Project Management Exam 1

Because project management has always focused on budget, schedule, and meeting specifications it is a discipline that has consistently delivered business value by building the right products Select one: True False

False

If your project only uses internal salaried employees you can consider their efforts free to the project. Select one: True False

False

Project managers face the same challenges that operational managers face? Select one: True False

False

The Lean Startup is an approach that eliminates waste so it is best used on known problems where optimizing existing processes is most important Select one: True False

False

Tiko and Camille's boss has a project in which the solution is a bit unclear. Tiko wants to use a waterfall approach and Camille wants to use the Agile approach. Which approach is best and why? a. Agile is best because it delivers partial solutions at regular intervals. b. Agile is best because the intervals flow from one step to the next. c. Waterfall is best because it uses iterations. d. Waterfall is best because it does not require a clearly defined project goal.

a. Agile is best because it delivers partial solutions at regular intervals.

After the plan is approved and project work begins, Tara's boss is not happy about a project delay for an upgrade. The vendor thought Tara's team would do the upgrade, and Tara thought the vendor would do it. What was missed in this situation? a. An assumption was not identified. b. A risk to the project was not identified. c. A deliverable was not identified. d. Success criteria were not defined for the upgrade deliverable.

a. An assumption was not identified.

The construction team is building a new design for their company and the market for the product is extremely unstable because of current interest rates. According to the site manager, a key to success will be to have an extremely accurate estimate of the resource needs for the project, especially because the company is resource constrained. Which type of duration estimating approach is the most accurate? Select one: a. Bottom-up estimating b. Parametric estimating c. Analogous estimating d. Fast tracking

a. Bottom-up estimating

The project manager always involves the team in the creation of the work breakdown structure. What is the most significant benefit derived from this approach? Select one: a. Buy-in from the team doing the work b. Establishment of the project manager's authority c. Generation of a more accurate schedule d. Generation of a more accurate budget

a. Buy-in from the team doing the work

You are assigned to a new data warehouse project and notice in the charter that there are four business units listed as sponsors. The data warehouse system has been discussed at your organization for some time, but it's everyone's first exposure to implementing one. Which of the following could present the biggest challenge on the project? Select one: a. Conflicting goals of the sponsors b. The implementation team c. Integrated change control d. The work breakdown structure (WBS)

a. Conflicting goals of the sponsors

Of the following, which is not an example of a project interacting with operations? Select one: a. Increasing rose bouquet production in anticipation of Mother's Day demand. b. Preparing the document center to utilize new imaging hardware and software. c. Retooling a factory to increase productivity efficiency. d. Opening a new call center.

a. Increasing rose bouquet production in anticipation of Mother's Day demand.

The project manager is creating an estimate for building a warehouse and distribution center. It is a project similar to those he executes about three times a year. He is using the rule of thumb per square foot to calculate the estimate. What type of estimate is this? Select one: a. Parametric b. Gut feel c. Analogous d. Bottom-up

a. Parametric

The project manager and the functional manager at the pharmaceutical company are having a discussion about the project to create a system to produce antibiotic and intravenous injection vials. The functional manager continually brings the discussion back to the costs of running the system and the length of time the system will be viable. Of the following, what best describes the functional manager's primary focus? Select one: a. Product life cycle b. Project management life cycle c. Program management life cycle d. Project life cycle

a. Product life cycle

The project to develop a proprietary custom support system for a major mortgage company is underway. This is the largest project E-TEK has ever undertaken and E-TEK is concerned about possible liability due to failure to meet the schedule or to perform the work in accordance with the agreement. E-TEK responds to these concerns by obtaining Professional Liability Insurance. Of the following, what best describes the type of risk response represented by this response? Select one: a. Risk transference, which avoids negative risk by transferring or reassigning responsibilities b. Risk avoidance, which avoids negative risk by taking actions to prevent it c. Risk acceptance, which accepts negative risk and has a plan to deal with it if it occurs d. Risk mitigation, which mitigates negative risk by taking actions to lessen its impact

a. Risk transference, which avoids negative risk by transferring or reassigning responsibilities

