Project Management Tests and Quizzes

You have been going in so many directions at once that you decide to hire an assistant project manager to help you keep track of all the project details. How should you bill this expense?

As a project cost Correct! Personnel hired specifically for the project will have all their hourly rates charged to the project.

The following high-level WBS was created by an event planner to establish the timeline for her project team to prepare for an upcoming business reception.

B)

After a proposed project change has been approved by the sponsor, what is the next step in the change management process?

Communicate the change to stakeholders

Consolidated Systems, Inc. is initiating a project to develop a new Inventory system with a specific system launch date and fixed budget. The company had planned to use a software development tool it has used for past projects but is now considering instead using new state-of-art software that has the potential to speed development. The available staff is familiar with the old software development tool. What can the company do to avoid the risk of project delays?

Continue using the old software tool

When is the risk register monitored and updated?

Continuously

When monitoring detects changes that need to take place, _______ are/is required.

Controlling Activities Correct. Controlling activities are not required unless during monitoring you detected changes that need to take place.

Which of the following activities are completed during project execution?

Creating the project deliverables

During which project phase is the charter written and approved?

Defining

The business case is documented during which project phase?

Defining

Which of the following is an important reason to monitor project costs?

Ensure money is available to pay for expenses when planned

True or False. The scope statement requires the project be completed under budget. This an acceptable requirement.

False Correct! It is not reasonable to mandate spending less money than budgeted.

Which of the following precedence relationships is the most common?

Finish-to-Start

A _______ is characteristic of a project in need of extreme project management methods.

High level of complexity Correct. A high level of complexity is characteristic of a project that requires extreme project management methods.

Which activity is accomplished as part of the executing process of a project?

Implementing the project plan

A firm begins its strategic business initiative of developing a new business model that will allow the firm to deliver an efficient, tailored service to its customers. To accomplish this, the firm initiates a business management project. Which aspect of project management applies to this firm's project?

Interdependent tasks

The ____________ is the rate of return which makes the cost of the project equal the future cash flows of the project.

Internal rate of return Correct. The internal rate of return (IRR) evaluates potential projects as if they were financial investments.

Why are phase-gates an effective tool for some projects?

It provides a clean exit point after some initial work is completed

What is the name for the closing task where all project activities are reviewed to determine what went right and what went wrong?

Lessons learned review

Using an appropriate project selection method is important because organizations have:

Limited resources Correct. With limited financial, human, and equipment resources, organizations need to ensure they maximize what they have available.

Which advantage does the functional (departmentalized) organizational structure provide for a firm with multiple projects?

Lines of authority are clear.

In which type of organizational structure does the project manager and the functional manager "share" authority?

Matrix In this organization the project manager and the functional manager "share" authority.

The base types of organizational structure are functional, projectized, and _______

Matrix This is the third type of organizational structure

The project contract offers the contractor a bonus to complete the project early, as long as the scope is met, quality is not decreased, and budget is not exceeded. The amount of the bonus is based on how many days early the project is completed. Is this acceptable?

Maybe Correct! Since the bonus is based on the number of days the project finishes early, it is a type of cost savings. The bonus can be considered a percentage of savings, not a set amount, so it must be verified that government regulations permit this type of bonus compensation. Depending on those regulations, this has the potential to go either way.

During the project defining phase, customer requirements are refined into ____________ such as a product release date, price points, and functionality.

Measurable Goals Correct! During the project defining phase, customer requirements are refined into measurable goals such as a product release date, price points, and functionality.

____________ is a financial measure of the total future benefits of a project minus the costs of the project.

Net Present Value Correct. Net present value (NPV) is a financial measure of the total future benefits of a project minus the cost of the project.

Each project team member generated a series of questions to evaluate three projects. The checklist was compiled into one list based on frequency of question content, such as personnel, materials, experience, and time. The more frequent the question content, the more likely the questions would be asked first. Which two benefits result from this checklist approach? Choose 2 answers

Operational impact has been built in. Strategic impact has been integrated.

Question 37 on the Pre Assessment (Has image) The project management information system (PMIS) has produced the following resource histogram: (Source: http://help.rillsoft.com) What information does this resource histogram display that can help during the planning phase of the project?

Opportunities to level resource usage patterns

What is a project deliverable?

Outcomes of project work handed off to others

Which organization oversees the PMP certification?

PMI

What does PRINCE2 stand for?

PRojects IN a Controlled Environment

The Human Resource Management Plan defines the roles, skills, and knowledge needed by project team members. It identifies when the human resource will be needed and how the person will be identified, trained, and integrated with the team. What will be done during Human Resource Management planning? (Choose all that apply.)

Plan the schedule of the restaurant and understand how much time is needed before and after for preparation and clean up. Define what functions and what types of staff are needed to meet customer demands. Correct! Restaurants must operate around customer demands. Quality is critical, and people ensure it. Scheduling for prep and cleanup and defining staff functions are part of Human Resource planning.

During which project phase is the work breakdown structure developed?

Planning

There is another endeavor that is working on a mid-size passenger car and another developing a full-size luxury passenger car. These two endeavors, together, comprise a __________.

Portfolio

Which of the following would a firm establish to organize needed changes to support a long-term goal or objective?

Portfolio

____________ in the project closing phase include returning excess materials, reconciling accounts payable, and preparing required financial reports.

Procurement Activities

Increased labor costs that ensure that a project is completed on time may be the result of a shortened ____________.

Project Schedule Correct! A shortened project schedule may lead to increased labor costs to ensure that a project is completed on time.

Which activity is accomplished during the closing process of a project?

Reconciling the vendor accounts

Which of the following activities happen during monitoring & controlling?

Resolve conflicts among team members

Incomplete documentation in the defining and planning phases leads to what phenomenon later in the project?

Scope Creep

The expected completion date of a project has arrived, but the project is not done. If the PM runs an earned value analysis, what would be an expected result based on what we know about the project?

The SPI will be less than 1.0

Which process involves determining who the project's stakeholders are?

The initiating process

For the following collapsed work breakdown structure (WBS) for Project O, the project manager must complete the scope baseline. In addition to the WBS, the scope baseline will contain two additional documents. WBS ID Description 0.0 Project O 1.0 Project started 2.0 Feasibility 3.0 Design 4.0 Development 5.0 Manufacturing 6.0 Distribution 7.0 Project Completed What are the other two documents that belong in the scope baseline?

WBS dictionary and project scope statement

Which of the following project management methods is used in software/hardware development and has a process that flows in a logical, linear fashion?

Waterfall Correct. The waterfall method is used in software/hardware development and the process flows in a logical, linear fashion.

When does the project planning phase end?

When the project plan is approved Correct! The triple constraints need to be addressed. Once this is done, the planning phase ends.

As part of a lessons learned review, the project manager is putting together a list of survey questions for team members to fill out. Which of the following questions needs to be rewritten before sending out the finalized survey?

Which team members should not be assigned to future projects; why not?

Which output is needed prior to using the bottom-up estimating technique?

Work breakdown structure

Question 57 on the Pre Assessment (Has image) What is the critical path of this network diagram?

