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CBAP · Question #35

You are completing enterprise analysis. Management has asked you to create a document that will help them create a go/no go decision to invest and more forward with a proposed project. What document…

The correct answer is D. Business case. A business case is the enterprise analysis document that provides the justification needed for management to make a go/no go investment decision on a proposed project.

Strategy Analysis

Question

You are completing enterprise analysis. Management has asked you to create a document that will help them create a go/no go decision to invest and more forward with a proposed project. What document does management want you to create?

Options

  • AFeasibility study
  • BProject scope
  • CSolution scope
  • DBusiness case

How the community answered

(48 responses)
  • A
    6% (3)
  • B
    13% (6)
  • C
    4% (2)
  • D
    77% (37)

Why each option

A business case is the enterprise analysis document that provides the justification needed for management to make a go/no go investment decision on a proposed project.

AFeasibility study

A feasibility study evaluates whether a solution is technically or operationally achievable, but it does not constitute the full investment justification document management uses for a funding decision.

BProject scope

Project scope defines the work and deliverables included in a project but does not address the business rationale or financial justification needed for an investment decision.

CSolution scope

Solution scope defines the boundaries of the proposed solution, not the business justification or cost-benefit analysis required to support a go/no go decision.

DBusiness caseCorrect

A business case documents the rationale for undertaking a project by outlining expected benefits, costs, risks, and alternatives in a structured format that directly supports an investment decision. It is the primary output of the enterprise analysis knowledge area in the BABOK Guide and is explicitly designed to enable executives to decide whether to fund or proceed with a proposed initiative. Without a business case, management lacks the formal justification needed for a go/no go decision.

Concept tested: Business case creation in enterprise analysis

Source: https://www.iiba.org/career-resources/a-business-analysis-body-of-knowledge/

Topics

#business case#go/no-go decision#enterprise analysis#investment justification

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