Final Exam Questions

Healthcare spending accounted for 17.9% of US GDP in 2010, an average over ______ per person. a. $10,000 b. $5,000 c. $8,000 d. $3,000

$8,000

The entire project is considered to be Level _____ in the WBS a. 0 b. 1 c. 2 d. 3

1*

If a project team goes from three people to six, how many more communications channels are there? a. 3 b. 6 c. 9 d. 12

12

Alpha project managers represent the top ___________ of project managers based on performance. a. 1% b. 2% c. 5% d. 10%

2%

Approximately what percentage of the world's GDP is spent on projects? a. 10% b. 25% c. 50% d. 75%

25%

What can project teams create to help promote teamwork and clarify team communications? a. A project website b. A team-building plan c. A team roster d. A team contract

A team contract

Which knowledge areas include tasks related to controlling? a. Project scope, time, cost, and quality management b. Project integration, scope, time, cost, and quality management c. Project human resource, communications, risk, and procurement management d. All ten knowledge areas except project human resource management

All ten knowledge areas except project human resource management

All project meeting with major stakeholders should include _______. a. An agenda b. Food c. Name tags d. All of the above

An agenda

Using a(n) __________ approach to developing cost estimates requires a good deal of expert judgment and is generally less costly than others are, but can also be less accurate a. Bottom-up b. Parametric c. Expert judgment d. Analogous

Analogous

A _______ is a methodology that converts an organization's value drivers--such as customer service, innovation, operational efficiency, and financial performance--into a series of defined metrics. a. Balanced scorecard b. Weighted scoring model c. Net present value analysis d. Directive

Balanced scorecard

_______ are optimal methods, currently recognized within a given industry or discipline, to achieve a goal or objective a. Benchmarks b. Key performance indicators c. Capabilities d. Best practices

Best practices*

Critical chain scheduling considers limited resources when creating a project schedule and includes __________ to protect the project completion date a. Reserves b. Multitasking c. Buffers d. Outsourcing

Buffers

What document provides justification for investing in a project? a. Project charter b. Business case c. Net present value analysis d. Stakeholder register

Business Case

It is very important to start at the top of the four-stage planning process pyramid to select projects that support the organization's ________. a. Vision b. Business strategy c. Financial position d. Culture

Business strategy

Which of the following statements is false? a. Even though many projects are canceled before completion, it is still important to formally close any project b. Closing includes verifying that all of the deliverables are complete c. Closing often includes a final presentation and report d. Closing does not include developing a transition plan

Closing does not include developing a transition plan

Topics such as who will receive project information and who will produce it, suggested methods or guidelines for conveying the information, frequency of communication, and escalation procedures for resolving issues should be described in a __________________. a. Communication management plan b. Staffing management plan c. Team contract d. Scope statement

Communication management plan

Which of the following conflict handling modes do successful project managers use most often? a. Confrontation b. Compromise c. Smoothing d. Forcing

Confrontation*

The ________ should include requirements for formal acceptance and closure of contract a. Project management plan b. Procurement management plan c. Contract itself d. Contract management plan

Contract itself*

A ____________ is a time-phased budget that project managers use to monitor cost performance a. Cost baseline b. Cost estimate c. Life-cycle budget d. Cash flow analysis

Cost baseline*

__________ is a technique for making cost and schedule trade-offs to obtain the greatest amount of schedule compression for the least incremental cost. a. Crashing b. Fast tracking c. De-scoping d. Parametric modeling

Crashing

What is the first step in planning a project schedule? a. Creating a schedule management plan b. Developing an activity list c. Assigning resources to the project d. Determining activity sequencing

Creating a schedule management plan

The __________ method is a network diagramming technique used to predict total project duration. a. PERT b. Gantt chart c. Critical path d. Crashing

Critical path

You can purchase an item you need for a project for $10,000 and it has daily operating cost of $500, or you can lease the item for $700 per day. On which day will the purchase cot be the same as the lease cost? a. Day 5 b. Day 10 c. Day 50 d. Day 100

Day 50

A WBS __________ is a document that describes the deliverables on the WBS in more detail. a. Glossary b. Statement c. Dictionary d. Appendix

Dictionary

The Hospital Readmission Reduction Program is an example of a(n) _______ from the ACA. a. Venture b. Opportunity c. Problem d. Directive

Directive

Which of the following is not a suggestion for controlling procurements? a. Do not spend too much time documenting changes in writing; verbal agreements are fine b. Have backup plans in case the procurement does not produce the desired results c. Evaluation of any change should not include an impact analysis d. Do not assume that work will run smoothly because you hired a reputable supplier

Do not spend too much time documenting changes in writing; verbal; agreements are fine

