Certified Government Auditing Professional (CGAP) Practice Exam

Which factor is management least likely to change when making significant organizational changes?

1. The organizational members.

2. The organizational structure.

3. The organizational environment.

4. The organizational technology.

The correct answer is: The organizational environment.

Management is least likely to change the organizational environment when making significant organizational changes because the environment encompasses external factors that influence the organization but are largely outside the control of management. This includes economic conditions, regulatory frameworks, societal trends, and competitive landscapes. While management can adapt strategies or operations in response to these external influences, the fundamental environment remains constant and cannot be altered by the organization itself. In contrast, the other factors—organizational members, structure, and technology—are integral to the internal workings of the organization. Management has substantial control over these areas. They can influence members through training or reassignment, reshape the structure to better align with strategic goals, and implement or upgrade technology to enhance efficiency or performance. Thus, while management may proactively adjust these internal components in pursuit of desired outcomes, the external organizational environment is typically an immutable backdrop that organizations must navigate rather than change.