Both Chapter 1 and Chapter 6 identified crucial factors for success. Which of the following was NOT listed as one of the success factors? Select one: a. Selecting a qualified project manager b. Control over the scope of the project c. Agreement on the goals of the project d. Management support

a. Selecting a qualified project manager

To ensure that all the project work is considered, the project manager and his team create a bottom-up estimate. Of the following, which is not an advantage of creating such an estimate? Select one: a. The estimate takes a great amount of time to create b. The estimate provides supporting detail c. The estimate has a greater degree of accuracy than other estimates because of the detail d. The estimate provides team buy-in since the team is involved in its creation

a. The estimate takes a great amount of time to create

Of the following, which is the most comprehensive definition of a project? a. An initiative that has a specific purpose, creates specific results, and is temporary in nature. b. An initiative that has a specific purpose, creates specific results, has a definite start and end date, and is temporary c. A collaborative expertise that delivers a product, service, or result. d. An environment created to deliver a product, service, or result.

b. An initiative that has a specific purpose, creates specific results, has a definite start and end date, and is temporary

ORIGINAL NETWORK DIAGRAM: You are the project manager on a defense project and are creating a network diagram. Activity A (7 days) and Activity B (12 days) can start immediately. Activity C (3 days) can start after Activity A is complete. Activity D (4 days) and Activity F (3 days) can start after Activity B is complete. Activity E (5 days) can start after Activity C and Activity D are complete. Activity G (6 days) can start after Activity D and Activity F are complete. When Activity E and Activity G are complete, the project is done. What is the critical path? a. BFG b. BDG c. BDE d. ACE

b. BDG

How do project management and quality management complement each other? Select one: a. Both focus on management responsibility, the fulfillment of requirements, continuous improvement, product excellence, and prevention over inspection. b. Both focus on continuous improvement, management responsibility, customer satisfaction, and prevention over inspection. c. Both focus on the fulfillment of requirements, management responsibility, prevention over inspection, continuous improvement, and customer satisfaction. d. Both focus on prevention over inspection, continuous improvement, management responsibility, and product excellence.

b. Both focus on continuous improvement, management responsibility, customer satisfaction, and prevention over inspection.

During the Identify Risk Process, the project manager and the team categorize risks in an effort to determine risks they may have missed. Of the following, which is the best example of risk categories? Select one: a. Scope, time, cost b. External, internal, technology, personnel c. Quality, schedule, budget d. Initiating, planning, executing, monitoring and controlling closing

b. External, internal, technology, personnel

Rosanne's boss asks her to manage a project. Which question requires understanding of objectives, requirements, deliverables, and success criteria to answer? a. How are you going to manage the project? b. How will you know when you are done? c. What is your plan? d. What problem are you solving?

b. How will you know when you are done?

The project to provide an organizational restructuring of the company to increase operational efficiency and provide clearer lines of communication and development opportunities for managers has been initiated. During the planning processes, the project manager is determining the milestones. Of following what is a key element of a milestone definition? Select one: a. It defines a phase of the project b. It has a duration of zero (0) c. It has a duration of one day d. It has value in the project charter but not in the plan

b. It has a duration of zero (0)

When creating a project management plan, which of the following is the best choice to create it? Select one: a. Sponsor b. Project manager and team c. Project manager d. Team.

b. Project manager and team

The management team is calculating the cost range for a project to develop a product that targets an unfamiliar market. What is the key principal that governs the cost range tolerance? Select one: a. The earlier in the project, the narrower the range b. The less known, the wider the range c. The more known, the wider the range d. -50 percent to +50 percent

b. The less known, the wider the range

Ravi took on a system implementation project that he estimated would take six months to complete, but the work keeps continuing. What is the likely cause? a. The project has access to resources to do more work. b. The project is not clearly defined. c. Management didn't stipulate specific beginning and end dates. d. The project has budget remaining.

b. The project is not clearly defined.

Rudolph, the project manager, is trying to obtain customer approval of project deliverables. It is taking longer than he anticipated because the customer wants to discuss the results. What is the most likely reason for these delays? a. The testing process is flawed. b. The success criteria aren't clear and quantifiable. c. The customer isn't sure what they want. d. The deliverables are truly not acceptable.

b. The success criteria aren't clear and quantifiable.

