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ISACA Certified in the Governance of Enterprise IT Exam Sample Questions (Q569-Q574):NEW QUESTION # 569
When an enterprise is evaluating potential IT service vendors, which of the following BEST enables a clear understanding of the vendor's capabilities that will be critical to the enterprise's strategy?
Due diligence process
- A. Benchmarking analysis results
- B. Historical service level agreements (SLAs)
- C. Independent audit results
Answer: C
Explanation:
A due diligence process is the best way to enable a clear understanding of the vendor's capabilities that will be critical to the enterprise's strategy. A due diligence process is a systematic and comprehensive investigation and evaluation of the vendor's background, reputation, performance, quality, reliability, security, compliance, and suitability for the enterprise's needs and expectations. A due diligence process can help the enterprise:
Verify the vendor's claims and credentials, and validate the vendor's references and testimonials Assess the vendor's financial stability, legal status, and ethical standards Identify the vendor's strengths, weaknesses, opportunities, and threats Compare the vendor's offerings, capabilities, and prices with other vendors and market benchmarks Determine the risks and benefits of engaging with the vendor, and the mitigation and contingency plans Negotiate the terms and conditions of the contract, service level agreement (SLA), and key performance indicators (KPIs) References:
According to the CGEIT Review Manual 2022, "Due diligence is a comprehensive appraisal of a business undertaken by a prospective buyer or partner to establish its assets and liabilities and evaluate its commercial potential."1 According to the ISACA article on Third-Party Vendor Selection: If Done Right, It's a Win-Win2, "Once you have identified which processes can be outsourced as well as their inherent risks, you can begin performing due diligence on potential vendors. The level of due diligence should be tailored to the significance of the relationship as well as the potential risks it poses." According to the Gartner article on How to Evaluate Technology Vendors in 4 Rigorous Steps1, "Evaluating vendors requires detailed objectives, criteria, prioritization and monitoring. Here's help. When it comes to choosing a vendor, enterprise tech buyer teams can easily become bogged down in the details and documentation provided by sales teams."
NEW QUESTION # 570
Which of the following phases of IT lifecycle occurs during the concept and idea stages of basic research?
- A. IT discovery phase
- B. IT project phase
- C. IT asset phase
- D. IT process phase
Answer: A
Explanation:
Section: Volume C
NEW QUESTION # 571
Which of the following would BEST enable business innovation through IT?
- A. Adoption of a standardized business development life cycle
- B. Business participation in IT strategy development
- C. Outsourcing of IT to a strategic business partner
- D. IT participation in business strategy development
Answer: D
NEW QUESTION # 572
Marsha is the project manager of the NHQ Project. There's a risk that her project team has identified, which could cause the project to be late by more than a month. Marsha does not want this risk event to happen so she devises extra project activities to ensure that the risk event will not happen. The extra steps, however, will cost the project an additional $10,000. What type of risk response is this approach?
- A. Mitigation
- B. Enhancing
- C. Transference
- D. Exploiting
Answer: A
NEW QUESTION # 573
CORRECT TEXT
Fill in the blank with an appropriate phrase.
The _________ provides investment management services to the firm and directs on how to take decisions on fund.
Answer:
Explanation:
fund manager
NEW QUESTION # 574
......
Undoubtedly, passing the ISACA CGEIT Certification Exam is one big achievement. Regardless of how tough the Certified in the Governance of Enterprise IT Exam (CGEIT) exam is, it serves an important purpose of improving your skills and knowledge of a specific field. Once you become certified by ISACA, a whole new career scope will open up to you.
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