What is the impact of non-compliance with NISP?

The impact of non-compliance with the National Industrial Security Program (NISP) is significant and can lead to serious repercussions for an organization. Potential legal action arises because failure to adhere to NISP regulations can result in violations of federal laws. This could subject the organization to lawsuits, fines, and other legal penalties, depending on the nature of the non-compliance.

Revocation of security clearance is another important consequence. Individuals within the organization who hold security clearances risk losing their privileges if their employer is found to be non-compliant, which can directly affect their ability to perform their job duties, especially in roles that involve access to classified information.

Additionally, non-compliance can inhibit the organization's ability to obtain federal contracts. Many government contracts require compliance with NISP standards, and if an organization cannot demonstrate adherence, it may find itself disqualified from bidding or competing for these contracts.

The other options do not apply because non-compliance generally does not lead to positive outcomes such as increased funding for security measures, stronger governmental support, or mandatory training for all employees as a result of infractions or failures to comply. Instead, the effects are predominantly negative, reflecting the critical importance of maintaining compliance with established security protocols within the NISP.