Isaca Updated CGEIT Exam Questions and Answers by dhruv

The first strategic action to address the report is to authorize a risk analysis of the practice. A risk analysis is a systematic process of identifying, assessing, and prioritizing the potential threats and vulnerabilities that may arise from the use of an offsite cloud for analyzing sensitive “big data” files. A risk analysis can help to determine the level of exposure and impact of the practice on the organization’s data security, privacy, compliance, and performance. A risk analysis can also provide recommendations for mitigating or avoiding the risks, such as implementing appropriate controls, policies, and procedures.

Updating data governance practices, revising the information security policy, and recommending the use of a private cloud are possible actions that may result from the risk analysis, but they are not the first step. Data governance practices are the rules and processes that define how data is created, stored, accessed, used, and disposed of within an organization. Data governance practices should align with the organization’s data strategy, objectives, and values. Information security policy is a document that outlines the principles, guidelines, and responsibilities for protecting the confidentiality, integrity, and availability of data. Information security policy should reflect the organization’s risk appetite, legal obligations, and industry standards. A private cloud is a cloud computing model that provides dedicated resources and services to a single organization. A private cloud may offer more control, security, and customization than an offsite cloud, but it may also require more investment, maintenance, and expertise.

Therefore, before updating data governance practices, revising the information security policy, or recommending the use of a private cloud, it is important to conduct a risk analysis of the current practice of using an offsite cloud for analyzing sensitive “big data” files. This will help to ensure that the organization makes informed and strategic decisions that balance the benefits and risks of using cloud computing for big data analytics.

Understanding the enterprise’s risk tolerance is the most important step for the CTO to create the appropriate risk policies for IT, as it would help to define the acceptable level of risk exposure and the risk appetite for mobile applications. Risk tolerance is the degree of uncertainty that an enterprise is willing to accept in pursuit of its objectives, and it reflects the enterprise’s culture, strategy, and stakeholder expectations. Risk policies for IT should be aligned with the enterprise’s risk tolerance, as well as its mission, vision, and goals. The other options are not as important, as they are more related to the implementation or measurement of risk management, rather than the establishment of risk policies. References: : CGEIT Review Manual (Digital Version), Chapter 4: Risk Optimization, Section 4.3: IT Risk Management, Subsection 4.3.1: IT Risk Management Overview, Page 153 : CGEIT Review Manual (Digital Version), Chapter 4: Risk Optimization, Section 4.3: IT Risk Management, Subsection 4.3.2: IT Risk Management Process, Page 156 : Proactive IT Risk Management in an Era of Emerging Technologies

A risk register is a tool that records and tracks the risks associated with a project or an activity, such as developing consumer-based services using emerging technologies involving sensitive personal data. A risk register typically includes information such as the risk description, category, impact, probability, status, response strategy, and owner. Reviewing the risk register will enable the CIO to make the best decision for the customers, as it will help them to identify, assess, and prioritize the risks that may affect the security, privacy, and quality of the services, and to determine the appropriate actions to mitigate or avoid them. The other options are not as relevant, as they do not provide specific information about the risks involved in the project or activity. References: : CGEIT Review Manual (Digital Version), Chapter 4: Risk Optimization, Section 4.3: IT Risk Management, Subsection 4.3.2: IT Risk Management Process, Page 156 : CGEIT Review Manual (Digital Version), Chapter 4: Risk Optimization, Section 4.3: IT Risk Management, Subsection 4.3.3: IT Risk Management Techniques and Tools, Page 158 : Capability Maturity Model and Risk Register Integration1

An exception management process is a method for documenting and approving an exception to compliance with established IT governance policies, standards, and practices. An exception management process can accommodate the need for autonomy over technology choices by allowing a functional group to request and justify a deviation from the IT governance requirements, based on the business needs, risks, costs, and benefits. An exception management process can also help to ensure that the exceptions are reviewed and approved by the appropriate authorities, that the exceptions are monitored and reported, and that the exceptions are aligned with the IT strategy and objectives123. References: Exception Management Process Flow. IT/Information Security Exception Request Process. Strategies, Governance, Policies, Standards and Resources.