1.0 - 2.0 - 3.0 - 5.0 - 6.0

Question 56 on the Pre Assessment (Has image) What is the critical path of this network diagram?

1.0 - 3.0 - 5.0 - 6.0

The general manager of a hotel has asked for a project to put in new landscaping around the building. The project manager has constructed a high-level work breakdown structure (WBS) for the project, which is provided below. WBS ID. Description 1.0 Landscaping 1.1 Plans 1.2 Site preparation 1.3 Sprinklers 1.4 Sidewalks and curbing 1.5 Planting Which activity would it be logical to add to the approved high-level WBS to provide more detail on the work to be accomplished?

1.5.1 Lay sod

A project manager receives three estimates from the project team for the amount of time it will take to replace the flooring in a renovation project, depending on how much damage they find while doing their demolition work. The pessimistic estimate is 18 days. The optimistic estimate is 8 days. The most likely estimate is 10 days. What is the beta distribution estimate for this task?

11 days

A project manager receives three estimates from the project team for the amount of time it will take to replace the flooring in a renovation project, depending on how much damage they find while doing their demolition work. The pessimistic estimate is 18 days. The optimistic estimate is 8 days. The most likely estimate is 10 days. What is the triangular distribution estimate for this task?

12 days

The project team is determining the duration for upgrading the software on the app used on its mobile devices. An experienced technician took 15 minutes to complete the task. Two other new technicians will be assisting. They have performed a few upgrades on mobile devices, desktop computers, and laptop computers, which took one technician approximately 25 minutes and the other 20 minutes to upgrade. Using three-point estimating, how many minutes will it take for each upgrade performed?

20

The project team is determining the duration for upgrading the software on the app used on its mobile devices. An experienced technician took 10 minutes to complete the task. Two other new technicians will be assisting and have little experience in software upgrades on mobile devices or desktop and laptop computers. One technician took approximately 28 minutes, while the other technician took 31 minutes to complete the task. Using three-point estimation, how many minutes will it take for each upgrade performed?

23

There are _______ basic types of organizational structure.

3 There are three basic types of structure

The matrix organization is often sub classified into _______ subtypes. These are _______

3 Weak, strong, balanced

A project to translate existing training materials for an international subsidiary has been planned, and the following network diagram has been submitted.

88 Days

The Risk Management Plan documents how risk events will be identified in advance, monitored, potentially mitigated, and managed across the project life cycle. During a strategy session, you asked everyone to identify potential risks for the restaurant. Pick out which ones are the most relevant. (Choose all that apply.)

A competitor will open up in the neighborhood. The chef quits. We will only be able to raise 75% of the money we need. Correct! Often risks will impact your strategic goals and the triple constraint. In this case, competition, money constraints, and resource issues would be reasonable risks.

The effectiveness of results achieved from a scoring model is improved by using:

A diverse group of scorers Correct. Using a diverse group of scorers you ensure that you have a well-rounded set of results.

There are _______ challenges for the project manager. Stakeholders ________ agree on all aspects of a project plan and scope. Members of project teams ________ have conflicts between the needs of the project and their functional department.

A great deal of Rarely Sometimes

A project is being proposed to restructure a manufacturing company's assembly line to streamline processes per the request of the quality staff. The following high-level WBS was created by the project manager as part of the project charter to help management see the project timeline before the detailed WBS is developed.

A)

A project manager is creating a list of anticipated project tasks while building a calendarized budget. What is the key component of this budget called?

Activity estimates

An organization's project management maturity level is determined by what?

Adherence to standards or guidelines set by recognized professional organizations

____________ activities that occur during the project closing phase include performance report preparation, return of assets to the sponsoring organizations, archival of records, and documentation of lessons learned.

Administrative Correct. Administrative activities that occur during the project closing phase include preparation of performance reports, return of assets to the sponsoring organizations, archival of records, and documentation of lessons learned.

What is another name for the lessons learned review that is often used by the military and other uniformed services?

After action report

The _______ method of project management has been developed for use on projects where the end product is not clearly defined in advance.

Agile Correct. The agile method of project management has been developed for use on projects where the end product is not clearly defined in advance.

In which case is a one-point duration estimate likely to be the most accurate choice?

An experienced consultant working on a routine project

A company specializes in high quality home improvements and remodels. The project for a living room consists of six primary tasks. As soon as the demolition is completed, the floor installation and electrical work can begin. The cabinet installers and painters may begin their work after the floor is installed. Finally, the interior decorators can finish up the project after the paint has dried. Which Gantt chart correctly represents this living room remodeling project?

Answer is A (Has image)

Question 54 on the Pre Assessment (Has image) A company specializes in high quality home improvements and remodels. The project for a living room consists of six primary tasks. As soon as the demolition is completed, the floor installation and electrical work can begin. The cabinet installers and painters may begin their work after the floor is installed. Finally, the interior decorators can finish up the project after the paint has dried. Which network diagram correctly represents this living room remodeling project?

Answer is B (Has image)

A publisher is putting together a holiday catalog for a toy manufacturer. They know from previous projects that the costs are fairly consistent based on the number of items to be included in the catalog. Approximately 25% of the costs are associated with graphic design and layout. 20% of the costs come from labor hours meeting with the client. 30% come from editors, proofreaders, and other quality assurance staff. 15% is charged to paper, ink, and printing. 10% pays for postage and shipping. What type of estimation method is being used?

Baseline

Each project team member generated a series of questions to evaluate three projects. A checklist was then compiled into one list based on the frequency of question content, such as personnel, materials, experience, and time. What is a disadvantage of using this checklist approach?

Biases have not been eliminated.

After the work breakdown structure for a custom construction project is developed, the project manager asks each team member how long they expect their tasks will take. What type of estimation method is being used?

Bottom-up

You have found a vendor who will provide meats to your restaurant. He is local and only needs four hours notice to provide the best steaks possible at the best prices. Which of the triple constraints items are affected? (Pick all that apply.)

Budget/Cost Quality Schedule/Ordering Lead Time Correct! Ordering lead time is affected because we can get the steak faster, and budget is most affected because it is the best price. We do not have to maintain a large inventory on hand because the vendor is close to the restaurant. Additionally, quality is affected because we are getting the best possible steak locally.

A state college is launching a library building project. The project manager has constructed a work breakdown structure (WBS) for the project. A few elements from the WBS are shown in the table below (the WBS ID numbers and indentations of the descriptions are intentionally omitted). WBS ID Description ? Library project ? Facility needs ? Academic plan ? Stakeholder input ? Building proposal ? Siting ? Fundraising ? Potential donor list ? U.S. donors ? Florida donors Which two WBS elements of this project are on the same level as each other? Choose 2 answers

Building proposal Fundraising

The _______ is used for estimating project activity durations and it assumes that the estimates do not vary and time can be reliably estimated.

CPM Correct. The CPM is used for estimating project activity durations and it assumes that the estimates do not vary and time can be reliably estimated.

A three-year project to design and build a large conference center has been approved. What type of budget would be used?

