Certified Supply Chain Professional (CSCP) Practice Exam

Which of the following is an external threat to risk management?

1. Improper product handling

2. Employee misconduct

3. Theft by unknown parties

4. Operational errors

The correct answer is: Theft by unknown parties

The selection of theft by unknown parties as an external threat to risk management is justified because it represents a factor originating outside the organization that can negatively impact its operations, assets, and overall security. External threats refer to risks that arise from outside sources, often beyond the control of the organization, making it essential for risk management strategies to incorporate preventive measures and contingency plans to address these types of incidents. Unlike the other options, which primarily stem from internal factors within the organization, theft by unknown parties signifies a breach of security from external individuals or groups. This distinction is critical because it compels organizations to consider a wider array of protective measures, such as improving physical security, enhancing access controls, and employing surveillance technologies. In contrast, improper product handling, employee misconduct, and operational errors are typically linked to internal processes or behaviors, highlighting the importance of managing workforce training, quality control, and procedural compliance. These factors, while still relevant to risk management, are categorized as internal threats rather than external ones. Thus, the identification of theft by unknown parties as an external threat emphasizes the need to fortify defenses against risks that emanate from the outside environment.