BUS128 (CH 1-4)

________ project teams should be used for urgent projects in which the nature of the work requires people working steadily from beginning to end. A. Dedicated B. Strong C. Projectized D. Weak E. Balanced

A. Dedicated Strong budget and time constraints and high stability of resource requirements imply more autonomy and authority that the project manager and the project team need to be successful. This translates into using a dedicated project team.

Which structure would be most appropriate for developing a new, highly innovative product that has strict time constraints? A. Dedicated project team B. Functional organization C. Weak matrix D. Balanced matrix E. Strong matrix

A. Dedicated project team A dedicated project team is separate from the rest of the parent organization and appropriate when the project is highly innovative and when there are budget and time constraints.

Which of the following represents the correct order of stages within the project life cycle? A. Defining, Planning, Executing, Closing B. Planning, Defining, Executing, Closing C. Closing, Planning, Defining, Executing D. Planning, Defining, Closing, Executing E. Executing, Defining, Planning, Closing

A. Defining, Planning, Executing, Closing A project life cycle passes sequentially through four stages: defining, planning, executing, and closing.

In which stage of the project life cycle are you more likely to find status reports, changes, and the creation of forecasts? A. Executing B. Defining C. Identifying D. Planning E. Closing

A. Executing You are more likely to find status reports, changes and the creation of forecasts in the executing stage of project life cycle.

Organization structures have a connection to projects. Which of the following is NOT true of project management structures? A. In selecting a management structure, the culture of the organization is not a huge consideration. B. They help determine who has most authority regarding managing the project. C. They appropriately balance the needs of both the parent organization and the project. D. They provide a framework for launching and implementing projects. E. The project itself should be considered when determining which structure is best.

A. In selecting a management structure, the culture of the organization is not a huge consideration. When determining which project management structure is most appropriate, organizational culture should be considered. There are often large differences in how projects are managed within certain firms even with similar structures. Researchers attribute this to organizational culture.

Projects are usually classified into all but one of the following categories. Which one is NOT one of the typical classifications? A. Political necessity B. Compliance and emergency C. Strategic D. Operational E. All of these are typical classifications.

A. Political necessity Many organizations find they have three different kinds of projects in their portfolio: compliance and emergency (must do), operational, and strategic projects.

Which of the choices listed below is NOT considered a project? A. Production of automobile tires B. Developing a new advertising program C. Designing a space station D. Developing a new software program E. Preparing the site for the Olympic Games

A. Production of automobile tires A project is not routine, repetitive work! Ordinary daily work typically requires doing the same or similar work over and over, while a project is done only once; a new product or service exists when the project is completed.

Which of the following cultural characteristics relates to the degree to which work activities are organized around groups rather than individuals? A. Team emphasis B. Managerial focus C. Control D. Member identity E. Unit integration

A. Team emphasis Team emphasis is the degree to which work activities are organized around groups rather than individuals.

Who is responsible for determining how tasks will be done in a weak matrix project management structure? A. The functional manager B. This is negotiated C. There is no rule established for who takes responsibility D. Both the functional manager and the project manager are responsible E. The project manager

A. The functional manager Matrix management is a hybrid organizational form in which a horizontal project management structure is "overlaid" on the normal functional hierarchy. In a matrix system, there are usually two chains of command, one along functional lines and the other along project lines. Instead of delegating segments of a project to different units or creating an autonomous team, project participants report simultaneously to both functional and project managers.

Contrary to on-going duties and responsibilities of customary jobs, projects have a defined endpoint. A. True B. False

A. True A "traditional" job means doing something for an organization over an entire career, versus doing variations of something for individual efforts with a defined start and end. For example, you could be a welder for a company as a traditional job, or you can be a contract welder that moves in-between projects for different organizations.

The project charter provides the project manager with written authority to use organizational resources for project activities. A. True B. False

A. True A project charter refers to a document that authorizes the project manager to initiate and lead the project.

Specific time, cost, and performance requirements are among the characteristics that separate project management from other endeavors of the organization. A. True B. False

A. True Major characteristics are specific time, cost, and performance requirements.

The intersection of work packages and the organizational unit creates a project control point called a cost account. A. True B. False

A. True The intersection of work packages and the organizational unit creates a project control point (cost account) that integrates work and responsibility.

In a balanced matrix form of project management, the project manager is responsible for defining what needs to be accomplished while the functional managers are concerned with how it will be accomplished. A. True B. False

A. True The merger of "what and how" requires both parties to work closely together and jointly approve technical and operational decisions.

The sociocultural dimension of project management includes managing relationships, motivating team members, and negotiating project terms. A. True B. False

A. True The sociocultural dimension of project management includes managing relationships, motivating team members and negotiating project terms. See Figure 1.3: The Socio-Technical Dimensions of the Project Management Process.

One way to offset the influence of politics on project management within an organization is to have a well-defined project selection model. A. True B. False

A. True Top management needs to develop a system for identifying and selecting projects that reduces the impact of internal politics and fosters the selection of the best projects for achieving the mission and strategy of the firm.

