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IIA-CIA-PART3 · Question #138

IIA-CIA-PART3 Question #138: Real Exam Question with Answer & Explanation

The correct answer is C. Suboptimal decision making. See the full explanation below for the reasoning.

Question

A rapidly expanding retail organisation continues to be tightly controlled by its original small management team. Which of the following is a potential risk in this vertically centralized organization?

Options

  • ALack of coordination among different business units
  • BOperational decisions are inconsistent with organizational goals
  • CSuboptimal decision making
  • DDuplication of business activities

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