Which technique or framework can BEST help to identify a broad range of strategic risks?

Question

Options

• AOKR
• BPESTLE
• CCustomer analytics
• DPortfolio optimization

• A
  4% (1)
• B
  78% (18)
• C
  13% (3)
• D
  4% (1)

Explanation

PESTLE is the correct choice because it is explicitly designed as a strategic environmental scanning framework, systematically analyzing Political, Economic, Social, Technological, Legal, and Environmental factors - giving organizations a broad, structured view of external risks that could impact their strategy.

OKR (A) is an objectives and key results framework for goal-setting and performance tracking, not risk identification. Customer analytics (C) focuses narrowly on customer behavior data and doesn't address the wide range of macro-level strategic threats. Portfolio optimization (D) is about allocating resources across investments or projects to maximize returns - again, not a risk scanning tool.

Memory tip: Think of PESTLE as a "wide-angle lens" - each letter represents a different category of the external environment, ensuring no major strategic risk domain is overlooked. If a question asks about breadth of strategic risk coverage, PESTLE is almost always the answer.

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