Strategy and Alignment CGEIT Practice Questions (Page 5)

Questions 21–24

1. 21expert · hard

   A retail company is developing its IT strategy. The environmental scan reveals a major competitor is launching a same-day delivery service. The internal assessment shows the company's logistics IT system is outdated and cannot support real-time tracking. The enterprise objective is to maintain market share. What is the most critical strategic consideration?

   • AThe requirement to outsource logistics to a third-party provider
   • BThe need to reduce IT costs to free up budget for marketing
   • CThe urgency to modernize the logistics IT system to enable same-day delivery capabilities
   • DThe importance of maintaining the current IT system to avoid disruption
   Reveal Solution Discussion Select an answer first
2. 22expert · hard

   A company's enterprise strategy is to expand into a new market segment. The IT governance committee is evaluating a proposal to build a new customer portal. The proposal has a high estimated cost and a long payback period. However, the portal is expected to be essential for the new market segment. What is the most appropriate governance decision?

   • AApprove the portal without any conditions to speed up implementation
   • BApprove the portal but require a phased implementation with clear milestones and benefit reviews
   • CReject the portal because of the high cost and long payback period
   • DDelay the decision until the payback period is shorter
   Reveal Solution Discussion Select an answer first
4. 23application · medium

   A regional bank is developing its IT strategy. The board has set a strategic goal to increase digital customer engagement by 20% within two years. The IT leadership team is conducting an environmental scan. Which activity is most directly part of this scan?

   • AReviewing emerging fintech trends and regulatory changes that could affect digital banking
   • BSetting a target for the number of new digital accounts to be opened
   • CBenchmarking the bank's current IT infrastructure capacity against industry peers
   • DEvaluating the performance of the bank's existing mobile app against internal KPIs
   Reveal Solution Discussion Select an answer first
5. 24application · medium

   A healthcare provider is updating its IT strategic plan. The CIO has defined the mission, vision, and strategic objectives. According to the strategic planning process, what should be done next?

   • ACommunicate the mission and vision to all employees to gain buy-in
   • BDevelop performance metrics to measure progress toward the objectives
   • CImplement the strategic initiatives immediately to achieve the objectives quickly
   • DConduct an environmental scan and internal assessment to understand the current state and external forces
   Reveal Solution Discussion Select an answer first