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ITIL-4-DITS · Question #30

An organization has identified three initiatives to support a digital transformation strategy: 1. Upgrading technology 2 Adopting new software development approaches 3. Changing the structure of…

The correct answer is C. Create three different business cases providing justification for each Initiative. Each of the three initiatives - technology upgrade, new development approaches, and organizational restructuring - represents a distinct investment with its own costs, benefits, risks, timelines, and stakeholders, which is why each deserves a separate business case (C)…

Understand how to formulate a Digital and IT Strategy

Question

An organization has identified three initiatives to support a digital transformation strategy: 1. Upgrading technology 2 Adopting new software development approaches 3. Changing the structure of teams and departments The project, management office has been tasked with Identifying and developing the business case(s) needed to review these initiatives Which is the BEST approach to take when creating the business case(s)?

Options

  • ACreate one single business case that provides justification for all three initiatives
  • BCreate one business case for the technology upgrade, and another for the remaining Initiatives
  • CCreate three different business cases providing justification for each Initiative
  • DCreate one business case for the organizational change, and another for the remaining Initiatives

How the community answered

(19 responses)
  • A
    5% (1)
  • B
    16% (3)
  • C
    74% (14)
  • D
    5% (1)

Explanation

Each of the three initiatives - technology upgrade, new development approaches, and organizational restructuring - represents a distinct investment with its own costs, benefits, risks, timelines, and stakeholders, which is why each deserves a separate business case (C). Combining initiatives into a shared document obscures individual ROI calculations and prevents decision-makers from approving, rejecting, or reprioritizing any single initiative independently. Option A fails because bundling all three makes it impossible to evaluate or fund them separately, forcing an all-or-nothing decision. Options B and D are wrong for the same underlying reason - they both still merge at least two unrelated initiatives, which is arbitrary and undermines the integrity of each justification. Options B and D also introduce an implied hierarchy (singling out one initiative as special) with no logical basis for doing so.

Memory tip: Think "one initiative, one business case" - a business case exists to justify a specific decision, so each independent decision needs its own case. If you can kill one initiative without killing another, they shouldn't share a business case.

Topics

#business case#investment justification#initiative planning#digital transformation

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