Requirements analysis and design definition · RADD-7.6
A BA evaluates an AI‑driven demand‑forecasting solution for a retailer aiming to cut stockouts by 15 %. Which expected benefit most directly supports this strategic goal?
- AFewer stockouts, because store managers will be instructed to raise safety stock on fast-moving SKUs.
- BImproved accuracy of sales-trend reports, giving planners better insight.
- CLower IT infrastructure maintenance cost after the legacy planning server is retired.
- DHigher SKU-level forecast precision, so replenishment orders are placed before shelf stock runs out.
The answer is D
Why it is right. Higher forecast precision directly reduces the incidence of stockouts, linking the benefit to the retailer's explicit strategic objective, which satisfies the competency of identifying expected benefits of a potential solution.
Why each of the others was tempting
ACrediting the solution with an out-of-scope policy change
Would be right if: The change under analysis included a revised safety-stock policy.
What rules it out: Raising safety stock is a separate management decision the forecasting solution does not deliver, and it adds carrying cost.
BReporting insight mistaken for outcome
Would be right if: Better reporting were the benefit the business case had to justify.
What rules it out: More accurate reports inform planners but do not by themselves change what is on the shelf.
CCost saving substituted for the stated objective
Would be right if: Budget reduction outweighed the stockout target.
What rules it out: Infrastructure savings do not address the 15% stockout reduction the retailer is chasing.
The key against the next best. A and D both reduce stockouts, but only D is a benefit the forecasting solution itself produces.