Unit integration is the cultural characteristic that refers to the degree to which units within the organization are encouraged to operate in a coordinated or interdependent manner. A. True B. False

A. True Unit integration is the degree to which units within the organization are encouraged to operate in a coordinated or interdependent manner.

The hierarchical work breakdown structure provides management with information appropriate to each level. A. True B. False

A. True For example, top management deals primarily with major deliverables, while first-line supervisors deal with smaller sub-deliverables and work packages.

There is a strong correlation between project success and clear project scope definition. A. True B. False

A. True Research clearly shows that a poorly defined scope or mission is a frequently mentioned barrier to project success.

Which of the following PMO types would address questions like 'How are our projects progressing? Which ones are on track? Which ones are not? How are we doing in terms of cost? Which projects are over budget?' A. Weather station. B. Control tower. C. Resource pool. D. Command and control center. E. 911 call center.

A. Weather station. The weather station PMO answered questions like the following for specific projects: How are our projects progressing? Which ones are on track? Which ones are not? How are we doing in terms of cost? Which projects are over budget?'

An expected output over the life of a project would be classified as A. a deliverable. B. a product. C. a target. D. an objective. E. an end object.

A. a deliverable. Major deliverables are the expected outputs over the life of the project.

"To construct a high-quality, custom home within five months at costs not to exceed $150,000" is best classified as A. an objective. B. a limit. C. a deliverable. D. an exclusion. E. a milestone.

A. an objective. The first step of project scope definition is to define the overall objective to meet your customer's need(s). For example, as a result of extensive market research a computer software company decides to develop a program that automatically translates verbal sentences in English to Russian. The project should be completed within three years at a cost not to exceed $1.5 million. The objective answers the questions what, when and how much.

Examples of nonfinancial criteria include all of the following EXCEPT A. calculating the time it will take to recover the project investment. B. making it difficult for competitors to enter the market. C. reducing dependency on unreliable suppliers. D. preventing government intervention and regulation. E. capturing a larger market share.

A. calculating the time it will take to recover the project investment The payback model measures the time it will take to recover the project investment. It is considered a financial criterion.

After reviewing the project scope statement, the owner specifies that costs MUST stay within $400,000. This criterion is classified as A. constrained. B. fixed. C. limited. D. accepted. E. enhanced.

A. constrained. The original parameter is fixed. The project must be completed for $400,000 or less; therefore, cost is constrained.

Organization ________ refers to a system of shared norms, beliefs, values, and assumptions which bind people together, thereby creating shared meanings. A. culture B. personality C. governance D. mission E. values

A. culture Organizational culture refers to a system of shared norms, beliefs, values, and assumptions which binds people together, thereby creating shared meanings.

The approach to project management that uses the existing hierarchy of the organization to manage projects is ___________ organization and it uses no overlaid structure. A. functional B. projectized C. balanced matrix D. weak matrix E. dedicated project team

A. functional One approach to organizing projects is to simply manage them within the existing functional hierarchy of the organization. Once management decides to implement a project, the different segments of the project are delegated to the respective functional units with each unit responsible for completing its segment of the project.

The arrangement that manages projects within the existing organizational structure is __________ organization. A. functional B. projectized C. weak matrix D. balanced matrix E. strong matrix

A. functional One approach to organizing projects is to simply manage them within the existing functional hierarchy of the organization. Once management decides to implement a project, the different segments of the project are delegated to the respective functional units with each unit responsible for completing its segment of the project.

Two of the major disadvantages of the ________ organizational approach are that projects may lack focus and it can take longer to complete projects. A. functional B. dedicated project team C. strong matrix D. projectized E. weak matrix

A. functional These disadvantages are particularly pronounced when the scope of the project is broad and one functional department does not take the dominant technological and managerial lead on the project.

In a(n) ________ system, there are usually two chains of command, one along functional lines and the other along project lines. A. matrix B. unified C. functional D. projectized E. dedicated project team

A. matrix Matrix management is a hybrid organizational form in which a horizontal project management structure is "overlaid" on the normal functional hierarchy.

The management system that spans the lifetime of the project is called the ____. A. phase gate model B. lifetime phase exit model C. project lifetime model D. lifetime cycle model E. lifetime model

A. phase gate model A structure is needed to manage each project over its lifetime. That structure is the phase gate model.

A high level of motivation and the tendency for projects to get done more quickly are benefits of using the ________ organizational approach to project management. A. projectized B. dedicated project team C. weak matrix D. functional E. strong matrix

A. projectized A high level of motivation and cohesiveness often emerges within the project team. Participants share a common goal and personal responsibility toward the project and the team.

A project team that operates with a full-time project manager as a separate unit from the rest of the organization is structured using ________ organization. A. projectized B. balanced matrix C. strong matrix D. functional E. weak matrix

A. projectized Instead of one or two special projects, the organization consists of sets of quasi-independent teams working on specific projects. The main responsibility of traditional functional departments is to assist and support these project teams. This type of organization is referred to in the literature as a Projectized Organization.

