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ACCA Strategic Professional · Strategic Business Leader · Cloud, mobile and smart technology

Brightwell Retail moves its customer relationship management system to a vendor's multi-tenant subscription service accessed through a web browser. The board asks which risk remains most directly the company's own responsibility under this SaaS arrangement. Which is it?

Under SaaS the customer still owns user access management and the governance of its own data, including accuracy, classification and data protection duties. The vendor handles the application, database, operating system and physical hardware, so those are not Brightwell's responsibility.

  1. APatching the vendor's application code and database engine
  2. BMaintaining the physical data centre hardware
  3. CManaging user access rights and the accuracy and classification of its own customer dataCorrect
  4. DUpgrading the vendor's operating system

Explanation

In SaaS the provider manages infrastructure, platform and application. The customer remains accountable for who can access the service and for its own data, including legal duties such as data protection. The other options are provider responsibilities.

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