Which of the following is not a best practice listed in this text? a. Determine how project, program, and portfolio management will work best in your organization b. Involved key stakeholders--including shareholders, customers, and employees--in making major decisions c. Develop and follow a formal project selection process to ensure projects support business needs d. Don't spend time or money on projects before they officially start

Don't spend time or money on projects before they officially start

________ is a project performance measurement technique that integrates scope, time, and cost data a. Integrated change control b. Flowcharting c. Earned value management d. Forecasting

Earned value mangement

The goal of project portfolio management is to help maximize business value to ensure _______. a. Profit maximization b. Enterprise success c. Risk minimization d. Competitive advantage

Enterprise success*

In which of the five project management process groups is the most time and money usually spent? a. Initiating b. Planning c. Executing d. Monitoring & Controlling e. Closing

Executing

The best or "alpha" project managers spend more time on every process group than other project managers except for which one? a. Initiating b. Planning c. Executing d. Monitoring & Controlling

Executing

Which of the following is not an example of a soft skill? a. Leadership b. Motivation c. Team Building d. Financial Analysis

Financial Analysis

What is the most common type of dependency between activities? a. Finish-to-start b. Start-to-finish c. Start-to-start d. Finish-to-finish

Finish-to-start

___________ diagrams can assist in ensuring and improving quality by finding the root causes of quality problems. a. Pareto, or Ishikawa b. Mind map c. Fishbone, or Ishikawa d. Social styles

Fishbone, or Ishikawa

You want to have the least risk possible in setting up a contract to purchase goods and services from an outside firm. As the buyer, what type of contact should you use? a. Fixed price b. Unit price c. Cost reimbursable d. Time and materials

Fixed price

What is the main message of the final cartoon in this chapter in the section on final advice on project management? a. Follow best practices, and keep a sense of humor b. Don't invest too much in the stock market c. Always back up your hard drive d. Don't waste your time playing video games

Follow best practices, and keep a sense of humor

___________ predict future project status and progress based on past information and trends a. Forecasts b. Status reports c. Progress reports d. Histograms

Forecasts

A WBS is often depicted in a ________ format, similar to an organizational chart a. Tabular b. Mind-map c. Block d. Graphical

Graphical

The main purpose of project planning is to: a. Obtain funding for the project b. Guide project execution c. Clarify roles and responsibilities d. Keep senior managers informed

Guide project execution

Which of the following is not a potential advantage of using good project management? a. Shorter development times b. Higher worker morale c. Lower cost of capital d. High profit margins

High profit margins*

Which of the following statements is true based on recent studies of project management maturity done by PricewaterhouseCoopers and PMI? a. The average project management maturity level in organizations continues to decline b. Higher project management maturity yields higher performance c. Project success rates have increased ten percentage points since 2008 d. Most people do not believe that project management training contributes to business performance

Higher project management maturity yields higher performance

Which of the following is not a major benefit of grouping projects into programs? a. Increasing revenues b. Increasing authority c. Saving money d. Saving time

Increasing revenues*

According to PMI, which of the following would not be good wording for a WBS item? a. Install software b. Software c. Software installation d. Software training

Install software*

What is the most common reason for closing or terminating a project? a. Addition b. Integration c. Extinction d. Starvation

Integration*

Which of the following is false concerning controlling stakeholder engagement? a. You cannot control stakeholder, but you can control their level of engagement b. Reporting systems, expert judgment, and meetings are all tools and techniques for controlling stakeholder engagement c. Northwest Airlines (now Delta) assigned to uses to a project team to develop a new reservation system in order to increase stakeholder engagement d. It is not a good idea to include issues during progress review meetings so do not upset key stakeholders

It is not a good idea to include issues during progress review meetings so do not upset key stakeholders

Most project sponsors would say that the most important output of any project is _________. a. A satisfied customer/sponsor b. Good financial results c. Its deliverables d. Good plans

Its deliverables*

What is the most significant characteristic or attribute of an effective project manager? a. Is a strong communicator b. Is decisive c. Is visionary d. Leads by example

Leads by example

Answering questions such as, "What will you do differently on the next project based on your experience working on this project?" is a part of a ______________. a. Lessons-learned report b. Customer acceptance/project completion form c. Written notice of contract closure d. Transition plan

Lessons-learned report

Some project managers like to assess team performance by using a technique known as MBWA, which stands for __________. a. Management by wondering aloud b. Management by wandering around c. Measuring by work areas d. Measuring by watching alertly

Management by wandering around

Which of the following is not a part of the triple constraint of project management? a. Meeting scope goals b. Meeting time goals c. Meeting quality goals d. Meeting cost goals

Meeting quality goals

_________ allow organization to measure their performance in certain areas--such as failure rates, availability, and reliability--and compare them over time or with other organizations. a. Ratings b. Metrics c. Quality-control charts d. Checklists

Metrics

A(n) ________________ normally does not have any cost or duration. a. Activity b. Milestone c. Critical task d. Baseline

