CGEIT Question #552: Real Exam Question with Answer & Explanation

Question

Which of the following BEST enables an enterprise to determine whether a current program for IT infrastructure migration to the cloud is continuing to provide benefits?

Options

• AKey performance indicators (KPls)
• BTotal cost of ownership (TCO)
• CKey risk indicators (KRIS)
• DNet present value (NPV)

Explanation

Key Performance Indicators (KPIs) are the most effective way for an enterprise to determine if an ongoing IT infrastructure migration to the cloud is continuing to provide benefits.

Common mistakes.

• B. Total cost of ownership (TCO) is a financial calculation of all direct and indirect costs over an asset's lifecycle, which is useful for initial investment decisions but less effective for ongoing performance and benefits assessment.
• C. Key risk indicators (KRIs) monitor the level of risk exposure but do not directly measure the benefits or value being delivered by a program.
• D. Net present value (NPV) is a financial valuation method used for project selection and investment appraisal at the beginning of a project, not for continuous monitoring of benefits realization during an ongoing program.

Concept tested. Measuring IT program benefits with KPIs

Reference. https://learn.microsoft.com/en-us/azure/cloud-adoption-framework/strategy/metrics-and-kpis

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