Practice Free GRCP Exam Online Questions
Question #31
What is the process of validating direction within an organization?
- A . Conducting a SWOT analysis to identify the organization’s strengths, weaknesses, opportunities, and threats.
- B . Communicating, negotiating, and finalizing direction with other organizational levels/units.
- C . Conducting a comprehensive audit of the organization’s financial records to ensure they are showing movement in the right direction.
- D . Implementing a performance management system to evaluate employee performance and alignment to established direction.
Correct Answer: B
B
Explanation:
The process of validating direction involves ensuring that organizational goals and strategies are aligned across all levels, achieved through communication, negotiation, and finalization with various units.
Key Steps in Validating Direction:
Communication: Sharing strategic objectives with all levels to build understanding. Negotiation: Ensuring input from various units for alignment and feasibility. Finalization: Formalizing the agreed-upon direction to guide actions.
Why Other Options Are Incorrect:
A: SWOT analysis identifies strengths and weaknesses but does not validate direction.
C: Audits focus on financial accuracy, not strategic alignment.
D: Performance management evaluates employee alignment but is not the core process for validating direction.
Reference: OCEG GRC Capability Model: Highlights alignment through negotiation and communication.
Balanced Scorecard Framework: Stresses coordination across organizational levels for strategic validation.
B
Explanation:
The process of validating direction involves ensuring that organizational goals and strategies are aligned across all levels, achieved through communication, negotiation, and finalization with various units.
Key Steps in Validating Direction:
Communication: Sharing strategic objectives with all levels to build understanding. Negotiation: Ensuring input from various units for alignment and feasibility. Finalization: Formalizing the agreed-upon direction to guide actions.
Why Other Options Are Incorrect:
A: SWOT analysis identifies strengths and weaknesses but does not validate direction.
C: Audits focus on financial accuracy, not strategic alignment.
D: Performance management evaluates employee alignment but is not the core process for validating direction.
Reference: OCEG GRC Capability Model: Highlights alignment through negotiation and communication.
Balanced Scorecard Framework: Stresses coordination across organizational levels for strategic validation.