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ServiceNow Certified Implementation Specialist - Third-party Risk Management Sample Questions (Q158-Q163):

NEW QUESTION # 158
How does the concept of "risk appetite" relate to Third-Party Risk Management?
Response:

A. It dictates the maximum risk level at which a company aims to operate its IT systems.
B. It only applies to financial risks and is used to guide investment decisions.
C. It refers to the amount and type of risk an organization is willing to accept in pursuit of its objectives.
D. It is a fixed threshold, identical across all industries, guiding the acceptance of third-party risks.

Answer: D

NEW QUESTION # 159
Why is it important to conduct due diligence requests before engaging with a new third party?
Response:

A. To establish a close personal relationship with the third-party staff
B. To collect detailed information that helps in identifying potential risks before formal engagement
C. To reduce the administrative burden of ongoing risk assessments
D. To negotiate lower service fees

Answer: C

NEW QUESTION # 160
Which of the following best practices should be adopted when configuring third-party risk issues to ensure traceability and accountability?
Response:

A. Establishing automated alerts for high-priority issues
B. Limiting issue tracking to manual logs
C. Using an arbitrary system for issue prioritization
D. Allowing only senior management to close issues

Answer: A

NEW QUESTION # 161
Third-party Risk Issues are considered inactive when they enter this state:
Response:

A. Submitted to Third Party
B. Closed
C. Finalize with Third Party
D. Review

Answer: B

NEW QUESTION # 162
What is a critical aspect of Third-party Risk Assessment Configuration for ensuring effectiveness?
Response:

A. Including a wide range of stakeholders in the assessment process.
B. Configuring the assessment tool to accept only positive feedback about third parties.
C. Prioritizing third parties based on the volume of transactions.
D. Setting up the assessment to automatically adjust risk thresholds based on industry trends.

Answer: B

NEW QUESTION # 163
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