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CGEIT · Question #33

A manufacturing company has recently decided to outsource portions of its IT operations. Which of the following would BEST justify this decision?

The correct answer is D. The business strategy requires significant IT resource scalability over the next five years. Outsourcing is often justified when a company needs to scale IT resources rapidly and flexibly to align with dynamic business strategic demands without incurring large capital expenditures.

Submitted by noor.lb· Apr 18, 2026Governance of Enterprise IT

Question

A manufacturing company has recently decided to outsource portions of its IT operations. Which of the following would BEST justify this decision?

Options

  • ACore legacy systems are not fully integrated with enterprise IT systems.
  • BBusiness users are not able to decide upon IT service levels to be provided.
  • CIncreasing complexity of core business and IT processes have led to dramatic increasing costs.
  • DThe business strategy requires significant IT resource scalability over the next five years.

How the community answered

(18 responses)
  • A
    6% (1)
  • B
    11% (2)
  • C
    33% (6)
  • D
    50% (9)

Why each option

Outsourcing is often justified when a company needs to scale IT resources rapidly and flexibly to align with dynamic business strategic demands without incurring large capital expenditures.

ACore legacy systems are not fully integrated with enterprise IT systems.

While legacy system integration is a challenge, it doesn't automatically justify outsourcing; it might require different IT investments or internal projects.

BBusiness users are not able to decide upon IT service levels to be provided.

User inability to define service levels indicates internal communication or governance issues, not a direct justification for outsourcing.

CIncreasing complexity of core business and IT processes have led to dramatic increasing costs.

Increasing costs and complexity could justify outsourcing, but scalability is a more common and direct driver for leveraging external providers' elastic capacity.

DThe business strategy requires significant IT resource scalability over the next five years.Correct

Outsourcing provides access to scalable resources and expertise that a company might not have internally or cannot afford to build quickly, which is critical when business strategy demands significant IT resource fluctuations.

Concept tested: Justifications for IT outsourcing

Topics

#IT Outsourcing#Strategic Alignment#Resource Scalability#Value Delivery

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