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Shared Assessments Certified Third-Party Risk Professional (CTPRP) Sample Questions (Q335-Q340):

NEW QUESTION # 335
A risk register typically includes the risk's _______, impact, and likelihood.

A. Cost
B. Source
C. Description
D. Timing

Answer: C

Explanation:
Including the risk description is crucial as it provides clear and essential details about the nature of the risk, which aids in understanding and managing the risk properly.

NEW QUESTION # 336
An outsourcer's vendor risk assessment process includes all of the following EXCEPT:

A. Establishing risk evaluation criteria based on company policy
B. Defining assessment frequency based on resource capacity
C. Developing risk-tiered due diligence standards
D. Setting remediation timelines based on the severity level of findings

Answer: B

Explanation:
An outsourcer's vendor risk assessment process should include all the steps mentioned in options A, B, and C, as they are essential for ensuring a consistent, comprehensive, and effective evaluation of the vendor's performance, compliance, and risk profile. However, option D is not a necessary or recommended part of the vendor risk assessment process, as it does not reflect the actual level of risk posed by the vendor, but rather the availability of resources within the outsourcer's organization. Defining assessment frequency based on resource capacity could lead to under-assessing or over-assessing vendors, depending on the outsourcer's workload, budget, and staff. This could result in missing critical issues, wasting time and money, or creating gaps in the vendor oversight program. Therefore, option D is the correct answer, as it is the only one that does not belong to the vendor risk assessment process. References: The following resources support the verified answer and explanation:
* Shared Assessments' CTPRP Job Guide, page 10, section 2.1.1, states that "The frequency of assessments should be based on the risk tier of the third party, not on the availability of resources."
* Guide to Vendor Risk Assessment, section "Step 3: Determine the Frequency of Vendor Risk Assessments", explains that "The frequency of vendor risk assessments should be based on the level of risk each vendor poses to your organization, not on the availability of resources or convenience."
* How to Conduct a Successful Vendor Risk Assessment in 9 Steps, section "Step 8: Determine the Frequency of Vendor Risk Assessments", advises that "The frequency of vendor risk assessments should be based on the level of risk each vendor poses to your organization, not on the availability of resources or convenience."

NEW QUESTION # 337
In a disaster recovery scenario, _______ must be clearly defined to facilitate effective recovery operations.

A. Roles and responsibilities
B. Resource allocation strategies
C. Backup and recovery timelines
D. Communication protocols

Answer: A

Explanation:
Defining roles and responsibilities is crucial in disaster recovery because it clarifies who is accountable for each aspect of the recovery process. This organization ensures that all tasks are covered and that there is no confusion during a high-pressure situation.

NEW QUESTION # 338
Which metric is least likely to provide meaningful insight into the effectiveness of a TPRM program?

A. The frequency of audits conducted on third-party vendors.
B. Measuring the percentage of third parties compliant with standards.
C. Tracking the total expenses related to risk management activities.
D. The number of outstanding findings at any given time.

Answer: D

Explanation:
The number of outstanding findings, while informative about the current status of risks, does not provide deep insights into how effectively these findings are being managed or prioritized, making it a less meaningful metric for evaluating the effectiveness of a TPRM program.

NEW QUESTION # 339
Substantial financial losses due to a vendor's service failure are often a direct result of its impact on __________.

A. "the business's income, profitability, and market share"
B. "the organization's long-term strategic investments and asset growth"
C. "the organization's operational efficiencies and process optimizations"
D. "the company's market research and development activities"

Answer: A

Explanation:
The blank highlights the direct link between significant financial losses and the impact of vendor service disruptions on crucial financial metrics such as income, profitability, and market share, underlining the financial vulnerability associated with that vendor.

NEW QUESTION # 340
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