nerdexam
PMI

PFMP · Question #27

Your company wants to digitalize their business due to COVID-19. You determine whether it is preferable to add, modify, or terminate some components to ensure the portfolio objectives remain aligned w

The correct answer is D. Strategic Alignment Analysis. Evaluating whether portfolio components should be added, modified, or terminated to stay aligned with organizational strategy is the definition of Strategic Alignment Analysis.

Strategic Alignment

Question

Your company wants to digitalize their business due to COVID-19. You determine whether it is preferable to add, modify, or terminate some components to ensure the portfolio objectives remain aligned with the organizational strategy and goals. Which tools and techniques are you using?

Options

  • APortfolio Component Inventory
  • BPrioritization Analysis
  • CScenario Analysis
  • DStrategic Alignment Analysis

How the community answered

(27 responses)
  • A
    7% (2)
  • B
    4% (1)
  • C
    4% (1)
  • D
    85% (23)

Why each option

Evaluating whether portfolio components should be added, modified, or terminated to stay aligned with organizational strategy is the definition of Strategic Alignment Analysis.

APortfolio Component Inventory

Portfolio Component Inventory is an artifact that lists components; it is a reference document, not an analysis technique for alignment decisions.

BPrioritization Analysis

Prioritization Analysis ranks components against each other by criteria such as value or risk, but does not specifically evaluate strategic alignment for add/modify/terminate decisions.

CScenario Analysis

Scenario Analysis models future states under different assumptions; it does not evaluate current component alignment with existing strategy.

DStrategic Alignment AnalysisCorrect

Strategic Alignment Analysis is a portfolio management technique that explicitly assesses how well each component contributes to organizational goals and strategy, and recommends add, modify, or terminate actions to maintain that alignment - exactly what the scenario describes.

Concept tested: Strategic Alignment Analysis for portfolio optimization

Source: https://www.pmi.org/pmbok-guide-standards/foundational/standard-for-portfolio-management

Topics

#Strategic Alignment#Portfolio Optimization#Portfolio Management Tools

Community Discussion

No community discussion yet for this question.

Full PFMP Practice