An organization acquiring other businesses continues using
its legacy EDI systems, and uses three separate value added
network (VAN) providers. No written VAN agreements exist.
The IS auditor should recommend that management:
A. obtain independent assurance of the third party service
providers.
B. set up a process for monitoring the service delivery of
the third party.
C. ensure that formal contracts are in place.
D. consider agreements with third party service providers in
the development of continuity plans.
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Answer: C
Written agreements would assist management in ensuring
compliance with external requirements. While management
should obtain independent assurance of compliance, this can
not be achieved until there is a contract in place. One
aspect of managing third party services is to provide
monitoring, however, this can not be achieved until there is
a contract. Ensuring that VAN agreements are available for
review may assist in the development of continuity plans if
they are deemed critical IT resources, however, this can not
be achieved until there is a contract in place.
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