What are privacy-impact assessments (PIA)?

• A. Evaluations focused on financial implications
• B. Evaluations to determine how projects may affect an individual's privacy
• C. Assessments of software performance
• D. Reviews of user engagement strategies

Answer: (B)

Privacy-impact assessments (PIA) are evaluations specifically designed to determine how projects may affect an individual's privacy. They are critical tools used by organizations to assess the risks associated with the collection, use, and dissemination of personal data. A PIA helps identify potential privacy risks before a project is developed or implemented, enabling organizations to take steps to mitigate those risks and ensure compliance with privacy laws and regulations.

The PIA process typically involves systematically analyzing how information will be handled, identifying any potential privacy issues, and recommending measures to address those concerns. By focusing on the implications for individual privacy, PIAs contribute to better data governance and help build trust with stakeholders.

Other options do not accurately represent the purpose of a PIA. Options focusing on financial implications, software performance, or user engagement strategies do not reflect the primary function of PIAs, which is exclusively centered on privacy-related impacts. This distinction highlights the importance of PIAs in the broader context of risk management and compliance in IT security practices.