CRISC Exam Dumps - Certified in Risk and Information Systems Control

 The best key performance indicator (KPI) of the effectiveness of the policy requiring staff members to take a minimum of five consecutive days leave per year to mitigate the risk ofmalicious insider activities is the percentage of staff members taking leave according to the policy. A KPI is a quantifiable measure that evaluates the performance of a process, activity, or outcome against a predefined target or objective. The percentage of staff members taking leave according to the policy is the best KPI, because it directly measures the compliance and adherence of the staff members to the policy, which is the main objective of the policy. The policy aims to reduce the risk of malicious insider activities by forcing the staff members to take a break from their work, which can help to deter, detect, or prevent any fraudulent or unauthorized actions, such as data theft, sabotage, or manipulation12. The percentage of staff members taking leave according to the policy can also help to evaluate the effectiveness and efficiency of the policy implementation and enforcement, and to identify and address any gaps or issues in the policy design or execution. The other options are not the best KPI, although they may be related or influential to the policy effectiveness. The number of malicious activities occurring during staff members’ leave is a measure of the occurrence and impact of the risk events that the policy aims to mitigate, but it is not a direct measure of the policy performance or compliance. The number of malicious activities occurring during staff members’ leave may also be affected by other factors or controls, such as the security systems, the audit procedures, or the external threats, which may not reflect the policy effectiveness. The percentage of staff members seeking exception to the policy is a measure of the resistance or dissatisfaction of the staff members to the policy, but it is not a direct measure of the policy performance or compliance. The percentage of staff members seeking exception to the policy may also be influenced by other factors or circumstances, such as the workload, the personal preferences, or the organizational culture, which may not indicate the policy effectiveness. The financial loss incurred due to malicious activities during staff members’ leave is a measure of the consequence and severity of the risk events that the policy aims to mitigate, but it is not a direct measure of the policy performance or compliance. The financial loss incurred due to malicious activities during staff members’ leave may also vary depending on the type, scale, or frequency of the malicious activities, or the recovery or compensation actions, which may not represent the policy effectiveness. References = How To Measure Risk Management KPI & Metrics - ERM Software, Key Performance Indicators (KPIs): The Ultimate Guide - ClearPoint Strategy

The primary reason to update a risk register with risk assessment results is to communicate the level and priority of assessed risk to management, as this enables them to make informed decisions about risk response and allocation of resources. The risk register is a tool for documenting and reporting the current status of risks, their causes, impacts, likelihood, and responses. Updating the risk register with risk assessment results ensures that the information is accurate, relevant, and timely. The risk register also helps to monitor and track the progress and effectiveness of risk management activities. The other options are not the primary reasons to update the risk register, although they may be secondary benefits or outcomes of doing so. References = Risk and Information Systems Control Study Manual, Chapter 3: IT Risk Assessment, page 109.

Evaluating risk scenarios and assessing current controls is the most helpful in identifying gaps between the current and desired state of the IT risk environment, because it allows the risk practitioner to compare the actual and expected outcomes of the IT processes and activities under different situations. A risk scenario is a hypothetical situation that describes a possible event or sequence of events that may affect the IT objectives and performance. A risk scenario can be based on various factors, such as the sources of risk, the risk drivers, the risk events, the risk impacts, and the risk responses. A risk scenario can also include the likelihood and severity of the risk, as well as the assumptions and uncertainties involved. Evaluating risk scenarios helps the risk practitioner to understand the nature and extent of the IT risks, as well as the potential consequences and opportunities that may arise from them. Assessing current controls is the process of examining and testing the existing controls that are implemented to manage the IT risks. A control is a measure or action that reduces the likelihood or impact of a risk, or enhances the benefits or opportunities of a risk. Assessing current controls helps the risk practitioner to determine the effectiveness and efficiency of the controls, as well as their alignment with the IT objectives and requirements. By evaluating risk scenarios and assessing current controls, the risk practitioner can identify the gaps between the current and desired state of the IT risk environment. The gaps can be related to the following aspects: - The IT objectives and performance: The gaps can indicate the difference between the actual and expected results of the IT processes and activities, as well as the deviation from the IT goals and targets. - The IT risk exposure and appetite: The gaps can indicate the difference between the actualand acceptable level of risk that the organization faces or is willing to take in pursuit of the IT objectives. - The IT risk management process and practices: The gaps can indicate the difference between the actual and expected performance of the IT risk management process, as well as the compliance with the IT risk management policies and standards. - The IT risk culture and awareness: The gaps can indicate the difference between the actual and desired level of risk awareness,understanding, and communication among the IT stakeholders, as well as the alignment with the organizational values and culture. Identifying the gaps between the current and desired state of the IT risk environment is important for the risk practitioner, as it can help to prioritize and address the IT risks, as well as to improve and optimize the IT risk management process and practices. References = Risk and Information Systems Control Study Manual, Chapter 2: IT Risk Assessment, Section 2.3: Risk Scenarios, pp. 63-681

A private cloud is a type of cloud computing deployment that provides the consumer exclusive access to a pool of computing resources that are owned, managed, and operated by the consumer or a third-party provider on behalf of the consumer.

