CMA Intermediate · Operations Management and Strategic Management · Digital Strategy
A bank has four digital initiatives and can fund only one this year. Each is scored on strategic fit (weight 50%), customer impact (30%) and ease of implementation (20%), each out of 10. Scores (fit, impact, ease): A (8, 6, 5); B (7, 8, 6); C (9, 5, 7); D (6, 9, 8). Which initiative should be prioritised on the weighted score?
Initiative C should be prioritised. Its weighted score is 9×0.5 + 5×0.3 + 7×0.2 = 7.4, higher than A at 6.8, B at 7.1 and D at 7.3, so C ranks first on the stated weights.
- AA
- BBCorrect
- CC
- DD
Explanation
A = 4.0+1.8+1.0 = 6.8. B = 3.5+2.4+1.2 = 7.1. C = 4.5+1.5+1.4 = 7.4. D = 3.0+2.7+1.6 = 7.3. Highest is C at 7.4, so B is not correct; the key must be C.
Did you get it right without looking?
One question tells you little. A timed set on Digital Strategy shows your real accuracy, how long you take and where you lose marks.
More Digital Strategy questions
- Which of the following is the most appropriate way to monitor whether a firm's digital strategy is succeeding?
- A mid-sized Indian retailer wants to prepare a digital strategy. Which activity should logically come first in formulating the strategy?
- In strategic management, a firm's digital strategy is best described as:
- A Chennai auto-components manufacturer fits vibration and temperature sensors to its machines. The sensor data is analysed by algorithms to …
- A company requires employees to enter a password and then a one-time code sent to their mobile phone before accessing the ERP system. This i…
- A manufacturing firm's files are encrypted by malware and the attackers demand payment in cryptocurrency to restore access. Which control wo…