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You are a risk manager for a government agency that collects confidential health information from your clients. The governing board is concerned about the potential for cyber attack and loss of confidential private data. The board has little experience in technology risks since all of its members are aged in their sixties and have worked all their careers in government administration.
The agency is considering the cheapest option of outsourcing the processing and handling of data to a third-party company operating in an emerging country. The company uses manual data entry, pays below minimum wages and has poor working conditions. The governing board is provided with no alternatives to consider. If it does not reduce costs, the agency will not be able to deliver its services in the future.
The third-party company is involved in a significant legal battle resulting from a prior data breach that, if successful, could result in the company's bankruptcy.
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