SC-900 Practice Question: Describe the capabilities of Microsoft security solutions
Your organization uses Microsoft Purview Information Protection to classify and protect documents. You have created a sensitivity label that applies encryption to documents marked as 'Confidential'. Users are able to apply the label manually. However, you need to ensure that all documents containing personally identifiable information (PII) are automatically labeled as 'Confidential' when they are saved to SharePoint Online. What should you configure?
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
✓
Create an auto-labeling policy in Microsoft Purview that scans for PII sensitive info types and applies the 'Confidential' label.
Auto-labeling policies in Microsoft Purview can scan documents for sensitive info types (such as PII) and automatically apply the 'Confidential' label when they are saved to SharePoint Online. Option B is incorrect because configuring a default label for SharePoint libraries would apply to all documents, not just those containing PII, and it would not scan for specific content. Option C is incorrect because a DLP policy blocks sharing or other actions but does not apply sensitivity labels. Option D is incorrect because manual labeling does not meet the requirement for automatic labeling.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✓
Create an auto-labeling policy in Microsoft Purview that scans for PII sensitive info types and applies the 'Confidential' label.
Why this is correct
Auto-labelling policies run service-side scans against SharePoint Online content, detecting PII sensitive information types and applying the Confidential label without user action. This satisfies the stem's requirement for automatic labelling on save, which manual labelling cannot achieve.
- ✗
Configure a default label for SharePoint libraries so that all documents are labeled 'Confidential'.
Why it's wrong here
A library default label stamps 'Confidential' on every uploaded document regardless of content, so files without PII are misclassified and encryption applied unnecessarily. Default labels suit libraries where all content shares one classification, not content-based detection of PII.
- ✗
Create a Data Loss Prevention (DLP) policy that blocks sharing of PII.
Why it's wrong here
A DLP policy blocks or audits sharing of sensitive content; it does not apply sensitivity labels or encryption automatically. It is tempting because DLP also targets PII, but automatic labelling requires an auto-labelling policy in Microsoft Purview Information Protection, not a DLP rule.
- ✗
Train users to apply the 'Confidential' label manually when they create documents with PII.
Why it's wrong here
Manual labelling depends on user discipline and cannot guarantee every PII document is caught, so it fails the automatic-on-save requirement. It is tempting because manual sensitivity labelling is the standard fallback where auto-labelling clients or service-side labelling are unavailable, such as for ad-hoc files outside SharePoint Online.
Go deeper
Related to this question
Learn chapter
Content Explorer for Data Discovery
Key term
Encryption
Encryption is the process of converting readable data into a secret code to prevent unauthorized access.
Key term
Personally identifiable information
Personally identifiable information (PII) is any data that can be used to identify, contact, or locate a specific individual, either alone or when combined with other information.
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JA
Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
This SC-900 practice question is part of Courseiva's free Microsoft 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 SC-900 exam.