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106 · Question #12

Which statement about the prioritize practice is true?

The correct answer is D. A mandatory requirement should be reviewed to ensure that the planned change is cost effective. Option D is correct because even mandatory requirements - such as regulatory or compliance-driven changes - should still be evaluated for cost-effectiveness; while compliance itself may not be optional, how the change is implemented often is, so reviewing cost-effectiveness…

Understanding the portfolio management practices

Question

Which statement about the prioritize practice is true?

Options

  • AA segmented portfolio should use the same criteria to prioritize each segment
  • BMandatory projects should not be included in the normal prioritization process
  • CPrioritization of initiatives should be based on an estimate of financial benefits that may be
  • DA mandatory requirement should be reviewed to ensure that the planned change is cost effective

How the community answered

(35 responses)
  • A
    6% (2)
  • B
    3% (1)
  • C
    3% (1)
  • D
    89% (31)

Explanation

Option D is correct because even mandatory requirements - such as regulatory or compliance-driven changes - should still be evaluated for cost-effectiveness; while compliance itself may not be optional, how the change is implemented often is, so reviewing cost-effectiveness ensures the most efficient approach is chosen. Option A is wrong because a segmented portfolio exists precisely to allow different criteria per segment, since each segment may have distinct strategic goals and risk profiles. Option B is incorrect because mandatory projects still compete for resources and scheduling, so they must participate in the prioritization process - they simply cannot be deprioritized out, not excluded entirely. Option C is wrong (and incomplete) because financial benefit is only one input; prioritization should weigh strategic alignment, risk, urgency, and resource availability alongside financial factors.

Memory tip: Think of "mandatory" like a required course in school - you still have to choose when to take it and which section, so it stays in the schedule (prioritization process) and you pick the most cost-effective path to complete it.

Topics

#prioritization#mandatory requirements#cost effectiveness#portfolio practices

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