Calendarized

For a project selection model to be considered ____________ it must be able to integrate the relevant factors of the evaluation including: time, risk, cost, and the internal as well as external environments.

Capable Correct. For a project selection model to be considered capable it must be able to integrate the relevant factors of the evaluation including: time, risk, cost, and the internal as well as external environments.

The Procurement Management Plan identifies how the project team will acquire products and services from outside organizations. Choose what will be done during procurement management planning. (Choose all that apply.)

Cash will be used to get the best price. Food service companies will be allowed to bid on staples at a volume discount to be delivered as needed. Products and services will be put out to bid by at least three vendors to be sure we are getting the best product and service. Correct! Controlling and monitoring cost are a critical part of procurement management planning. Putting items out for bid to get the best price, looking for a volume discount, and using cash to get the best price are part of that.

A newly established PMO asks management, employees, and project management staff to submit questions to be used as criteria for prioritizing projects. They plan to use all submitted questions and weight them based on how many people submit the same question. What type of project selection model is being used?

Checklist

Which tool could a project manager use to ensure that the project team will address the items that are important when developing and defining the project's scope?

Checklist

____________ use a series of questions to evaluate each potential project and then the answers to the questions would be compared to determine whether a project is accepted or rejected.

Checklist project selection models Correct. Checklist project selection models use a series of questions to evaluate each potential project and then the answers to the questions would be compared to determine whether a project is accepted or rejected.

What is a benefit of using a functional organizational structure?

Clarity regarding who is in charge and who answers to whom

Which of the following processes includes activities such as reconciling vendor accounts, writing lessons learned, and receiving customer sign-off?

Closing Correct. Activities that take place during the closing process include reconciling vendor accounts, writing lessons learned, receiving customer sign-off.

Which group is included in the five process groups?

Closing process group

Place the project activities in order of occurrence from first (1) to last (5). Select your answer from the pull-down list.

Collecting customer requirements Developing the work breakdown structure Working to produce project deliverables Customers evaluating the project outcomes Capturing lessons learned

A(n) ____________ project selection model should be usable across a range of projects such that the outcomes of the model can be used to compare projects.

Comparable Correct. A comparable project selection model should be usable across a range of projects such that the outcomes of the model can be used to compare projects.

A project manager is discussing the latest financial reports of a project to construct a grocery store and is approximately 90% into the planning phase. The project manager has been told by a project team member that other grocery stores in the area have an automated teller machine (ATM) for visitors. An ATM has not been discussed or incorporated into the planning of this project nor have any been incorporated into prior grocery store services. The leader calls for the immediate addition of an ATM into all prior grocery stores. Which non-numeric model is this leader using?

Competitive necessity

The ____________ model evaluates projects based on whether implementing the project will ensure the viability of the company in the competitive market.

Competitive necessity Correct. Projects evaluated under the competitive necessity model are approved based on whether implementing the project will ensure the viability of the company in the competitive market.

A typical example of ____________ in a project is the involvement of many different people, many different materials, and many different outcomes.

Complexity Correct. A typical example of complexity in a project is the involvement of many different people, many different materials, and many different outcomes.

Which of the following risks would be considered high probability and low severity?

Copy machine runs out of paper

A project to open a new restaurant before the next holiday has a penalty clause of $1000 per day if the contractor completes their work late in order to account for lost sales. Which of the triple constraints would be contractually adjusted if the launch date is missed?

Cost

In Project A, the contract specifies that time is very important. All of the scope must be completed, or the project will fail. The project's objective requires the project team to work as quickly as possible. Which triple constraint can be adjusted to permit the project team to work as quickly as possible?

Cost

Which of the following documents are created during project planning?

Cost Variance

Which of the following is an expense that is not typically considered part of the project and cannot be charged to the project?

Cost of Business Correct! A cost of business is an expense that is not typically considered part of the project and cannot be charged to the project.

The installation of interactive menu boards was not part of the original project plan. What will you have to do in order to add that to the plan?

Create a change order. Correct! This is added functionality that will require additional time and money. Some form of change order should be created and approved.

A project manager has identified activities in a calendarized budget. What is the appropriate next planning action this project manager should take to utilize the cost, duration, and sequencing information for these activities?

Creating project schedules

The following high-level WBS was created by an event planner to establish the timeline for her project team to prepare for an upcoming business reception. What is the critical path?

D) 2.0 to 4.0 to 5.0

A general contractor from Germany is managing a construction project in Norway that will add a new conference room to an existing office building. The project needs to collect requirements from the client prior to developing plans to build the new conference room. Which two actions would prove useful to plan the project's quality? Choose 2 answers

Defining traceable and verifiable requirements that can be validated at project closure Establishing metrics that describe what to measure and how to measure it

As the project manager, you have great dreams for your restaurant—branching out to food trucks and future expansion, to name a couple. You decide to break those dreams into a program and divide specific elements of deliverables into separate projects. The first project will be the initial restaurant only. Which phases will you need to do for each subsequent project?

Defining, planning, executing, and closing Correct! It is critical to do all the phases for each project so that you can be sure that all the parts of the program integrate at the end. You need to know when one project begins and another has ended so you can fit the pieces together. Even lessons learned should help you in the next projects of the program.

What is the correct term for an intermediate outcome of project work, such as a signed contract or obtaining a construction permit?

Deliverable

The customer of a project validates that the project scope has been completed, all invoices have been paid, and the expected benefits have been realized. Which closure practice does this describe?

Deliverable completion

A weak matrix organizational structure is most similar to which of the following?

Departmental

Question 53 on the Pre Assessment (Has image) In the work breakdown structure given for a software development, which component is the starting point for developing the project schedule?

Determine data format

You are steaming along. You have identified the project requirements and deliverables. What do you need to do next?

Determine the skills required to execute the project. Correct! After requirements and deliverables are identified, the next step is to determine which skills will be needed to fulfill the requirements and meet the deliverables.

An IT director has some extra money in the budget and wants to do some early upgrades to some of the company's production systems. The IT department is appropriately staffed, with many experienced personnel who have worked on putting in place the majority of the existing systems used by the company. What type of duration estimation approach would be used?

Deterministic

Which of the following is an important step during the project closeout phase?

Documenting formal acceptance of project deliverables

What is an important benefit of a company establishing a PMO?

Documents best practices, lessons learned, and project costs

Which activity is performed during the creating part of the initiating process?

Drafting the project charter

At what point in the process should you collect initial customer requirements and why?

During the defining phase because understanding the customer requirements will help the project team determine which processes and activities will need to occur in order to complete the project. Correct! You should collect customer requirements during the defining phase because understanding the customer requirements will help the project team determine which processes and activities will need to occur in order to complete the project.

____________ project selection models should provide results in a reasonable amount of time which is easily understood by the decision makers.

Ease of use Correct. Ease of use project selection models should provide results in a reasonable amount of time which is easily understood by the decision makers.

As your own project manager, you need to bring together the team to write the business plan for raising money from investors. You know that you have one chance to impress the investors and that you have lots of competition for funding. Your first project is to do the planning for the restaurant. For each of the planning areas below, select the activities you need to do during the identified phase. The Integration Management Plan documents how the various processes and planning areas will be kept in sync throughout the project life cycle. Choose which items will be done during integration planning. (Choose all that apply.)

