Define Success Criteria (e.g., KPIs, Metrics) PMI-CPMAI Practice Questions (Page 5)

Questions 21–25

1. 21expert · hard

   A retail chain is deploying an AI system to optimize inventory replenishment. The CFO wants to measure the financial return on investment (ROI), while the store managers are concerned about stockouts affecting customer satisfaction. Which set of success criteria best balances these two perspectives?

   • ATrack the reduction in inventory holding costs and the percentage of stockouts
   • BTrack only the reduction in inventory holding costs
   • CTrack only the percentage of stockouts
   • DTrack the number of inventory audits performed per month
   Reveal Solution Discussion Select an answer first
2. 22foundation · easy

   For an AI model that predicts equipment failure, which metric is most appropriate to measure its performance?

   • AThe color scheme of the monitoring dashboard
   • BThe cost of the cloud hosting plan
   • CThe total number of equipment sensors installed
   • DPrecision and recall of failure predictions
   Reveal Solution Discussion Select an answer first
4. 23application · medium

   A telecom company is deploying an AI model to predict customer churn. The marketing team plans to use the model to target retention offers. Which success threshold is most appropriate for this business use case?

   • AIncrease the number of retention offers sent per week
   • BAchieve a 20% reduction in churn among customers who receive the retention offer
   • CAchieve 95% accuracy on the churn prediction test set
   • DDeploy the model to all customer segments within two months
   Reveal Solution Discussion Select an answer first
5. 24application · medium

   A logistics company is implementing an AI model to optimize delivery routes. The company's strategic goal is to reduce fuel costs by 10% within the next year. Which success threshold best aligns with this organizational objective?

   • ADeploy the model to all delivery vehicles within the next quarter
   • BAchieve a 5% reduction in fuel costs within the first six months
   • CReduce route planning time by 50%
   • DIncrease customer satisfaction scores by 2 points
   Reveal Solution Discussion Select an answer first
6. 25application · medium

   A manufacturing company is deploying an AI model for predictive maintenance. The maintenance team needs to minimize unplanned downtime, but the model must not generate too many false alarms that would waste inspection resources. Which technical benchmark best captures this trade-off?

   • AMaximize the number of true positives without regard to false alarms
   • BMinimize the number of false alarms at any cost
   • CMaximize accuracy across all predictions
   • DMaximize recall while keeping precision above a specified threshold
   Reveal Solution Discussion Select an answer first