatives in an organization. While risk tolerance, performance, and threats and opportunities are important considerations, they are often influenced by the overarching governance policies and structures in place.