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Risk Response and ReportinghardMultiple SelectObjective-mapped

CRISC Risk Response and Reporting Practice Question

An organization is developing a vendor risk management program. Which THREE activities should be included in the initial onboarding assessment for a high-risk vendor?

⚠ Common exam trap

Many exam-takers confuse 'initial onboarding' with 'ongoing monitoring' and select activities like onsite inspections or financial analysis, which are typically performed later in the vendor lifecycle, not during the initial risk assessment phase.

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

Evaluating contract compliance requirements

Evaluating contract compliance requirements is a critical initial onboarding activity for a high-risk vendor because it ensures the vendor's service level agreements (SLAs), data protection clauses, and regulatory obligations (e.g., GDPR, PCI DSS) are formally documented and enforceable. This step establishes the legal and operational baseline for risk acceptance and ongoing monitoring, directly supporting the risk response strategy within the vendor risk management program.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Evaluating contract compliance requirements

    Why this is correct

    Ensures contractual security obligations are met.

  • Reviewing SOC 2 Type II report

    Why this is correct

    Provides independent assurance of controls.

  • Conducting an onsite physical security inspection

    Why it's wrong here

    Typically done for critical vendors and often later in the process.

  • Analyzing the vendor's financial statements

    Why it's wrong here

    Financial health is important but not specific to information security risk assessment.

  • Reviewing completed security questionnaires

    Why this is correct

    Standard practice to assess vendor security posture.

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JA

Written by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

This CRISC practice question is part of Courseiva's free ISACA certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the CRISC exam.