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106 · Question #74

Which is a main element in the organizational governance practice?

The correct answer is A. Using stage gates to ensure initiatives are reviewed consistently based on strategic contribution. Option A is correct because organizational governance is fundamentally about ensuring oversight and control at key decision points. Stage gates are the primary mechanism that enables governing bodies to consistently evaluate whether initiatives remain strategically justified befo

Understanding the portfolio management practices

Question

Which is a main element in the organizational governance practice?

Options

  • AUsing stage gates to ensure initiatives are reviewed consistently based on strategic contribution
  • BRegular review of risks across the portfolio
  • CApplying staged release of funding linked to stage gates
  • DClearly describing arrangements for benefits tracking and reporting

How the community answered

(25 responses)
  • A
    92% (23)
  • B
    4% (1)
  • D
    4% (1)

Explanation

Option A is correct because organizational governance is fundamentally about ensuring oversight and control at key decision points. Stage gates are the primary mechanism that enables governing bodies to consistently evaluate whether initiatives remain strategically justified before allowing them to proceed - this is the essence of governance: structured, recurring decision authority tied to strategic alignment.

Why the distractors are wrong:

  • B describes a risk management practice, not governance specifically - portfolio risk reviews are a separate management discipline.
  • C (staged funding) is a financial/investment management mechanism. While it may accompany stage gates, the funding release itself is a financial tool, not a governance element.
  • D (benefits tracking arrangements) belongs to benefits management, which focuses on realizing value - a distinct practice from governance oversight.

Memory tip: Think of governance as the "gatekeeper" role - the word gate in stage gate is your clue. If the answer mentions gates + strategic review, that's governance. Risk, funding, and benefits are managed through governance structures but are not governance itself.

Topics

#organizational governance#stage gates#strategic alignment#portfolio control

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