A business analyst (BA) at a regional bank has recently been assigned to assist on a project to expand into new markets. The chief executive officer (CEO) envisions the bank as a national brand and has asked the chief financial officer (CFO) to monitor project progress closely. The project manager (PM) has asked the BAs on the team to recommend an appropriate business analysis approach.
Based on the nature of the project and the industry, which approach should they recommend?
Given that the project involves a regional bank aiming to expand into new markets and banking being a highly regulated and high-risk industry, a formal approach is more suitable. This approach includes planned team interaction, agreed upon documentation deliverables requiring formal approval, and front-loaded requirements development. This ensures compliance with regulatory requirements, reduces uncertainty, and mitigates potential risks associated with the project. Therefore, a formal approach is appropriate for achieving the bank's objective of becoming a national brand while maintaining control and minimizing risk.
I think the answer is D- Formal/Predictive Approach, as Banking is a highly regulated industry with High Risk and predictive approaches are more suitable for this type of industry.
D= A formal approach with planned team interaction, agreed upon documentation deliverables requiring formal approval, and front-loaded requirements development As per page 27 Figure 3.1.1
A formal predictive approach is the correct option. This is because Bank is a highly regulated and a high-risk industry and the bank's project of expansion into new markets calls for compliance, security, business and other aspects to be considered. Further, bank cannot afford to bear upfront uncertainty in the project. Based on these facts, formal (or predictive) approach works best which focus on minimizing upfront uncertainty and ensuring that the solution is defined before implementation begins in order to maximize control and minimize risk. (BABOK v3 3.1.4.1 Para 2)
I think B is answer because , "expand into new markets" means Agile approach is suitable.