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Question 316

An insurance company wants to increase sales by 15% and customer retention by 10% within 1 calendar year. Various strategies to achieve this were considered and a restructure to the existing pricing model is selected to help achieve these goals.

A business analyst (BA) works with stakeholders such as actuaries, product specialists, sales staff, risk managers, and underwriters who agree to applying varying levels of discounts to customers based on:

"¢ Total annual premium the customer has with the company (Financial worth)

"¢ Time with the insurance company (Loyalty)

Various financial models are considered but the stakeholders agree that an initial applicable discount is determined based on the customer's overall premium:

The percentage of the maximum possible discount available to the customer is adjusted based on time with the company:

Which technique would the BA use to validate the desired outcomes?

    Correct Answer: C

    To validate desired outcomes such as increased sales and customer retention, Key Performance Indicators (KPIs) are the most suitable technique. KPIs help measure and track the progress towards these specific goals by providing quantifiable metrics. This allows the business analyst to determine whether the implemented strategies are effective and aligned with the expected outcomes.

Discussion
RabbitsfootOption: C

The desired outcomes are related to sales growth and customer retention, which are typically measured using metrics and key performance indicators (KPIs). These metrics help track progress towards achieving the goals and provide insights into the effectiveness of strategies and initiatives.

rupakarthikOption: C

if sales and customer retention increase as per desired rates can be validated by using key performance indicators . only technique for the Task validate requirements for from above list of answers