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Exam CGEIT topic 1 question 401 discussion

Actual exam question from Isaca's CGEIT
Question #: 401
Topic #: 1
[All CGEIT Questions]

Facing financial struggles, a CEO mandated severe budget cuts. A decision was also made to immediately change the enterprise strategic focus to put more reliance on mobile, cloud, and wireless services in an effort to boost revenue. The IT steering committee has asked the CIO to suggest adjustments to the current
IT project portfolio to allow support for the new direction despite fewer funds. What should the CIO advise the committee to do FIRST?

  • A. Start re-allocating budget to projects involving mobile or cloud
  • B. Cancel projects with a net present value (NPV) below a defined threshold
  • C. Conduct a risk assessment against the potential new services
  • D. Ask business stakeholders to discuss their vision for the new strategy
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Suggested Answer: D 🗳️

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SuperMax
7 months, 2 weeks ago
Selected Answer: D
D. Ask business stakeholders to discuss their vision for the new strategy. Before making any decisions about reallocating budget or canceling projects, it is crucial for the CIO and the IT steering committee to understand the business stakeholders' vision for the new strategic direction. By engaging with the stakeholders, the CIO can gain insights into their priorities, preferences, and expectations regarding the focus on mobile, cloud, and wireless services. Understanding the vision will help the CIO and the committee align the IT project portfolio with the strategic objectives of the enterprise. It will also enable them to prioritize projects that are most crucial for achieving the new strategic goals. Conducting this discussion with business stakeholders provides a solid foundation for making informed decisions about budget allocation and project adjustments.
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Frank1480
1 year, 8 months ago
It should be C - A risk assessment will help the committee understand the potential risks associated with the new strategic direction, such as security risks, data privacy risks, or operational risks. It will also help identify the most critical areas that require immediate attention and enable the CIO to prioritize the IT projects that align with the new strategic direction and mitigate the identified risks.
upvoted 4 times
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