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PGMP · Question #487

The program manager wants to ensure that a program contributes to shareholder value. The program manager should verify alignment with which of the following?

The correct answer is C. Organizational strategic objectives. Shareholder value is a business outcome tied directly to an organization's strategic direction. Programs are authorized and funded because they deliver strategic benefits - they exist to advance the organizational strategy. To verify that a program contributes to shareholder…

Strategic Program Management

Question

The program manager wants to ensure that a program contributes to shareholder value. The program manager should verify alignment with which of the following?

Options

  • AProgram charter
  • BOrganizational structures and policies
  • COrganizational strategic objectives
  • DProgram governance plan

How the community answered

(43 responses)
  • A
    2% (1)
  • B
    2% (1)
  • C
    91% (39)
  • D
    5% (2)

Explanation

Shareholder value is a business outcome tied directly to an organization's strategic direction. Programs are authorized and funded because they deliver strategic benefits - they exist to advance the organizational strategy. To verify that a program contributes to shareholder value, the program manager must verify alignment with organizational strategic objectives (C). The program charter (A) describes scope and authorization but may not fully capture strategic intent. Organizational structures and policies (B) govern how the organization operates, not what it is trying to achieve. The program governance plan (D) defines oversight mechanisms. Strategic objectives are the direct link between a program's outputs and the value the organization delivers to its shareholders.

Topics

#Strategic alignment#Program value#Organizational strategy#Business justification

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