Governance of Enterprise IT (CGEIT) Certification Practice Exam

A company is experiencing a drastic reduction in failed projects. What is a likely reason for this?

1. Employing a stricter chief information officer (CIO).

2. Good governance practices.

3. Increasing use of talented people.

4. Qualified project professionals.

The correct answer is: Good governance practices.

Good governance practices are a fundamental reason for the drastic reduction in failed projects within the company. Governance provides a framework that encompasses policies, procedures, and standards to effectively manage IT projects. When governance practices are well-established, they ensure that projects align with the organization's strategic objectives, which helps in assessing risks, managing resources efficiently, and making informed decisions throughout the project lifecycle. In organizations where governance is prioritized, there is often clarity in roles and responsibilities, which improves accountability and transparency in project management. This structured approach minimizes confusion and miscommunication among stakeholders, leading to enhanced collaboration and more successful project outcomes. Additionally, good governance fosters a culture where continuous improvement is encouraged, allowing lessons learned from past projects to inform future endeavors. While employing a strict chief information officer or increasing the use of talented people can contribute to better project outcomes, they may not be as directly tied to the overall success rate as the implementation of solid governance practices. Qualified project professionals are essential, but without effective governance in place, their skills may not be fully leveraged to reduce failure rates. Thus, the strong link between good governance and successful projects makes it the most likely reason for the observed reduction in failures.