Milestone

Which of the following statements is false? a. The highest need in Maslow's pyramid is called self-actualization b. Most people today prefer managers who follow Theory X versus Theory Y c. Herzberg distinguished between motivating and hygiene factors d. Projects are more likely to succeed when project managers influence team members by using work challenge and expertise

Most people today prefer managers who follow Theory X versus Theory Y

Which of the following is recommended in this text but is not an output of initiating in the PMBOK Guide, Fifth edition? a. Project Chargers b. Stakeholder register c. Kick-off meeting d. None of the above

None of the above

When a process is out of control, variations in the results of the process are cause by _____ events. a. Random b. Nonrandom c. Planned d. Unplanned

Nonrandom

The three spheres of systems management are business, technology, and _______. a. Process b. Organization c. Opportunities d. People

Organization

The project management institute initially published the __________ in December 2003 to address the need to bridge the gap between organizational strategy and successful projects a. Organizational project management maturity model (OPM3) b. Best practices report c. Alpha project managers guide d. Project management process maturity model

Organizational project management maturity model (OPM3)

A ____________ chart is a histogram that can help you identify and prioritize problem areas a. Pareto b. Control c. Run d. Scatter

Pareto*

In which of the five project management process groups are activities performed that relate to each knowledge area? a. Initiating b. Planning c. Executing d. Monitoring & Controlling e. Closing

Planning

Fortune Magazine summarized research showing that the main reason CEOs failed was due to ________. a. Poor planning b. Poor execution c. Global competition d. Low stock prices

Poor execution

A _________ is another name for a project close-out meeting a. Celebration b. Post project c. Final review d. Post mortem

Post mortem*

Organizations can measure performance against their own past; against peers; and, even better, against ________. a. Profits b. Potential c. Revenues d. The future

Potential*

What two dimensions should you use when evaluating project risks? a. Probability and impact b. Cost and schedule c. Negative and positive d. Source and responsibility

Probability and impact

_________ are reviews often performed during contract closure to identify lessons learned in the entire procurement process a. Procurement audits b. Post mortems c. Lessons learned d. Knowledge transfers

Procurement audits*

What is the certification program called that the Project Management Institute provides? a. Microsoft Certified Project Manager (MCPM) b. Project Management Professional (PMP) c. Project Management Expert (PME) d. Project Management Mentor (PMM)

Project Management Professional (PMP)

What document formally recognizes the existence of a project and provides direction on the project's objectives and management? a. Project charter b. Business case c. Stakeholder register d. Stakeholder management strategy

Project charter

Which knowledge areas include tasks related to closing? a. Project scope, time, cost, and quality management b. Project integration, scope, time, cost, and quality management c. Project integration, and procurement management d. All of the knowledge areas

Project integration, and procurement management

Which of the following is not an attribute of a project? a. Projects are unique b. Projects are developed using progressive elaboration c. Projects have a primary customer or sponsor d. Projects involve no uncertainty

Project involve no uncertainty*

Project teams develop a ________ to coordinate all other project plans a. Strategic plan b. Project management plan c. Master plan d. Project website

Project management plan

_________ is the application of knowledge, skills, tools, and techniques to project activities to meet project requirements. a. Project management b. Program management c. Project portfolio management d. Requirements management

Project management*

The project management institute defines best practices in each other following areas except _______. a. Projects b. Programs c. Project personnel d. Portfolios

Project personnel*

Preparing a stakeholder register and performing a stakeholder analysis are part of which knowledge area? a. Project integration management b. Project human resource management c. Project stakeholder management d. Project communication management

Project stakeholder management*

A ________ is a temporary endeavor undertaken to create a unique product, service, or result a. Program b. Process c. Project d. Portfolio

Project*

Many organizations find duplicate or unneeded projects after they perform which step in project portfolio management? a. Prioritizing the projects in their list b. Dividing the projects into several categories based on type of investment c. Putting all projects in one list d. Applying modern portfolio theory, including risk-return tools that map project risk

Putting all projects in one list

__________ is defined as the degree to which a set of inherent characteristics fulfill requirements. a. Fitness for use b. Conformance to requirements c. Metrics d. Quality

Quality

__________ includes all of the activities related to satisfying the relevant quality standards for a project. a. Quality assurance b. Quality control c. Customer satisfaction d. ISO certification

Quality assurance

The last step in the four-stage planning process for projects is __________. a. Resource allocation b. Project planning c. Business area analysis d. Strategic planning

Resource allocation

A RACI chart is a type of ______________. a. Project organizational chart b. Resource histogram c. Responsibility assignment matrix d. Project dashboard

Responsibility assignment matrix

A _______________ is a document that contains results of various risk management processes, often displayed in a table or spreadsheet format a. Risk event b. Trigger c. Risk register d. Risk management plan

