CRISC Exam Dumps - Certified in Risk and Information Systems Control

The result of a realized risk scenario is a loss event. A loss event is an occurrence that causes harm or damage to the organization’s assets, resources, or reputation. A loss event is also known as an incident or a breach. A loss event is the outcome of a risk scenario, which is a description of a possible situation or event that could affect the organization’s objectives or operations. A risk scenario consists of three elements: a threat, a vulnerability, and an impact. A threat is a potential source of harm or damage. A vulnerability is a weakness or flaw that could be exploited by a threat. An impact is the consequence or effect of a threat exploiting a vulnerability. A risk scenario is realized when a threat exploits a vulnerability and causes an impact, which results in a loss event. The other options are not the result of a realized risk scenario, although they may be part of a risk scenario. A technical event, a threat event, and a vulnerability event are all types of events that could occur in a risk scenario, but they are not the final outcome or result of a risk scenario. References = Risk and Information Systems Control Study Manual, Chapter 4, Section 4.2.1, page 4-13.

The best recommendation for a risk practitioner upon learning that an employee inadvertently disclosed sensitive data to a vendor is to invoke the incident response plan. An incident response plan is a document that defines the roles, responsibilities, procedures, and resources fordetecting, analyzing, containing, eradicating, recovering, and reporting on security incidents that could affect the organization’s IT systems or data. An incident response plan helps to protect and restore the confidentiality, integrity, and availability of the organization’s information assets, and to comply with the relevant laws, regulations, standards, and contracts. Invoking the incident response plan is the best recommendation, because it helps to respond to and mitigate the security incident, and to minimize the damage and impact of the data disclosure. Invoking the incident response plan also helps to communicate and coordinate the incident response actions and strategies with the internal and external stakeholders, such as the data owners, users, custodians, and regulators, and to report and disclose the incident as required. The other options are not as effective as invoking the incident response plan, although they may be part of or derived from the incident response plan. Enrolling the employee in additional security training, conducting an internal audit, and instructing the vendor to delete the data are all examples of corrective or preventive actions, which may help to prevent or deter the recurrence of the data disclosure, or to verify or validate the data security, but they do not necessarily address or resolve the current security incident. References = Risk and Information Systems Control Study Manual, Chapter 5, Section 5.4.1, page 5-32.

ï‚· Role of the Board and Executive Management:

The board of directors and executive management are responsible for setting the overall strategic direction of the organization, including its risk tolerance.

They have the authority and oversight necessary to define the levels of risk that the organization is willing to accept in pursuit of its objectives.

ï‚· Defining Risk Tolerance:

Risk tolerance refers to the acceptable level of variation in performance relative to the achievement of objectives. It is essentially the degree of risk the organization is willing to endure.

The board and executive management establish risk tolerance based on the organization's strategic goals, capacity to absorb losses, and regulatory requirements.

ï‚· Importance of Senior Leadership:

Senior leadership's involvement ensures that risk tolerance is aligned with the organization's overall strategy and risk appetite.

It provides a top-down approach to risk management, ensuring consistency and alignment across the organization.

ï‚· Comparing Other Stakeholders:

IT Compliance and IT Audit:These functions are responsible for monitoring and ensuring adherence to policies but do not set risk tolerance.

Regulators and Shareholders:They influence risk management practices through external pressures but do not define risk tolerance directly.

Enterprise Risk Management (ERM):ERM frameworks support the implementation of risk management but the actual definition of risk tolerance comes from the board and executive management.

ï‚· References:

The CRISC Review Manual discusses how senior management, including the board, is responsible for defining risk tolerance and ensuring it aligns with the organization's risk appetite (CRISC Review Manual, Chapter 1: Governance, Section 1.10 Risk Appetite, Tolerance, and Capacity) .

Effective risk communication best benefits an organization by helping personnel make better-informed decisions. Risk communication is the process of exchanging information and opinions among stakeholders about the nature, magnitude, significance, or control of a risk. By communicating risk information clearly and consistently, the organization can enhance the understanding and awareness of the risk, and enable the personnel to make decisions that are aligned with the risk appetite and objectives of the organization. Assisting the development of a risk register, improving the effectiveness of IT controls, and increasing participation in the risk assessment process are other possible benefits, but they are not as important as helping personnel make better-informed decisions. References = ISACA Certified in Risk and Information Systems Control (CRISC) Certification Exam Question and Answers, question 12; CRISC Review Manual, 6th Edition, page 215.

 The business owner is the person who is responsible for approval when a change in an application system is ready for release to production. The business owner is the person who has the authority and accountability for the business process or function that is supported by the application system. The business owner should approve the change to ensure that it meets the business requirements, objectives, and expectations, and that it does not introduce any adverse impacts or risks to the business operations. The information security officer, the IT risk manager, and the chief risk officer (CRO) are not responsible for the approval of the change, although they may provide input, feedback, or oversight. References = Risk and Information Systems Control Study Manual, Chapter 3, Section 3.4.1, page 3-32.