In a situation where there is a well-defined goal and clear requirements which project management approach should be applied? Select one: a. An iterative approach b. Traditional / Waterfall approach c. An Agile approach d. Lean Startup

b. Traditional / Waterfall approach

Your boss has asked you to be the project manager of an approved software implementation project. Which project document identifies your authority and responsibilities? a. a statement of work b. a project charter c. a job description d. a project scope statement

b. a project charter

The boss has asked you to research project management tools that will help with building and planning tasks on a timeline. Which type of tool would you most likely consider? a. a presentation program b. a scheduling program c. a collaboration program d. a spreadsheet program

b. a scheduling program

What are the components that differentiate a project from operational work? a. a unique goal and dedicated resources b. a unique goal, a temporary endeavor, and usually a budget c. a unique goal and requirements for that goal d. specific requirements, start and finish dates, and management approval

b. a unique goal, a temporary endeavor, and usually a budget

Your stakeholders, will each tolerate risk _____ a. when time allows b. differently c. when asked to a meeting d. at the end of your project

b. differently

Your organization runs numerous projects and wants to choose the most appropriate resources for each project team. Which of the following is the best tool for identifying project resources? a. scheduling software b. enterprise project management software c. a collaboration tool d. a spreadsheet program

b. enterprise project management software

To determine the float, which formula should you use? a. late finish-early finish (LF-EF) or late finish-late start (LF-LS) b. late finish-early finish (FL-EF) or late start-early start (LS-ES) c. late start-early start (LS-ES) or late finish-late start (LF-LS) d. late start-early start (LS-ES) or early finish-early start (EF-ES)

b. late finish-early finish (FL-EF) or late start-early start (LS-ES)

Your client has asked for a project that will fix productivity concerns with the customer service department. After asking "why" several times, you are able to determine the cause and create a _____. a. project goal b. problem statement c. statement of work d. project charter

b. problem statement

Which organizational factor would you use when having to make a difficult decision? a. the organization's work environment b. the organization's mission c. the organization's leadership d. the organization's authority

b. the organization's mission

In the original network diagram question, if Activity D increases from four to five days, what is the critical path, and what is the length? a. BDE, 33 days b. BFG, 21 days c. BDG, 23 days d. ACE, 15 days

c. BDG, 23 days

Banton is defining his project deliverables. Which statement describes what a project deliverable is? a. Deliverables are delivered only at the end of a project. b. Deliverables must be tangible. c. Deliverables are the results that the project delivers and help define the project scope. d. Deliverables are the same as the project milestones.

c. Deliverables are the results that the project delivers and help define the project scope.

A project that you manage is behind schedule. You have identified an approach that would get the project back on track, but it would require you to break one of your organization's policies. What is the best course of action? a. Inform the management team that there is no way to meet the schedule deadline. b. Move forward with your plan. You can ask for forgiveness later. c. Determine if the rule is one that can be broken and come up with an alternative plan of action if your approach doesn't work. d. Continue the project without implementing the approach you identified and look for other places to get the project back on track.

c. Determine if the rule is one that can be broken and come up with an alternative plan of action if your approach doesn't work.

The Inter-State bank has approved the project to replace its legacy system with a web-based interface and SQL database. It will use cross-functional work teams to accomplish the planning and testing. Which of the following is the most accurate description of a cross-functional work team? Select one: a. A team comprised of participants that understand computer concepts are experts in their fields. b. A team comprised of participants that have been trained to work in more than one department. c. A team comprised of participants that are adept in the performance of multiple functions. d. A team comprised of participants from all groups across the company

d. A team comprised of participants from all groups across the company

The team is in the process of completing the work breakdown structure of the project. Once they have completed this, which of the following can they begin to work on? Select one: a. Estimating costs b. Developing schedule c. Estimating activity durations d. All the answers

d. All the answers

A new call center is being built to support a new product at a national telephone company. The company doesn't have any data on how long it will take to sign up customers via the call center. This data is important because it will help determine the number of employees needed in the call center. The company performs some tests to try to determine how long it will take to sign up customers. This test data is then incorporated into the projections planning. What has the company just created? Select one: a. Constraints b. Staff acquisition c. Team development d. Assumptions

d. Assumptions

What can a responsibility matrix eliminate? Select one: a. Confusion about how long the tasks are b. Confusion about who is on the team c. Confusion about what order tasks come in d. Confusion about who is responsible for doing what

