CGEIT Isaca Exam Lab Questions

According to the ISACA paper on IT Governance Reporting1, the IT strategy committee is a board-level committee that is responsible for overseeing and guiding the IT strategy and governance of the enterprise. The IT strategy committee helps to ensure that IT supports and enables the achievement of the enterprise’s strategy, objectives and goals, and that IT delivers value, benefits and competitive advantage to the enterprise. One of the decisions that would be made by the IT strategy committee is the composition of the investment portfolio, which is the set of IT projects and programs that are selected, prioritized, funded and monitored by the enterprise. The composition of the investment portfolio reflects the strategic alignment, value proposition and risk profile of IT, as well as the resource allocation and optimization of IT. The other options are not decisions that would be made by the IT strategy committee, but rather by other IT governance bodies or roles, such as the IT steering committee, the IT management team, or the chief information officer (CIO). References: IT Governance Reporting, IT Strategy Committee

Before developing an IT strategic plan, it is essential to review the enterprise business plan, which defines the enterprise’s structure, governance, and operations. The enterprise business plan describes the enterprise’s vision, mission, goals, objectives, strategies, and performance measures. It also outlines the enterprise’s value proposition, market position, competitive advantage, and customer segments. The IT strategic plan should align with and support the enterprise business plan by providing a roadmap for how IT will enable and enhance the business capabilities and outcomes. The IT strategic plan should also consider the enterprise’s risk appetite and tolerance, which are defined by the enterprise’s risk management framework.

The other options are not necessarily required before developing an IT strategic plan. Aligning the enterprise vision statement with business processes is part of the IT strategic planning process, but it does not have to be done before developing the IT strategic plan. Developing an enterprise architecture (EA) framework is a separate activity that can be done in parallel or after developing the IT strategic plan. The EA framework defines how to create and use an enterprise architecture, which provides a holistic view of the organization’s business, information, and technology. Reviewing the enterprise risk tolerance level is also part of the IT strategic planning process, but it does not have to be done before developing the IT strategic plan. The risk tolerance level reflects the acceptable level of variation around a particular set of risk-based objectives.

Data stewardship is the process of defining, implementing, and enforcing policies, standards, roles, and responsibilities for the quality, security, privacy, and usage of data within an enterprise1. Data stewardship has the greatest influence on data quality assurance, as it ensures that the data is accurate, complete, consistent, timely, and fit for its intended purpose1. Data stewardship also helps to identify and resolve data quality issues, monitor and measure data quality performance, and improve data quality over time1. The other options are not as influential as data stewardship, as they are specific aspects or techniques of data management, but not comprehensive processes. Data encryption is the process of transforming data into an unreadable format to protect it from unauthorized access or modification2. Data encryption can enhance data security and privacy, but it does not directly affect data quality assurance. Data classification is the process of categorizing data based on its value, sensitivity, and risk to the enterprise. Data classification can help to apply appropriate controls and policies for data protection and compliance, but it does not directly affect data quality assurance. Data modeling is the process of creating a representation of the structure, relationships, and meaning of data within a specific domain or context. Data modeling can help to design and optimize databases and applications that use data, but it does not directly affect data quality assurance.

 Service level agreements (SLAs) are the most important consideration when developing a new IT service, because they define the expectations and obligations of both the service provider and the service consumer. SLAs specify the scope, quality, availability, performance, and security of the IT service, as well as the roles and responsibilities, escalation procedures, and penalties for non-compliance. SLAs help to ensure that the IT service meets the business needs and objectives of the service consumer, and that the service provider delivers the IT service in a consistent and reliable manner. SLAs also provide a basis for measuring and improving the IT service delivery and management processes. References := CGEIT Review Manual, Chapter 3: Benefits Realization, Section 3.2: IT Value Delivery Processes, Subsection 3.2.1: IT Service Delivery, Page 93.