ACCA Strategic Business Leader (SBL) Practice Exam

What is the focus of feasibility in SAF?

1. Compliance with legal requirements

2. Availability of resources and competencies

3. Return on investment and risk assessment

4. Satisfaction of stakeholder interests

The correct answer is: Availability of resources and competencies

The focus of feasibility in the Strategic Analysis Framework (SAF) is primarily on the availability of resources and competencies. When evaluating a new strategy or initiative, organizations must ensure they have the necessary resources — both tangible and intangible — to successfully implement and sustain it. This includes assessing financial resources, human skills, technology, and operational capabilities. By concentrating on resources and competencies, businesses can determine whether they have what it takes to not only launch a new project but also to follow through on it effectively. A strategy may be theoretically sound, but if the organization lacks the resources or expertise needed, it may lead to failure. While compliance with legal requirements, return on investment and risk assessment, and stakeholder interests are also important considerations in strategic planning, they do not specifically address the core feasibility concern of whether the organization is capable and well-equipped to execute the proposed strategy. Understanding resource availability and competency alignment is essential for ensuring the practicality and viability of any strategic initiative.