Governance of Enterprise IT (CGEIT) Certification Practice Exam

Which of the following choices reflects the essential process during the outsourcing phase of Architect?

1. Analyze supplier performance

2. Design IT strategies

3. Investigate business needs

4. Negotiate contract terms

The correct answer is: Investigate business needs

The key process during the outsourcing phase of an architect is to investigate business needs. This step is crucial as it entails understanding the requirements, goals, and challenges of the business that the outsourcing initiative aims to address. By thoroughly investigating business needs, architects can identify the appropriate IT services that must be outsourced and ensure that these services align with the organization's strategic objectives. This process involves engaging with various stakeholders to gather insights into what the business requires from the outsourcing arrangement. It serves as a foundation for making informed decisions about selecting the right suppliers and crafting agreements that fulfill the business's requirements. Addressing business needs effectively helps ensure that the outsourced services contribute positively to organizational performance and drive value. The other options, while important in the context of outsourcing, occur at different stages or are subsequent to the initial identification of business needs. For example, analyzing supplier performance would happen after contracts are in place and services are being rendered, while negotiating contract terms follows the initial assessment of what the organization needs and how to structure the outsourcing agreement. Designing IT strategies is a broader activity that might encompass the outsourcing phase but is not the specific focus during the initial assessment of needs.