Information Systems Project Mgmt - Chapter 4 Quiz

____________ is equal to benefits minus costs, or income minus expenses.

Cash flow

T/F: A commonsense approach to improving the coordination between project plan development and execution is to follow this simple rule: Those who will do the work should not plan the work.

False

T/F: A project charter typically does not authorize the project manager to use organizational resources to complete the project.

False

T/F: A stakeholder analysis should be part of the overall project plan.

False

T/F: An organization's information technology project selection process should guide the strategic plan.

False

T/F: Net present value and cash flow mean the same thing.

False

T/F: Opportunities and directives are essentially the same thing.

False

T/F: Project integration management does not include interface management.

False

T/F: Project integration management must occur just within the context of a particular project.

False

T/F: Project managers should never be involved in strategic planning and project selection.

False

T/F: Selecting projects is considered an exact science.

False

T/F: The ROI is always positive.

False

_______________ involves identifying, evaluating, and managing changes throughout the project life cycle.

Integrated change control

_________________________ involves identifying, evaluating, and managing changes throughout the project life cycle.

Integrated change control

____________________ involves identifying and managing the points of interaction between various elements of the project.

Interface management

__________________ is a SWOT analysis technique that uses branches radiating from a core idea to structure thoughts and ideas.

Mind mapping

____________________ project work includes collecting, measuring, and disseminating performance information.

Monitoring

________________ is a method of calculating the expected net monetary gain or loss from a project by calculating the value of all expected future cash inflows and outflows at the present time.

Net present value (NPV) analysis

____________________ are chances to improve the organization.

Opportunities

______________________________ include formal and informal plans, policies, procedures, guidelines, information systems,financial systems, management systems, lessons learned, and historical information that can be used to influence a project's success.

Organizational process assets

____________________ are undesirable situations that prevent an organization from achieving its goals.

Problems

______________________________ involves coordinating all of the other project management knowledge areas throughout a project's life cycle.

Project integration management

______________________________ is the result of subtracting the project costs from the benefits and then dividing by the costs.

Return on investment (ROI)

The Institute of Electrical and Electronics Engineers (IEEE)Standard 1058-1998 describes the contents of a(n)________________________________________.

Software Project Management Plan (SPMP)

T/F: All projects can benefit from using some type of project management information system to coordinate and communicate project information.

True

T/F: An annual discount factor is a multiplier for each year based on the discount rate and year.

True

T/F: As projects progress, the organization must reevaluate the need, funding, and will for each project to determine if the project should be continued, redefined, or terminated.

True

T/F: The first step in creating a weighted scoring model is to assign a weight to each criterion.

False

T/F: The introduction or overview of a project must only include a list of definitions and acronyms.

False

T/F: The organization should complete low-priority projects before high-priority ones, if the low-priority ones take less time.

False

T/F: You can use the NPV function in Microsoft Access to calculate the NPV quickly.

False

You can use the ____________________ function in Excel to determine the IRR quickly.

Goal Seek

T/F: Directing and managing project execution involves carrying out the project management plan by performing the activities included in it.

True

T/F: Information systems can help an organization support a strategy of being a low-cost producer.

True

T/F: Many organizations have found that large information technology projects require experienced general managers who understand the business and application area of the technology, not the technology itself.

True

T/F: Many people consider project integration management the key to overall project success.

True

T/F: Many problems and directives must be resolved quickly.

True

T/F: Many projects fail because of unclear requirements and expectations, so starting with a project charter makes a lot of sense.

True

T/F: Payback period is the amount of time it will take to recoup, in the form of net cash inflows, the total dollars invested in a project.

True

T/F: Project management plans document project planning assumptions and decisions regarding choices.

True

T/F: Some people might use a contract in place of a charter.

True

T/F: Strategic planning involves determining long-term objectives by analyzing the strengths and weaknesses of an organization,studying opportunities and threats in the business environment, predicting future trends, and projecting the need for new products and services.

True

T/F: The key deliverables section of the project management plan should describe the quality expectations for the product deliverables.

True

T/F: The number of interfaces can increase exponentially as the number of people involved in a project increases.