Firms where projects are the dominant form of business and the entire organization is designed to support project teams are usually structured as a(n) _________ organization. A. projectized B. weak matrix C. functional D. dedicated project team E. strong matrix

A. projectized Instead of one or two special projects, the organization consists of sets of quasi-independent teams working on specific projects. This type of organization is referred to in the literature as a projectized organization.

A project does not include A. repetitive, same or similar work. B. a specific objective. C. developing a new process. D. unique elements.

A. repetitive, same or similar work. Repetitive work means that the solution has been made for "operational work", meaning that it can be repeated with a non-specialized skill set.

A matrix in which the balance of authority is strongly on the side of the project manager is described as __________. A. strong B. projectized C. functional D. weak E. dedicated project team

A. strong When the dominant organization culture inhibits collaboration and innovation, it is advisable to insulate the project team from the dominant culture. Here it becomes necessary to create a self-sufficient project team. If a dedicated project team is impossible because of resource constraints, then at least a project matrix should be used where the project manager has dominant control over the project. In both cases, the managerial strategy is to create a distinct team subculture where a new set of norms, customs, and values evolve that will be conducive to project completion.

Which of the following is true of multi-weighted scoring models? A. Projects with higher scores are considered more desirable. B. All of these are true. C. Will include qualitative criteria. D. Each criterion is assigned a weight. E. Will include quantitative criteria.

B. All of these are true. A weighted scoring model typically uses several weighted selection criteria to evaluate project proposals. Weighted scoring models will generally include qualitative and/or quantitative criteria. Each selection criterion is assigned a weight. Scores are assigned to each criterion for the project, based on its importance to the project being evaluated. The weights and scores are multiplied to get a total weighted score for the project. Using these multiple screening criteria, projects can then be compared using the weighted score. Projects with higher weighted scores are considered better.

Which of the following cultural characteristic relates to the degree to which rules, policies, and direct supervision are used to oversee and control employee behavior? A. Team Emphasis B. Control C. Managerial focus D. Member identity E. Unit integration

B. Control Control is the cultural characteristic that relates to the degree to which rules, policies, and direct supervision are used to oversee and control employee behavior.

An activity that represents a major segment of work is a good example of a milestone. A. True B. False

B. False A milestone is a significant event in a project that occurs at a point in time. The start or completion of an activity can represent a milestone, but not the activity itself. A milestone does not consume time.

An expected output over the life of a project would be classified as a target. A. True B. False

B. False An expected output over the life of a project would be classified as a deliverable.

If the project time should be accepted, then the project must be completed on time. A. True B. False

B. False If the project time should be accepted, then it will be tolerated if project completion time must be extended.

Process breakdown structures are used when the size and the scope of the project do not warrant an elaborate WBS or OBS. A. True B. False

B. False It is more difficult to apply WBS to less tangible, process-oriented projects in which the final outcome is a product of a series of steps or phases. Some practitioners choose to utilize a process breakdown structure for these projects.

Objectives should be specific, marketable, assignable, realistic, and time related. A. True B. False

B. False Objectives should be specific in targeting an objective. They should establish a measurable indicator(s) of progress. Make the objective assignable to one person for completion and state what can realistically be done with available resources. It should also be stated when the objective can be achieved.

One of the most significant driving forces behind the demand for project management is the ever increasing lengthening of the product life cycle. A. True B. False

B. False One of the most significant driving forces behind the demand for project management is the shortening of the product life cycle.

Responsibility matrices are used primarily with small and medium-sized projects and have limited use in large projects. A. True B. False

B. False One tool that is widely used by project managers and task force leaders of small projects is the responsibility matrix (RM). The RM (sometimes called a linear responsibility chart) summarizes the tasks to be accomplished and who is responsible for what on a project. More complex RMs can extend the WBS/OBS to help provide a clear and concise method for depicting responsibility, authority and communication channels even for larger projects.

Generally, people working on several projects at the same time are more efficient than people working full-time on one project. A. True B. False

B. False People working on several tasks concurrently are far less efficient, especially where conceptual or physical shutdown and startup are significant. Multitasking adds to delays and costs.

A Process Breakdown Structure is a replacement for the Work Breakdown Structure for projects with tangible outcomes. A. True B. False

B. False Process Breakdown Structures are best suited for efforts that are more process oriented without specific, tangle outcomes e.g. building an information system).

For large companies, the organization breakdown structure is used rather than the work breakdown structure. A. True B. False

B. False The WBS is used to link organizational units responsible for performing the work. The OBS does not replace the WBS.

The fact that a new home being built must meet local building codes is an example of a limit and exclusion. A. True B. False

B. False The fact that a new home being built must meet local building codes is an example of a technical requirement.

Intermittent and infrequent scanning of the external environment is required when managing organization strategy. A. True B. False

B. False Two major dimensions of strategic management are responding to changes in the external environment and allocating scarce resources of the firm to improve its competitive advantage. Constant scanning of the external environment for changes is a major requirement for survival in a dynamic competitive environment.

