BCI Business Continuity Management & Strategy 3

Question 1

An organization discovers that its BCM strategy relies on a single third-party recovery vendor that also serves many of its industry competitors. What risk does this represent?

Accepted Answer

Concentration risk

Answer

Concentration risk occurs when multiple organizations depend on the same resource or vendor, potentially overwhelming that resource during a widespread industry incident.

Question 2

Which element is MOST critical to include in a Business Continuity Plan to ensure it can be activated quickly under stress?

Accepted Answer

Clear activation criteria and escalation contacts with current telephone numbers

Answer

Plans must include unambiguous activation criteria and up-to-date contact information so responders can act quickly without confusion during a high-stress incident.

Question 3

The BCI Good Practice Guidelines describe 'Incident Management' as distinct from 'Business Continuity Management.' What is the KEY difference?

Accepted Answer

Incident management handles the immediate tactical response; BCM focuses on sustaining operations during disruption

Answer

Incident management addresses the immediate tactical response to an event, while BCM focuses on maintaining or recovering critical business operations during and after the disruption.

Question 4

A BCM practitioner is reviewing supply chain continuity. Which approach BEST reduces single-source supplier dependency?

Accepted Answer

Qualifying and contracting with alternative suppliers in advance

Answer

Pre-qualifying and contracting with alternative suppliers ensures the organization can switch sourcing quickly if a primary supplier fails, rather than relying on reactive measures.

Question 5

Under ISO 22301, what term describes the point in time to which data must be restored following a disruption?

Accepted Answer

Recovery Point Objective (RPO)

Answer

RPO (Recovery Point Objective) defines how far back in time data recovery must reach, representing the maximum acceptable amount of data loss measured in time.

(BCI) Business Continuity Institute Certification Practice Test

(BCI) Business Continuity Institute Certification Practice Test

BCI Business Continuity Management & Strategy 3