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Which of the following would be the GREATEST risk?

After the merger of two organizations, multiple self-developed legacy applications from both
companies are to be replaced by a new common platform. Which of the following would be the
GREATEST risk?

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A.
Project management and progress reporting is combined in a project management office which
is driven by external consultants.

B.
The replacement effort consists of several independent projects without integrating the
resource allocation in a portfolio management approach.

C.
The resources of each of the organizations are inefficiently allocated while they are being
familiarized with the other company’s legacy systems.

D.
The new platform will force the business areas of both organizations to change their work
processes, which will result in extensive training needs.

Explanation:

The efforts should be consolidated to ensure alignment with the overall strategy of the postmerger
organization. If resource allocation is not centralized, the separate projects are at risk of
overestimating the availability of key knowledge resources for the in-house developed legacy
applications. In postmerger integration programs, it is common to form project management offices
to ensure standardized and comparable information levels in the planning and reporting structures,
and to centralizedependencies of project deliverables or resources. The experience of external
consultants can be valuable since project management practices do not require in-depth
knowledge of the legacy systems. This can free up resources for functional tasks. Itis a good idea
to first get familiar with the old systems, to understand what needs to be done in a migration and to
evaluate the implications of technical decisions. In most cases, mergers result in application
changes and thus in training needs asorganizations and processes change to leverage the

intended synergy effects of the merger.


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