Multi-weighted scoring models include only quantitative criteria, not qualitative. A. True B. False

B. False Weighted scoring models will generally include qualitative and/or quantitative criteria.

The use of "acceptance criteria" only refers to projects with external customers who are paying for the project. A. True B. False

B. False Completion of the scope checklist ends with acceptance criteria—internal or external in which acceptance criteria are applied. The main concern here is the understanding and agreement of expectations between the contractor and the customer. A review with the customer must take place regardless of whether that customer is an internal one or an external customer.

Integrating a project's work packages within the organization's management structure is known as work breakdown structure. A. True B. False

B. False Integrating a project's work packages within the organization's management structure is known as organizational breakdown structure.

Which of the following is NOT one of the stages of a project life cycle? A. Closing B. Identifying C. Executing D. Planning E. Defining

B. Identifying A project life cycle passes sequentially through four stages: defining, planning, executing and closing.

Which of the following is a disadvantage of a projectized organization? A. Lack of focus on the project B. It is expensive C. Poor integration D. High complexity E. Longer project duration

B. It is expensive Disadvantages of organizing projects as dedicated project teams are that it is expensive, internal strife can occur, limited technological expertise, and difficult post-project transition.

Which of the following is NOT true regarding organizing projects within a matrix arrangement? A. There are usually two chains of command. B. Its flexibility supports a strong project focus that helps alleviate stress among project team members. C. It is a hybrid form of organization that combines characteristics of both dedicated project teams and functional organization. D. Provides a dual focus between functional/technical expertise and project requirements that is missing in either the project team or the functional approach. E. It is designed to optimally utilize resources by having individuals work on multiple projects as well as being capable of performing normal functional duties.

B. Its flexibility supports a strong project focus that helps alleviate stress among project team members. It is true that a matrix arrangement supports a stronger project focus; however, this arrangement is also very stressful for team members due to the fact that they are reporting to two managers.

One of the defining characteristics of a project is that it has a singular purpose, i.e., an established _____. A. Purpose B. Objective C. Mission D. Vision E. Goal

B. Objective Projects have a defined objective—whether it is constructing a 12-story apartment complex by January 1 or releasing version 2.0 of a specific software package as quickly as possible.

________ translate the organization's strategy into specific, concrete, and measurable terms. A. Vision statements B. Objectives C. Mission statements D. Goals E. Lessons learned

B. Objectives Objectives translate the organization strategy into specific, concrete, measurable terms. Organizational objectives set targets for all levels of the organization.

Which of the following is NOT typical of a project manager? A. Responsible for time, cost, and performance trade-offs B. Overseeing existing operations C. Managing a nonrepetitive activity D. Work with a group of outsiders, including vendors and suppliers E. Managing a temporary activity

B. Overseeing existing operations Project managers manage temporary, non-repetitive activities unlike functional managers who manage existing operations.

In which stage of the project life cycle is the project's schedule and budget determined? A. Executing B. Planning C. Defining D. Closing E. Identifying

B. Planning The schedule and budget are determined in the planning stage of project life cycle.

The assessment of the external and internal environments is called _______ analysis. A. Strategic B. SWOT C. Competitive D. Industry E. Market

B. SWOT The keys are to attempt to forecast fundamental industry changes and stay in a proactive mode rather than a reactive one. This assessment of the external and internal environments is known as the SWOT analysis (strengths, weaknesses, opportunities, and threats).

In classifying the kinds of projects an organization has in its portfolio, projects that directly support the organization's long-term mission are ________ projects. A. Sacred cow B. Strategic C. Conformance D. Operational E. Compliance (must do)

B. Strategic Strategic projects are those that directly support the organization's long-run mission. They frequently are directed toward increasing revenue or market share.

The two dimensions within project management processes are A. Cost and time. B. Technical and sociocultural. C. Established and new. D. Unique and reoccurring. E. Planned and unexpected.

B. Technical and sociocultural. There are two dimensions within the actual execution of projects. These include the technical dimension and the sociocultural dimension.

You have just been given a project that has a specific completion date. After a discussion with top management you find that while the date is important the cost is more important and a slip in delivery would be acceptable if required to meet the cost targets. The completion date is best classified as A. limited. B. accepted. C. reduced. D. constrained. E. optional.

B. accepted. For which criterion is it tolerable or acceptable not to meet the original parameters? When trade-offs have to be made, is it permissible for the schedule to slip, to reduce the scope and performance of the project, or to go over budget? In this incident cost is constrained and the date will be accepted.

The establishment of project goals, specifications, and responsibilities usually occurs in the _____ stage of project life cycle. A. conceptual B. defining C. closing D. executing E. planning

B. defining Specifications of the project are defined; project objectives are established; teams are formed; major responsibilities are assigned during the defining stage of project life cycle.

Taking advantage of opportunities to reduce costs or accelerate the schedule are examples of project criteria classified as ____________. A. constrained B. enhanced C. unchangeable D. static E. accepted

B. enhanced In the case of time and cost, this usually means taking advantage of opportunities to either reduce costs or shorten the schedule. Conversely, with regard to performance, enhancing means adding value to the project.

