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CIPM Exam - Question 81


SCENARIO -

Please use the following to answer the next question:

For 15 years, Albert has worked at Treasure Box – a mail order company in the United States (U.S.) that used to sell decorative candles around the world, but has recently decided to limit its shipments to customers in the 48 contiguous states. Despite his years of experience, Albert is often overlooked for managerial positions. His frustration about not being promoted, coupled with his recent interest in issues of privacy protection, have motivated Albert to be an agent of positive change.

He will soon interview for a newly advertised position, and during the interview, Albert plans on making executives aware of lapses in the company’s privacy program. He feels certain he will be rewarded with a promotion for preventing negative consequences resulting from the company’s outdated policies and procedures.

For example, Albert has learned about the AICPA (American Institute of Certified Public Accountans)/CICA (Canadian Institute of Chartered Accountants) Privacy Maturity Model (PMM). Albert thinks the model is a useful way to measure Treasure Box’s ability to protect personal data. Albert has noticed that Treasure Box fails to meet the requirements of the highest level of maturity of this model; at his interview, Albert will pledge to assist the company with meeting this level in order to provide customers with the most rigorous security available.

Albert does want to show a positive outlook during his interview. He intends to praise the company’s commitment to the security of customer and employee personal data against external threats. However, Albert worries about the high turnover rate within the company, particularly in the area of direct phone marketing. He sees many unfamiliar faces every day who are hired to do the marketing, and he often hears complaints in the lunch room regarding long hours and low pay, as well as what seems to be flagrant disregard for company procedures.

In addition, Treasure Box has had two recent security incidents. The company has responded to the incidents with internal audits and updates to security safeguards. However, profits still seem to be affected and anecdotal evidence indicates that many people still harbor mistrust. Albert wants to help the company recover. He knows there is at least one incident the public in unaware of, although Albert does not know the details. He believes the company’s insistence on keeping the incident a secret could be a further detriment to its reputation. One further way that Albert wants to help Treasure Box regain its stature is by creating a toll-free number for customers, as well as a more efficient procedure for responding to customer concerns by postal mail.

In addition to his suggestions for improvement, Albert believes that his knowledge of the company’s recent business maneuvers will also impress the interviewers. For example, Albert is aware of the company’s intention to acquire a medical supply company in the coming weeks.

With his forward thinking, Albert hopes to convince the managers who will be interviewing him that he is right for the job.

What is one important factor that Albert fails to consider regarding Treasure Box’s response to their recent security incident?

Show Answer
Correct Answer: B

Albert appears to overlook the critical aspect of the nature of the data affected by the recent security incidents. Understanding the type of data involved (e.g., personal identifiers, financial, health) is essential as it determines the severity of the breach, the regulatory obligations, and the potential impact on the individuals concerned. Without considering the specific nature of the data, it is difficult to formulate an appropriate response and mitigation strategy for the security incident.

Discussion

7 comments
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LarryqweOption: B
Mar 19, 2023

More info on the type of security breach is needed.

BoerenkoolOption: B
Mar 11, 2023

If no personal identifiable information was involved, reporting to the public is not required

Larryqwe
Feb 19, 2023

Not a lot of info about security incident is given. Hard to answer this question

AdyyogiOption: B
Aug 14, 2023

B- based on the information provided

SsouravOption: B
Aug 26, 2023

it seems that Albert is focused on various other aspects of the company's operations and security, but the specific nature of the data affected by the security incidents isn't mentioned as something he's considering. Understanding the type of data involved (e.g., financial, health, personal identifiers) is critical because it can influence the severity of an incident, its regulatory implications, and the potential consequences for affected individuals.

carlosbuiOption: B
Nov 23, 2023

should be B

humhainOption: B
Mar 4, 2024

This answer is an important factor that Albert fails to consider, as it can affect the legal and ethical obligations and implications of the company’s response to the security incident, as well as the potential impact and harm to the individuals whose data is involved. The nature of the data refers to the type, category, sensitivity and value of the data that is collected, processed and stored by the company, such as personal, financial, health, biometric or behavioral data. Depending on the nature of the data, the company may have different requirements or restrictions for notifying, reporting or disclosing the security incident to the relevant authorities, customers, partners or stakeholders, as well as for mitigating or compensating the effects of the incident.