Certified Information Privacy Manager (CIPM) 2025 – 400 Free Practice Questions to Pass the Exam

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How does Privacy-Enhancing Technologies (PETs) benefit organizations?

By increasing employee productivity

By minimizing privacy risks while enabling data use

Privacy-Enhancing Technologies (PETs) benefit organizations primarily by minimizing privacy risks while enabling data use. These technologies are designed to ensure that individuals' personal data is protected, even when organizations utilize that data for various business purposes. This dual capability allows organizations to engage in data-driven activities—such as analytics or research—without compromising the privacy of individuals.

By implementing PETs, organizations can adopt measures like data anonymization, encryption, and secure data sharing protocols. These not only protect sensitive information from unauthorized access but also ensure compliance with privacy regulations. Consequently, organizations can confidently leverage data for innovation and competitive advantage while maintaining trust with their customers and stakeholders. This balance is essential in today's data-centric landscape where privacy concerns are paramount.

While the other options may touch upon relevant aspects of organizational performance, they do not specifically address the primary function and advantage of PETs in relation to balancing privacy and data use. For instance, while PETs might indirectly impact employee productivity or help with regulatory compliance, their fundamental purpose revolves around privacy risk mitigation and enabling responsible data practices.

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By simplifying regulatory compliance

By reducing operational delays

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