Establish needs for procurement systems for ordering food. Describe what it will be like to take customer orders to give to the kitchen. Describe accounting processes. Correct! During the planning phase, you gather requirements from the different areas of responsibility for systems and controls to keep departments in sync. Describing what it will be like to take customer orders to give to the kitchen, establishing needs for procurement systems for ordering food, and describing accounting processes are all requirements.

During which life cycle phase is the vast majority of the actual work to produce the project's deliverables completed?

Executing

During which project phase is the majority of the project work completed?

Executing

Which PMBOK process group is described as the delivery part of project management where the main activity happens?

Executing

At which point of the project are you likely to need the most resources?

Executing Correct! In the execution phase large numbers of people may be added to the project in order to complete the work.

Which of the following processes includes activities such as acquiring and coaching project team members, managing stakeholders, and implementing the project plan?

Executing Correct. Executing process activities include acquiring and coaching project team members, managing stakeholders, and implementing the project plan, etc.

What are the three categories of risk in the project risk register?

External, technical, or organizational

A project with vaguely defined project phases using experimental technologies would be a good candidate for which project management method?

Extreme

Which of the following project management methods address issues of extraordinary uncertainty or complexity?

Extreme Correct. Extreme project management methods address issues of extraordinary uncertainty or complexity and the project team must be able to collaboratively problem solve in the field to guide the project toward success.

Formalized project management did not exist prior to the early twentieth century.

False Correct! Although the term "project management" is only from the mid-twentieth century, projects and project management have existed since the beginning of civilization.

True or False: You have decided you can skip the definition phase because everyone has eaten at a restaurant.

False Correct! Even though you think you know a lot about a project, it is critical to carefully walk through each phase because it sets the stage for the next phase and builds teams and relationships with all the stakeholders. The definition phase can be short because you may be very familiar with restaurants, but you need to understand budget, learn about preconceived ideas the customer has, and learn about the desires around money, decorations, quality, geography, future plans past this project, and anything else that gets raised during definition. All the items in the triple constraint must be discussed. The more you communicate early, the easier things will be later.

Projects can only result in a unique product or service that a company can sell.

False Correct! One purpose of a project is to create new, unique products or services, but a project can also be initiated to improve existing products or services.

Projects selected by an organization have no direct relation to the organization's strategy

False Correct! The commitment of resources to a project can be substantial, and the results of the project must support the organization's goals to ensure the organization's survival.

True or false. The risk for failure on extreme projects is lower than other types of projects and presents a potential problem for successful completion.

False Correct. Many unpredictable variables in an extreme project increase the risk for failure.

True or false. Traditional project management methods are effective with projects where the scope is likely to change.

False Correct. Traditional methods generally depend on being able to reliably plan the project in advance and then execute the plan with minimal changes.

True or False: Organizational maturity is a reference to the age of the company.

False In this case, maturity has no relation to age; it is a reference to how the organization operates

Projects are ongoing activities with no specified start or end date.

False Correct! Operations are ongoing activities.

True or False. You and the team have worked hard to define the triple constraints for opening the restaurant. Now that you have done this, the triple constraints can never be changed.

False Correct! They may be changed, but only through an approval change process.

A small-scale pilot is testing the efficiency of several available technologies for a large upcoming hydroelectric project. Due to a federal grant program ending, the PM is asked to complete the pilot ahead of schedule so the large project can begin before the deadline. If the team tests the technologies in parallel instead of sequentially as planned, what schedule compression technique is being used?

Fast-tracking

Which activity is accomplished as part of the planning process of a project?

Finalizing the project budget

Which activity is accomplished as part of the planning process of a project?

Finalizing the project schedule

Executives at a small regional hospital are working to prioritize projects for the coming year. Due to election-year discussions surrounding the future of several government healthcare programs, they are worried about selecting a project that will become obsolete. What project selection model would help them choose the best projects in spite of changing conditions?

Flexible

A project selection model is ____________ if it provides accurate measures across a reasonable range of conditions.

Flexible Correct. A project selection model is flexible if it provides accurate measures across a reasonable range of conditions.

Which of the following is the amount of time an activity can be delayed without affecting the completion date of the project?

Float time Correct! Float time is the amount of time an activity can be delayed without affecting the completion date of the project.

You have decided that you do not want the headache of overseeing subcontractors yourself. You are not sure you trust your brother-in-law Serge (your contractor) with details, so you have told him you want to approve the subs before they start work. Caesar, the chef, still insists he needs a special wood fire oven, but Celeste (the accountant) is concerned about the expenditure and Serge is not sure where to put it. You have picked up a business partner who has experience in restaurant management. He is not incredibly concerned about the physical aspects of the restaurant but has asked to be informed about all marketing and advertising campaigns. Based on this information, answer the following questions: Who is responsible for hiring and overseeing subcontractors to complete the kitchen?

General contractor Correct! The general contractor is responsible for hiring and overseeing subcontractors.

Bantam Electronics, a leader in mobile communications, has fallen behind in technology. Competitors have introduced products using the latest technology. Resources with expertise in this technology are scarce since there are very few universities offering training in the technology. Bantam's market share has fallen from 70% to under 50%. What can Bantam do to mitigate the risk of losing further ground in technology?

Hire technical staff from the competition

A firm begins its strategic business initiative of developing a new business model to enhance its competitiveness. What can be identified as a strategic business initiative for this firm?

Improvement in product design

An office supply store is starting a project to provide a new service to their customers. Which of the following strategic goals would be achieved by this project?

Increasing sales to existing customers

Any variances from the ____________ will be compared with the baseline requirements and approved changes once a project is completed.

Initial cost, schedule, or deliverables Correct! Once a project is completed, any variances from the initial cost, schedule, or deliverables will be compared with the baseline requirements and approved changes.

Which of the following processes involves tasks such as documenting the business need, defining the project, evaluating project proposals, and completing project selection?

Initiating Correct. The initiating process involves tasks such as documenting the business need, defining the project, evaluating project proposals, and completing project selection.

Which of the following documents show the various processes and planning areas will be kept in sync throughout the project life cycle?

Integration Management Plan Correct! The integration management plan documents how the various processes and planning areas will be kept in sync throughout the project life cycle.

Why would using an iterative process in the pursuit of your future dreams for expansion be a good idea?

It builds knowledge and produces specific deliverable from the phase. At the conclusion of the first phase, getting the restaurant open, you have better information on which to base the decision to move forward and how best to do it. Correct! Iterative processes help build knowledge so that you can base your decisions to move forward (or not) and how to do so on fuller data.

Which of the following allows the project to move forward in phases when not enough information is known to plan the entire project?

Iterative planning processes Correct! Iterative planning processes can allow the project to move forward in phases when not enough information is known to plan the entire project.

What are advantages of having a project management office? (Choose all that apply.)

Keeps a central database of "lessons learned" Makes sure all projects implement best practices

If you use extreme project management methods, what can you anticipate?

