CBAP Practice Exam #11

A CBAP exam practice focusing on the decisions a BA may take for a business problem.

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QUESTION OF
Views #: 38
Questions #: 10
Time: 15 minutes
Pass Score: 80.0%
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Background: The Struggle at FashionDirect

Our team at FashionDirect is hitting a wall. On the surface, things look okay because the website is busy, but when you look at the actual profit margins, they’ve dropped by about 12% over the last year. The core of the issue seems to be a total disconnect between our digital systems and what is actually happening inside our 45 physical stores. We’re calling it "Inventory Blindness."

The Ground Reality

Right now, if you walk into one of our shops, there is an 18% chance you’ll walk out empty-handed. Why? Because you saw an item marked as "In Stock" on your phone, but when you got to the shelf, it wasn’t there. Our staff are constantly apologizing to frustrated customers. An audit confirmed our fears: our system records only match the actual hangers on the rack about 64% of the time. We are essentially flying blind.

It’s even worse for our online customers. When a local store tries to pack an order to ship it out quickly, they get the item wrong one out of every four times. Compare that to our main warehouse, where they almost never make mistakes. Every time a store sends the wrong shirt, it costs us a fortune in shipping and lost trust. Our finance team says that for every 1% we can claw back in inventory accuracy, we’d be looking at roughly $450,000 in recovered revenue every year.

The Fork in the Road

We have two main ideas on the table. The first is to just double down on what we have—better manual barcode scanners and more training. It’s cheap, maybe $500k, but it doesn't really fix the "blindness" problem.

The second option is the big one: switching everything to RFID tags. This would give us near-perfect data, but it costs $4.5 million. The Board is nervous; they’ve made it clear they won't sign off on that kind of money unless we can prove the project pays for itself in less than two years.

The Human Element

There’s also some internal friction. The Store Managers are already stressed out. They’re worried that if we make them tag every single garment by hand, they’ll be stuck in the back room instead of helping customers on the floor. Meanwhile, the CFO is losing patience with the bad data and wants a high-tech solution yesterday. We need to find a way to get the data the CFO needs without burning out our store teams.

Based on the financial impact data, what is the MINIMUM percentage improvement in inventory accuracy required to justify the $4.5M investment in Option B within the 24-month constraint?

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Explanation

Store Managers are concerned about the labor time required for RFID tagging. To address this concern while still meeting the CFO's data needs, which recommendation should the BA make?

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The BA discovers that 25% of store-fulfilled orders are incorrect. Before finalizing the RFID design, what decision-support activity should the BA perform to address the root cause?

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The CFO demands the project start immediately, but the Store Managers are entering their peak holiday season. Which 'Planning' decision should the BA recommend?

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If the BA chooses to focus only on reducing the 18% Out-of-Stock (OOS) rate, which BACCM element are they primarily addressing?

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A vendor claims their RFID software is '99% compatible' with FashionDirect's legacy systems. What decision should the BA take to verify this design option?

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The Board is worried that the RFID technology will be obsolete in 3 years. What should the BA include in the 'Requirements Life Cycle Management' plan to address this?

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Inventory accuracy is currently at 64%. To reach the 'Future State' goal of 98%, the BA identifies that new training is required for all staff. Training is classified as a:

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During Elicitation, the BA hears that Store Managers have been 'padding' inventory numbers manually to avoid being scolded by regional leads. This behavior is a:

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The CFO asks: 'What is the risk of NOT doing this project?' What decision-support information should the BA provide?

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