True

____ tools track the execution of business process flows and expose how the state of supporting IT systems and resources is impacting end-to-end business process performance in realtime. a. BSM b. CCB c. CCA d. BSC

a. BSM (business service management)

____ should result in improvements in project performance. a. Corrective actions b. Corrective reports c. Preventive actions d. Proactive methods

a. Corrective actions

____ involves working with stakeholders to create the document that formally authorizes a project. a. Developing the project charter b. Developing the preliminary project scope statement c. Developing the project management plan d. Directing and managing project execution

a. Developing the project charter

____ provide information on how project execution is going. a. Performance reports b. Change requests c. Deliverables d. Contracts

a. Performance reports

In the ____ stage of selecting information technology projects, organizations define project scope, benefits, and constraints. a. Project Planning b. Business Area Analysis c. Resource Allocation d. Information Technology Strategy Planning

a. Project Planning

One method for selecting projects based on ____ is to determine whether they first meet three important criteria:need, funding, and will. a. broad organizational needs b. using a weighted scoring model c. implementing a balanced scorecard d. categorizing information technology projects

a. broad organizational needs

The first step in determining the NPV is to ____. a. determine the estimated costs and benefits for the life of the project and the products it produces b. determine the discount rate c. calculate the net present value d. determine the cash flow

a. determine the estimated costs and benefits for the life of the project and the products it produces

The majority of time on a project is usually spent on ____, as is most of the project's budget. a. execution b. planning c. closing d. monitoring and controlling

a. execution

The ____ step in the planning process is to tie the information technology strategic plan to the organization's overall strategic plan. a. first b. second c. third d. fourth

a. first

You can determine a project's ____ by finding what discount rate results in an NPV of zero for the project. a. internal rate of return (IRR) b. required rate of return c. payback period d. return on investment (ROI)

a. internal rate of return (IRR)

Good ____________________ management is critical to providing stakeholder satisfaction.

a. project integration

A(n) ____ is a document used to coordinate all project planning documents and help guide a project's execution and control. a. project management plan b. statement of work c. scope statement d. contact

a. project management plan

A(n) preventive ____________________ might be modifying a time-tracking system screen to avoid common errors people made in the past.

action

In the ____ information technology planning stage, the analysis outlines business processes that are central to achieving strategic goals and helps determine which ones could most benefit from information technology. a. Project Planning b. Business Area Analysis c. Resource Allocation d. Information Technology Strategy Planning

b. Business Area Analysis

A(n) ____ is a formal group of people responsible for approving or rejecting changes to a project. a. CCA b. CCB c. CCC d. CCD

b. CCB

Author ____, who developed the concept of the strategic value of competitive advantage, has written several books and articles on strategic planning and competition. a. James Bacon b. Michael Porter c. Robert Cooper d. Carol Matlack

b. Michael Porter

____ analysis is a method of calculating the expected net monetary gain or loss from a project by discounting all expected future cash inflows and outflows to the present point in time. a. Cost of capital b. Net present value c. Cash flow d. Payback

b. Net present value

Which of the following is an important input to the integrated change control process? a. Deliverables b. Work performance information c. Approved and rejected change requests d. Approved and validated defect repair

b. Work performance information

A(n) ____ is a methodology that converts an organization's value drivers, such as customer service, innovation, operational efficiency, and financial performance, to a series of defined metrics. a. payback analysis b. balanced scorecard c. weighted scoring model d. net present value analysis

b. balanced scorecard

The ____ section of the project management plan describe show to monitor project progress and handle changes. a. management objectives b. project controls c. risk management d. technical processes

b. project controls

There are ____ main processes involved in project integration management. a. three b. six c. ten d. fifteen

b. six

A(n) ____ is a document that describes the products or services to be created by the project team. a. contract b. statement of work c. project charter d. business case

b. statement of work

In the mathematical formula for determining the NPV, the variable n is ____. a. the year of the cash flow b. the last year of the cash flow c. the amount of cash flow each year d. the discount rate

b. the last year of the cash flow

A(n) ____________________ is the approved project management plan plus approved changes.