Labor costs will be higher. Correct! In extreme project management, labor costs are generally higher.

A small company without a PMO is planning on only doing two projects next year and cannot afford to hire a consultant. As they consider how to prioritize among several proposed projects, what is a criterion that will drive the model used to select the top projects?

Low Cost

The _____________ project selection model keeps the cost of gathering data and running the model low, relative to the scale of the project.

Low Cost Correct. A low cost project selection model keeps the cost of gathering data and running the model low, relative to the scale of the project.

The project baseline is critical as it reminds us of our initial assumptions and allows us to ____________ when we move away from where we started.

Make Educated Decisions Correct! The project baseline is critical as it reminds us of our initial assumptions and allows us to make educated decisions when we move away from where we started.

The contract offers the contractor a share of savings if the project comes in under budget, providing the scope is met, quality is not decreased, and schedule is met. Is this acceptable?

Maybe Correct! Since the bonus is a percentage of savings and not a set amount, it must be verified that government regulations permit this type of bonus compensation.

____________ in a project schedule identify critical events and other activities that must be performed by specific dates before the project may proceed.

Milestones Correct! Milestones within the project schedule identify critical events and other activities that must be performed by specific dates before the project may proceed.

During the project ____________ process, the project manager may need to intercede in order to correct the situation if the project is not being executed as planned.

Monitoring and Controlling Correct! As part of the project monitoring and controlling process, the project manager may need to intercede in order to correct the situation if the project is not being executed as planned.

The concept of ____________ tells us that in order to evaluate a project, we need to know the costs and benefits for the entire working life of the project outcome.

Net present value Correct. Net present value (NPV) is a financial measure of the total future benefits of a project minus the cost of the project.

____________ project selection models use selection criteria that are not limited to traditional numeric performance measures such as ROI, profit, and revenue, etc.

Non-numeric Correct. Non-numeric project selection models use selection criteria that are not limited to traditional numeric performance measures such as ROI, profit, and revenue, etc.

A project team is gathered together to begin the planning process for a large office building. It is discussing estimates of each activity in the schedule. For all of the plumbing-related work, the team will use the information obtained from the plumber-in-residence in its organization. What estimating technique will be used?

One-point

A chain of grocery stores undertakes a project to replace card readers in their checkout lines with a new technology consistent with current banking regulations and encryption standards since the old technology is being phased out by their bank. What project selection model is being utilized in this situation?

Operating Necessity

A new project team is made up of people from several different departments. Due to the way workspaces are designed and the number of project team members, there is no space large enough for all team members to meet together in their weekly meetings. What type of risk is this?

Organizational

You are trying to figure out how best to determine estimated activity durations for several tasks. Which project management method could you use?

PERT Correct! PERT uses a statistical approach to estimate activity duration times.

Which of the following was developed in the 1950s and uses a statistical approach to estimate the time that will be required to complete project work activities?

PERT Correct. PERT was developed in the 1950s and it uses a statistical approach to estimate the time that will be required to complete project work activities.

Which of the following are project management organizations or standards commonly used by companies to structure their project management processes? Choose two:

PMBOK PRINCE2

Which of the following activities are completed during the project closing?

Pay outstanding invoices

Which of the following measures calculates the amount of time it should take to recoup the cost to implement a project?

Payback Period

____________ calculates the amount of time required to earn back the cost of doing the project.

Payback period Correct. Payback period calculates the amount of time required to earn back the cost of doing the project.

Your chef has created a great menu. To cost out the menu and test the taste, you have organized a focus group to do a taste test. After the first taste testing, everyone gave you their input, and you scheduled a second tasting. What are you doing?

Performing an iterative process Correct! Part of planning and then executing the plan is to test out and finalize what the restaurant will do when in operation. Often doing several product tests from an alpha to beta to final helps you to test ideas into realistic products customers will buy. In the case of the restaurant, you do this iterative process to test the menu to see what tastes good and to understand costs for budgeting purposes and procurement directions. In this way, you will then know what you will market to whom for what prices.

Which of the following is a decision point in the iterative process that provides the opportunity for company leadership to decide if moving forward is prudent?

Phase-gate Correct! The phase-gate is a decision point in the iterative process that provides the opportunity for company leadership to decide if moving forward is prudent.

During a certain project phase, specific blueprints are drawn and approved, materials and labor costs are estimated, prototypes are created, and work activities and tasks are identified. Also, quality expectations, measurements, and costs are defined. During which project phase do these activities occur?

Planning

Which of the following processes includes activities such as documenting customer requirements, estimating resource needs, and finalizing the project budget, etc.?

Planning Correct. The planning process activities include documenting customer requirements, estimating resource needs, finalizing the project budget, creating the Work Breakdown Structure, etc.

Which two processes are considered iterative processes? Choose 2 answers

Planning Executing

A project was authorized as an operational necessity to repair a design flaw in the date field on a computer system that constrains the year number to two digits instead of permitting the year to be indicated with four digits. During execution of the activity concerned with identifying the affected software, five relevant software modules were discovered that had not been included in the scope baseline. The project team must adjust the baselines to include the omitted scope. Which change management phase does this scenario describe?

Preparing for the change

What describes the physical aspects of your restaurant, such as the size of the kitchen, the equipment you will use, and the number of tables and chairs?

Product scope Correct! Product scope is used to describe the portion of the scope statement that defines the features and functions of the project outcome or deliverables.

____________ measure the financial returns of the project and include: payback period, net present value, and internal rate of return as possible measure.

Profit/Profitability-based Correct. Profit/Profitability based models measure the financial returns of the project and include: payback period, net present value, and internal rate of return as measures.

You work at an automotive manufacturer. This company has the goal of being able to supply a full family of passenger cars from small compact to large luxury. There is a huge endeavor being undertaken to design and develop an entirely new small passenger car. There are several groups of people working on different aspects of this endeavor: one group on the engine, one on the transmission, one on navigation system, and so on. Each group has its scheduled start and end dates and a definition of the unique product it will create. Each of these groups is working on a ________

Project

Which of the following documents are created during project initiation?

Project Charter

When a project is selected for implementation, the project information is written into a formal document called the ____________.

Project Charter Correct! A project charter defines and documents the project's existence.

As part of the ____________ phase, the customer may identify items that need to be corrected, which can require the team to re-plan parts of the project and then execute the revised activities.

Project Closing Correct. As part of the project closing phase, the customer may identify items that need to be corrected, which can require the team to replan parts of the project and then execute the revised activities.

____________, project acceptance criteria, and technical requirements are common components of project scope statements.

Project Constraints Correct! Project constraints, project acceptance criteria, and technical requirements are common components of project scope statements.

The sum total of all expenses directly charged to the project is called the ____________.

Project Cost Correct! The project cost is the sum total of all expenses directly charged to the project and may include wages, materials, and facilities costs, as well as other expenses.

The ____________ phase is where the idea for the project is formalized into a project proposal and the decision on whether the project will be implemented is made.

Project Defining Correct! During the project defining phase, the idea for the project is formalized into a project proposal and the decision on whether the project will be selected for implementation is made.

