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PFMP · Question #400

A recent development in the market gave your competitors a leading edge. Your company's CEO and executive members want to focus on new developments and gain the market leadership once again. You…

The correct answer is C. Gap Analysis. When strategic direction changes and a portfolio manager needs to identify what must change to achieve the new strategy, a Gap Analysis is the correct tool.

Strategic Alignment

Question

A recent development in the market gave your competitors a leading edge. Your company's CEO and executive members want to focus on new developments and gain the market leadership once again. You wanted to show the new structure to the Portfolio stakeholders and strategies have changed. As a portfolio manager, your best course of action is to perform a

Options

  • ACapability and Capacity Analysis
  • BScenario Analysis
  • CGap Analysis
  • DSWOT Analysis

How the community answered

(55 responses)
  • A
    5% (3)
  • B
    11% (6)
  • C
    82% (45)
  • D
    2% (1)

Why each option

When strategic direction changes and a portfolio manager needs to identify what must change to achieve the new strategy, a Gap Analysis is the correct tool.

ACapability and Capacity Analysis

Capability and Capacity Analysis evaluates whether the organization has sufficient resources and skills to execute existing work but does not map the current portfolio structure to a future strategic goal.

BScenario Analysis

Scenario Analysis explores hypothetical future situations to compare potential outcomes under different conditions but does not produce a targeted identification of gaps between current and desired portfolio state.

CGap AnalysisCorrect

Gap Analysis identifies the difference between the current state of the portfolio and the desired future state defined by the new strategic objectives, providing a clear picture of what structural or component changes are needed. In the context of responding to competitive market shifts, Gap Analysis directly supports the portfolio manager in determining what capabilities or components are missing and what must be added or changed to achieve the new strategy.

DSWOT Analysis

SWOT Analysis assesses internal strengths and weaknesses alongside external opportunities and threats but does not specifically identify actionable gaps between the current portfolio structure and new strategic objectives.

Concept tested: Gap Analysis for portfolio strategic realignment

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

Topics

#Portfolio Management#Strategic Alignment#Gap Analysis#Strategic Planning

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