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| Section | Weight | Objectives |
|---|---|---|
| Risk Optimization | 19% | - Risk Governance
|
| Governance of Enterprise IT | 40% | - Governance Structures
|
| IT Resources | 15% | - Resource Optimization
|
| Benefits Realization | 26% | - Value Delivery
|
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NEW QUESTION # 687
What should be an IT steering committee's FIRST course of action when an enterprise is considering establishing a virtual reality store to sell its products?
Answer: B
Explanation:
When an enterprise is considering establishing a virtual reality store to sell its products, the IT steering committee's first course of action should be to request a cost-benefit analysis. This analysis will evaluate the financial implications, potential returns, and strategic value of the investment, providing a basis for informed decision-making. While resource gap analysis, development of key risk indicators (KRIs), and threat assessment are important considerations, understanding the economic viability through a cost-benefit analysis is fundamental before proceeding with such strategic initiatives.
NEW QUESTION # 688
A financial services company has implemented the use of a cloud-based centralized customer relationship management (CRM) system. The company has decided to go multi-national. Which of the following should be the enterprise risk management (ERM) committee's PRIMARY consideration?
Answer: A
Explanation:
Compliance issues should be the primary consideration for the ERM committee because using a cloud-based CRM system in a multi-national context may involve different legal and regulatory requirements regarding data privacy, protection, localization, and transfer. The ERM committee should ensure that the company and the cloud service provider comply with the applicable laws and standards of each country where they operate, as well as the industry-specific regulations such as PCI DSS or GDPR. Compliance issues may also affect the security, vendor capability, and ROI of the cloud-based CRM system, as non-compliance may result in fines, penalties, reputational damage, or loss of customers. Reference:
CGEIT Review Manual 2021, Chapter 2: IT Risk Management, Section 2.3: Risk Response, page 751 CGEIT Review Questions, Answers & Explanations Manual 2021, Question 4, page 162 Cloud Compliance: What It Is + 8 Best Practices for Improving It2 Overcoming Compliance Issues in Cloud Computing | Tripwire3
NEW QUESTION # 689
Which of the following BEST supports an IT staff restructure as part of an annual IT strategy review with senior management?
Answer: A
NEW QUESTION # 690
A CIO was notified that a new employee was observed wearing a headset with an optical lens at the organization's data center. The individual was entering voice commands into the device. When approached, the employee explained the device is a new personal technology serving as a hands-free version of a smart phone.
The CIO is concerned with potential security vulnerabilities of allowing such devices, and whether they should be banned from the facility. What should be the NEXT course of action in response to the ClO's concern?
Answer: C
Explanation:
The next course of action in response to the CIO's concern is to assess the risk associated with the device.
This means that the CIO should evaluate the potential impact and likelihood of security threats posed by the device, such as data leakage, unauthorized access, malware infection, or privacy violation. The CIO should also consider the benefits and drawbacks of allowing or banning such devices, such as productivity, innovation, user satisfaction, or compliance. A risk assessment can help the CIO to make an informed decision based on facts and evidence, rather than assumptions or emotions. A risk assessment can also provide a basis for defining a risk mitigation strategy, updating the acceptable use policy, or researching competitor usage of similar devices. References := 10 security risks of wearables | CSO Online, Wearable Devices are on the Rise, Presenting New Security Risks, Common privacy and security vulnerabilities in wearable devices, Wearables Device Data Security & Protection | Voler Systems
NEW QUESTION # 691
An enterprise is implementing its first mobile sales channel. Final approval for accepting the associated IT risk should be obtained from which of the following?
Answer: D
Explanation:
Final approval for accepting the associated IT risk should be obtained from the business sponsor. This is because the business sponsor is the person or group who initiates, funds, and owns the business case for the mobile sales channel project1. The business sponsor is responsible for defining the business objectives, benefits, and requirements of the project, and for ensuring its alignment with the enterprise strategy1. The business sponsor is also accountable for the outcomes and value of the project, and for managing the risks and issues that may affect its success1. Therefore, the business sponsor should have the authority and responsibility to approve the IT risk associated with the mobile sales channel project, as it may impact the business performance and value.
The other options, risk manager, chief information officer (CIO), and IT steering committee are not the best choices for obtaining final approval for accepting the associated IT risk. They are more involved in the identification, assessment, mitigation, and monitoring of IT risks, rather than their acceptance2. They may also have different perspectives and interests than the business sponsor regarding the IT risk associated with the mobile sales channel project. For example, the risk manager may focus on minimizing or avoiding IT risks, while the CIO may focus on maximizing or exploiting IT opportunities. The IT steering committee may have a broader view of IT risks across multiple projects and programs, rather than a specific one. Therefore, they may not have the final say or decision on accepting the IT risk associated with the mobile sales channel project.
NEW QUESTION # 692
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