Which of the following phases involves completing the work required to achieve the project outcomes?

Project Executing Correct! The project executing phase involves completing the work required to achieve the project outcomes.

Which of the following phases is completed when all the project work activities produce the promised deliverables and the project outcomes are ready to be delivered to the customer?

Project Executing Correct! The project executing phase is completed when all the project work activities produce the promised deliverables and the project outcomes are ready to be delivered to the customer.

In which of the following phases do the project manger and the project team get to work to complete the activities identified in the project plan?

Project Executing Correct! The project executing phase is when the project manager and the project team roll up their sleeves and complete the work activities identified in the project plan.

Which of the following helps tie the project back to the strategic and operational goals of the company and its mission?

Project Justification Correct! The project justification helps tie the project back to the strategic and operational goals of the company and its mission.

During the ____________ phase, the level of detail documented is aligned with project complexity and project outcomes are clarified, making it possible for the project team to understand the work that needs to be completed.

Project Planning Correct! During the project planning phase, the level of detail documented is aligned with project complexity and project outcomes are clarified, making it possible for the project team to understand the work that needs to be completed.

Budget are created through the careful and complete documentation of the assumptions that come from the ___________ phase.

Project Planning Correct! The key to creating a budget is careful and complete documentation of the assumptions that come from the project planning phase.

When the ____________ phase is complete, the customer and the project team will have a schedule, budget, and scope that are sufficiently accurate and complete so that the work of creating the project outcomes can begin.

Project Planning Correct! The project planning phase is complete when the scope, budget, and schedule are approved by the customer and the project team.

A timeline that specifies when the project begins and when it is supposed to end is called a ____________.

Project Schedule Correct! The project schedule is a timeline that specifies when the project begins and when it is supposed to end.

Which of the following is used to document the approach the project team will take to carry out the work of a project?

Project Scope

A decrease in the ____________ can lead to a shortened project schedule and/or lower project costs.

Project Scope Correct! A decrease in the project scope can lead to a shortened project schedule and/or lower project costs.

Which of the following defines the product of the project and contains information such as the project objectives and project deliverables?

Project Scope Correct! The project scope defines the product of the project and contains information such as the project objectives and project deliverables.

Which of the following is a written statement summarizing the work that will be completed in order to provide a project outcome that meets the customer's requirements?

Project Scope Correct! The project scope is a written statement summarizing the work that will be completed to provide a project outcome that will meet the customer's requirements.

A firm begins a strategic business initiative of developing a new business model that will allow the firm to deliver an efficient, tailored service to its customers. Which stakeholder would have triggered this strategic business initiative?

Project Sponsor

Which statement is correct? A portfolio is all the projects that a company is working on regardless of their being related There is no difference between a project and a program. They are different terms for the same activity. Projects and programs must support business strategy If a company has more than one project, then it must have a program or a portfolio.

Project and programs must support business strategy.

Which of the following establishes the expected scope, the expected cost, and the expected schedule for a project so you can you can tell when you deviate from it?

Project baseline Correct! A project baseline establishes the expected scope, the expected cost, and the expected schedule for a project so you can tell when you deviate from it.

A newly established PMO asks management, employees, and project management staff to submit questions to be used as criteria for prioritizing projects. They plan to use all submitted questions and weight them based on how many people submit the same question. What is the benefit of using this approach?

Project impact to all departments will be considered

Meeting the triple constraints is often used as determinants of project success. Which other factors may be useful in determining if the project was successful?

Project is in line with corporate goals

Which of the following is a valid reason for early project termination?

Project is inconsistent with current company strategy

Which of the following activities are properly ordered from beginning to end?

Project proposal; develop work breakdown structure; monitor budget and schedule; after action review

When a company has many project proposals from which to choose, ____________ involves both evaluating and prioritizing the project proposals.

Project selection Correct. When a company has many project proposals from which to choose, project selection involves both evaluating and prioritizing the project proposals.

A project manager wants to understand and document the approvals that must be obtained for each work package in the work breakdown structure (WBS). Which tools document the approval requirements for each work package? Choose 2 answers

Project statement of work (SOW) Requirements traceability matrix (RTM)

An organization expects to use a project management office (PMO) to support multiple projects that will be implemented within a projectized organizational structure. Which implied effect is a benefit to this organization?

Project team members gain access to historical data from other projects.

Regardless of the organizational structure used to manage a project, an organization elects to use a project management office (PMO). Which benefit will this organization gain?

Projects will coordinate resource usage by monitoring the status of shared resources.

Given the preceding Work Breakdown Structure, which of the following activities is not placed at the correct WBS level?

Purchase New System

Given the preceding Work Breakdown Structure, which of the following activities should be added as item 1.1?

Quality Audit

Which of the following documents show the quality of the project deliverables will be measured and what steps will be taken to monitor and assure that the quality meets the customer requirement?

Quality Management Plan Correct! A quality management plan documents how the quality of the project deliverables will be measured and what steps will be taken to monitor and assure that the quality meets the customer requirement.

A representative from the PMO is assigned to review the progress and performance of the project manager and team members on each project the company carries out. The PMO uses any feedback to update templates, improve estimations for future projects, and ensure standards are being followed. What is this an example of?

Quality audit

A project selection model is said to be ____________ when it accurately reflects the decision making context of the company including its capabilities and limitations.

Realistic Correct. A project selection model is realistic when it accurately reflects the decision making context of the company including its capabilities and limitations.

A project manager is working on a large two-year IT project. At the end of the first year, the project is two months behind schedule because the interface programming is taking longer than planned. The sponsor will not extend the deadline or reduce the scope. The project manager decides to crash the schedule to meet the project deadline. What is the risk of this decision?

Reduced quality of deliverables

A general contractor is managing a highway construction project that will repair a flood-damaged road. The Department of Transportation offered an incentive fee if the repairs are completed early. Therefore, the project manager has established a rewards and recognition program and has communicated this program to the project team members. The project's recognition program will reward project team members who add value by accelerating the project while maintaining its ability to deliver the completed scope correctly. Which change management phase does this scenario describe?

Reinforcing the change

A manufacturing company is reviewing potential projects for the coming year based on the CEO's request to reduce overhead costs. Which of the following projects would best align with the company's desired business strategy?

Replacing warehouse lighting with higher efficiency bulbs and motion sensors

A new project manager is taking over for the previous PM who is no longer with the company. As she starts getting to know the project team, which of the following tools would give the new PM the best snapshot of who all the project team members are and their individual roles on the project?

Resource responsibility matrix

What are agile project management methods supposed to be as a of result changes in customer needs and the project environment?

Responsive Correct. Agile project management methods should be responsive as a result of changes in customer needs and the project environment.

While comparing proposed projects for next quarter, management tells the PMO not to worry about how long it takes to earn back the cost of the selected projects but rather to focus on maximizing the amount of money earned or saved over the long term. What numeric selection model is being used?

Return on Investment

During the execution phase, the team discovers that some of the planned activities are not sufficient to complete the project's objectives. What do you need to do?

