CIPM Exam Question - CIPM Valid Exam Dumps
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The CIPM Certification demonstrates a professional’s commitment to privacy management and their ability to navigate the complex and ever-changing privacy landscape. Certified Information Privacy Manager (CIPM) certification is accredited by the American National Standards Institute (ANSI) and is recognized by privacy regulators and organizations around the world. Certified Information Privacy Manager (CIPM) certification exam is based on the International Association of Privacy Professionals (IAPP) Privacy Program Management: Tools for Managing Privacy Within Your Organization textbook, which is a comprehensive guide to developing, implementing, and managing a privacy program.
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IAPP Certified Information Privacy Manager (CIPM) Sample Questions (Q38-Q43):
NEW QUESTION # 38
Which of the following privacy frameworks are legally binding?
Answer: A
Explanation:
Explanation
Binding Corporate Rules (BCRs) are a set of legally binding rules that allow multinational corporations or groups of companies to transfer personal data across borders within their organization in compliance with the EU data protection law1 BCRs are approved by the competent data protection authorities in the EU and are enforceable by data subjects and the authorities2 BCRs are one of the mechanisms recognized by the EU General Data Protection Regulation (GDPR) to ensure an adequate level of protection for personal data transferred outside the European Economic Area (EEA)3
NEW QUESTION # 39
An executive for a multinational online retail company in the United States is looking for guidance in developing her company's privacy program beyond what is specifically required by law.
What would be the most effective resource for the executive to consult?
Answer: B
NEW QUESTION # 40
What is the main purpose in notifying data subjects of a data breach?
Answer: A
Explanation:
Step-by-Step Comprehensive Detailed Explanation with All Information Privacy Manager CIPM Study Guide References Data breach notifications are intended to protect individuals and allow them to take action. Let's analyze the options:
A . To avoid financial penalties and legal liability:
While compliance with breach notification laws can reduce liability, this is not the primary purpose of notifying data subjects.
B . To enable regulators to understand trends and developments that may shape the law:
This describes the purpose of breach reporting to regulators, not notifying data subjects.
C . To ensure organizations have accountability for the sufficiency of their security measures:
This relates to internal accountability and compliance but is not the main reason for notifying data subjects.
D . To allow individuals to take any actions required to protect themselves from possible consequences:
This is the primary purpose of data breach notifications, empowering individuals to mitigate risks like identity theft or financial fraud.
CIPM Study Guide References:
Privacy Program Operational Life Cycle - "Respond" phase includes breach notification as a requirement under various laws (e.g., GDPR, CCPA).
GDPR Article 34 specifies that breach notifications to individuals aim to enable protective actions.
NEW QUESTION # 41
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.
Based on Albert's observations regarding recent security incidents, which of the following should he suggest as a priority for Treasure Box?
Answer: D
Explanation:
Explanation
This answer is the best suggestion that Albert should make based on his observations regarding recent security incidents, as it can help to ensure that Treasure Box's privacy program and practices are assessed and verified by an independent and objective party who has the necessary expertise, experience and credentials to evaluate the company's compliance with the applicable laws, regulations, standards and best practices for data protection. Using a third-party auditor can also help to identify any gaps, weaknesses or risks that may have been overlooked or missed by the prior internal audits, and to recommend or implement any improvements or corrective actions. A third-party audit can also help to enhance the company's reputation and trust among its customers, partners and stakeholders, as well as demonstrate its commitment and accountability for privacy protection.
NEW QUESTION # 42
SCENARIO
Please use the following to answer the next QUESTION:
Henry Home Furnishings has built high-end furniture for nearly forty years. However, the new owner, Anton, has found some degree of disorganization after touring the company headquarters. His uncle Henry had always focused on production - not data processing - and Anton is concerned. In several storage rooms, he has found paper files, disks, and old computers that appear to contain the personal data of current and former employees and customers. Anton knows that a single break-in could irrevocably damage the company's relationship with its loyal customers. He intends to set a goal of guaranteed zero loss of personal information.
To this end, Anton originally planned to place restrictions on who was admitted to the physical premises of the company. However, Kenneth - his uncle's vice president and longtime confidante - wants to hold off on Anton's idea in favor of converting any paper records held at the company to electronic storage. Kenneth believes this process would only take one or two years. Anton likes this idea; he envisions a password- protected system that only he and Kenneth can access.
Anton also plans to divest the company of most of its subsidiaries. Not only will this make his job easier, but it will simplify the management of the stored dat a. The heads of subsidiaries like the art gallery and kitchenware store down the street will be responsible for their own information management. Then, any unneeded subsidiary data still in Anton's possession can be destroyed within the next few years.
After learning of a recent security incident, Anton realizes that another crucial step will be notifying customers. Kenneth insists that two lost hard drives in Question are not cause for concern; all of the data was encrypted and not sensitive in nature. Anton does not want to take any chances, however. He intends on sending notice letters to all employees and customers to be safe.
Anton must also check for compliance with all legislative, regulatory, and market requirements related to privacy protection. Kenneth oversaw the development of the company's online presence about ten years ago, but Anton is not confident about his understanding of recent online marketing laws. Anton is assigning another trusted employee with a law background the task of the compliance assessment. After a thorough analysis, Anton knows the company should be safe for another five years, at which time he can order another check.
Documentation of this analysis will show auditors due diligence.
Anton has started down a long road toward improved management of the company, but he knows the effort is worth it. Anton wants his uncle's legacy to continue for many years to come.
In terms of compliance with regulatory and legislative changes, Anton has a misconception regarding?
Answer: B
Explanation:
In terms of compliance with regulatory and legislative changes, Anton has a misconception regarding the timeline for monitoring. He believes that the company should be safe for another five years after conducting a compliance assessment and documenting the analysis. However, this is a risky and unrealistic assumption that could expose the company to legal liabilities and penalties. Regulatory and legislative changes are dynamic and frequent in today's business environment. They can affect various aspects of the company's operations, such as data protection, online marketing, consumer rights, labor laws, tax laws, environmental laws, etc5 Therefore, the company needs to monitor these changes continuously and proactively to ensure compliance at all times. Waiting for five years to check for compliance again could result in missing important updates or requirements that could impact the company's business practices or obligations. Moreover, compliance monitoring is not only a one-time activity but an ongoing process that involves evaluating the effectiveness of the company's policies and procedures in meeting the regulatory standards and expectations6 Compliance monitoring also helps to identify any gaps or weaknesses in the company's compliance program and take corrective actions to improve it. Therefore, Anton should revise his timeline for monitoring regulatory and legislative changes and adopt a more regular and systematic approach that aligns with the company's risk profile and regulatory environment. Reference: 5: Regulatory Change Management: How To Keep Up With Regulatory Changes; 6: Compliance Monitoring - What Is It?
NEW QUESTION # 43
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