AI Strategy and Planning CRAGE Practice Questions (Page 9)

Questions 41–45

1. 41application · medium

   A government agency is developing an AI system for public benefit eligibility. They must ensure transparency, fairness, and accountability. Which governance framework would best guide their approach?

   • AISO/IEC 42001
   • BGDPR
   • COECD AI Principles
   • DNIST AI Risk Management Framework
   Reveal Solution Discussion Select an answer first
2. 42application · medium

   A retail company is developing an AI-based dynamic pricing system. The marketing team is excited, but customer advocacy groups have raised concerns about price discrimination. The legal department warns about consumer protection laws. Which stakeholder engagement approach best addresses these concerns?

   • AInclude customer representatives and legal counsel in the AI governance board, and conduct a public consultation on the pricing algorithm's fairness criteria.
   • BProceed with the system and address customer concerns only after a complaint is filed.
   • CAsk the legal department to approve the system without consulting customer groups, since legal compliance is the only requirement.
   • DLimit stakeholder input to internal teams only, and rely on the marketing team to communicate the benefits to customers.
   Reveal Solution Discussion Select an answer first
4. 43application · medium

   A healthcare AI startup is developing a diagnostic tool that will be deployed in the EU. The founders want to adopt a governance framework that will help them meet the EU AI Act's requirements for high-risk AI systems, including risk management, data governance, and human oversight. Which framework should they adopt as the primary basis for their governance program?

   • AThe IEEE Ethically Aligned Design guidelines, because they focus exclusively on technical safety and do not require organizational governance.
   • BThe NIST AI Risk Management Framework, because it provides a structured process for identifying, assessing, and managing AI risks that can be mapped to the EU AI Act's obligations.
   • CThe ISO/IEC 42001 standard, because it is an international management system standard specifically for AI, but it does not address risk management or human oversight.
   • DThe OECD AI Principles, because they are legally binding and directly enforceable in EU member states.
   Reveal Solution Discussion Select an answer first
5. 44foundation · easy

   How can the ethical principle of 'fairness' be integrated into AI strategy planning?

   • ABy ensuring AI systems treat all individuals and groups equitably and avoid bias
   • BBy using the same AI model for all use cases
   • CBy avoiding all AI systems that make decisions about people
   • DBy focusing only on technical performance metrics
   Reveal Solution Discussion Select an answer first
6. 45expert · hard

   A hospital is deploying an AI system to prioritize patients for organ transplants. The system must be fair, transparent, and accountable. The hospital's ethics committee and patient advocacy groups have conflicting views on what 'fair' means. The system must also comply with health data privacy regulations. Which approach best resolves the conflict?

   • ALet the AI system's developers decide the fairness criteria based on technical feasibility.
   • BDefer the decision to the legal department to ensure compliance with privacy regulations.
   • CFacilitate a structured deliberation process with the ethics committee, patient advocates, and clinicians to define fairness criteria, and then translate those criteria into measurable metrics.
   • DUse a standard fairness metric, such as demographic parity, to avoid subjective debate.
   Reveal Solution Discussion Select an answer first