In reviewing the project plan, a project professional sees that the first prototype must be completed by October 12. This would be best classified as a A. critical goal. B. milestone. C. project target. D. limit item. E. project objective.

B. milestone. A milestone is a significant event in a project that occurs at a point in time. The milestone schedule shows only major segments of work; it represents first, rough-cut estimates of time, cost, and resources for the project.

Significant events in a project that occur at a specific point in time, are natural control points, and are easily recognized by project participants are known as ___________. A. activities B. milestones C. tasks D. due dates E. kill points

B. milestones A milestone is a significant event in a project that occurs at a point in time. The milestone schedule shows only major segments of work; it represents first, rough-cut estimates of time, cost, and resources for the project.

The financial model that measures the time it will take to recover the project investment is the __________ model. A. recovery B. payback C. investment D. threshold E. break through

B. payback The payback model measures the time it will take to recover the project investment. Shorter paybacks are more desirable. Payback is the simplest and most widely used model.

A project manager is considering how to structure a project team that will not directly disrupt ongoing operations. The project needs to be done quickly and a high level of motivation will be needed in order to do that. For this situation, the ______ organization would be the best choice. A. weak matrix B. projectized C. functional D. strong matrix E. balanced matrix

B. projectized In many cases, the project team approach is the optimum approach for completing a project when you view it solely from the standpoint of what is best for completing the project.

The initial investment on a project is $180,000. What would the payback period be on this project if cash inflows are $20,000 in Year 1, $80,000 in Year 2, $60,000 in Year 3, $20,000 in Year 4, and $15,000 in Year 5? A. 3 years B. 1 year C. 4 years D. 2 years

C. 4 years

Training the customer, releasing staff and resources occurs in the _____ stage of project life cycle. A. Conceptual B. Planning C. Closing D. Executing E. Defining

C. Closing The closing stage includes three activities: delivering the project product to the customer, redeploying project resources, and post-project review. Delivery of the project might include customer training and transferring documents.

In classifying the kinds of projects an organization has in its portfolio, projects that are typically those needed to meet regulatory conditions required to operate in a region are ___________ projects. A. Conformance B. Operational C. Compliance (must do) D. Strategic E. Sacred cow

C. Compliance (must do) Compliance projects are typically those needed to meet regulatory conditions required to operate in a region; hence, they are called "must do" projects.

In which stage of the project life cycle are project objectives established, teams formed, and major responsibilities assigned? A. Executing B. Closing C. Defining D. Planning E. Identifying

C. Defining Specifications of the project are defined; project objectives are established; teams are formed; major responsibilities are assigned in the defining stage.

Which of the following is NOT a disadvantage of organizing projects within a matrix arrangement? A. Infighting. B. Longer project duration. C. Expensive. D. Stressful. E. Dysfunctional conflict between functional managers and project managers.

C. Expensive Dysfunctional conflict, infighting, stressful situations, and longer project duration are all disadvantages of organizing projects within a matrix arrangement. High cost is a disadvantage of dedicated project teams.

Which of the following is NOT one of the characteristics of effective objectives? A. Realistic B. Assignable C. Flexible D. Measurable E. Specific

C. Flexible Characteristics of effective objectives are that they are specific, measurable, assignable, realistic and related to time.

Which of the following is NOT true for strategic management? A. It supports consistency of action at every level of the organization. B. It involves responding to changes in the external market and allocating scarce resources to improve a competitive position. C. It should be done once every few years just before developing the operating plan. D. It positions the firm to meet the needs of its customers. E. It develops an integrated and coordinated long-term plan of action.

C. It should be done once every few years just before developing the operating plan. Two major dimensions of strategic management are responding to changes in the external environment and allocating scarce resources of the firm to improve its competitive position. Constant scanning of the external environment for changes is a major requirement for survival in a dynamic competitive environment.

Which of the following cultural characteristics relates to the degree to which employees identify with the organization as a whole rather than with their type of job or field of professional expertise? A. Unit integration B. Managerial focus C. Member identity D. Control E. Team emphasis

C. Member identity Member identity is the degree to which employees identify with the organization as a whole rather than with their type of job or field of professional expertise.

The WBS is best suited for projects that have a tangible outcome. Which of the following is used when the final outcome of the project is less tangible or is a product of a series of steps or phases? A. Priority matrix B. Responsibility matrix C. Process breakdown structure D. Organization breakdown structure E. A work breakdown structure is still effective for these types of projects.

C. Process breakdown structure Process projects are driven by performance requirements and not plans or blueprints. Some practitioners choose to utilize what we refer to as a process breakdown structure (PBS) instead of the classic WBS.

Which of the following activities is the best example of a project? A. Overseeing customer requests B. Monitoring product quality C. Writing a policy manual D. Processing insurance claims E. Producing automobiles

C. Writing a policy manual A project is not routine, repetitive work! Ordinary daily work typically requires doing the same or similar work over and over, while a project is done only once; a new product or service exists when the project is completed.

Within any project, the first step of project scope definition is to A. analyze the current budget plan. B. analyze the strategic plan. C. define the overall objective to meet the customer's needs. D. meet with team members. E. select team members.

