A portable electronic device, a wearable device and methods for operating the same are provided. The portable electronic device includes a display; a communication interface configured to communicate with a wearable device using wireless short-range communication; a processor; and a memory storing instructions, which when executed by the processor, cause the portable electronic device to establish, via the communication interface, a connection between the portable electronic device and the wearable device, identify a security status of the connected wearable device, limit access to at least one predefined setting item among a plurality of setting items and control the display to display an indication of the identified security status if the identified security status corresponds to a lock status, wherein the at least one predefined setting item relates to a passcode, and allow access to the at least one predefined setting item if the identified security status corresponds to an unlock status.