The Value of Data CLOUD-DIGITAL-LEADER Practice Questions (Page 5)

Questions 21–25

1. 21foundation · easy

   Which statement best describes the role of data in an organization's digital transformation?

   • AData is primarily a cost center that must be minimized during digital transformation.
   • BData is a byproduct of digital transformation that has limited strategic value.
   • CData is only useful for reporting historical performance and has no forward-looking role.
   • DData is a strategic asset that informs and enables an organization's digital transformation initiatives.
   Reveal Solution Discussion Select an answer first
2. 22foundation · easy

   What is the correct sequence of the data value chain?

   • AData acquisition, data storage, data analysis, data action
   • BData action, data analysis, data storage, data acquisition
   • CData acquisition, data analysis, data storage, data action
   • DData storage, data acquisition, data action, data analysis
   Reveal Solution Discussion Select an answer first
4. 23application · medium

   A bank wants to become more customer-centric by offering personalized financial advice. They have customer transaction data, demographic data, and external market data. They want to use this data to create new revenue streams. What is the key to achieving this?

   • AFocus on collecting more data without analyzing it.
   • BTreat data as a strategic asset and invest in analytics capabilities to generate insights.
   • COutsource all data analysis to a third-party vendor.
   • DUse only internal data and ignore external market data.
   Reveal Solution Discussion Select an answer first
5. 24application · medium

   A regional grocery chain wants to improve its inventory forecasting. They currently have years of point-of-sale data in their ERP system but have never analyzed it. They also want to incorporate local weather data from a public API to predict demand spikes. The data team is small and has limited experience with big data tools. What should they do first to start generating value?

   • AHire a team of data scientists to build a custom machine learning model from scratch.
   • BBuild a data lake on cloud storage and load all historical and weather data into it before any analysis.
   • CReplace the ERP system with a new cloud-based ERP that includes built-in forecasting.
   • DUse a cloud data warehouse to combine the ERP data with the weather API and run initial forecasting queries.
   Reveal Solution Discussion Select an answer first
6. 25foundation · easy

   What is a primary way that data-driven insights create new value for an organization?

   • ABy ensuring that all decisions are made without any human input.
   • BBy guaranteeing that all business outcomes are successful.
   • CBy enabling the organization to identify new market opportunities and optimize operations.
   • DBy reducing the need for data storage and management.
   Reveal Solution Discussion Select an answer first