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An overseas bank is currently undertaking a feasibility study looking into the possible launch of a new bank in the UK

Preliminary findings suggest that the market is saturated, customers have a lot of choice and it is easy for them to switch from one bank to another.

In which area of Porter's Five Forces model would these preliminary findings be documented'?

A.
Threat of new entrants
A.
Threat of new entrants
Answers
B.
Bargaining power of customers
B.
Bargaining power of customers
Answers
C.
Bargaining power of suppliers
C.
Bargaining power of suppliers
Answers
D.
Threat of substitute products
D.
Threat of substitute products
Answers
Suggested answer: B

Explanation:

Porter's Five Forces model is a technique for analysing the competitive forces that affect an organisation or industry. It helps to assess the attractiveness and profitability of an organisation or industry. Porter's Five Forces model consists of five forces: threat of new entrants, bargaining power of customers, bargaining power of suppliers, threat of substitute products and competitive rivalry. Therefore, option B is the correct answer, as these preliminary findings would be documented in the bargaining power of customers force of Porter's Five Forces model. Bargaining power of customers is the force that measures the ability and influence of customers to affect the price, quality and quantity of products or services offered by an organisation or industry. It depends on factors such as customer concentration, switching costs, differentiation and loyalty. An example of bargaining power of customers in this scenario is the market is saturated, customers have a lot of choice and it is easy for them to switch from one bank to another, which implies that customers have high bargaining power and can demand lower prices or better services from banks. Option A is not a correct answer, as these preliminary findings would not be documented in the threat of new entrants force of Porter's Five Forces model. Threat of new entrants is the force that measures the likelihood and impact of new competitors entering an organisation or industry. It depends on factors such as entry barriers, economies of scale, capital requirements and brand loyalty. An example of threat of new entrants in this scenario is an overseas bank launching a new bank in the UK, which implies that there is a potential threat of new entrants to the existing banks in the UK. Option C is not a correct answer, as these preliminary findings would not be documented in the bargaining power of suppliers force of Porter's Five Forces model. Bargaining power of suppliers is the force that measures the ability and influence of suppliers to affect the price, quality and quantity of products or services supplied to an organisation or industry. It depends on factors such as supplier concentration, switching costs, differentiation and dependency. An example of bargaining power of suppliers in this scenario is the suggested changes to the business structure will affect our relationships with suppliers, which implies that suppliers may have some bargaining power over the organisation or industry. Option D is not a correct answer, as these preliminary findings would not be documented in the threat of substitute products force of Porter's Five Forces model. Threat of substitute products is the force that measures the likelihood and impact of customers switching to alternative products or services that satisfy their needs or wants better than those offered by an organisation or industry. It depends on factors such as availability, price, quality and performance of substitute products or services. There is no example of threat of substitute products in this scenario.

At a recent Board Meeting the Directors of an office fitting company ratified the company's mission as:

To meet or undercut all our competitors' prices'

Which of the following is MOST LIKELY to be the company's vision?

A.
To offer the best value office fitting service
A.
To offer the best value office fitting service
Answers
B.
To reduce the cost of office fitting by 5%.
B.
To reduce the cost of office fitting by 5%.
Answers
C.
To increase the company's market share.
C.
To increase the company's market share.
Answers
D.
To be the premier office fitting company
D.
To be the premier office fitting company
Answers
Suggested answer: A

Explanation:

A vision statement is a concise and inspiring statement of what the organisation aspires to be in the future. It should reflect the organisation's core values and purpose, and provide direction and motivation for its stakeholders. A vision statement should not be too specific or focused on the current state of the organisation, but rather on the desired future state. Therefore, option A is the best choice, as it expresses a clear and aspirational vision that aligns with the company's mission of meeting or undercutting all its competitors' prices. Option B is too narrow and does not capture the essence of the organisation's purpose. Option C is too vague and does not indicate how the organisation will achieve its goal. Option D is too generic and does not differentiate the organisation from its competitors.

