Certified Business Analysis Professional CBAP Passing Score

 A risk-averse organization is one that prefers to minimize or eliminate the exposure to risks, even if it means sacrificing some potential benefits or opportunities. A risk avoidance strategy is one that involves changing the project plan, scope, schedule, or budget to avoid the risk or its impact. A risk avoidance strategy is suitable for a risk-averse organization, as it reduces the uncertainty and the potential negative consequences of the risk. In this scenario, the BA has identified an assumption that has a high degree of uncertainty and may affect the validity of the requirements. The BA has added the assumption to the risk register and performed a risk analysis to handle this situation. If the organization is risk-averse, the BA may use a risk avoidance strategy to modify the requirements or the solution design to eliminate the dependency on the assumption, or to seek more information or evidence to validate the assumption. A risk acceptance strategy is one that involves acknowledging the risk and its impact, but not taking any action to prevent or reduce it. A risk acceptance strategy is suitable for a risk-seeking or risk-neutral organization, or for risks that have low probability or impact. A risk transfer strategy is one that involves shifting the responsibility or ownership of the risk or its impact to a third party, such as a vendor, a partner, or an insurer. A risk transfer strategy is suitable for risks that have high impact but low probability, or for risks that require specialized skills or resources to manage. A risk mitigation strategy is one that involves taking actions to reduce the probability or impact of the risk, such as implementing contingency plans, preventive measures, or backup solutions. A risk mitigation strategy is suitable for risks that have high probability and impact, or for risks that can be controlled or influenced by the project team. References: BABOK Guide v3, Chapter 10: Techniques, Section 10.51: Risk Analysis and Management, p. 567-569; Free CBAP IIBA Actual Exam Questions & Answers, Question 467.

The business analysis approach is the set of processes, activities, tasks, deliverables, and techniques that are used to conduct business analysis. The business analysis approach should be aligned with the needs, preferences, and expectations of the stakeholders, as well as the characteristics and constraints of the project and the organization. The level of formality is one of the factors that influences the business analysis approach. It refers to the degree of rigor, detail, and documentation that is required for the business analysis work. The level of formality may vary depending on the type, size, complexity, and risk of the project, as well as the regulatory and governance requirements, the stakeholder involvement, and the organizational culture. In this scenario, the BA is dealing with two main stakeholders that have different levels of formality. The government agency is highly regulated and may require a formal approach that follows strict standards, policies, and procedures, and produces detailed and comprehensive documentation. The private company is less formal and may prefer a flexible and collaborative approach that allows for rapid changes, feedback, and experimentation, and produces minimal and concise documentation. Therefore, the BA’s strategy should be to develop consensus on a tailored approach for formality that balances the needs and expectations of both stakeholders, and that is suitable for the project context and objectives. The BA should facilitate a meeting with the representatives from each entity and discuss the advantages and disadvantages of different levels of formality, and how they can be adapted and customized to meet the project requirements and deliver value. The BA should also consider the impact of the level of formality on the other aspects of the business analysis approach, such as the planning, elicitation, analysis, validation, and management of the requirements and design specifications. The BA should seek to achieve a common understanding and agreement among the stakeholders on the level of formality and the business analysis approach. Option B is incorrect because using a formal approach to appeal to the government entity’s higher authority may not satisfy the needs and preferences of the private company, and may create conflict and dissatisfaction among the stakeholders. Option C is incorrect because employing the standard business analysis level of formality may not be appropriate or effective for the project and the organization, and may not address the specific needs and expectations of the stakeholders. Option D is incorrect because asking the government entity to accept a flexible collaborative approach may not comply with the regulatory and governance requirements, and may create resistance and distrust among the stakeholders. References: BABOK Guide v3, Chapter 2: Business Analysis Planning and Monitoring, Section 2.2: Plan Business Analysis Approach, p. 28-32; Chapter 10: Techniques, Section 10.6: Business Analysis Approach, p. 501-502.

Based on the table in the image, the total cost for each company over the three years can be calculated by adding the Year 0 license costs, Years 1 and 2 total license costs, and implementation costs. For Company A, the total cost is $323,458 (Year 0) + $270,092 (Years 1 and 2) + $28,500 (Phase Ia) + $55,000 (Phase Ib) + $121,500 (Phase 2) = $798,550. For Company B, it’s $373,555 (Year 0) + $202,056 (Years 1 and 2) + ($1.500 150 days of implementation)= $578611 which is less than the insurance company’s maximum budget of $310000. For Company C it’s = ($400244+$214096+($31.50159))= $695439 which exceeds the budget. References: The answer is derived from a direct calculation based on the provided information in the image and does not reference specific CBAP learning documents or resources.

Decision analysis is a technique that helps the BA evaluate and compare different alternatives based on their costs, benefits, and risks, and select the best option that meets the objectives and criteria. In this case, the BA needs to determine if one of the systems (Sys A or Sys B) is better suited to be modified and upgraded, based on the upgrade cost and cost new of each feature. The BA can use the table in the image to calculate the total cost of upgrading or creating new features for each system, and compare them with the expected value and return on investment of each system. The BA can also consider other factors, such as the feasibility, compatibility, reliability, and maintainability of each system, and the preferences and expectations of the stakeholders. By using decision analysis, the BA can make an informed and rational choice that maximizes the value and minimizes the risk of the solution. References:

IIBA BABOK Guide, Section 10.23, Decision Analysis

Decision Analysis for the Professional, SmartOrg

Decision Analysis: Making Justifiable, Defensible Decisions, MindTools