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After implementing a third-party generative AI tool, an organization learns about new regulations related to how organizations use AI. Which of the following would be the BEST justification for the organization to decide not to comply?
Correct Answer: C
The AAISM framework clarifies that compliance decisions must always be tied to an organization's risk appetite and tolerance. When new regulations emerge, management may choose not to comply if the associated risk remains within the documented and approved risk appetite, provided that accountability is established and governance structures support this decision. Other options such as widespread industry use, third-party audits, or lack of cost assessment do not justify noncompliance under the governance principles. The risk appetite framework is the only recognized justification under AI governance principles. References: AAISM Study Guide - AI Governance and Program Management ISACA AI Risk Guidance - Risk Appetite and Compliance Decisions