John has been working on a business case for opening up the overseas market to new products He has been asked to document the risks What SHOULD he do to ensure they are appropriately recorded? Select the TWO that apply

A.
Create a RAID log
A.
Create a RAID log
Answers
B.
Document the source of each risk
B.
Document the source of each risk
Answers
C.
Identify an owner for each risk
C.
Identify an owner for each risk
Answers
D.
Provide justification or each countermeasure identified
D.
Provide justification or each countermeasure identified
Answers
E.
Impact assessment of each countermeasure identified
E.
Impact assessment of each countermeasure identified
Answers
Suggested answer: B, C

Explanation:

A risk is an uncertain event or condition that, if it occurs, has a positive or negative effect on one or more project objectives. To ensure that risks are appropriately recorded, they should be documented in a consistent and structured way, such as using a RAID log (Risks, Assumptions, Issues and Dependencies). A RAID log should include information such as the risk description, impact, probability, source, owner, mitigation actions, status and date. Therefore, options B and C are essential for recording risks, as they help to identify where the risk originates from and who is responsible for managing it. Option A is not relevant to recording risks, as it is the name of the tool used to document them. Option D and E are not relevant to recording risks, as they relate to the countermeasures or actions taken to address them, not the risks themselves.

The management of a chain of hotels has decided that one of its critical success factors (CSF) is to 'provide excellent customer service' The below measures have been suggested.

Which THREE of these are appropriate key performance indicators (KPIs) for the CSF 'provide excellent customer service'?

A.
The number of customers who make use of their in-room mini bar
A.
The number of customers who make use of their in-room mini bar
Answers
B.
The percentage of customers who use the leisure facilities
B.
The percentage of customers who use the leisure facilities
Answers
C.
The number of customers who complain.
C.
The number of customers who complain.
Answers
D.
The percentage of customers who join the hotel loyalty scheme
D.
The percentage of customers who join the hotel loyalty scheme
Answers
E.
The percentage of customers who return
E.
The percentage of customers who return
Answers
Suggested answer: C, D, E

Explanation:

A key performance indicator (KPI) is a measurable value that demonstrates how effectively an organisation is achieving a key business objective or critical success factor (CSF). A KPI should be relevant, specific, measurable, achievable, realistic and time-bound (SMART). Therefore, options C, D and E are appropriate KPIs for the CSF 'provide excellent customer service', as they measure aspects of customer satisfaction and loyalty that are directly related to the quality of service provided by the hotel chain. Option A is not an appropriate KPI, as it does not measure customer service, but rather customer consumption. Option B is not an appropriate KPI, as it does not measure customer service, but rather customer preference.

A report has been created into improving the scheduling of physio appointments at a major hospital An extract reads

'The scheduling team have a strong set of skills that will not need to be updated However, the team should be split into two. one dealing with inpatients and one with outpatients The introduction of a new telephony software and an online booking system will also require changes to the process'

How might these changes be BEST presented to communicate with the scheduling team'?

A.
Business Process Model
A.
Business Process Model
Answers
B.
Business Activity Model
B.
Business Activity Model
Answers
C.
POPIT
C.
POPIT
Answers
D.
Prototype
D.
Prototype
Answers
Suggested answer: D

Explanation:

A prototype is a simplified version of a proposed system or product that can be used to demonstrate its functionality and usability to the stakeholders. A prototype can be useful for communicating changes that involve new technology or software, as it allows the users to interact with the system and provide feedback. Therefore, option D is the best choice, as it would allow the scheduling team to see how the new telephony software and online booking system would work and how they would affect their process. Option A is not a good choice, as a business process model is a graphical representation of the activities, inputs, outputs and resources involved in a business process. It would not show how the new software would work or how the team would be split. Option B is not a good choice, as a business activity model is a high-level view of the business activities that take place within an organisation. It would not show the details of the scheduling process or the new software. Option C is not a good choice, as POPIT is an acronym for People, Organisation, Process, Information and Technology. It is a framework for taking a holistic view of a business situation, but it is not a tool for communicating changes.

A company is reviewing its critical success factors and key performance indicators So far. it has key performance indicators for the following

The time to deliver orders for products Consumer satisfaction with products Wastage in product production The qualifications of production employees

Which area of Kaplan and Norton's balanced business scorecard has NOT been considered?

