ch 4

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

false

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

weighted scoring model

Benefits minus costs is known as the ____________

cash flow

The first step in the planning process is _____________

to tie the information technology strategy to the organization's overall strategic plan

In a weighted scoring model, the sum of the weights of all the criteria must total ________________ percent

100

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

NPV, net present value

A(n) ________________ is a methodology that converts value drivers, such as customer service, innovation, operations efficiency, and financial performance, to a series of defined metics.

balanced scorecard

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

baseline

The ____________ stage of information technology planning outlines business processes that are central to achieving strategic goals and helps determine which ones could most benefit from information technology

business area analysis

The first step in determining the NPV is to _____________

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

_____________ involves working with stakeholders to create the document that formally authorizes a project.

developing the charter

A Gantt chart is the same as a project management plan

false

Opportunities and directives are essentially the same thing

false

________________ project work includes collecting, measuring, and disseminating performance information

monitoring

The _______________ is the minimum acceptable rate of return on an investment

required rate of return

Payback occurs when:

the net cumulative benefits equal the net cumulative costs

An IT company revises its process parameters in response to complaints from vendors that products were not ready on time. This would be an example of __________

a corrective action

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

change control board (CCB)

A(n) _____________ is a formal, documented process that describes when and how official project documents may be modified, the people authorized to make modifications, and the paperwork required for these changes.

change control system

______________ should result in improvements in project performance

corrective actions

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

cost of capital

Which of the following is a proactive process undertaken to reduce the probability of negative consequences associated with project risks

preventive actions

____________ refer to undesirable situations that prevent an organization from achieving its goals

problems

A _________________ is a document that recognized the existence fo a project and provides direction on the project's objectives and management

project charter

The ______________ section of the project management plan describes how to monitor project progress and handle changes.

project controls

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

project integration management

A ______________ is a document used to coordinate all project planning documents and help guide a project's execution and control

project mangement plan

In the ___________ stage of selecting information technology projects, organizations define project scope, benefits, and constraints.

project planning

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

false

The ___________ section of the project management plan describes specific methodologies a project might use and explains how to document information

technical processes

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

false

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

false

Many projects fail because of unclear requirements and expectations, so starting with a payback analysis makes a lot of sense

false

Projects that address broad organizational needs are likely to fail

false

The ROI is always positive

false

____________ refer to chances to improve the organization

opportunities

_________________ involves determining long-term objectives by analyzing the strengths and weaknesses, studying opportunities and threats, predicting future trends, and projecting the need for new products and services.

strategic planning

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

true

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

true

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

true

A project's internal rate of return can be determined by finding what discount rate results in an NPV of ____________ for the project

zero

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

false

_____________ involves identifying and controlling the functional and physical design characteristics of products and their support documentation, and ensures that the descriptions of the project's products are correct and complete.

configuration management

_______________ involves coordinating all planning efforts to create a consistent, coherent document.

developing the project management plan

____________ are new requirements imposed by mangement, government, or some external influence.

directives

The outputs of the _______________ process include changes request status updates, project management plan updates, and project document updates.

monitoring and controlling

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

net present value

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

organizational process assets

In project integration management, project ____________ and ___________ are intertwined and inseparable activities.

planning, execution

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

true

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

true

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

ROI, return on investment

A(n) ____________ involves analyzing a company's strengths, weaknesses, opportunities, and threats, and is used to aid in strategic planning

SWOT analysis

The project schedule information section of the project management plan includes _____________

an elaborate timetable

______________ are new requirements imposed by management, government, or some external influence.

directives

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

enterprise environmental

The majority of time on a project is usually spent on ________, as is most of the project's budget

execution

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

false

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

false

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

false

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

false

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

false

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

false

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

integrated change control

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

interface management

The ____________ is the discount rate that results in an NPV of zero for a project

internal rate of return (IRR)

Which of the following is true of return on investment or ROI?

it is always a percentage

Which of the following are organizational process assets?

management systems

_____________ is a technique that uses branches radiating from a core idea to structure thoughts and ideas

mind mapping

The ___________ section of the project plan should describe the major project functions and activities and identify those individuals who are in charge of them

project responsibilities

In the ________________ stage of selecting information technology projects, organizations select information technology projects.

resource allocation

The business case includes information on ___________

the project objective, high-level requirements, and time and cost goals

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

true

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

true

Change requests are always made in writing

true

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

true

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

true