CTPRP Performance Techniques 2

Question 1

Which metric best measures a third party's ability to meet agreed service levels over time?

Accepted Answer

Service Level Agreement (SLA) compliance rate

Answer

SLA compliance rate directly quantifies whether the vendor is delivering on contractually agreed performance targets.

Question 2

A risk manager notices a vendor's KRI threshold was breached last quarter but no escalation occurred. What process likely failed?

Accepted Answer

KRI monitoring and escalation protocol

Answer

A breach without escalation indicates the KRI monitoring and escalation protocol was not followed or enforced.

Question 3

What is the primary purpose of a vendor scorecard in third-party risk management?

Accepted Answer

To provide a consolidated view of vendor performance against defined criteria

Answer

A vendor scorecard aggregates performance data across multiple dimensions to give a holistic view of vendor health.

Question 4

During a periodic vendor review, a supplier consistently meets SLAs but shows increasing staff turnover. Which risk does this signal?

Accepted Answer

Key person and operational continuity risk

Answer

High staff turnover at a critical vendor threatens continuity of service due to loss of institutional knowledge and key personnel.

Question 5

Which of the following is a leading indicator of vendor performance deterioration?

Accepted Answer

Increasing ticket resolution times trending above baseline over 90 days

Answer

A trend of increasing resolution times signals degrading operational capacity before a formal SLA breach occurs.

(CTPRP) Certified Third Party Risk Professional Practice Test