PCI Risk Assessment & Loss Prevention Flashcards

What is physical security in the context of organizational loss prevention?

Answer: Measures to protect facilities, assets, and personnel from unauthorized access or harm

Physical security encompasses barriers, access controls, alarms, and guards designed to prevent unauthorized access to facilities, assets, and people.

How does the Association of Certified Fraud Examiners (ACFE) define occupational fraud?

Answer: The use of one's occupation for personal enrichment through misuse of the employer's resources

The ACFE defines occupational fraud as using one's position to misappropriate assets, commit corruption, or manipulate financial statements for personal gain.

What is the role of a security audit in organizational risk management?

Answer: To systematically evaluate the effectiveness of existing security measures and identify gaps

Security audits assess whether existing security controls are working as intended and identify areas where improvements are needed to reduce risk.

In risk management, what does risk mitigation mean?

Answer: Taking actions to reduce the likelihood or impact of identified risks

Risk mitigation involves implementing controls and countermeasures to reduce either the probability that a risk will materialize or the severity of its impact if it does.

What is counterfeit merchandise detection relevant to in loss prevention investigations?

Answer: Protecting brand integrity and preventing financial losses from fake products

Counterfeit merchandise investigations protect companies from losses caused by fake products that divert revenue, damage brand reputation, and may create product liability.

What is a Business Impact Analysis (BIA) in the context of organizational risk?

Answer: An assessment of how disruptions to business operations would affect the organization

A BIA identifies critical business functions and assesses the potential consequences of interruptions, helping organizations prioritize recovery efforts and build resilience.