IPA IP 2023 Question 11
A question IPA Japan published in 令和5年度 ITパスポート試験 公開問題 問11, translated into English. ITPEC is based on the same exams.
Same question on ITPEC: Apr 2024 Q99
Which of the following is the most appropriate word to indicate the use of IoT, AI, and other IT in order to strategically overhaul a business model and produce new added value?
Explanation
Digital transformation — using IoT, AI and other IT to overhaul the business model strategically and create new added value.
Digital transformation (DX) is more than digitizing paper or automating one task. A company uses digital technology and the data it produces to change its products, services, business processes and organization, and in the end its business model, so that it creates value in new ways and stays competitive as markets change.
Answer (c)
Why not others:
- •(a) Digital signage — electronic displays showing advertisements or information in stores, stations and streets
- •(b) Digital divide — the gap in information and opportunities between people who can use IT and the Internet and those who cannot
- •(d) Digital native — a generation that has grown up with the Internet and digital devices since childhood; a kind of person, not a business initiative
Key rule: Digitization changes the medium of information; digital transformation changes how the business creates value, with the business model itself as the target.
Technological Strategy Management · AI-written, may contain errors
This question comes from the past questions IPA Japan publishes, translated into English by ITPEC Practice. ITPEC Practice is an independent study tool and is not affiliated with IPA or ITPEC. See the original paper (PDF) or Report an issue.