ITIL-FOUNDATION Question #531: Real Exam Question with Answer & Explanation

The correct answer is A: Business Cases should focus on both the financial and non-financial impacts of the proposed. A Business Case must capture both financial and non-financial impacts to give decision-makers a complete picture of a proposed project's value.

Understand the key concepts of service management

Question

Which statement about Business Cases is TRUE?

Options

ABusiness Cases should focus on both the financial and non-financial impacts of the proposed
BBusiness Cases should focus on only the financial impacts of the proposed project to secure
CBusiness Cases should focus on only the non-financial business impacts of the proposed project
DBusiness cases should only focus on how the proposed project can lower costs and improve

Explanation

A Business Case must capture both financial and non-financial impacts to give decision-makers a complete picture of a proposed project's value.

Common mistakes.

B. Focusing solely on financial impacts ignores critical non-financial factors such as risk, compliance, and strategic value that often drive project approval.
C. Focusing solely on non-financial impacts omits the financial analysis that stakeholders and sponsors require to approve funding and resource allocation.
D. Lowering costs and improving efficiency are only a subset of possible project outcomes; a Business Case must cover the full spectrum of impacts, not just cost-related ones.

Concept tested. Business Case content and scope in ITIL

Reference. https://www.axelos.com/certifications/itil-service-management/itil-4-foundation

Topics

#business case#financial impacts#non-financial impacts#investment justification

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