Certified Information Security Manager (CISM) Practice Questions: Information Security Risk Management Domain
Test your Certified Information Security Manager (CISM) knowledge with 10 practice questions from the Information Security Risk Management domain. Includes detailed explanations and answers.
Certified Information Security Manager (CISM) Practice Questions
Master the Information Security Risk Management Domain
Test your knowledge in the Information Security Risk Management domain with these 10 practice questions. Each question is designed to help you prepare for the CISM certification exam with detailed explanations to reinforce your learning.
Question 1
An organization has outsourced its customer service operations to a third-party vendor. Which of the following should the information security manager do FIRST to manage the associated risks?
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Correct Answer: undefined
Explanation: The first step should be to review and update the vendor contract to include security requirements. This ensures that the vendor is contractually obligated to meet the organization's security standards and provides a basis for enforcing compliance. While auditing, monitoring, and compliance reports are important, they should be based on the security requirements defined in the contract.
Question 2
As an information security manager, you are tasked with evaluating the risk associated with a new financial application that will be deployed in the cloud. What should be your primary focus to ensure effective risk management?
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Correct Answer: undefined
Explanation: The primary focus in risk management is to identify potential threats and vulnerabilities related to the application. This allows for a comprehensive understanding of the risks involved and the development of appropriate mitigation strategies. While assessing compliance (A) and ensuring encryption (C) are important, they are part of the broader risk assessment process. Reviewing the user interface (D) is not directly related to risk management.
Question 3
A company is planning to outsource its IT operations to a third-party service provider. What is the MOST important factor to consider when assessing the risk of this outsourcing decision?
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Correct Answer: undefined
Explanation: The potential impact on data confidentiality and integrity is crucial because outsourcing IT operations involves sharing sensitive data with a third party. Ensuring that the service provider can protect this data is essential to managing risk. While compliance (B), SLAs (C), and cost savings (A) are important, they do not address the core risk associated with data confidentiality and integrity.
Question 4
During a risk assessment, it is identified that a critical business application is vulnerable to a newly discovered zero-day exploit. As an information security manager, what is the most appropriate immediate action to take?
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Correct Answer: undefined
Explanation: Implementing compensating controls to mitigate the risk is the most appropriate immediate action. This may include network segmentation, increased monitoring, or applying temporary security measures to protect the application while a permanent fix is developed. Shutting down the application (A) could disrupt business operations unnecessarily. Notifying the vendor (B) and requesting a patch is important but may not provide an immediate solution. Conducting a cost-benefit analysis (D) is not an immediate action and does not address the urgent need to protect the application.
Question 5
During a risk assessment, you discover that a critical internal application has several unpatched vulnerabilities. What should be your first course of action to manage this risk effectively?
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Correct Answer: undefined
Explanation: Conducting a business impact analysis is the first step to understand the potential impacts of the vulnerabilities on the organization. This aligns with ISACA best practices, which emphasize understanding the business context before taking action. While patching, isolating the application, and notifying management are important steps, they should be informed by the understanding of the business impact and risk prioritization.
Question 6
During a risk assessment, an organization identifies a risk that could lead to significant financial loss. Which of the following is the MOST appropriate risk response strategy if the organization is risk-averse?
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Correct Answer: undefined
Explanation: For a risk-averse organization, avoiding the risk by discontinuing the related activity (D) is the most appropriate response, as it eliminates the possibility of the risk materializing. While transferring (B) and mitigating (C) are viable strategies, they still involve some level of risk retention. Accepting the risk (A) would not align with a risk-averse approach.
Question 7
An organization is considering outsourcing its IT operations to a third-party service provider. What is the most important criterion for the information security manager to evaluate when assessing the risk of this decision?
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Correct Answer: undefined
Explanation: The most important criterion is the service provider's compliance with industry regulations (Option B). This ensures that the provider adheres to legal and regulatory requirements, which is crucial for mitigating compliance-related risks. While data encryption (Option A), SLAs (Option C), and incident response capabilities (Option D) are important, they are specific controls and processes that should be evaluated after ensuring compliance.
Question 8
An organization has identified a significant increase in phishing attacks targeting its employees. Which of the following actions should be prioritized to mitigate this risk?
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Correct Answer: undefined
Explanation: Conducting organization-wide phishing awareness training should be prioritized. Educating employees about phishing attacks and how to recognize them significantly reduces the risk of successful attacks. While deploying email filtering and implementing multi-factor authentication are important technical controls, they do not address the human element, which is often the weakest link in security. Reporting to law enforcement is more of a reactive measure.
Question 9
An organization has recently implemented a new risk management process. The CISO wants to ensure that this process is effectively reducing risks to acceptable levels. Which of the following metrics would be most useful for evaluating the effectiveness of the risk management process?
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Correct Answer: undefined
Explanation: The correct answer is B. The percentage of identified risks that have been mitigated or accepted is a direct measure of the effectiveness of the risk management process. It indicates how well the organization is managing its risks to acceptable levels. Option A provides information on incidents but does not directly measure risk management effectiveness. Option C focuses on cost, which is important but not an effectiveness metric. Option D relates to awareness but does not measure the effectiveness of risk management in terms of risk reduction.
Question 10
A multinational corporation is undergoing a major digital transformation, which includes moving critical services to the cloud. As the Information Security Manager, you are tasked with assessing the risks associated with this transition. What should be your primary focus in the initial stage of the risk assessment process?
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Correct Answer: undefined
Explanation: The initial stage of the risk assessment process should focus on identifying and classifying the data and services that will be moved to the cloud. This is crucial because understanding what data and services are involved will help determine the potential risks and the necessary security measures. Option A (evaluating the cloud provider's security policies) and Option C (reviewing compliance requirements) are important steps but should follow the initial identification and classification. Option D (conducting a penetration test) is a more advanced step that should be performed after the initial risk assessment.
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About Certified Information Security Manager (CISM) Certification
The CISM certification validates your expertise in information security risk management and other critical domains. Our comprehensive practice questions are carefully crafted to mirror the actual exam experience and help you identify knowledge gaps before test day.