C. define the overall objective to meet the customer's needs. The first step of project scope definition is to define the overall objective to meet your customer's need(s). The project objective answers the questions of what, when, and how much.

No radical alteration in the design or operation of the parent organization is a major advantage of __________ organization. A. strong matrix B. projectized C. functional D. weak matrix E. dedicated project team

C. functional Once management decides to implement a project, the different segments of the project are delegated to the respective functional units with each unit responsible for completing its segment of the project. No change in the design or operation of the parent organization is a major advantage to a functional organization.

Jack's organization has many projects ongoing concurrently. He finds himself starting and stopping work on one task to go and work on another task, and then return to the work on the original task. Jack is experiencing A. poor scheduling. B. excess work burden. C. multitasking. D. flexible tasking. E. burnout.

C. multitasking Resource sharing also leads to multitasking. Multitasking involves starting and stopping work on one task to go and work on another project, and then returning to the work on the original task. People working on several tasks concurrently are far less efficient, especially where conceptual or physical shutdown and startup are significant.

A technology firm has assigned a project manager for each of the five new-product teams. The managers, as well as the project team members, work on the projects on a full-time basis. The structure being used is ________ organization. A. balanced matrix B. functional C. projectized D. strong matrix E. weak matrix

C. projectized Instead of one or two special projects, the organization consists of sets of quasi-independent teams working on specific projects.

The definition of the end result or mission of your project, or what you expect to deliver to your customer when the project is complete is the project ___________. A. product B. bill or invoice C. scope D. test E. lessons learned

C. scope Your project scope should define the results to be achieved in specific, tangible, and measurable terms.

The ________ matrix form of project organization is likely to improve technical quality as well as provide a better system for managing conflict across projects because the functional manager assigns personnel to different projects. A. strong B. balanced C. weak D. projectized E. unified

C. weak The weak matrix most closely resembles functional organization. The project manager basically acts as a staff assistant who draws the schedules and checklists, collects information on status of work, and facilitates project completion. This is likely to improve technical quality as well as provide a better system for managing conflict across projects because the functional manager assigns personnel to different projects.

A five-year project has a projected net cash flow of $15,000, $25,000, $30,000, $20,000, and $15,000 in the next five years. It will cost $50,000 to implement the project. If the required rate of return is 20 percent, conduct a discounted cash flow calculation to determine the NPV. A. $11,895 B. $14,895 C. $13,895 D. $12,895

D. $12,895

Which of the following items has to do with conditions that must be met before the deliverables are accepted? A. Deliverables B. Milestones C. Technical requirements D. Acceptance criteria E. Limits and exclusions

D. Acceptance criteria Acceptance criteria are a set of conditions that must be met before the deliverables are accepted. Those criteria might include third party certification, customer on-site inspection, or all milestones and deliverables are complete.

In order to formulate strategies that align with the mission, some of the activities the organization will need to perform are A. examine the external environment. B. assess internal strengths and weaknesses. C. know their core competencies. D. All of these should be considered when formulating strategies. E. analyze competitors.

D. All of these should be considered when formulating strategies Strategy formulation includes assessment of the internal and external environments.

In which stage of the project life cycle is the product of the project delivered to the customer and resources are released from the project? A. Identifying B. Planning C. Executing D. Closing E. Defining

D. Closing The product is delivered and project resources are reassigned in the closing stage of the project life cycle.

Which of the following is a good example of a program? A. Planting a garden B. Planning a wedding C. Taking notes each class meeting to prepare for the final D. Developing a new residential area that includes six custom homes E. Developing a new marketing plan

D. Developing a new residential area that includes six custom homes A program is a group of related projects designed to accomplish a common goal over an extended period of time.

In which stage of the project life cycle is a major portion of the actual project performed? A. Planning B. Identifying C. Defining D. Executing E. Closing

D. Executing A major portion of the project work takes place—both physical and mental—in the executing stage.

Which of the choices listed below is NOT considered to be a characteristic of a project? A. A clear beginning and end B. Something never been done by a particular company before C. An established objective D. For internal use only E. Specific time, cost, and performance requirements

D. For internal use only Projects have an established objective, a defined life span, the involvement of several departments and professionals, is something that has never been done before, and have specific time, cost and performance requirements.

Which of the following problems refers to lack of understanding and consensus of organization strategy among top and middle-level managers? This also can result when top management formulates strategy and leaves implementation to functional managers. A. Resource conflicts B. Organization politics C. Employee turnover D. Implementation gap E. Multitasking

D. Implementation gap The implementation gap refers to the lack of understanding and consensus of organization strategy among top and middle-level management.

________ change infrequently and may require revision only when the nature of the business changes or shifts. A. Lessons learned B. Goals C. Objectives D. Mission statements E. Vision statements

D. Mission statements Mission statements change infrequently; however, when the nature of the business changes or shifts, a revised mission statement may be required.

Which of the following is NOT true about an organization's strategy? A. Project selection should be clearly aligned with strategy. B. Project management plays a key role in supporting strategy. C. Strategy is implemented through projects. D. Only top management must understand strategy. E. Strategy determines how an organization will compete.

