Chapter 4

________insures that the descriptions of projects products are correct and complete.

CONFIGURATION MANAGEMENT-- integrated change control -- integration management -- a change control Board

configuration management

a process that ensures that the description of the project's products are correct and complete

18 After top management decides on which projects to pursue, it needs to create and distribute documentation to authorize project initiation. This documentation can take many forms, but one common form is the ________.

a project management plan -- PROJECT CHARTER-- scope statement -- team contract

return on investment (ROI)

benefits minus costs divided by costs

cash flow

benefits minus costs or income minus expenses

discount factor

multiplier for each year based on the discount rate and the year

baseline

the approved project plan plus approved changes

required rate of return

the minimal acceptable rate of return on investment

discount rate

the rate used in discounting cash flow; also called the capitalization rate or the opportunity cost of capital

if estimates total discount it benefit for projects are $120,000 and a total discounted costs are $100,000, what is the estimated return on investment (ROI)?

$40,000 -- $120,000 -- TWENTY PERCENT -- 120%

Project charter

a document that formally recognizes the existence of a project and provides direction on the project objectives and management

project management plan

a document that use used to coordinate all project planning documents and guide project execution and control

weighted scoring model

a technique that provides a systematic process for basic projects of action or numerous criteria

mind mapping

a technique that uses branches radiate out from a core idea to structure thoughts and ideas with her on a

5 ________ management involves identifying and managing the points of interaction between various elements of the project.

configuration -- INTERFACE -- integration --scope

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

configuration management -- a change control board -- INTEGRATED CHANGE MANAGEMENT -- a change control system

13 In net present value (NPV) analysis, the ________ is a multiplier for each year based on the discount rate and year.

cost of capital -- DISCOUNT FACTOR-- cash flow-- discount rate

8 One method for selecting projects based on broad organizational needs is to determine whether they first meet three important criteria: need, ________, and will.

costs -- quality -- schedule -- FUNDING

10 An organization should consider only projects with a positive ________ if financial value is a key criterion for project selection.

payback analysis-- cost of capital -- NET PRESENT VALUE--cash flow

11 Which of the following describes benefits minus costs or income minus expenses?

payback analysis-- cost of capital -- net present value --CASH FLOW

a new government law requires an organization report data in a new way. Under which category with eight new information system project to provide this day the fall?

problem -- opportunity -- DIRECTIVE -- regulation

9 It is often easier to get approval and funding for projects that address ________ because the organization must respond to these categories of projects to avoid hurting their business.

problems opportunity -- opportunities or directives-- PROBLEMS OR DIRECTIVES-- problems, opportunities, and directives

Project integration management

processes that coordinate all project management knowledge areas through out the life of the project, including developing the project charter, developing the preliminary project scope statement, developing the project management plan, directing and managing the project, monitoring and controlling the project, we providing integrated change control, and closing the project

what tool and technique is used for all of the other project management processes

project management software -- templates -- EXPERT JUDGEMENT-- all of the above

which of the following processes is not part of Project integration management

DEVELOPING A PROJECT BUSINESS CASE -- develop the project charter -- develop the project management plan -- close the project or phase

3 Which of the following primary processes of integration management involves carrying out the project management plan by performing the activities included in it?

Monitoring and controlling the project work -- DIRECTING AND MANAGING PROJECT EXECUTION --performing integrated change control -- developing the preliminary project scope state and

A___________- is a document that formally recognizes the existence of a project and provide direction on the project objectives and management.

PROJECT CHARTER-- contract -- business case -- Project management plan

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

Scope--quality -- INTEGRATION -- time

16 A ________ is a tool that provides a systematic process for selecting projects based on many criteria. These criteria can include factors such as meeting broad organizational need or addressing problems, opportunities, or directives.

WEIRHTED SCORING MODEL -- discount rate -- balanced scorecard --change control board

which of the following is not a best practice for selecting product development projects?

align projects and resources with business strategy -- focus on customer needs when identify projects -- assign project managers to lead projects--SELECT PROJECTS THAT WILL TAKE LESS THAN TWO YEARS TO PROVIDE PAYBACK

SWOT analysis

analyzing Strengths, Weaknesses, Opportunities, Threats; use to aid in strategic planning

net present value analysis

and method of calculating the expected net monetary gain or loss from a project by discounting all expected future cash flows and outflows to the present point in time

balanced scorecard

and methodology that converts an organization's value drivers into a series of define metrics

12 Which of the following is also called the capitalization rate or opportunity cost of capital?

cash flow -- net present value -- DISCOUNT RATE-- discount factor

opportunities

chances to improve the organization

directives

new requirements posed by management, government, or some external influence

strategic planning

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

4 Which of the following primary processes of integration management involves overseeing activities to meet the performance objectives of the project?

developing a preliminary project scope statement -- directing and managing the project execution -- performing integrated change control -- MONITORING AND CONTROLLING THE PROJECTS WORK

organizational process assets

formal and informal plans, policies, procedures, guidelines, information systems, financial systems, management systems, lessons learned, and historic will information that can be used to influence of projects success

interface management

identifying and managing the points of interaction between various elements of the project

integrated change control

identifying, evaluating, and managing changes through out the project life cycle

change control Board (CCB)

informal group of people responsible for providing a rejecting changes on a project

what is the last stab at a four stage planning process for selecting information technology projects?

information technology strategy planning business area analyses -- mind mapping -- resource allocation

2 Which of the following primary processes of integration management involves identifying, evaluating, and managing changes throughout the project life cycle?

monitoring and controlling the project. -- capital in directing and managing project execution. -- PERFORMIND INTEGRATED CHANGE MANAGEMENT -- developing a project management plan

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

net present value -- RETURN ON INVESTMENT-- required rate of return -- internal rate of return

15 You can determine a project's ________ by finding what discount rate results in an NPV of zero for the project.

net present value -- return on investment -- required rate of return -- INTERNAL RATE OF RETURN

6 Which of the following 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?

project planning -- configuration management -- STRATEGIC PLANNING--Project integration management

19 A ________ consists of an approved project management plan plus approved changes.

scope statement -- Project charter -- BASELINE--weighted scoring model

7 After identifying strategic goals, the next step in the planning process for selecting information technology projects is to perform a ________.

swot analysis -- net present value analysis -- his stakeholder analysis --BUSINESS AREA ANALYSIS

payback period

the amount of time it will take to recoup, in the form of net cash influence inflows, the dollar total invested in a project

internal rate of return (IRR)

the discount rate that results in a net present value of zero for a project

which of the following items is not normally included in the project charter?

the name of the project manager -- budget information -- stakeholder signatures -- A GANTT CHART

opportunity cost of capital

the rate used in discounting future cash flow; also called the discount rate or capitalization rate

cost of capital

the return available by investing the capital elsewhere

Business Service Management (BSM) tools

tools that help track the execution of business process flows and expose how the state of supporting IT systems and resources is impacting and to add business process performance in real time

problems

undesirable situations that prevent the organization from achieving its goals

which of the following is not a suggestion for performing integrated change control?

use good configuration management -- MINIMIZE CHANGE-- establish a formal change control system -- view of project management as a process of constant communication and negotiation

17 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.

weighted scoring model -- IRR -- BALANCED SCORECARD--change control board