baseline

In a weighted scoring model, the sum of all of the criteria's weights must total ____ percent. a. 0 b. 50 c. 100 d. 150

c. 100

On large projects, many project managers say that ____ percent of the job is communicating and managing changes. a. 50 b. 70 c. 90 d. 100

c. 90

____ ensures that the descriptions of the project's products are correct and complete. a. CCB b. Correction management c. Configuration management d. Product description management

c. Configuration management

____ involves coordinating all planning efforts to create a consistent, coherent document. a. Developing the project charter b. Developing the preliminary project scope statement c. Developing the project management plan d. Directing and managing project execution

c. Developing the project management plan

____ support contributes the most to successful information technology projects. a. Stakeholder b. Team c. Executive d. User

c. Executive

In the ____ stage of selecting information technology projects,organizations select information technology projects. a. Project Planning b. Business Area Analysis c. Resource Allocation d. Information Technology Strategy Planning

c. Resource Allocation

The project schedule information section of the project management plan might include ____. a. a detailed budget b. key deliverables c. a detailed schedule d. project staffing

c. a detailed schedule

Projects that address ____ are much more likely to be successful because they will be important to the organization. a. a balanced scorecard b. a weighted scoring model c. broad organizational needs d. net present value

c. broad organizational needs

The ____ section of the project plan should describe the major project functions and activities and identify those individuals who are responsible for them. a. organizational charts b. other organizational or process-related information c. project responsibilities d. management objectives

c. project responsibilities

Many people are familiar with SWOT analysis—analyzing Strengths, Weaknesses, Opportunities, and Threats—which issued to aid in ____. a. project initiation b. project planning c. strategic planning d. strategic initiation

c. strategic planning

Research shows that ____ is the number one reason cited for why organizations invest in information technology projects. a. providing financial incentives b. supporting implicit business objectives c. supporting explicit business objectives d. keeping abreast of technological advances

c. supporting explicit business objectives

A(n) _____________ is a formal group of people responsible for approving or rejecting changes to a project.

change control board (CCB)

A positive NPV means the return from a project exceeds the____________________, the return available by investing the capital elsewhere.

cost of capital

____ are new requirements imposed by management,government, or some external influence. a. Opportunities b. Commands c. Problems d. Directives

d. Directives

In the ____ stage, organizations tie information technology strategy to mission and vision of organization and identify key business areas. a. Project Planning b. Business Area Analysis c. Resource Allocation d. Information Technology Strategy Planning

d. Information Technology Strategy Planning

A(n) ____ is a formal, documented process that describes when and how official project documents may be changed. a. integrated change control b. change request c. performance report d. change control system

d. change control system

The outputs of ____ include change request status updates,project management plan updates, and project document updates. a. monitoring and controlling the project work b. closing the project c. developing the project management plan d. performing integrated change control

d. performing integrated change control

Most systems analysts begin their careers as ____. a. database administrators b. CEOs c. project managers d. programmers

d. programmers

A(n) ____ is a document that formally recognizes the existence of a project and provides direction on the project's objective sand management. a. balanced scorecard b. business case c. net present value analysis d. project charter

d. project charter

The ____ is the minimum acceptable rate of return on an investment. a. return on investment b. internal rate of return c. external rate of return d. required rate of return

d. required rate of return

The ____ section of the project management plan describes specific methodologies a project might use and explains howto document information. a. management objectives b. project controls c. risk management d. technical processes

d. technical processes

A(n) ____________________ is the rate used in discounting future cash flow.

discount rate OR capitalization rate OR opportunity cost of capital

Enterprise _________________________ include relevant government or industry standards, the organization's infrastructure, and marketplace conditions.

environmental factors

Project managers should not hesitate to consult____________________ on different topics, such as what methodology to follow, what programming language to use,what training approach to follow, and so on.

experts

Many organizations rely on effective _________________________(NPD) to increase growth and profitability.

new product development

The last step in the ____________________ process for selecting information technology projects is choosing which projects to do and assigning resources for working on them.

planning

With a(n) ____________________, you can simply add all the points to determine the best projects for selection, without having to multiply weights and scores and sum the results.

point model

Even though many information technology projects can be completed quickly, it is still important to ____________________them.

prioritize

Project initiation starts with identifying potential projects,using realistic methods to select which projects to work on,and then formalizing their initiation by issuing some sort of ____________________.

project charter

Many information systems are classified as "____________________" because they directly support key business strategies.

strategic

A(n) _________________________ is a tool that provides a systematic process for selecting projects based on many criteria.

weighted scoring model

A project manager usually organizes the project work into several work packages using a(n)______________________________.

work breakdown structure (WBS)