The first step in assessing the current risk level of data loss is to identify where the sensitive data is stored, such as servers, databases, laptops, mobile devices, etc. This will help to determine the scope and boundaries of the risk assessment, as well as the potential exposure and impact of data loss. Identifying staff members who have access to the data, risk scenarios and owners, and existing controls are important steps, but they should be done after identifying the data locations. References = Risk and Information Systems Control Study Manual, 7th Edition, Chapter 2, Section 2.1.1.1, page 51.

The most likely cause of the situation where the recovery team does not know what steps to take to recover critical data backups following a major flood is the failure to test the disaster recovery plan (DRP). A DRP is a document that describes the procedures and resources needed to restore the normal operations of an organization after a disaster. Testing the DRP is essential to ensure that the plan is feasible, effective, and up-to-date. Testing the DRP also helps to train the recovery team members, identify and resolve any issues or gaps, and improve the confidence and readiness of the organization. The lack of a well-documented business impact analysis (BIA), the lack of annual updates to the DRP, and the significant changes in management personnel are also possible factors that could affect the recovery process, but they are not as likely or as critical as the failure to test the DRP. References = Risk and Information Systems Control Study Manual, Chapter 5, Section 5.3.1, page 5-19.

Detailed Explanation:Information security requirements should be defined during the Initiation phase of the SDLC. This ensures that security is integrated into the design from the beginning, minimizing vulnerabilities and aligning security measures with business requirements. Early identification of security needs reduces rework and costs associated with later stages.

The best course of action for the risk practitioner who has identified that the agreed RTO with a SaaS provider is longer than the business expectation is to collaborate with the risk owner to determine the risk response plan. The risk owner is the person who has the authority and accountability to manage the risk within their scope of responsibility. The risk response plan is the document that describes the actions and resources needed to address the risk. By collaborating with the risk owner, the risk practitioner can help to analyze the gap between the agreed RTO and the business expectation, evaluate the potential impact and consequences, and select the most appropriate risk response option, such as avoiding, reducing, transferring, or accepting the risk. Documenting the gap in the risk register, including a right to audit clause in the service provider contract, or advising the risk owner to accept the risk are not the best courses of action, because they do not address the root cause of the problem, or provide a solution to reduce the risk to an acceptable level. References = Risk and Information Systems Control Study Manual, Chapter 4, Section 4.3.1, page 4-23.

Automation of control monitoring is the application of technology to allow continuous or high-frequency, automated monitoring of controls to validate the effectiveness of controls designed to mitigate risk1.
Automation of control monitoring can provide benefits such as increased test coverage, improved timeliness, reduced risk velocity, greater visibility, improved consistency, and the ability to identify trends23.
However, automation of control monitoring also involves costs such as the acquisition, implementation, maintenance, and updating of the technology, as well as the training and support of the staff who use it45.
Therefore, the primary consideration when assessing the automation of control monitoring is the cost-benefit analysis of automation, which compares the expected benefits and costs of automation and determines whether the benefits outweigh the costs or vice versa45.
The other options are not the primary consideration, but rather secondary or tertiary factors that may influence the decision to automate or not. For example, the impact due to failure of controland the frequency of failure of control are aspects of the risk assessment that may indicate the need for automation, but they do not provide the basis for evaluating the feasibility and desirability of automation45. Similarly, the contingency plan for residual risk is a component of the risk response that may include automation as a risk mitigation strategy, but it does not measure the effectiveness and efficiency of automation45. References =
2: A Practical Approach to Continuous Control Monitoring, ISACA Journal, Volume 2, 2015
3: Continuous Controls Monitoring: The Next Generation Of Controls Testing, Forbes Technology Council, June 2, 2022
1: Making Continuous Controls Monitoring Work for Everyone, ISACA Now Blog, June 13, 2022
4: Controls Automation - Monitoring vs. Operation - Part 3, Turnkey Consulting, July 29, 2021
5: What's Continuous Control Monitoring and Why Is It Important?, MetricStream Blog, October 15, 2019