Explain the Concept of Innovation, Including Its Key Elements and Techniques (10.1, 10.2, 10.3, 10.5, 10.6, 10.10 Including Subsections for All) ITIL-4-STRATEGIC-LEADER-MODULES Practice Questions (Page 6)

Questions 26–30

1. 26application · medium

   A retail company wants to generate new ideas for improving its online customer experience. The strategy team schedules a series of facilitated workshops where participants from different departments are encouraged to propose a high volume of ideas without immediate criticism, and then the group clusters and refines the most promising ones. Which innovation technique is the team primarily using?

   • APrototyping, because the team is building a working model of the solution.
   • BBrainstorming, because the workshops emphasize free idea generation without immediate criticism.
   • COpen innovation, because the workshops involve participants from outside the organization.
   • DDesign thinking, because the workshops focus on empathizing with customers.
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2. 27expert · hard

   A manufacturing company's digital strategy includes a plan to introduce an AI-based predictive maintenance system. The system promises to reduce downtime by 30%, but it requires significant investment in sensors and data infrastructure, and the maintenance team is skeptical about relying on automated recommendations. The strategy team must decide whether to proceed. Which approach best balances the opportunity and the risk?

   • AProceed with full-scale implementation immediately to capture the 30% downtime reduction as quickly as possible.
   • BDeploy the system only on non-critical equipment to avoid any risk to production, regardless of the potential benefit.
   • CRun a pilot on a single production line, measure the results, and involve the maintenance team in evaluating the outcomes before scaling.
   • DAbandon the initiative because the maintenance team's skepticism indicates a poor innovation culture.
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4. 28foundation · easy

   Which innovation technique involves generating a large number of ideas in a group setting without immediate criticism or evaluation?

   • AOpen innovation
   • BDesign thinking
   • CBrainstorming
   • DPrototyping
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5. 29foundation · easy

   In ITIL 4, which element of innovation is most directly related to the concept of 'value creation'?

   • AThe idea must be adopted by the intended users.
   • BThe idea must be new to the world.
   • CThe idea must be profitable for the organization.
   • DThe idea must deliver benefits that are perceived as valuable by stakeholders.
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6. 30expert · hard

   A telecommunications company has historically served high-end business customers with premium-priced, high-performance network services. A startup enters the market offering a lower-cost, simpler service that is initially less capable but appeals to small businesses and consumers. The startup's service improves over time and begins to attract the telecom's core business customers. Which type of innovation does the startup's approach represent?

   • AIncremental innovation, because the startup's service improves over time.
   • BRadical innovation, because the startup's technology is fundamentally different from the incumbent's.
   • CDisruptive innovation, because the startup enters a low-end or new market and gradually moves upmarket to challenge the incumbent.
   • DArchitectural innovation, because the startup reconfigures the components of the network service.
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