ACCA Strategic Business Leader (SBL) Practice Exam

Which matrix helps to analyze whether processes should remain in-house or be outsourced?

1. Harmon’s process-strategy matrix

2. Kaleidoscope model

3. BCG Matrix

4. Ansoff's matrix

The correct answer is: Harmon’s process-strategy matrix

The Harmon’s process-strategy matrix is specifically designed to evaluate processes based on their complexity and importance to the overall strategy of an organization. This matrix helps organizations assess whether certain processes should be retained in-house or outsourced by analyzing factors such as process criticality and the company's capacity to manage those processes effectively. In using the Harmon’s matrix, businesses categorize their processes into various quadrants based on the balance of strategic fit and operational capability. This allows them to make informed decisions regarding outsourcing opportunities, identifying areas where external specialists could add value, versus processes that are better suited to remain internal due to their strategic significance. The other options, while valuable in their own contexts, do not specifically address the outsourcing versus in-house process analysis. The Kaleidoscope model focuses on change management and how different factors impact strategy implementation. The BCG Matrix is used for portfolio analysis, helping businesses evaluate their market position and resource allocation rather than process decisions. Ansoff's matrix deals with growth strategies and market opportunities, providing guidance on product and market development rather than operational processes.