Risk register*

__________ issues cause the most conflict over the life of projects a. Change control b. Scope creep c. Cost d. Schedule

Schedule*

_________ involves formal acceptance of the completed project scope by the stakeholders. a. Scope creep b. Scope validation c. Cost d. Schedule

Scope validation*

Buyers often develop a __________ of the top three to five suppliers to reduce work involved in selecting a source. a. Short list b. Weighted decision matrix c. Qualified sellers list d. BAFO

Short list

What is a crucial part of the project charter--a section in which key project stakeholders acknowledge their agreement on the need for the project? a. Project objectives b. Approach c. Roles and responsibilities d. Sign off

Sign off

A _______________ describes when and how people will be added to and take off of the project. a. Project organizational chart b. Resource histogram c. Responsibility assignment matrix d. Staffing management plan

Staffing management plan*

Which project document should not be made available to all key project stakeholders due to its sensitive nature? a. Project charter b. Business case c. Stakeholder register d. Stakeholder analysis

Stakeholder analysis*

Project portfolio management addresses ______ goals of an organization, while project management addresses _______ goals. a. Strategic, tactical b. Tactical, strategic c. Internal, external d. External, internal

Strategic, tactical

Which of the following is not a part of a SWOT analysis? a. Strengths b. Weaknesses c. Opportunities d. Tactics

Tactics

Which of the following is true regarding studies on the value of project management and project management maturity? a. The PMI-sponsored study by Ibbs (2002) found that companies with high maturity level spend less money on project management than companies with a low maturity b. The PMI-sponsored studying by Thomas and Mullaly (2008) found that companies focus even more on measuring ROI or tangible benefits of project management c. The PMI-sponsored study by Crawford and Cook-Davies found that several industries have reached an optimal level of organizational project management maturity d. The PricewaterhouseCoopers study found that the higher the maturity level, the more difficulties the organization will have in implementing software

The PMI-sponsored study by Ibbs (2002) found that companies with high maturity level spend less money on project management than companies with a low maturity

Which of the following was not a lesson learned from the VAPR project? a. Having clinical leadership publicly supporting the project was critical to gaining clinician buy-in b. The project steering committee was not very effective c. Experience clinicians who are not experienced project managers can be very successful if coached and mentored by a senior project manager

The project steering committee was not very effective

Which of the following statements is false concerning the financial analysis of projects? a. The higher the net present value the better b. A shorter payback period is better than a longer one c. The required rate of return is the discount rate that results in an NPV of zero for the project d. ROI is the result of subtracting the project costs from the benefits and then dividing by the costs

The required rate of return is the discount rate that results in an NPV of zero for the project

Which of the following is a trait of alpha project managers? a. They spend more time on execution than other project managers b. They spend more time in meetings than other project managers c. They send fewer emails than other project managers d. They make more money than other project managers

They send fewer emails than other project managers

A requirements ________ ________ is a table that lists requirements, various attributes of each requirement, and the status of the requirements to ensure that defines the total scope of the project a. Traceability matrix b. Management plan c. Management matric d. Tracking tool

Traceability matrix

Updating documentation and historical information produced by the project in a useful format is part of ________. a. Updating organizational project assets b. Archival c. Closing procurements d. Lessons learned

Updating organizational project assets*

Suppose you are a member of Pat's Phase II team and you are having difficulties communicating with one of the CBT providers providing important information about the training program. What strategy might you use to help improve communications? a. Put all communications in writing b. Put all communications on your project website c. Use several different methods to communicate with this person d. Ask Pat to find a better person to provide the technical content

Use several different methods to communicate with this person

The __________ must be the basis for a project cost estimate if you plan to create a cost baseline and use earned value management as a part of monitoring and controlling costs. a. Project schedule b. Cost model c. Gantt chart d. WBS

WBS

The ________ rule is that all work required for a deliverable is included in sub-deliverables when defining activities. a. Golden b. Hierarchy c. Roll-up d. WBS 100%

WBS 100%

A ____________ is a deliverable-oriented grouping of the work involved in a project that defines the total scope of the project a. Contract b. Gantt chart c. WBS d. Network Diagram

Work breakdown structure (WBS)**

A ___________ is a deliverable at the lowest level of the WBS that represents the level of work that the project manager uses to monitor and control the project a. WBS dictionary b. Budget item c. Line item d. Work package

Work package

___________ are unplanned responses to risk events a. Contingencies b. Reserves c. Workarounds d. Over allocations

Workarounds*

Which of the following is not advice for closing projects or phases? a. You don't need to celebrate completing a project, especially if it did not go well b. You should capture lessons learned as soon as possible, not just at the end of a project c. You should include tasks in the WBS for project closing d. You should align resources to specific project closing tasks

You don't need to celebrate completing a project, especially if it did not go well