Certified in Risk and Information Systems Control (CRISC) — Question 924

An organization has asked an IT risk practitioner to conduct an operational risk assessment on an initiative to outsource the organization’s customer service operations overseas. Which of the following would MOST significantly impact management’s decision?

Answer options

• A. Time zone difference of the outsourcing location
• B. Ongoing financial viability of the outsourcing company
• C. Historical network latency between the organization and outsourcing location
• D. Cross-border information transfer restrictions in the outsourcing country

Correct answer: D

Explanation

The correct answer, D, is critical due to legal and regulatory implications that can affect data handling and compliance. While A, B, and C are important considerations, they do not pose as significant a risk to legal operations as cross-border information transfer restrictions, which can halt or complicate the outsourcing process.