Skip to content

Interview question · How LLM Systems Work

Prompting, RAG or fine-tuning on customer data: how does the security risk differ between them?

Three ways to give a model your data, three different places the data ends up. The answer that scores follows the data and asks how you would delete it.

mediumNewUpdated Nov 2026

TL;DR: Compare the actual data paths, access rules and removal options. Prompting supplies current input but may create persistent copies; retrieval keeps evidence addressable but needs current authorization; fine-tuning changes reusable parameters and requires model lineage and a separate removal assessment.

How to approach it

Ask whether the feature needs changing facts, private records or different behavior. Name the readers and processors allowed to receive each class of information. Then follow the data through storage, generation and reuse before choosing an approach.

A strong answer

Consider an original fictional makerspace assistant. Public manuals can support equipment answers; booking details belong to particular members; staff-only maintenance notes have a separate audience. A consistent answer format is a behavioral requirement. These needs do not require the same mechanism.

LLM SYSTEMS · DISTINCT BOUNDARIES
Choose where the information belongs
  1. 1

    1 · Request context

    A selected input for this task

    • May be saved in histories, logs or provider state.
    • Limit the audience and every processor that receives it.
  2. 2

    2 · Addressable evidence

    Records selected under current policy

    • Source versions and access can be checked at retrieval.
    • Copies and cached answers require their own lifecycle.
  3. 3

    3 · Learned parameters

    An update reused in later inference

    • A source row is not an independently removable parameter slot.
    • Track base models, adapters, merges and training records.

Match the operation to the need

A member’s changing booking is authoritative application state. A permitted instruction manual can be retrieved. A consistent answer format may justify a measured training change; none of these choices eliminates data handling work.

ChoiceWhat changesAccess and lifecycle work
Prompt or fetched recordCurrent model inputSelect permitted content; review histories, provider state, logs and recipients
RetrievalSearchable external evidence and selected contextEnforce source policy, track versions and propagate changes through copies
Fine-tuningSome or all effective model parametersApprove training use, record lineage and evaluate removal and disclosure risks

These are composable choices. A fine-tuned model can still use retrieval, and a retrieval application still constructs a prompt. There is no universal persistence ordering: an application can retain prompt logs longer than it keeps a carefully managed training artifact. Inventory the implementation rather than relying on the label.

For the makerspace, keep bookings in the authoritative service and fetch only the current member’s permitted records. Use suitable manual passages as evidence with source versions. Start with an evaluated prompt for formatting; consider customization only if measured task needs justify its operational and data costs.

Fine-tuning is not limited to style, and it is not inherently forbidden for all private data. But an ordinary shared model does not expose a row-level authorization predicate for each training example. If audiences differ, do not assume learned parameters enforce those distinctions. Separate models or adapters need correct routing, base-model provenance and lifecycle controls; their existence alone proves none of those properties.

The training concept explains parameter changes. The retrieval concept traces addressable copies. For removal claims, Neel and colleagues’ unlearning work illustrates why the specified state, observable output and comparison with retraining matter. Its formal setting is not a blanket guarantee for a deployed LLM.

Before approval, require an original data-flow record: each source, purpose, processor, store, reader and derived artifact; its access decision; and what happens on withdrawal. Include training datasets, adapters, merged models, conversation state and cached answers. Data not used for training can still be retained or disclosed; data removed from a dataset can still have influenced an existing model.

If a member’s booking appears in another member’s answer, investigate the observed path. It may be retrieval, shared history, cache reuse or training-derived behavior. Do not diagnose memorization solely from the output. Contain the affected access and preserve only the evidence needed for an authorized investigation.

What interviewers probe next

  • “Does a no-training promise mean no storage?” No; verify the separate retention, state and logging arrangements.
  • “Why not train the booking facts?” They change and require current per-member access; an authoritative lookup better fits this task.
  • “Is retrieval automatically cheaper?” No; compare the real ingestion, search, model and operational workload.

What if?

What if · interview follow-ups

Hold your answer as the constraints change

A fictional makerspace wants an assistant to explain public equipment manuals, show each member their bookings and use a consistent answer format. The team proposes training one shared model on all records.

  1. Start here

    What if the team puts every booking into a shared system prompt instead?

How it's scored

Weak: Treats prompting as transient by definition or fine-tuning as an access-control system.

Hire: Separates current input, addressable evidence and parameter changes, then recommends a design for the stated data.

Strong Hire: Follows provider and application persistence, adapter routing, authoritative state and removal evidence through the complete lifecycle.

Common mistakes

  • Comparing three labels without tracing the actual stores and readers.
  • Assuming a system prompt hides private records from its response audience.
  • Treating name removal as proof of anonymization.
  • Diagnosing every unexpected fact as training-data memorization.
You just read a free answer. Every topic opens its first 5 answers to anyone. Sign in and the count per topic goes to 10, and we keep track of how far you get in every topic.Google sign-in · free · no payment details
HOW DID IT GO?
0
READING SIGNED OUT

Signing in doubles your free answers, from 5 to 10 per topic, and the site starts remembering you: mastery per topic, bookmarks, and a next-focus recommendation. Free, no card.

Sign in free
UP NEXT ON YOUR JOURNEY
DISCUSSION · 0

No comments yet. Share a correction or a different way to answer it.