d. Confusion about who is responsible for doing what

The project team has just started planning as a result of the charter being signed. Of the following, which does the charter not provide? Select one: a. Contains or makes reference to the product description b. Gives the project existence c. Outlines the project manager's authority d. Defines the scope statement

d. Defines the scope statement

The team has had five meetings to decompose the work of the aircraft carrier project. They are making progress and in a few more meetings should have all the decomposition complete for the year project. Which of the following is not a benefit of using a WBS? Select one: a. Provides the justification for staff, cost, and time b. Helps the project team understand their role and buy-in on project c. Describes the deliverables of the project d. Identifies special work packages that can be created outside the WBS, but within the project

d. Identifies special work packages that can be created outside the WBS, but within the project

An Internet project is about 65 percent complete and has had its challenges. As of the last status report, it appears to be on track regarding cost, schedule, and scope. Senior management tells you that the sponsor has some serious concerns about the project. You don't understand why, based on the last status report. What would be the best thing to do first? Select one: a. Ignore senior management, as the project is in good shape. b. Evaluate the schedule and budget to verify the triple constraint health of the project. c. Tell senior management that the project is in good shape. d. Meet with the sponsor and find out what the sponsor's concerns are

d. Meet with the sponsor and find out what the sponsor's concerns are

Your project seems to be going off track, so you take action to resolve the problem. In which project management process group are you working? a. Executing b. Planning c. Closing d. Monitoring and Controlling

d. Monitoring and Controlling

Sakait has done some extra work to appease a client. Now the client is asking her to do one more task, which is significant and not part of project scope. What should Sakait do? a. Sakait should modify the scope statement to include the request. b. Sakait should simply not do it. c. Sakait should do it, since she has done extra work already. d. Sakait should tell the client the task is not within scope and add the task using the change control process.

d. Sakait should tell the client the task is not within scope and add the task using the change control process.

As part of a project to increase revenues from construction co lending, a financial services company is reviewing construction loan for the development of an office and shopping complex just north of a rapidly expanding suburb. The manager at taking an exploit approach to risks and points opportunity to the functional manager. Of the following which is the best example of an exploit type of risk response strategy the finance company could take in connection with this project? Select one: a. The finance company could delay construction loan payouts so they can continue to earn interest on that money b. The finance company could sell information about prospective tenants to marketing firms c. The finance company could charge every fee and interest penalty in its arsenal d. The finance company could purchase 100 acres of land abutting the development land based on its projections that the area will appreciate in value upon completion of the project

d. The finance company could purchase 100 acres of land abutting the development land based on its projections that the area will appreciate in value upon completion of the project

You are managing a project that is implementing a new financial system. You need to include some of the finance department's resources on the team. Which stakeholder should you approach? a. the financial people you need on the team b. the project sponsor c. the project customer d. a functional or line manager

d. a functional or line manager

James is managing a project in which he has some authority to make decisions. In which type of organizational structure is James most likely managing this project? a. a pure functional hierarchy organization b. a projectized organization c. none of these d. a matrix organization

d. a matrix organization

Your team has identified possible strategies for a project. The team is now evaluating them using a decision matrix. What is the purpose of weighting the objectives? a. flagging whether the strategy's risks are acceptable b. indicating whether the strategy fits the culture of the organization c. specifying whether the objectives are must-haves d. identifying the importance of each objective

d. identifying the importance of each objective

Several stakeholders for a project disagree on the priorities of many project objectives. Who would you ask first for help resolving this issue? a. the project customer b. a functional manager c. the most outspoken stakeholder in the disagreement d. the project sponsor

d. the project sponsor

Which of the following is the most important component of the triple constraint? Select one: a. They are all of equal importance unless otherwise stated. b. Time, then scope, then cost. c. Quality, then time, then cost. d. Scope.

a. They are all of equal importance unless otherwise stated.

