ITIL ITIL-4-DITS Practice Test - Questions Answers, Page 3

An organization's products are required for the execution of an activity is the best description of the relationship between organization's products, services, and resources. A product is a configuration of an organization's resources designed to offer value for a consumer. A service is a means of enabling value co-creation by facilitating outcomes that customers want to achieve without specific costs and risks. A resource is anything that might help deliver an organizational objective. Reference: ITIL 4

Leader: Digital and IT Strategy, page 11-12

Switching to funding teams and value streams is the best way to change their funding model to support their objective of developing and deploying solutions rapidly in response to constantly changing market needs. Funding teams and value streams means allocating budgets based on the value delivered by cross-functional teams working on end-to-end processes that create value for customers. This can help increase agility, flexibility, collaboration, and innovation. Reference: ITIL 4

Leader: Digital and IT Strategy, page 50-51

The innovation will deliver significant benefit for the organization is a reason why an organization might choose to implement an innovation even though it does not meet its minimum requirement for "return on investment" (ROI). This means that the organization values the long-term or intangible benefits of the innovation more than the short-term or financial returns. For example, the innovation might enhance customer satisfaction, brand reputation, market share, or social impact. Reference:

ITIL 4 Leader: Digital and IT Strategy, page 27-28

Cyber security risk is the most likely type of risk to be identified by modeling and test reviews.

Modeling and test reviews are methods of assessing risks by simulating or testing different scenarios, outcomes, or impacts. Cyber security risk is the risk of unauthorized access, use, disclosure, modification, or destruction of data or systems. Modeling and test reviews can help identify cyber security risks by exposing vulnerabilities, weaknesses, or flaws in the data or systems. Reference: ITIL 4 Leader: Digital and IT Strategy, page 60-61

Encouraging digital technology opportunities is the approach that the CIO is using to support the programme of creating a culture of innovation. This means that the CIO is promoting and facilitating the exploration and adoption of new digital technologies that can create value for the organization and its customers. By delivering a presentation on how chatbots can improve the customer registration experience, the CIO is demonstrating how digital technology can enable innovation and enhance customer value. Reference: ITIL 4 Leader: Digital and IT Strategy, page 25-26

Tailoring strategic communications to the stakeholders' preferences is the best approach to ensure that all key stakeholders are aware of the strategic direction and support it. This means that the organization considers the needs, expectations, interests, and preferences of different stakeholders when communicating the strategy. This can help increase stakeholder engagement, understanding, alignment, and buy-in. Reference: ITIL 4 Leader: Digital and IT Strategy, page 10-11

A software provider has developed a new satellite navigation system for the self-driving car market that has become the system of choice for car manufacturers is an example of industry disruption.

Industry disruption is about creating new markets or value propositions that challenge or replace existing ones. The software provider has created a new value proposition for the self-driving car market that has disrupted the existing satellite navigation systems and gained a competitive advantage. Reference: ITIL 4 Leader: Digital and IT Strategy, page 37-38

Digital transformation is the use of digital technology to create new or modify existing business processes, culture, and customer experiences to meet changing market needs and expectations. An organization that has utilized digital technology to make significant improvements to business processes that have contributed to the achievement of its strategic objectives has undergone a digital transformation. Reference: ITIL 4 Leader: Digital and IT Strategy, page 5

Management of staff skills and competence is what the organization needs for the digital transformation to succeed. This means that the organization ensures that its staff have the necessary skills and competence to support the digital transformation and deliver value to customers. This can involve training, development, coaching, mentoring, recruitment, retention, and motivation of staff.

Reference: ITIL 4 Leader: Digital and IT Strategy, page 68-69