D. Only top management must understand strategy Strategy was considered to be under the purview of senior management, but this is old school thinking. Projects and project management play a key role in supporting strategic goals. It is vital for project managers to think and act strategically.

In classifying the kinds of projects an organization has in its portfolio, projects that are typically needed to support current operations are _________ projects. A. Strategic B. Compliance (must do) C. Sacred cow D. Operational E. Conformance

D. Operational Operational projects are those that are needed to support current operations. These projects are designed to improve efficiency of delivery systems, reduce product costs, and improve performance.

Why do project managers need to understand their organization's mission and strategy? A. To reduce project duration and increase the number of projects implemented B. It is only important for senior management to understand the organization's mission and strategy C. So that they can make sure the customer is satisfied D. So they can make appropriate decisions and adjustments and be effective project advocates E. To get their job done and increase opportunities for promotion

D. So they can make appropriate decisions and adjustments and be effective project advocates There are two main reasons why project managers need to understand their organization's mission and strategy. The first reason is so they can make appropriate decisions and adjustments. For example, how a project manager would respond to a suggestion to modify the design of a product to enhance performance will vary depending upon whether his company strives to be a product leader through innovation or to achieve operational excellence through low cost solutions. The second reason project managers need to understand their organization's strategy is so that they can be effective project advocates. Project managers have to be able to demonstrate to senior management how their project contributes to their firm's mission.

Agile project management involves _____ whereas traditional project management involves _____. A. high certainty, projects with unstable scope B. known and stable scope, unknown requirements C. projects with high predictability, project with unknown or unstable requirements D. iterative and incremental delivery, upfront planning with high predictability E. high uncertainty, projects with unknown requirements

D. iterative and incremental delivery, upfront planning with high predictability Agile project management, by its very nature, entails incremental delivery in which an iteration produces and delivers a new piece of functionality of the product to the customer. The incremental delivery takes place throughout the project. Traditional project management should be employed whenever project scope and technology are well known and stable implying predictability.

The project scope statement indicates that the client is responsible for training the people who will be using the equipment and that the project team will train the client's trainers. This is an example of A. deliverables. B. milestones. C. technical requirements. D. limits and exclusions. E. project objectives.

D. limits and exclusions. The limits of scope should be defined. Failure to do so can lead to false expectations and to expending resources and time on the wrong problem.

Any project life cycle is made up of stages. The project's schedule and budget will be determined in the _____ stage of the project life cycle. A. defining B. conceptual C. closing D. planning E. executing

D. planning During the planning stage, the level of effort increases, and plans are developed to determine what the project will entail, when it will be scheduled, whom it will benefit, what quality level should be maintained, and what the budget will be.

A technique that clearly establishes priorities with customers and top management so as to create shared expectations and avoid misunderstandings is developing a(n) ___________. A. responsibility matrix B. organization breakdown structure C. work breakdown structure D. project priority matrix E. process breakdown structure

D. project priority matrix One technique found in practice that is useful for this purpose is completing a priority matrix for the project to identify which criterion is constrained, which should be enhanced, and which can be accepted.

The ability of a 911 emergency system to identify the caller's phone number and location is considered to be a A. milestone. B. project limit. C. project exclusion. D. technical requirement. E. project deliverable.

D. technical requirement. More frequently than not, a product or service will have technical requirements to ensure proper performance.

Projects with high predictability are said to have _____. A. the best circumstances for use of agile project management B. unknown or unstable scope C. iterative and incremental delivery D. the best circumstances for use of traditional project management E. unknown or unstable requirements

D. the best circumstances for use of traditional project management Projects with high predictability should use the traditional method for project management.

Iterative and incremental delivery means _____. A. the entire project, product, or service is delivered all at once at the end of the project B. product functionality is delivered all at once at the end of the project C. the project documentation is completed and delivered after each milestone D. the components or features of the project, product, or service are delivered one at a time throughout the duration of the project E. the project uses the traditional method of project management

D. the components or features of the project, product, or service are delivered one at a time throughout the duration of the project The word 'delivery' refers to how the product is delivered to the customer. The agile project method delivers the product one piece at a time for the customer to review and does this throughout the project. This method of delivery accommodates a customer who does not know exactly what he wants but will know it when he sees it. The traditional project method delivers all of the product at the end of the project; there is no opportunity for feedback from the customer.

As the number of small projects increase within an organization's portfolio, what is a challenge an organization faces? A. Managing risk B. Sharing resources C. Measuring efficiency D. Prioritizing projects E. All of these are challenges

E. All of these are challenges Many firms have no idea of the problems that can result from inefficient management of small projects. These include sharing resources, measuring efficiency, managing risk and being able to prioritize projects.

When it comes to project prioritization, senior management is responsible for A. determining the priority of each project. B. developing a culture where everyone contributes to the goals of the organization. C. setting the course for the organization. D. directing the organization to a strong future position. E. All of the these choices are correct.

E. All of these choices are correct. Senior management has ultimate responsibility for prioritizing each and every project, for directing the organization to a strong future position, for developing a culture where everyone contributes to the goals of the organization.

