Understand the Financial Aspects of Digital and IT Strategy in Terms of the Following ITIL-4-STRATEGIC-LEADER-MODULES Practice Questions (Page 8)

Questions 36–40

1. 36application · medium

   A large enterprise has a portfolio of 200 IT projects, but only enough budget to fund 60% of them. The strategy team must decide which projects to fund to maximize strategic value. Which approach best supports portfolio optimization?

   • AFund projects that align with strategic objectives and have the highest value-to-cost ratio.
   • BFund projects with the lowest cost first to maximize the number of projects.
   • CFund projects based on the preferences of senior executives.
   • DFund projects that are easiest to implement to reduce risk.
   Reveal Solution Discussion Select an answer first
2. 37expert · hard

   A company has a financial policy that requires all IT services to be cost-effective and aligned with business value. The service financial management practice is reviewing the costs of a legacy system that is expensive to maintain but is used by a small number of business units. What should the practice do?

   • ARecommend decommissioning the system immediately to reduce costs.
   • BAnalyze the total cost of ownership and the value delivered to the business units, then propose options such as modernization or consolidation.
   • CIgnore the costs because the system is legacy and will be replaced eventually.
   • DIncrease the chargeback to the business units to cover the costs.
   Reveal Solution Discussion Select an answer first
4. 38foundation · medium

   What is a key factor in funding decisions for digital initiatives?

   • AAlignment with strategic objectives and expected value
   • BThe age of the technology used
   • CThe number of stakeholders involved
   • DThe personal preference of the CIO
   Reveal Solution Discussion Select an answer first
5. 39foundation · medium

   How does service financial management ensure proper funding for services?

   • ABy eliminating all costs associated with service delivery
   • BBy funding all services equally regardless of usage
   • CBy developing budgets and monitoring actual costs against them
   • DBy ignoring budget overruns to maintain service quality
   Reveal Solution Discussion Select an answer first
6. 40application · medium

   A SaaS provider is introducing a premium analytics feature. The product manager wants to price it based on the value it delivers to customers (e.g., increased revenue) rather than the cost of development. Which charging model should be used?

   • AValue-based charging, pricing the feature based on the value it creates for the customer.
   • BMarket-based charging, setting the price based on competitor prices.
   • CSubscription charging, bundling the feature into the existing subscription at no extra cost.
   • DCost-based charging, setting the price as development cost plus a fixed percentage.
   Reveal Solution Discussion Select an answer first