CBAP · Question #459
A non-profit utility company has 900 employees, a majority of whom are hourly employees and must track their time using a paper based process. A few years ago, the Director of Human Resources…
The correct answer is C. The sponsor. This question tests knowledge of who holds final decision-making authority when conflicts or critical choices arise on a project. The sponsor is accountable for project outcomes and resources.
Question
A non-profit utility company has 900 employees, a majority of whom are hourly employees and must track their time using a paper based process. A few years ago, the Director of Human Resources purchased a software system to eliminate the current paper-based time reporting process. No requirements specific to the utility company were defined prior to the purchase. A team was formed to implement the software. During implementation process, the team discovered the software lacked functionality and was not robust enough to support the general ledger requirements The company stopped the effort and incurred a 1500.000 USD loss on the cost of the software. This year, the Director of Finance requested that a team investigate the current paper-based time reporting process and recommend solutions. The Director of Finance feels that the Director of Human Resources must be involved as a critical stakeholder The Director of Human Resources is still bitter about the last effort because the process stopped. During a design review meeting to discuss the future state, all stakeholders are in agreement except the Director of Human Resources. Who makes the final decision?
Options
- AThose identified in the governance approach
- BThe BA
- CThe sponsor
- DAll stakeholders must be in complete agreement
How the community answered
(53 responses)- A9% (5)
- B6% (3)
- C81% (43)
- D4% (2)
Why each option
This question tests knowledge of who holds final decision-making authority when conflicts or critical choices arise on a project. The sponsor is accountable for project outcomes and resources.
Governance approaches define processes and frameworks for decision-making but do not themselves constitute a decision-making authority for project-level choices.
The BA facilitates the elicitation and analysis process and makes recommendations, but does not hold the authority to make final project decisions.
The sponsor is the individual or group that authorizes and funds the initiative, giving them ultimate decision-making authority. In business analysis practice, the sponsor resolves conflicts that cannot be handled at lower levels and makes final calls on scope, priorities, and direction. This is distinct from the BA role, which is to facilitate and recommend, not to decide.
Requiring complete agreement from all stakeholders is impractical and not a recognized standard for decision-making; consensus is desirable but not a prerequisite.
Concept tested: Sponsor authority and final decision-making in BA
Source: https://www.iiba.org/career-resources/a-business-analysis-body-of-knowledge/babok/
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