A project life cycle is characterized as made up of stages. A major part of the project work, both physical and mental, takes place in the _____ stage of the project life cycle. A. Closing B. Defining C. Conceptual D. Planning E. Executing

E. Executing A major portion of the project work—both physical and mental—takes place during the executing stage of project life cycle.

Which of the following is NOT true when managing a portfolio system? A. It involves monitoring and adjusting criteria to reflect the strategic focus of the organization. B. It requires input from senior management. C. Within a small organization it can be managed by a small group of key employees. D. The qualities of a particular project are assessed within the context of existing projects. E. It does not require a constant effort.

E. It does not require constant effort. Managing a project portfolio system requires a constant effort in order to make sure selection criteria reflect the strategic focus of the organization.

A financial model that measures the current value of all cash inflows and outflows using management's minimum desired rate of return is known as the _________ model. A. Return on investment (ROI) B. Internal rate of return (IRR) C. Return on assets (ROA) D. Inflow/outflow E. Net present value (NPV)

E. Net present value (NPV) The net present value (NPV) model uses management's minimum desired rate of return (discount rate, for example, 20 percent) to compute the present value of all net cash inflows.

Which of these is NOT part of the "technical dimension" of project management? A. Work Break Down Structure (WBS) B. Status reports C. Schedules D. Budgets E. Problem solving

E. Problem solving The technical dimension includes developing the WBS, budgets, schedules and status reports. Problem solving would be a part of the sociocultural dimension.

A series of coordinated, related, multiple projects that continue over an extended time period and are intended to achieve a goal is known as a A. Crusade B. Campaign C. Strategy D. Venture E. Program

E. Program A program is a group of related projects designed to accomplish a common goal over an extended period of time.

Which of these is NOT part of the "sociocultural dimension" of project management? A. Leadership B. Negotiation C. Dealing with politics D. Managing customer expectations E. Resource allocation

E. Resource allocation The sociocultural dimension includes negotiation, managing customer expectations, leadership and dealing with politics. Resource allocation is part of the technical dimension of project management.

In making project trade-offs, a criterion that is allowed not to meet the original target, for example, allowing the schedule to slip, is classified as ___________. A. constrained B. unchangeable C. static D. enhanced E. accepted

E. accepted Questions to ask in regard to accept: For which criterion is it tolerable not to meet the original parameters? When trade-offs have to be made, is it permissible for the schedule to slip, to reduce the scope and performance of the project, or to go over budget?

When work packages are integrated with organizational units, a control point is created called a A. responsibility matrix. B. priority matrix. C. project overlap. D. work package. E. cost account.

E. cost account. The intersection of work packages and the organizational unit creates a project control point (cost account) that integrates work and responsibility.

When most of the project work can be done within a specified department and any coordination with other departments can be done easily through normal management channels, ___________ organization is most appropriate. A. balanced matrix B. projectized C. strong matrix D. weak matrix E. functional

E. functional The functional organization is also commonly used when, given the nature of the project, one functional area plays a dominant role in completing the project or has a dominant interest in the success of the project.

The ________ structure is designed to optimally utilize resources by having individuals work on multiple projects as well as being capable of performing normal functional duties. A. dedicated project team B. functional C. projectized D. unified E. matrix

E. matrix Instead of delegating segments of a project to different units or creating an autonomous team, project participants report simultaneously to both functional and project managers.

A weighted scoring model typically uses several weighted selection criteria to evaluate project proposals. An example of this would be a(n) ____________. A. weighted score B. project proposal C. selection criterion D. score multiplication E. project screening matrix

E. project screening matrix A weighted scoring model typically uses several weighted selection criteria to evaluate project proposals. Weighted scoring models will generally include qualitative and/or quantitative criteria. Each selection criterion is assigned a weight. Scores are assigned to each criterion for the project, based on its importance to the project being evaluated. The weights and scores are multiplied to get a total weighted score for the project. Using these multiple screening criteria, projects can then be compared using the weighted score. Projects with higher weighted scores are considered better.

The more autonomy and authority the project manager and project team need to be successful, the more appropriate a dedicated project team or a(n) ________ matrix structure is to manage the project. A. balanced B. projectized C. weak D. dedicated E. strong

E. strong A dedicated project team or a strong matrix is most appropriate when project consideration factors such as project size, strategic importance, and need for innovation are high.

In a SWOT analysis, strong competition, reduced product demand, and a maturing product life cycle are examples of external __________. A. weaknesses B. strengths C. opportunities D. targets E. threats

E. threats Examples of perceived external threats could be a slowing of the economy, a maturing life cycle, exchange rates, or government regulation.

Which are the three different matrix systems discussed in the text? A. Neutral, Weak, Strong B. Functional, Neutral, Projectized C. Balanced, Functional, Projectized D. Weak, Strong, Balanced E. Functional, Weak, Strong

In practice there are really different kinds of systems, depending on the relative authority of the project and functional managers. The text discusses the weak matrix, the balanced matrix and the strong matrix.