Which of the following skills is NOT crucial for a project manager to possess? a. accounting b. interpersonal skills c. business expertise d. leadership

a. accounting

Project objectives help you flesh out a project by _____. a. defining project scope b. describing the challenges the organization faces c. identifying constraints on the project d. identifying the work that needs to be done

a. defining project scope

Ramesh is creating objectives for his project. Which SMART step will help him identify actual progress? a. Measurable b. Specific c. Attainable d. Time-Based

a. measurable

using the original network diagram question, what is the slack of Activity F? a. one day b. two days c. not enough information d. four days

a. one day

As part of the project definition, Bisa identifies risks for the project. What is the purpose of doing this during project initiation? a. so management can decide whether the risks are serious enough to warrant denying the project b. so management can determine the amount of contingency funds to set aside c. so you have an idea of the accuracy with which you can estimate work, cost, and schedule d. so you can prepare a risk management plan before getting approval to begin planning

a. so management can decide whether the risks are serious enough to warrant denying the project

Why is it important to document the project scope? a. to remind stakeholders what they agreed to and to prevent scope creep b. because it's a standard project management deliverable c. because it's needed for project contracts d. To inform people outside the project why the project is happening

a. to remind stakeholders what they agreed to and to prevent scope creep

The customer has just attended the weekly staff meeting for the infrastructure project and has stated that the market is changing for the product being created. As a result of this, the customer has requested a significant change to the project. The project is 85 percent complete. What does the project manager do? Select one: a. Ignore the customer, hoping the change will disappear. b. Make the new work a new project and release the project as is to the market. c. Evaluate the impact to the project and let the customer know the options and impact of the change. d. Tell the customer the project is too close to being complete to integrate the change.

c. Evaluate the impact to the project and let the customer know the options and impact of the change.

There is $150,000 allocated for management reserves. One of the stakeholders is a newly hired vice president who comes from a small company where project management was not formalized, so he is unfamiliar with this term. The project manager explains the specific reason for which management reserves are created. Of the following, what is the reason? Select one: a. Project risk events that do occur with a cumulative cost greater than the amount set aside in contingency reserves b. Project risk events you know can occur c. Project risk events that cannot logically be forecasted d. Project risk events that do occur with a cumulative cost greater than the amount set aside in management reserves

c. Project risk events that cannot logically be forecasted

The sponsor of Project T5 assigned you as the project manager, and the project has already been approved. What is the first thing you need to do as the project manager? a. Define the project. b. Create the project charter. c. Review what has been done and complete any tasks not addressed.

c. Review what has been done and complete any tasks not addressed.

Of the following, which is the most comprehensive definition of project risk? Select one: a. Risk is a negative event that may or may not occur b. Risk is a positive event that may or may not occur c. Risk is a positive or negative event that may or may not occur d. Risk is a positive or negative event that may or may not have occurred

c. Risk is a positive or negative event that may or may not occur

The project manager is in the process of meeting with various people who are impacted by his new project. He is attempting to find out what their needs are for the project as well as any constraints and assumptions that they might be aware of. At the same time, the project manager is beginning to set expectations for the project. Which of the following is the best description of this? Select one: a. Team member analysis b. Change control board c. Stakeholder management d. Stakeholder identification

c. Stakeholder management

The pharmaceutical company is in the planning stages of a critical project and the project management team is finalizing the responsibility assignment matrix. How will this document benefit the team? Select one: a. The team will know the sequence in which the resources are to perform the activities b. The team will know who does what work and when they are to do it c. The team will know who is responsible for what work d. The team will know the location in which the work is performed

c. The team will know who is responsible for what work

Krisha is gathering information on her stakeholders, such as department names, factors that motivate them, who they listen to, and their contributions on the project. What is this document called? a. an executive analysis b. a project charter c. a stakeholder analysis d. a stakeholder list

c. a stakeholder analysis

During which process group does the project manager orient team members to the project and expectations? a. planning b. initiating c. executing d. monitoring and controlling

c. executing

Which technique would you most likely use to gather valid requirements and get buy-in from various departments? a. reverse-engineering b. questionnaires c. focus groups d. observation

c. focus groups

You are hiring a new project manager to take over a project with several teams that often disagree on what they are supposed to do. Which competency would you feel is most important in a candidate for this situation? a. business expertise b. problem-solving skills c. strong leadership skills d. technical skills

c. strong leadership skills

The critical path is... a. the path through the network that contains the most tasks b. all of the tasks with positive float c. the longest path through the network d. the shortest path through the network

c. the longest path through the network

You are the project manager for a healthcare system implementation project. The sponsor has asked you to create a project definition. What will the sponsor use this document for? a. to create the project plan b. to tell the project team what work to do c. to decide whether to approve the project d. to create the project charter

c. to decide whether to approve the project