Return to the planning phase in order to make adjustments to the triple constraints. Correct! If this occurs, you may need to return to the planning phase in order to make adjustments to the budget, schedule, and scope.

The World Fabrication Corporation is launching a project that calls for the heavy use of copper-clad bolts. The cost of these bolts fluctuates daily and it is difficult to estimate the project cost over several weekly purchases of bolts. The threat of cost increases is highly probable with a potentially significant budget impact. The company has decided to contract with the supplier to buy the bolts at a fixed price for the expected duration of the project. What risk response strategy is World Fabrication Corporation using?

Risk Avoidance

Which of the following tools would be used to analyze all activities and tasks in a project and determine the positive and negative risks associated with each?

Risk Breakdown Structure

Which of the following is a knowledge area of the PMBOK?

Risk Management

An organization has a surplus of project dollars in the operating budget. The senior leader's decision is to fund one more project with the remaining funds. Of the three projects proposed, one of the projects was selected without evaluation of feasibility or viability. Which non-numeric model is this leader using?

Sacred cow

A general contractor is managing a highway construction project that will repair a flood-damaged road. The project was documented in a cost-plus-incentive fee contract that specified a completion date of June 30. The Department of Transportation has offered an incentive for early completion of the repairs. Which triple-constraint baseline remains unchanged by the effects of the incentive?

Scope

An IT director has some extra money in the budget that needs to be spent by the end of the quarter or else next year's budget will be reduced by that amount. She asks team members to make suggestions regarding which critical production systems could benefit from some early upgrades. Which of the triple constraints is most flexible in this situation?

Scope

As part of monitoring and controlling, the project outcomes are compared against the ____________ to ensure that the customer's expectations will be met.

Scope Correct! As part of monitoring and controlling, the project outcomes are compared against the scope to ensure that the customer's expectations will be met.

Halfway through a project to upgrade the heating and air conditioning in an office building, an executive asks the project manager if they could also rip out a wall between two unused offices and turn them into a small conference room while they're at it. The project manager figures the needed personnel is already on-site, and it would only take some minor adjustments to the plans for the new ducts. Any additional costs could be covered by the contingency reserves. What is this an example of?

Scope Creep

Caesar, your chef, came to you with a request for a specialized piece of equipment that was not in the original plans. What is this an example of?

Scope Creep Correct! The addition of something that was not in the statement of work leads to scope creep.

Which of the following occurs when there are additions to the project scope that are not subject to the formal scope change process?

Scope creep Correct! Scope creep occurs when there are any incremental additions to the project scope that are not subject to the formal scope change process.

A project is an operational necessity to repair a design flaw in the date field that constrains the year number to two digits, instead of permitting the year to be indicated with four digits. If the project is not completed before December 31, 1999, many legacy programs are expected to fail or produce unpredictable outcomes. The marketing department wants to upgrade its existing computer equipment and have the costs included in the budget for this project. The project team implemented the marketing department's request without completing the formal change control procedures. What has happened to the scope baseline in this scenario?

Scope creep has caused a scope variance.

A project manager is working on a large two-year IT project. At the end of the first year, the project is two months behind schedule because the interface programming is taking longer than planned. The sponsor will not extend the deadline or the budget but is willing to eliminate an interface. Which schedule compression technique can the project manager use?

Scope reduction

The ____________ project selection model extends the benefits of the checklist approach and uses quantitative or qualitative criteria that are answered using a scale.

Scoring Correct. The scoring project selection model extends the benefits of the checklist approach and uses quantitative or qualitative criteria that are answered using a scale.

The following table shows the Level 1 work breakdown structure (WBS) for Project A. WBS ID Description 0.0 Project A 1.0 Project started 2.0 Feasiblity 3.0 Design 4.0 Development 5.0 Manufacturing 6.0 Distribution 7.0 Project completed Which approach did the project manager use to structure the WBS?

Sequence of project phases

What is true about a PMO? (Choose all that apply.)

Serves as a central repository for "lessons learned" Tracks training needs of project personnel Allocates resources, as needed, among projects Tracks experience and expertise of SMEs who may be assigned to projects

Which of the following is a benefit of creating a resource histogram?

Shows peaks and valleys in planned labor hours for use in resource levelling

You need to figure out what kind of resource leveling you are going to need to do during various parts of the project. What will help you?

Stacked histogram Correct! The advantage of the stacked histogram is that it shows each item and the total of all the items so that you can see the requirements for each individual resource as well as the total of all resources for each time period identified.

The customer of a project validates that scope has been completed for the second of three segments of the project. Which closure practice does this describe?

Stage completion

You need to document the actual work to be done. Which document will provide this information?

Statement of work Correct! The SOW documents the actual work to be done.

Which of the following is the highest level of project management maturity for an organization according to the OPM3?

Sustained

The Communications Management Plan documents which information will be communicated, when it will be communicated, how it will be communicated, and to whom. What will be done during communication planning? (Choose all that apply.)

Team status reports will be done weekly Monthly customer meetings will be held Correct! Eighty percent of all problems come from miscommunication, so it is critical that you inform and exchange regularly. Written team status reports and monthly customer meetings are part of communications management planning.

For the following collapsed work breakdown structure (WBS) for Project O, the project's steering committee held a phase gate review of the Feasibility results. That review determined that the project's proposed design would be obsolete before it would reach the marketplace. WBS ID Description 0.0 Project O 1.0 Project started 2.0 Feasibility 3.0 Design 4.0 Development 5.0 Manufacturing 6.0 Distribution 7.0 Project completed Which action should the project manager initiate?

Terminating the project as soon as possible and releasing the project's resources

At the end of week 4 of an 8-week project, the PM submits a report to management to update them on their progress. The overall project budget is $10,000. They have completed 40% of the project work and have spent $4500 on labor costs. Which of the following is a valid conclusion for the project manager to include in her report?

The CPI of .9 predicts that the project will finish moderately over budget

Which two organizations are examples of organizations with the functional organizational structure? Choose 2 answers

The U.S. Department of State The U.S. Department of Energy

You are putting a project planning checklist together for the kitchen remodel. What is a potential drawback of a checklist like this?

The checklist is only as good as the completeness of the items listed. Correct! A potential drawback of a checklist is that it is only as good as the completeness of the items listed.

In the selection of the specialized oven, who must be involved and in what capacity?

The chef is responsible, the contractor needs to support it, and the accountant must approve it. Correct! Since the chef has requested and will be using the oven, he will be responsible for selecting it, but he needs to have the contractor's support in the selection as the contractor needs to install it. He will also need approval from the accountant to make the purchase.

What is the time value of money?

The concept that a dollar today is worth a dollar, but a dollar in a year will be worth less than a dollar

What is internal rate of return?

The discount amount when present value of cash intake equals the original investment

When determining the organization's project management maturity level, each practice area is evaluated for adherence to accepted guidelines. If different practice areas are evaluated at different levels, then what is the overall level for the organization?

The lowest level attained of any of the levels.

Of the items listed here, which one is a benefit of the iterative planning process?

The project can be cancelled after any phase. Correct! The phase-gate at the end of each phase requires that company leadership decide whether to begin the next phase.

