nerdexam
Isaca

CGEIT · Question #235

An enterprise has made the strategic decision to reduce operating costs for the next year and is taking advantage of cost reductions offered by an external cloud service provider. Which of the followi

The correct answer is B. Updating the business risk profile. When an enterprise strategically moves services to an external cloud provider for cost reduction, the IT steering committee's primary concern should be to update the business risk profile.

Submitted by kev92· Apr 18, 2026Risk Optimization

Question

An enterprise has made the strategic decision to reduce operating costs for the next year and is taking advantage of cost reductions offered by an external cloud service provider. Which of the following should be the IT steering committee's PRIMARY concern?

Options

  • ARevising the business $ balanced storecard
  • BUpdating the business risk profile
  • CChanging the IT steering committee charter
  • DCalculating the cost of the current solution

How the community answered

(36 responses)
  • A
    14% (5)
  • B
    56% (20)
  • C
    25% (9)
  • D
    6% (2)

Why each option

When an enterprise strategically moves services to an external cloud provider for cost reduction, the IT steering committee's primary concern should be to update the business risk profile.

ARevising the business $ balanced storecard

Revising the business balanced scorecard might be a subsequent step to reflect new financial models or performance, but addressing immediate risks is more urgent.

BUpdating the business risk profileCorrect

Migrating to an external cloud service provider introduces new risks (e.g., data security, compliance, vendor lock-in, service availability) or significantly alters existing ones. The IT steering committee must prioritize updating the business risk profile to identify, assess, and plan mitigation strategies for these critical changes, ensuring business continuity and data protection.

CChanging the IT steering committee charter
DCalculating the cost of the current solution

Concept tested: Cloud adoption risks, IT governance, risk management

Source: https://learn.microsoft.com/en-us/azure/cloud-adoption-framework/strategy/security-risk-strategy

Topics

#Cloud adoption risks#IT governance responsibilities#Risk assessment#Strategic IT management

Community Discussion

No community discussion yet for this question.

Full CGEIT Practice