A private cloud provides the consumer the greatest degree of control over the environment, because the consumer can customize and configure the resources according to their specific needs and preferences, and can apply their own security and governance policies and standards.

The other options are not the types of cloud computing deployment that provide the consumer the greatest degree of control over the environment. They are either shared or limited by the provider’s settings and rules.

The references for this answer are:

Risk IT Framework, page 23

Information Technology & Security, page 17

Risk Scenarios Starter Pack, page 15

 The first step when developing a business case to drive the adoption of a risk remediation project by senior management is to identify the objectives of the project. The objectives are the specific, measurable, achievable, relevant, and time-bound (SMART) goals that the project aims to accomplish. The objectives should be aligned with the organization’s vision, mission, and strategy, as well as the identified business problem or opportunity. The objectives should also reflect the expected benefits and outcomes of the project, such as reducing the risk exposure, enhancing the security posture, or improving the business performance. Identifying the objectives is the first step because it provides the direction, scope, and justification for the project, and it serves as the basis for evaluating the alternative solutions, estimating the costs and benefits, and communicating the value proposition to the senior management and other stakeholders. The other options are not the first step, although they may be subsequent or concurrent steps in the business case development process. Calculating the cost is a part of the financial analysis, which estimates the total expenditure and funding sources of the project, but it does not define the purpose or the scope of the project. Analyzing cost-effectiveness is a part of the economic analysis, which compares the costs and benefits of the alternative solutions and recommends the optimal one, but it does not specify the goals or the criteria of the project. Determining the stakeholders is a part of the stakeholder analysis, which identifies and assesses the interests, expectations, and influence of the parties involved in or affected by the project, but it does not establish the objectives or the rationale of the project. References = Business case: 7 key steps to build it and use it - Twproject: project …, Guide to developing the Project Business Case - GOV.UK, How to Write a Business Case: Template & Examples | Adobe Workfront

The most important risk consideration when the global company’s business continuity plan (BCP) requires the transfer of its customer information to a cloud computing environment in the event of a disaster is that the cloud computing environment is shared with another company. A cloud computing environment is a service model that provides on-demand access to a shared pool of computing resources, such as servers, storage, networks, and applications. A shared cloud computing environment means that the same computing resources are used by multiple customers or tenants, and that the data and activities of one customer may affect or be affected by the data and activities of another customer. This may pose a significant risk to the security, privacy, and availability of the customer information, as it may be exposed, accessed, modified, or deleted by unauthorized or malicious parties. The other options are not as important as the cloud computing environment being shared with another company, as they are related to the differences, agreements, or cultures of the company or the country, not the environment or the platform of the customer information transfer. References = Risk and Information Systems Control Study Manual, Chapter 3: IT Risk Response, Section 3.3: IT Risk Response Implementation, page 145.

The most important input into the assessment of the risk of shadow IT usage is the classification of the data that is being processed, stored, or transmitted by the unauthorized applications or devices. This determines the level of confidentiality, integrity, and availability that is required for the data and the potential impact of a breach or loss. Business benefits of shadow IT, application-related expenses, and volume of data are less important inputs that may affect the risk analysis, but not as much as the data classification. References = Risk IT Framework, 2nd Edition, page 28; CRISC Review Manual, 6th Edition, page 98.

A risk profile is a summary of the nature and level of risk that an organization faces. It includes information such as the sources, causes, and consequences of the risks, their likelihood and impact, their interrelationships and dependencies, and their alignment with the risk appetite and tolerance. A risk profile is influenced by various factors, such as the organization’s objectives, strategies, activities, processes, resources, capabilities, culture, etc. When an organization configures a new business division, the factor that is most likely to be affected is the risk profile, as the new business division may introduce new or change existing risks, opportunities, and uncertainties that may affect the achievement of the organization’s objectives. Therefore, the organization should update its risk profile to reflect the currentand potential risks associated with the new business division, and implement the appropriate risk management actions to optimize the risk exposure and performance. References = 4