Chapter 4 True/False

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A Gantt chart is the same as a project management plan.

f

A SWOT analysis, being a linear process, cannot be performed using the nonlinear mind mapping technique.

f

A project charter typically does not authorize the project manager to use organizational resources to complete the project.

f

An organization should consider only projects with a negative NPV if financial value is a key criterion for project selection.

f

An organization's information technology project selection process should guide the strategic plan.

f

Corrective actions reduce the probability of negative consequences associated with project risks, while preventive actions should result in improvements in project performance.

f

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

t

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

t

Change requests are always made in writing.

t

In project integration management, directing and managing project execution involves carrying out the project management plan by performing the activities included in it.

t

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

t

NPV analysis is a method for making equal comparisons between cash flows for multi-year projects.

t

Organizational process asset updates are an important output of the closing process of a project.

t

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

t

Projects that arise as a result of problems and directives must be resolved quickly to avoid hurting an organization's business.

t

The introduction or overview of a project must only include a list of definitions and acronyms.

f

Some organizations initiate projects using a contract in place of a project charter.

t

Interface management involves identifying and managing the points of interaction between various elements of a project.

f

It is necessary that IT project managers have prior technical experience in creating and managing IT products.

f

Opportunities and directives are essentially the same thing.

f

Project integration management must occur just within the context of a particular project.

f

Projects that address broad organizational needs are likely to fail.

f

The ROI is always positive.

f

The number of interfaces in a single project is limited, and does not depend on the number of people involved in the project.

f

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

f


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