CRISC Exam Dumps - Certified in Risk and Information Systems Control

The risk landscape is the set of internal and external factors and conditions that may affect the organization’s objectives and operations, and create or influence the risks that the organization faces. The risk landscape is dynamic and complex, and it may change over time due to various drivers or events, such as technological innovations, market trends, regulatory changes, customer preferences, competitor actions, environmental issues, etc.

The best way to identify changes to the risk landscape is threat modeling, which is the process of identifying, analyzing, and prioritizing the potential threats or sources of harm that may exploit the vulnerabilities or weaknesses in the organization’s assets, processes, or systems, and cause adverse impacts or consequences for the organization. Threat modeling can help the organization to anticipate and prepare for the changes in the risk landscape, and to design and implement appropriate controls or countermeasures to mitigate or prevent the threats.

Threat modeling can be performed using various techniques, such as brainstorming, scenario analysis, attack trees, STRIDE, DREAD, etc. Threat modeling can also be integrated with the risk management process, and aligned with the organization’s objectives and risk appetite.

The other options are not the best ways to identify changes to the risk landscape, because they do not provide the same level of proactivity, comprehensiveness, and effectiveness of identifying and addressing the potential threats or sources of harm that may affect the organization.

Internal audit reports are the documents that provide the results and findings of the internal audits that are performed to assess and evaluate the adequacy and effectiveness of the organization’s governance, risk management, and control functions. Internal audit reports can provide useful information and recommendations on the current state and performance of the organization, and identify the issues or gaps that need to be addressed or improved, but they are not the best way to identify changes to the risk landscape, because they areusually retrospective and reactive, and they may not cover all the relevant or emerging threats or sources of harm that may affect the organization.

Access reviews are the processes of verifying and validating the access rights and privileges that are granted to the users or entities that interact with the organization’s assets, processes, orsystems, and ensuring that they are appropriate and authorized. Access reviews can provide useful information and feedback on the security and compliance of the organization’s access management, and identify and revoke any unauthorized or unnecessary access rights or privileges, but they are not the best way to identify changes to the risk landscape, because they are usually periodic and specific, and they may not cover all the relevant or emerging threats or sources of harm that may affect the organization.

Root cause analysis is the process of identifying and understanding the underlying or fundamental causes or factors that contribute to or result in a problem or incident that has occurred or may occur in the organization. Root cause analysis can provide useful insights and solutions on the origin and nature of the problem or incident, and prevent or reduce its recurrence or impact, but it is not the best way to identify changes to the risk landscape, because it is usually retrospective and reactive, and it may not cover all the relevant or emerging threats or sources of harm that may affect the organization. References =

ISACA, CRISC Review Manual, 7th Edition, 2022, pp. 19-20, 23-24, 27-28, 31-32, 40-41, 47-48, 54-55, 58-59, 62-63

ISACA, CRISC Review Questions, Answers & Explanations Database, 2022, QID 167

CRISC Practice Quiz and Exam Prep

Artificial intelligence (AI) is a branch of computer science that aims to create machines or systems that can perform tasks that normally require human intelligence, such as learning, reasoning, decision making, etc.

An organization that is considering adopting AI should be aware of the potential risks and challenges that may arise from using AI, such as ethical, legal, social, technical, operational, or security issues.

The most important course of action for the risk practitioner is to identify applicable risk scenarios. This means that the risk practitioner should analyze the context and objectives of theAI adoption, the stakeholders and their expectations, the data and information sources and quality, the AI models and algorithms and their reliability, the AI outputs and outcomes and their impact, and the AI governance and oversight mechanisms and their effectiveness.

Identifying applicable risk scenarios helps to assess the likelihood and impact of the risks, prioritize the risks, design and implement appropriate risk responses, monitor and evaluate the risk performance, and report and communicate the risk status and issues.

The other options are not the most important courses of action for the risk practitioner. They are either secondary or not essential for AI risk management.

The references for this answer are:

Risk IT Framework, page 24

Information Technology & Security, page 18

Risk Scenarios Starter Pack, page 16

Recovery time objectives (RTOs) are the acceptable timeframes within which business processes must be restored after a disruption. RTOs should be based on the maximum tolerable downtime (MTD), which is the longest time that a business process can be inoperable without causing irreparable harm to the organization. The other options are not directly related to RTOs, as they refer to the amount of data loss or corruption that can be tolerated, not the time to restore the business processes. References = Risk and Information Systems Control Study Manual, Chapter 4: Risk and Control Monitoring and Reporting, Section 4.3: Key Risk Indicators, page 197.

 A RACI chart is a matrix that defines the roles and responsibilities of different stakeholders in relation to the IT risk management process. RACI stands for Responsible, Accountable, Consulted, and Informed. A RACI chart would be most helpful when communicating roles associated with the IT risk management process, as it clarifies who is responsible for performing the tasks, who is accountable for the outcomes, who is consulted for input and feedback, and who is informed of the progress and results. A RACI chart can help to avoid confusion, duplication, and conflict among the stakeholders, and to ensure that the IT risk management process is executed effectively and efficiently. A skills matrix, job descriptions, and an organizational chart are not as helpful as a RACI chart, as they do not specify the roles and responsibilities of the stakeholders in relation to the IT risk management process, and may not reflect the actual involvement and contribution of the stakeholders. References = CRISC Review Manual, 6th Edition, ISACA, 2015, page 35.

The best risk response for an identified high probability risk scenario involving a critical, proprietary business function with an annualized cost of control higher than the annual loss expectancy is to accept the risk. Accepting the risk means acknowledging the risk but choosing not to take any specific action to address it. This strategy is suitable when the cost of implementing controls exceeds the potential loss, as in this scenario. The organization recognizes the risk, but the cost-benefit analysis suggests that the potential loss is acceptable given the higher cost of control. The other options are not the best risk responses, as they may not befeasible, practical, or cost-effective in this scenario. Mitigating the risk means reducing the risk by implementing controls or measures to minimize its potential impact, but this would increase the cost of control, which is already higher than the annual loss expectancy. Transferring the risk means shifting the risk to another party, typically through insurance or contracts, but this may not be possible or advisable for a critical, proprietary business function, and it may also increase the overall cost burden. Avoiding the risk means eliminating the risk entirely by not engaging in the activity that poses the risk, but this may disrupt essential business operations and potentially result in other adverse consequences. References = CRISC Exam:Best Risk Response for High Probability Risk Scenario; Risk Response Plan in Project Management: Key Strategies & Tips; Chapter 19: Summarizing Risk Management Concepts

 The global organization has adopted risk acceptance as the risk response with regard to privacy requirements, as it has decided to continue with the implementation of the application that does not address all privacy requirements across multiple jurisdictions, and bear the potential consequences of noncompliance. Risk avoidance, risk transfer, and risk mitigation are not the risk responses adopted by the organization, as they would involve avoiding, sharing, or reducing the risk of noncompliance with privacy requirements, respectively. References = CRISC Review Manual, 7th Edition, page 111.

Key risk indicators (KRIs) are metrics that provide information on the level of exposure to a given risk. Key control indicators (KCIs) are metrics that measure the performance or effectiveness of a control in mitigating a risk. KCIs provide input for KRIs, because they help to assess the residual risk after applying the control. For example, if the KRI is the number of security incidents, and the KCI is the percentage of incidents detected by the intrusion prevention system (IPS), then the KCI provides input for the KRI by showing how well the IPS is reducing the risk of security breaches. References = CRISC: Certified in Risk & Information Systems Control Sample Questions