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If an organization maintains a separate ethics office, to whom would its officer typically report to in order to retain the greatest degree of independence?

  • A. The Human Resources Director
  • B. The organization’s General Counsel
  • C. The Chief Financial Officer
  • D. The Board of Directors

Answer: D


Please use the following to answer the next question:
Penny has recently joined Ace Space, a company that sells homeware accessories online, as its new privacy officer. The company is based in California but thanks to some great publicity from a social media influencer last year, the company has received an influx of sales from the EU and has set up a regional office in Ireland to support this expansion. To become familiar with Ace Space’s practices and assess what her privacy priorities will be, Penny has set up meetings with a number of colleagues to hear about the work that they have been doing and their compliance efforts.
Penny’s colleague in Marketing is excited by the new sales and the company’s plans, but is also concerned that Penny may curtail some of the growth opportunities he has planned. He tells her “I heard someone in the breakroom talking about some new privacy laws but I really don’t think it affects us. We’re just a small company. I mean we just sell accessories online, so what’s the real risk?” He has also told her that he works with a number of small companies that help him get projects completed in a hurry. “We’ve got to meet our deadlines otherwise we lose money. I just sign the contracts and get Jim in finance to push through the payment. Reviewing the contracts takes time that we just don’t have.” In her meeting with a member of the IT team, Penny has learned that although Ace Space has taken a number of precautions to protect its website from malicious activity, it has not taken the same level of care of its physical files or internal infrastructure. Penny’s colleague in IT has told her that a former employee lost an encrypted USB key with financial data on it when he left. The company nearly lost access to their customer database last year after they fell victim to a phishing attack. Penny is told by her IT colleague that the IT team
“didn’t know what to do or who should do what. We hadn’t been trained on it but we’re a small team though, so it worked out OK in the end.” Penny is concerned that these issues will compromise Ace Space’s privacy and data protection.
Penny is aware that the company has solid plans to grow its international sales and will be working closely with the CEO to give the organization a data “shake up”. Her mission is to cultivate a strong privacy culture within the company.
Penny has a meeting with Ace Space’s CEO today and has been asked to give her first impressions and an overview of her next steps.
What information will be LEAST crucial from a privacy perspective in Penny’s review of vendor contracts?

  • A. Liability for a data breach
  • B. Pricing for data security protections
  • C. Audit rights
  • D. The data a vendor will have access to

Answer: B


What does it mean to “rationalize” data protection requirements?

  • A. Address the less stringent laws and regulations, and inform stakeholders why they are applicable
  • B. Evaluate the costs and risks of applicable laws and regulations and address those that have the greatest penalties
  • C. Determine where laws and regulations are redundant in order to eliminate some from requiring compliance
  • D. Look for overlaps in laws and regulations from which a common solution can be developed

Answer: C



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