4.6.2. Sample Questions 3 & 4

💡 First Principle: Understanding the consumer's perspective on cost and the specific purpose of each value chain activity are critical for aligning IT efforts with business value.

Scenario: An IT manager is preparing a business case for a new service. They know that to get funding, they must explain not just the IT costs, but how the service will reduce costs for the business (costs removed). Separately, a team member is confused about their role, and understanding the purpose of the Deliver and support activity helps them see how their daily work contributes to the overall value stream.

Continuing with examples: Question 3 (Concept Definition): What are the two types of cost that a service consumer should evaluate? A. The price of the service, and the cost of creating the service B. The costs removed by the service, and the costs imposed by the service C. The cost of provisioning the service, and the cost of improving the service D. The cost of software, and the cost of hardware Answer: B Explanation: From the service consumer's perspective, evaluating value involves understanding both the costs the service helps them avoid or reduce (costs removed) and the total costs they incur to consume the service (costs imposed, including price, staff time, training, etc.). Practical Link: When discussing the value of an IT service with business stakeholders, focusing on costs removed (e.g., automation saving manual effort) and understanding the costs imposed (e.g., training time) provides a more complete picture than just the IT budget cost.

Question 4 (SVC Activity Purpose): Which value chain activity ensures that services meet agreed specifications and the expectations of stakeholders? A. Deliver and support B. Obtain/build C. Engage D. Plan Answer: A Explanation: The purpose of the 'Deliver and support' value chain activity is to ensure that services are actually delivered and supported in a way that meets the agreed specifications and stakeholder expectations for quality and performance. Practical Link: This is the core activity where the value designed and built in previous steps is actually realized by the consumer. Your role in this activity directly impacts user experience and satisfaction.