Which of the following is not a reason to do lessons learned?

The restaurant archival will be made into a great romance novel Correct! The history of the project might make a great romance novel, but that is not a reason to do lessons learned.

Which statement is true when it comes to your planning documents?

They all need to be periodically reviewed to ensure that the plans are still valid. Correct! Planning documents are "living documents" that need to be reviewed to ensure that the plans are still valid.

Why are estimates such as those used in the 50-50 and 0-100 rule commonly used in calculating the Earned Value of a project?

They minimize disruption to team members

A project team is gathered together to begin the planning process to create a new website for its client. Discussions have turned to website capacity. Some team members believe the bandwidth of the site needs to be higher to avoid the website freezing. Others believe the bandwidth is too high as it is right now. A finite capacity needs to be determined to define the estimated time to complete this task. What estimating technique will be used?

Three-point

A large construction project to build apartments to house athletes for the upcoming Olympic games is underway. If anything starts getting off track, which triple constraint would not be appropriate to adjust?

Time

In Project B, all of the scope must be completed, or the project will fail. The work is important but not urgent. Which triple constraint can be adjusted if the project's objective requires the project team to work at the lowest possible cost?

Time

The concept of ____________ suggests that money is worth more to an organization now than in the future.

Time value of money Correct. The concept of time value of money suggests that money is worth more to an organization now than in the future.

Match each purpose to its associated financial concept. Answer options may be used more than once or not at all. Select your answers from the pull-down list.

To calculate money's worth today compared to in the future Time value of money To calculate whether revenue tomorrow is greater than costs today Net present value To calculate future cash flows using time and interest rate Internal rate of return To calculate the alternative use of money Opportunity cost

Which are reasons to have a project manager?

To coordinate communication between and among stakeholders. To coordinate the efforts of various functional SMEs involved in the project.

What is the purpose of the schedule performance index (SPI)?

To determine a project's time efficiency

What is the purpose of cost variance (CV) analysis?

To determine if a project is meeting budget expectations

What is the purpose of the cost performance index (CPI)?

To measure a project's cost efficiency

A project with clearly defined outcomes and phases, little to no volatility, and well-known technologies would be a good candidate for which project management method?

Traditional

A linear path and sequential steps are defining characteristics of _______ project management methods.

Traditional Correct. A defining characteristic of traditional methods is that the path from project beginning to project end is linear and sequential steps are followed.

Which of the following project management methods requires that significant planning is completed in advance?

Traditional Correct. Traditional project management methods require that significant planning is completed in advance and if there are circumstances where the project will need to be re-planned, additional costs will be incurred.

A project to translate existing training materials for an international subsidiary has been planned, and the following network diagram has been submitted.

Train Personnel

A project manager and her team do a make/buy analysis and determine that even though they have the expertise in-house to build a new security system for the company's warehouse, they will outsource the project to a vendor. The vendor has an existing product with full technical support provided in the contract. What type of risk response is this?

Transfer

True or False. For health and safety reasons, the federal government is requiring an investment of $10,000 for the installation of special flooring. Neither the designer nor the chef have requested this level of flooring. You need to budget for the new flooring.

True Correct! Even though neither the designer nor the chef requested this flooring, it is a requirement due to a government safety regulation. You must put in the flooring. The cost must be included in the project budget.

True or False: You have planned the grand opening for the restaurant. Everyone is excited to see the chef design an amazing menu and to have the team decorate the dining room. You have left the planning stage and are now in the execution phase.

True Correct! Execution in this case is to take the plan and put all the items in place. The project called for you to plan and build the restaurant. That is what occurs in execution of the plan. If you are running the business with waitresses taking orders and the kitchen in full swing producing great meals, you are in business operation, which happens after you complete this project.

True or False. You have created a project contract that offers the contractor a bonus to complete the project early, as long as the scope is met, quality is not decreased, and budget is not exceeded. This is acceptable.

True Correct! It is totally reasonable and acceptable to offer a contractor an incentive to complete a project early

True or False: In a functional organization, department managers have authority over SMEs who may be assigned to work some projects.

True In a functional organization, department managers retain full authority over personnel

True or False: In a projectized organization, project managers have authority over SMEs who may be assigned to work some projects.

True In a projectized organization, the project manager has near complete authority over all personnel assigned to the project.

Which of the following is the first step in the project closing phase?

Turn the project deliverables over to the customer. Correct! The first step in the project closing phase is to turn the project deliverables over to the customer.

One of the major _______ that can be associated with a project is when the customer is unable to fully define the desired outcome of a project.

Uncertainties Correct. One of the major uncertainties that can be associated with a project is when the customer is unable to fully define the desired outcome of a project.

Which deliverable from a work breakdown structure (WBS) is not specific enough to measure its completion at project closure?

User training

A general contractor is managing a construction project that will add a new conference room to an existing office building. The project was documented in a fixed-price contract that specified a completion date. The contract includes a damages clause imposing a late completion penalty if the conference room is not ready for use by the due date. One month into the implementation, the customer wants to modify the room's lighting equipment. The requested change will delay the project's critical path by three months. Which process should be used to maintain the existing baseline?

Using a change management system to influence performance

The project manager is authorizing final payments on outstanding invoices and asks the project team to submit documentation to show whether all procured items have been received and match expected quality levels. What is this process an example of?

Vendor-closing checklist

Which of the following is an aspect of a project that must be assessed during the planning process to ensure that a project is a good match for traditional project management methods?

Volatility Correct. Volatility is an aspect of a project that must be assessed during the planning process to ensure that a project is a good match for traditional project management methods.

When using the ____________, senior management assigns a level of importance to each criterion which then assigns a value based on that level when calculating the total project score.

Weighted factor scoring model Correct. When using the weighted factor scoring model, senior management assigns a level of importance to each criterion which then assigns a value based on that level when calculating the total project score.

The Scope Management Plan documents how the scope will be initially developed, maintained during project execution, and verified at project closure. Choose which items will be done during scope planning. (Choose all that apply.)

You will open one restaurant. You will be done by October 31. Correct! When setting the scope of the project, you attempt to be very clear in setting boundaries that you can achieve during the project. Establishing a reasonable size like one restaurant or being done by a particular time is an important scope.

At the end of a project, the project manager documents the ____________ that provide valuable insights into what went well and what went poorly on similar projects.

lessons learned Correct! At the end of a project, the project manager documents the lessons learned that provide valuable insights into what went well and what went poorly on similar projects.

Examples of documenting ____________ include recording the different points of a project where rework was required and where additional resources were added.

lessons learned Correct! Examples of documenting lessons learned include recording the different points of a project where rework was required and where additional resources were added.

A decrease in the original ____________ may make it possible to increase the project scope and/or add materials or resources that make it possible to speed up the project schedule.

project costs Correct! A decrease in the original project costs may make it possible to purchase better quality materials and/or add resources that make it possible to speed up the project schedule.

Lessons learned from prior projects should be a primary source for use in the ____________ of a project.

project defining and project planning phases Correct! Lessons learned from prior projects should be a primary source for use in the defining and planning phases of a project.