CRISC Exam Dumps - Certified in Risk and Information Systems Control

The primary risk management responsibility of the second line of defense is to monitor the risk responses. The second line of defense is the function that oversees and supports the risk management activities of the first line of defense, which is the function that owns and manages the risks. The second line of defense includes the risk management, compliance, and quality assurance functions, among others. The second line of defense is responsible for monitoring the risk responses, which are the actions taken to address the risks, such as avoiding, transferring, mitigating, or accepting the risks. The second line of defense monitors the risk responses to ensure that they are implemented effectively and efficiently, that they achieve the desired outcomes, and that they are aligned with the risk appetite and tolerance of the organization. The second line of defense also provides guidance, advice, and feedback to the first line of defense on the risk responses, and reports the results and issues to the senior management and the board. Applying risk treatments, providing assurance of control effectiveness, and implementing internal controls are not the primary risk management responsibilities of the second line of defense, as they are either the responsibilities of the first line of defense or the third line ofdefense, which is the function that provides independent assurance of the risk management activities, such as the internal audit function. References = CRISC Review Manual, 6th Edition, ISACA, 2015, page 36.

The correct answer is D . Before updating policy, management must understand the current state, the desired future state, and the gaps between them. The uploaded CRISC notes state that a risk management strategic plan should include the current state and desired future state of the enterprise. They also state that process maturity assessment identifies gaps between desired and current states.

A and B may help later, but adopting or benchmarking before understanding the organization’s gap can lead to poor fit. C is incorrect because the organization should evaluate its requirements first, not start by conforming to provider policies.

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Review Assignments of Data Ownership for Key Assets:

Data Ownership: Ensuring that data ownership is clearly assigned helps establish accountability for data protection. Data owners are responsible for the classification, management, and protection of data.

Baseline Understanding: Reviewing data ownership assignments provides a baseline understanding of who is responsible for sensitive data and ensures that the responsibilities are clearly defined and understood.

Compliance and Control: Proper data ownership ensures that controls are in place and that there is compliance with data protection policies and regulations.

Comparison with Other Options:

Identify Staff Who Have Access to Sensitive Data: This is important but should follow the establishment of clear data ownership to ensure that access controls are appropriately applied.

Identify Recent and Historical Incidents Involving Data Loss: Reviewing incidents helps understand past issues but does not address current data ownership and accountability.

Review the Organization ' s Data Inventory: While important, a data inventory review is part of understanding data ownership and control but should not be the first step.

Best Practices:

Clear Documentation: Ensure that data ownership is clearly documented and communicated across the organization.

Regular Reviews: Conduct regular reviews of data ownership assignments to ensure they remain accurate and up-to-date.

Training and Awareness: Provide training to data owners on their roles and responsibilities regarding data protection and risk management.

Social engineering exercises are simulations of real-world attacks that exploit human vulnerabilities, such as phishing, baiting, pretexting, or quid pro quo. Conducting social engineering exercises can help assess the risk associated with data loss due to human vulnerabilities by measuring the employees’ susceptibility to such attacks, their awareness of security policies and procedures, and their response to incidents. Reviewing password change history, performing periodic access recertifications, and reviewing the results of security awareness surveys are also useful, but they do not directly test the employees’ behavior and resilience in the face of social engineering attacks.

Determining the impact of the missing threat is the best course of action for a peer review of a risk assessment, as it helps to assess the potential consequences and severity of the threat on the information system and the business objectives. Determining the impact of the missing threat is a process of estimating and quantifying the possible harm or loss that could result from the occurrence of the threat event, such as data breach, system failure, or service disruption. Determining the impact of the missing threat can help to:

Identify and prioritize the critical assets, processes, and functions that could be affected by the threat

Evaluate and measure the extent and magnitude of the damage or disruption caused by the threat

Analyze and compare the current and residual risk levels and control effectiveness

Develop and implement appropriate risk response and mitigation strategies and actions

Communicate and report the risk exposure and status to the relevant stakeholders

Determining the impact of the missing threat is an essential step to ensure the completeness and accuracy of the risk assessment and to improve the quality and reliability of the risk management and control processes.

The other options are not the best courses of action for a peer review of a risk assessment. Asking the business to make a budget request to remediate the problem is a possible action to allocate the resources and costs for the risk mitigation, but it does not address the root cause or the severity of the problem. Building a business case to remediate the fix is a possible action to justify and support the risk mitigation, but it does not provide a clear and comprehensive analysis of the problem. Researching the types of attacks the threat can present is a possible action to understand and anticipate the threat scenarios andtechniques, but it does not evaluate the actual or potential impact of the threat. References = Risk Assessment and Analysis Methods: Qualitative and Quantitative, IT Risk Resources | ISACA, Peer Review Assessment Framework

 The primary reason to report the information about the new risk scenarios identified after the implementation of Internet of Things (IoT) devices to risk owners is to confirm the impact to the risk profile. The risk profile is a summary of the level and nature of the risks that the organization faces or may face in the future. The risk profile reflects the risk appetite, tolerance, and capacity of the organization, and guides the risk management decisions and actions. The implementation of IoT devices may introduce new risks or increase the likelihood or impact of existing risks, such as data privacy, security, or interoperability issues. Therefore, the information about the new risk scenarios should be reported to the risk owners, who have the authority and responsibility for managing the risks and their responses, to confirm the impact to the risk profile and to determine the appropriate risk treatment plans. The other options are not asprimary as confirming the impact to the risk profile, as they are related to the reevaluation, mitigation, or recommendation of the IoT devices, not the confirmation or assessment of the risk profile. References = Risk and Information Systems Control Study Manual, Chapter 1: IT Risk Identification, Section 1.2: IT Risk Register, page 19.

The scenario that is most important to communicate to senior management is the accepted risk scenarios with impact exceeding the risk tolerance, as it indicates a significant risk issue or breach that may affect the achievement of the organizational objectives, and may require a review or escalation action. The other options are not the most important scenarios, as they may not indicate a risk issue or breach, but rather a risk monitoring, sharing, or management activity, respectively, that may not affect the organizational objectives directly or significantly. References = CRISC Review Manual, 7th Edition, page 109.

The correct answer isBbecause engaging key stakeholders in the IT risk assessment process primarily improves thequality of analysis. Stakeholders provide business context, operational knowledge, and understanding of risk impacts, dependencies, and priorities. This leads to more accurate and relevant risk assessment results.

The other options are less appropriate:

A. Reducing the time required for risk analysisis not the primary objective.

C. Building a risk aware cultureis a valuable secondary benefit, but not the main reason for engagement in the assessment process.

D. Ensuring proper budget allocation for risk remediationmay result later, but not the primary objective of stakeholder involvement.

Exact Extracts supporting the answer:

“To ensure the overall effectiveness of a risk management program it is essential to have the participation of relevant stakeholders.”

“An interdisciplinary team within the enterprise offers the best perspective on risk management to employees and stakeholders.”

“The BEST approach when developing risk scenarios for an enterprise is to use both the top-down and the bottom-up approach because they have different perspectives.”

“The PRIMARY result of a risk assessment process is input for risk-aware decisions.”

These extracts show that stakeholder engagement is primarily valuable because it improves the completeness, relevance, and quality of risk analysis.

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