A.
Learning and growth
A.
Learning and growth
Answers
B.
Internal business process
B.
Internal business process
Answers
C.
Customer
C.
Customer
Answers
D.
Financial
D.
Financial
Answers
Suggested answer: D

Explanation:

Kaplan and Norton's balanced business scorecard is a strategic management tool that helps organisations to measure their performance across four perspectives: financial, customer, internal business process and learning and growth. The financial perspective focuses on how the organisation creates value for its shareholders and stakeholders. It includes measures such as revenue, profit, return on investment and cash flow. The customer perspective focuses on how the organisation meets the needs and expectations of its customers. It includes measures such as customer satisfaction, loyalty, retention and market share. The internal business process perspective focuses on how the organisation delivers its products and services to its customers. It includes measures such as quality, efficiency, productivity and innovation. The learning and growth perspective focuses on how the organisation develops its capabilities and competencies to achieve its goals. It includes measures such as employee skills, knowledge, motivation and empowerment. Therefore, option D is the correct answer, as financial measures have not been considered in the given list of key performance indicators. Option A is not correct, as learning and growth measures have been considered in the qualifications of production employees. Option B is not correct, as internal business process measures have been considered in the time to deliver orders for products and wastage in product production. Option C is not correct, as customer measures have been considered in consumer satisfaction with products.

AlpmeTrails is a company that specialises in offering tailored walking holidays The company was set up by two people, who each own 50% of the business AlpineTrails books hotels, transport and equipment to create bespoke holidays for AlpineTrails customers.

An agreement was recently reached with WalkNation. a national walking organisation, for AlpineTrails to provide a number of special holidays for its members These will be branded as WalkNation Holidays AlpineTrails will be responsible for organising the holidays but WalkNation will undertake the marketing and booking of these special holidays for its members

As well as customers, which THREE stakeholder groups are represented in this scenario?

A.
Owner
A.
Owner
Answers
B.
Partner
B.
Partner
Answers
C.
Supplier
C.
Supplier
Answers
D.
Manager.
D.
Manager.
Answers
E.
Competitor
E.
Competitor
Answers
Suggested answer: A, B, C

Explanation:

A stakeholder is any person or group who has an interest in or influence over an organisation or project. Stakeholders can be classified into different categories based on their relationship with the organisation or project. One possible classification is the stakeholder wheel, which identifies six generic stakeholder categories: owner, partner, supplier, customer, regulator and competitor. Therefore, options A, B and C are correct answers, as they represent three stakeholder groups that are involved in the scenario. Owner refers to the person or group who owns or controls the organisation or project. In this case, it is the two people who each own 50% of AlpineTrails. Partner refers to the person or group who collaborates or cooperates with the organisation or project to achieve mutual benefits. In this case, it is WalkNation, who has agreed to work with AlpineTrails to provide special holidays for its members. Supplier refers to the person or group who provides goods or services to the organisation or project. In this case, it is the hotels, transport and equipment providers that AlpineTrails books for its customers. Option D is not a correct answer, as manager is not one of the generic stakeholder categories defined in the stakeholder wheel. Manager refers to the person or group who oversees or coordinates the activities of the organisation or project. In this case, it could be either one of the owners of AlpineTrails or someone appointed by them. Option E is not a correct answer, as competitor is not represented in this scenario. Competitor refers to the person or group who offers similar or alternative goods or services to the same market as the organisation or project. In this case, it could be another company that specialises in offering tailored walking holidays.

IT services has commissioned a new desktop PC replacement project that has been funded and running for three months, with a fully-engaged sponsor and programme manager appointed

The head of IT services has not been involved beyond the initial project start-up interviews and has not attended any of the project meetings

What position on the power interest and does the head of IT services currently occupy?

A.
High power or influence but low interest
A.
High power or influence but low interest
Answers
B.
Some power and influence and some interest
B.
Some power and influence and some interest
Answers
C.
High power or influence and high interest
C.
High power or influence and high interest
Answers
D.
Low power and influence but high interest
D.
Low power and influence but high interest
Answers
Suggested answer: A

Explanation:

A power/interest grid is a tool for analysing stakeholders based on their level of power or influence and their level of interest or involvement in the organisation or project. The grid has four quadrants: high power, high interest; high power, low interest; low power, high interest; and low power, low interest. The position of a stakeholder on the grid can help to determine the appropriate strategy for engaging and communicating with them. Therefore, option A is the correct answer, as the head of IT services currently occupies the high power, low interest quadrant. This means that he has the authority or ability to affect the outcome of the project, but he does not show much concern or involvement in it. Option B is not correct, as some power and influence and some interest would place the head of IT services in the middle of the grid, which is not a distinct quadrant. Option C is not correct, as high power or influence and high interest would place the head of IT services in the top right quadrant, which is not consistent with his lack of involvement. Option D is not correct, as low power and influence but high interest would place the head of IT services in the bottom right quadrant, which is not consistent with his authority.

