Deck 11: IT Governance

Question 1

Partnership relationships are generally short-term and influenced by the price of the service.

Answer 1

False

Question 2

Each of the following is generally considered an enabler of IT-business alignment except:

A) senior executive support for IT.
B) use of emerging technologies.
C) IT understands the business.
D) well-prioritized IT projects.

Answer 2

B

Question 3

In the multilocal form of international strategy, a primary governance mechanism utilized is centralized IT structure.

Answer 3

False

Question 4

Typically, a function that is not a core competency but is a critical success factor should be implemented using a strategic alliance.

Question 5

The governance mechanisms for dealing with support or commodity-like functions are the responsibility of senior administrative levels of the organization's management structure.

Question 6

To be effective, outsourcing relationships should be treated as transactional agreements.

Question 7

Career cross-over is an example of a process-based governance form.

Question 8

30% of IT projects are cancelled before completion; 50-100% are over budget and 6 months late.

Question 9

In the global exporter form of international strategy, if IT is used at all, it is supported from the parent company.

Question 10

Cross training refers to the permanent reassignment of IT staff to the business unit and business unit staff to IT.

Question 11

In the transnational/metanational form of international strategy, a primary governance mechanism utilized is a federated IT structure.

Question 12

Typically, important strategic applications do not require traditional financial assessments.

Question 13

Which of the following best describes the selection and use of organizational processes to make decisions about how to obtain and deploy IT resources and competencies?

A) Critical success factors
B) Strategic alignment maturity
C) IT governance
D) Technology risk mitigation

Question 14

Each of the following is most likely to be a symptom of misalignment between business and IT except:

A) high turnover of IT professionals.
B) frequently fired IT manager(s).
C) productivity decrease.
D) high number of sick days taken.

Question 15

A most likely function to be outsourced is project management.

Question 16

Steering committees best describes the IT governance alternative that is the formal assessment and review of IT's contributions to business strategies and infrastructure.

Question 17

A thin matrix best describes the form of governance to manage cross-functional initiatives whereby corporate IT management acts in a role of providing guidance and assistance to the business unit for adopting global infrastructure changes.

Question 18

Each of the following is part of the selection and use of organizational processes to make decisions about how to obtain and deploy IT resources and competencies except:

A) who makes the decisions.
B) where they make the decisions.
C) why they make the decisions.
D) how they make the decisions.

Question 19

Typically, an organization has separate steering committees that address each of the following levels except:

A) operational level.
B) knowledge level.
C) strategic level.
D) tactical level.

Question 20

Organizational risk is the source of project risk that is related to the external environment such as the size and scope of the markets being addressed.

Question 21

A person who is the primary point of contact for facilitating IT business relationships best describes a(n)_________________

Question 22

A best practice for strategic alignment is to have a steering committee comprised of a group of IT and functional business executives at any of the _________________levels and_________________.

Question 23

Which of the following best describes the form of governance to manage cross-functional initiatives in a collaborative fashion that emphasizes knowledge sharing and providing feedback to corporate headquarters?

A) Thick matrix
B) Thin matrix
C) Strategic community
D) Matrixed project team

Question 24

The form of governance that requires corporate management to evaluate effectiveness of the business unit representatives with respect to their ability to implement the corporate objectives best describes_________________

Question 25

The governance alternative in which accountability for IT investment results is shared by the business and IT communities best describes_________________

Question 26

The selection and use of organizational processes to make decisions about how to obtain and deploy IT resources and competencies best describes _________________

Question 27

Which of the following IT governance alternatives best describes the "how" and "why" of financial resources which are allocated to projects?

A) Value measurement
B) Budget
C) Cost center
D) Partnership/alliance management

Question 28

Which of the following best describes the form of governance to manage cross-functional initiatives whereby corporate IT management acts in a role of providing guidance and assistance to the business unit for adopting global infrastructure changes?

A) Thick matrix
B) Thin matrix
C) Strategic community
D) Matrixed project team

Question 29

_________________is the international strategy whereby organizations expand oversees in search of new markets, usually by employing agents or trading partners to market and distribute their products in different geographic markets.

Question 30

The _________________international strategy type is best served by IT governance mechanisms of decentralized structure, local office CTO or CIO, and application investment decisions made by local offices to meet local market requirements.

Question 31

Which of the following best describes the process of examining the financial underpinnings of a corporation as one of the first steps in a large scale IT purchase, with the goal of understanding risks associated with the relationship?

A) Third-party arbitration
B) Request for proposal review
C) Risk profiling
D) Due diligence

Question 32

Which of the following best describes the sources of project risk that are related to the external environment?

A) Market risk
B) Technology risk
C) Organizational risk
D) Developmental risk

Question 33

Which of the following best describes the sources or project risk that are related to internal issues such as project cost, the scope of change required, and project's fit with the firm's capabilities?

A) Market risk
B) Technology risk
C) Organizational risk
D) Development risk

Question 34

The_________________ is a technique for classifying and grouping projects according to probability of occurrence within categories of organization impact, development effort, technology, and organizational capability.

Question 35

Each of the following is generally considered a symptom of poor IT governance except:

A) late adoption of technology.
B) business units aren't accountable to corporate IT for any technologies they deploy.
C) lack of enterprise architecture because of disagreement.
D) lack of common sourcing policy.

Question 36

Which of the following IT governance alternatives best describes the team structure and approaches that are defined and applied to define strategies, plans, priorities, and make IT decisions?

A) Value measurement
B) Communicate/market/negotiate
C) Partnership/alliance management
D) Process

Question 37

_________________is the process of reducing or managing risk.

Question 38

Which of the following IT governance alternatives best describes the formal assessment and review of IT's contributions to business strategies and infrastructure?

A) Value measurement
B) Communicate/market/negotiate
C) Partnership/alliance management
D) Shared risks, responsibilities, rewards/penalties

Question 39

Which of the following IT governance alternatives best describes when IT staff work in the business unit and business unit staff work in IT?

A) Liaison
B) Process
C) Career crossover
D) Cross training

Question 40

A governance mechanism that uses teams for making decisions regarding organizational investment and use of IT best describes_________________

Question 41

The thing(s) an organization must do to be successful best describes_________________ .

Question 42

Define IT governance.

Question 43

The process of examining the financial underpinnings of a corporation as one of the first steps in a large-scale IT purchase, with the goal of understanding risks associated with the relationship best describes _________________.

Question 44

List five symptoms of misalignment.

Question 45

A group comprised of senior vendor representatives that convene periodically at the request of senior IT management to address an issue of interest to the organization best describes_________________

Question 46

The automatic extension of a contract agreement if the vendor is not notified by a predetermined future date best describes _________________.

Question 47

_________________are vendor services that provide data center facilities, bandwidth, computer and storage capacity, and administrative management to organizations in order to run applications.