Assume you are the portfolio manager for a leading drug store in your country that offers numerous products. In the past four years, nearly every store has had to enlarge its pharmacy unit and hire additional staff members with the aging population. Observing this change, two years ago, stores set up clinics to provide customers with immediate care. As you see the growth in the stores in the health arena, you are looking at trends and realize:

1. A. Alcohol, tobacco, and sugar soft drink products should no longer be offered
2. B. Each store requires a balance between its health care services and products that may have adverse health effects
3. C. Customers wonder if they should trust the health care services offered given the other available products
4. D. For the health care clinics to be viewed with integrity, a medical doctor must be available at each store

Correct Answer: A

Assume your food additive company performed a capacity analysis and found some resources had not maintained their skill sets and basically were not as productive as others in the company. Rather than have a massive reorganization, instead the executives decided to eliminate the jobs of these staff members, many of whom had been in the company for more than 20 years. Morale among the existing staff is low as people fear there will be more layoffs. Plus the government issued a new regulation that requires an additional Food and Drug Administration quality check before a new additive can be submitted for regulatory approval. One member of the executive team wants to acquire another company to enhance market share, and the existing plants in the Asia Pacific region require infrastructure upgrades. Given resource shortages, only one component can be selected to be added to the portfolio. The Board should select:

1. A. Component A—to enhance employee morale
2. B. Component B—to add staff to work with the FDA trained in quality management
3. C. Component C—to acquire the competitor to increase market share
4. D. Component D—to upgrade the AP's plant infrastructure

Correct Answer: B

Your organization, a leading restaurant focusing on pancakes, is seeking to expand its portfolio. It is interested in ensuring new components support: return on investment, customer satisfaction, reputation enhancement, and branding. These four areas represent:

1. A. Metrics
2. B. Organizational value areas
3. C. Organizational strategic objectives
4. D. Critical success factors

Correct Answer: B

As you grow older, you gain more experience and things that once seemed hard to assimilate, can become very easy. One junior member of your portfolio management team is confused on the relationship between the Optimize, Authorize and Provide Oversight processes. What could your advice to him be?

1. A. The provide portfolio oversight process may trigger the other two processes as part of the review meetings
2. B. The three processes are not related and are in different focus areas
3. C. The Optimize portfolio comes first, then authorize portfolio and finally Provide Portfolio oversight
4. D. The Optimize portfolio process is used to balance the portfolio so that the authorize portfolio and Provide Portfolio Oversight processes can start

Correct Answer: A

For governments worldwide, you normally have a lot of people reluctant to change and to using new technology tools especially for communication. You are managing a governmental portfolio and planning for a transformational endeavor. You are currently depicting the various communication media and methods to be used, where is this information normally used?

1. A. Communication Matrix
2. B. Stakeholder Communication Strategy Matrix
3. C. Stakeholder Groups
4. D. Stakeholder Matrix

Correct Answer: A