A business case contains the following in its management summary:

'The recommended option meets the new regulatory requirements. It will ensure our products remain in the marketplace and be the first to receive compliance certification, which will enhance our reputation as the market leader

New business policies and processes will be introduced, which may temporarily reduce productivity. The action plan will be communicated to all staff at the next monthly meeting?

Which TWO categories of costs and benefits are described in this extract?

A.
Tangible costs
A.
Tangible costs
Answers
B.
Intangible costs.
B.
Intangible costs.
Answers
C.
Tangible benefits
C.
Tangible benefits
Answers
D.
Intangible benefits
D.
Intangible benefits
Answers
E.
Irregular costs
E.
Irregular costs
Answers
Suggested answer: B, D

Explanation:

A cost is an expenditure or sacrifice incurred or expected to be incurred as a result of a business change. A benefit is an advantage or improvement that is gained or expected to be gained as a result of a business change. Costs and benefits can be classified as tangible or intangible, depending on whether they can be measured in monetary terms or not. Therefore, options B and D are correct answers, as they describe intangible costs and benefits that are not easily quantified or valued. Intangible costs include the temporary reduction in productivity due to the introduction of new business policies and processes. Intangible benefits include the enhancement of the company's reputation as the market leader due to being the first to receive compliance certification. Option A is not a correct answer, as tangible costs are not described in the extract. Tangible costs are those that can be measured in monetary terms, such as the cost of purchasing new equipment or hiring new staff. Option C is not a correct answer, as tangible benefits are not described in the extract. Tangible benefits are those that can be measured in monetary terms, such as the increase in revenue or decrease in expenses.

A business analyst is reviewing the stakeholder management strategy for a high profile Human Resources (HR) project Following an organisational restructure, Harvey's role has changed from Director of Operations to Director of HR and he has inherited sponsorship of the project Harvey was previously involved in the project, but had little interest because his focus was on the Operational Projects that he sponsored.

Which of the following sets of stakeholder management strategies represent appropriate approaches for Harvey; firstly, for when the project started and secondly now that his role has changed?

A.
Keep informed; Constant active management
A.
Keep informed; Constant active management
Answers
B.
Ignore, Constant active management
B.
Ignore, Constant active management
Answers
C.
Watch, Constant active management
C.
Watch, Constant active management
Answers
D.
Constant active management, keep informed
D.
Constant active management, keep informed
Answers
Suggested answer: C

Explanation:

A stakeholder management strategy is a plan for how to engage and communicate with stakeholders based on their level of interest and influence in the organisation or project. A stakeholder management strategy can vary depending on the stakeholder's position on the power/interest grid, which has four quadrants: high power, high interest; high power, low interest; low power, high interest; and low power, low interest. Therefore, option C is the correct answer, as it represents appropriate stakeholder management strategies for Harvey based on his position on the grid before and after his role change. Watch means to monitor the stakeholder's level of interest and influence and keep them informed of relevant developments. This is suitable for when Harvey was in the low power, low interest quadrant, as he had little authority or concern over the project. Constant active management means to involve the stakeholder closely in the project and seek their input and feedback regularly. This is suitable for when Harvey moved to the high power, high interest quadrant, as he became the sponsor and owner of the project. Option A is not a correct answer, as keep informed means to provide the stakeholder with sufficient information and updates to maintain their interest and support. This is more suitable for when Harvey was in the low power, high interest quadrant, not the low power, low interest quadrant. Option B is not a correct answer, as ignore means to disregard the stakeholder's views and needs and exclude them from communication. This is not a good strategy for any stakeholder, especially one who has some power or influence over the project. Option D is not a correct answer, as constant active management means to involve the stakeholder closely in the project and seek their input and feedback regularly. This is more suitable for when Harvey was in the high power, high interest quadrant, not the low power, low interest quadrant.

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