CIPS L6M7 Commercial Data Management Exam Practice Test

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Total 83 questions
Question 1

Henry is the Head of IT at Purple Rain Ltd and is presenting a case to the Senior Leadership Team to ask for more investment in the company's IT strategy. Henry believes the company has an issue with data resilience and is asking for more money to be invested in this. He has completed a Business Impact Assessment (BIA) to better understand what data the company holds. Jon is the Head of Procurement and has listened intently to Henry's presentation. He has decided to go back to his department and complete a thorough risk assessment, as he is aware his team holds a lot of data on suppliers and contracts. The CEO of Purple Rain, Roger Nelson, has asked Henry about next steps in order to protect the company from further risks associated with the IT strategy. Data is currently stored on servers located at Purple Rain's Headquarters. The server room is locked at all times of the day and is only accessible to staff members who have a key. The building itself is extremely secure with CCTV systems located both inside the server room and outside it. However, the server room is prone to overheating.

What is the biggest risk to the data?



Answer : B

The most significant risk in this scenario is equipment failure or malfunction due to the overheating server room. If the servers overheat and fail, it could lead to data loss or system downtime. (P.106)


Question 2

Henry is the Head of IT at Purple Rain Ltd and is presenting a case to the Senior Leadership Team to ask for more investment in the company's IT strategy. Henry believes the company has an issue with data resilience and is asking for more money to be invested in this. He has completed a Business Impact Assessment (BIA) to better understand what data the company holds. Jon is the Head of Procurement and has listened intently to Henry's presentation. He has decided to go back to his department and complete a thorough risk assessment, as he is aware his team holds a lot of data on suppliers and contracts. The CEO of Purple Rain, Roger Nelson, has asked Henry about next steps in order to protect the company from further risks associated with the IT strategy. Data is currently stored on servers located at Purple Rain's Headquarters. The server room is locked at all times of the day and is only accessible to staff members who have a key. The building itself is extremely secure with CCTV systems located both inside the server room and outside it. However, the server room is prone to overheating.

What should Henry's next steps be?



Answer : D

Given Henry's focus on data resilience, the next logical step is to complete a Priority Assessment and define Recovery Objectives. This will help identify which data and systems are most at risk and require immediate attention in the Data Resilience Plan. (P.105)


Question 3

Henry is the Head of IT at Purple Rain Ltd and is presenting a case to the Senior Leadership Team to ask for more investment in the company's IT strategy. Henry believes the company has an issue with data resilience and is asking for more money to be invested in this. He has completed a Business Impact Assessment (BIA) to better understand what data the company holds. Jon is the Head of Procurement and has listened intently to Henry's presentation. He has decided to go back to his department and complete a thorough risk assessment, as he is aware his team holds a lot of data on suppliers and contracts. The CEO of Purple Rain, Roger Nelson, has asked Henry about next steps in order to protect the company from further risks associated with the IT strategy. Data is currently stored on servers located at Purple Rain's Headquarters. The server room is locked at all times of the day and is only accessible to staff members who have a key. The building itself is extremely secure with CCTV systems located both inside the server room and outside it. However, the server room is prone to overheating.

What would Procurement's main concern be?



Answer : A

Procurement's primary concern is contractual penalties, as the case study focuses on suppliers and contracts. While delays, lost sales, and customer dissatisfaction are all potential impacts of data disruption, the most immediate risk for procurement is failing to meet contractual obligations. (P.104)


Question 4

Henry is the Head of IT at Purple Rain Ltd and is presenting a case to the Senior Leadership Team to ask for more investment in the company's IT strategy. Henry believes the company has an issue with data resilience and is asking for more money to be invested in this. He has completed a Business Impact Assessment (BIA) to better understand what data the company holds. Jon is the Head of Procurement and has listened intently to Henry's presentation. He has decided to go back to his department and complete a thorough risk assessment, as he is aware his team holds a lot of data on suppliers and contracts. The CEO of Purple Rain, Roger Nelson, has asked Henry about next steps in order to protect the company from further risks associated with the IT strategy. Data is currently stored on servers located at Purple Rain's Headquarters. The server room is locked at all times of the day and is only accessible to staff members who have a key. The building itself is extremely secure with CCTV systems located both inside the server room and outside it. However, the server room is prone to overheating.

What would Henry's BIA show?



Answer : B

A Business Impact Assessment (BIA) identifies the systems in which data is stored, its origin, whether it is transferred elsewhere, and the company's ability to recover data. It does not assess funding issues or non-IT risks like cyberbullying. (P.104)


Question 5

Henry is the Head of IT at Purple Rain Ltd and is presenting a case to the Senior Leadership Team to ask for more investment in the company's IT strategy. Henry believes the company has an issue with data resilience and is asking for more money to be invested in this. He has completed a Business Impact Assessment (BIA) to better understand what data the company holds. Jon is the Head of Procurement and has listened intently to Henry's presentation. He has decided to go back to his department and complete a thorough risk assessment, as he is aware his team holds a lot of data on suppliers and contracts. The CEO of Purple Rain, Roger Nelson, has asked Henry about next steps in order to protect the company from further risks associated with the IT strategy. Data is currently stored on servers located at Purple Rain's Headquarters. The server room is locked at all times of the day and is only accessible to staff members who have a key. The building itself is extremely secure with CCTV systems located both inside the server room and outside it. However, the server room is prone to overheating.

What is Henry's primary concern?



Answer : C

Data resilience refers to a company's ability to recover quickly from disruption, such as power outages or physical damage (e.g., flooding of IT equipment). Henry's concern is that the current setup lacks resilience in case of an incident. (P.102)


Question 6

What is the benefit of an organisation using blockchain in data management?



Answer : D

Blockchain ensures data integrity by preventing modifications. If changes are needed, new blocks are added instead of altering existing ones. This enhances transparency and security, as blockchain is decentralized and not vulnerable to a single point of failure. (P.189)


Question 7

Green Pants Ltd has a lot of sensitive data around their unique designs for pants. Daniela, one of the designers, has noticed there is a weakness in their IT system, which means that data may be accessible to people outside the company. She would like the company to invest in software that can hide or disguise the data so that if it is ever stolen, the designs of the pants are not readable to others. What software is Daniela requesting?



Answer : B

Encryption makes data unreadable by converting it into an encoded format using an algorithm. If the data is stolen, it remains unreadable without the decryption key. A common example is WhatsApp's end-to-end encryption. (P.188)


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Total 83 questions