Exam CRISC topic 1 question 1563 discussion

After a restructuring, it’s essential to verify that the new approval hierarchy and processes are functioning as intended. Executing control test plans ensures that the new structure supports effective risk management, and that the internal controls are still working under the new setup

When an organization has recently completed a major restructuring project to reduce overhead costs by streamlining the approval hierarchy, the first action that should be taken by the control owner is: C. Execute control test plans. After a significant organizational change such as a major restructuring, it's important to first test and validate the effectiveness of existing controls within the new structure. Executing control test plans will help determine if the controls are still functioning as intended in the new organizational context, or if they need to be adjusted to align with the changes. This is especially critical when the approval hierarchy has been altered, as it can directly impact control processes and risk management effectiveness. The other options, while important, typically follow the initial testing phase: Evaluating the effectiveness of risk responses (option A) and analyzing the control assessments (option D) are subsequent steps that depend on the outcomes of control testing.

A. Evaluate effectiveness of risk responses.