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NEW QUESTION 46
Scenario
Additional Information
Further information on some resources who could be involved in the project:
Outcome Account Manager: He represents Outcome which is a recruitment agency that provides specialist outsourcing resources. Outcome provided the consultants who carried out the feasibility study and the same consultants will be providing support and guidance to the Information Technology and Facilities teams during the project.
Director of Finance Division: She was transferred from the Information Technology Division 12 months ago.
She is responsible for ensuring a cost-conscious approach is adopted in all operational and project activities across the Ministry of Food Hygiene.
Hardware Manager: Reports to the Director of Information Technology. He provides computer hardware to all business functions but has little awareness of the needs of his colleagues working in software.
Payroll Manager: Reports to the Director of Finance. He is a very experienced and efficient qualified accountant who has much of the responsibility of running the Finance Division on behalf of the Director of Finance. He has been involved in drafting the Ministry's business strategy and assisting in a full business risk assessment. He also drafted the corporate Business Case standards.
Which 2 alternative actions apply to the proposed Senior Supplier for this project?
- A. Retain because she is responsible for the design of the future Information Technology organization and working practices.
- B. Remove because she only represents the Information Technology Division.
- C. Replace with 'Director of Facilities' because he supports the initiative and has many ideas about how to improve the service.
- D. Add 'Director of Facilities' because he is responsible for the design of the future organization, processes, systems and operation models for Facilities.
- E. Add 'Hardware Manager' because he provides computer hardware to all business functions and will be impacted by the outcome.
Answer: A,D
NEW QUESTION 47
Which of the following roles cannot be combined?
- A. Executive and Senior User
- B. Senior Suppler and Supplier Assurance
- C. Project Manager and Project Support
- D. Project Assurance and Team Manager
Answer: D
NEW QUESTION 48
Project Scenario
Calendar Project (Note: The companies and people within the scenario are fictional.) There has been a reduction in fie number of orders at the MNO Manufacturing Company due in part to the increased marketing activities of its competitors. To help counter this, the company has decided to create a promotional calendar for next year for all its current and prospective customers. The end product of this project will be a prepared calendar pack, ready for printing. The design of the calendar will be similar to one sent out previously, and must reflect the company image as described in the existing corporate branding standards. Another project is currently producing a new company logo when is to be printed on each page of the promotional calendar. The prepared calendar pack will consist of:
Design for each month - correctly showing at public holidays and new company logo
Selected photographs- 12 professionally-produced photographs, showing different members of staff
Selected paper and selected envelope - for printing and mailing the calendar
Chosen label design - a competition to design a label will be held as part of this project
List of customers - names and addresses of customers to whom the calendar will be sent.
The project is currently in initiation and will have two further stages:
Stage 2 will include tie activities to:
Create the customer fast using information from the Accounts and Marketing departments
Confirm compliance with the Data Protection Legislation
Create a design for each month - this will be done by the internal creative team
Select and appoint a professional photographer
Gather photograph design ideas from previous project and agree photographic session schedule
Prepare a production cost forecast
Select paper and envelope.
Stage 3 will include the activities to:
Produce and select tie professionally-taken photographs
Hold the label design competition and choose the label design
Assemble the prepared calendar pack.
A production cost forecast, based on the options and costs for the paper, envelope, printing and marketing of the calendar is to be produced in stage 2. However, the actual production and distribution of the calendars is not within the scope of the project. The product cost forecast will be reviewed by the Project Board to determine whether tie project should continue.
It is now 05 October and the prepared calendar pack must be delivered to the print company by 30 November, to enable printing and distribution of the calendar in time for Christmas. The cost of the activities to develop the specialist products and the cost of the project management activities are estimated to be £20,000. There is a project time tolerance of +1 week /-2 weeks and a project cost tolerance of +
£6,000 / -£6,000. A change budget of £500 has been allocated but there is no risk budget.
During stage 2, if the Project Manager decides to recommend that the Project Plan is revised to finish three weeks later, which statement is correct?
- A. The revision of the Project Plan would have to wait until the end stage assessment of stage 2.
- B. The tolerances stated in the Project Plan CANNOT be changed.
- C. The current project must close prematurely and be restarted with a new Project Plan, a new Business Case and new Risk Register.
- D. The Executive needs to seek formal approval from corporate management to implement this change.
Answer: D
NEW QUESTION 49
A photographer from Portraits Ltd, a professional photographic company, has taken on the role of Team Manager after taking some time to understand the requirements of the project. A contract for their services has been set up and is being monitored by the Purchasing Manager and a Work Package has been agreed. This contract specifies that the photographer must arrange a meeting with the Engineering Manager to establish a schedule for the photo sessions to minimize the impact on the Engineering staff. This meeting should have occurred by now.
The Engineering Manager was made aware of this requirement but when asked he reported that he has received no communication from the photographer. The Project Manager has tried to call the photographer and has had no response. The Project Manager believes there is a risk that Portraits Ltd are overbooking work and prioritizing other clients' work. If Portraits ltd do not deliver on schedule the project will be delayed and the expected benefits will be reduced.
The contract is to be reviewed and Portraits Ltd reminded of their agreement.
The project is now in stage 2. The Project Manager has heard about the possibility of a competitor also producing a calendar to be delivered earlier than the target date for this project. There is a threat that the early release of a competitor's calendar may weaken the impact of the MNO Manufacturing Company calendar, thereby reducing the anticipated benefits of the Calendar project.
Which 2 statements should be recorded under the Risk management procedure heading?
- A. Every threat and opportunity identified must be clearly defined in terms of cause, event and effect.
- B. Probability will be assessed against the scales defined in this Risk Management Strategy.
- C. 'Reduce' Response actions which result in a lower impact and/or probability rating.
- D. When a new problem arises, a full impact analysis will be undertaken to assess the impact on the project' objectives and Business Case.
- E. Any risk which has an expected value of more than (GBP)1 k will NOT be registered.
Answer: A,B
NEW QUESTION 50
During stage 3, the team manager reports that the work to update the 'corporate quality procedures' has been completed and the product is ready to be delivered.
What should project assurance do next?
- A. Verify that all the products to be delivered by the work package are approved.
- B. Update the team plan to show that the work package is complete.
- C. Check the work package and follow the procedure to deliver completed products.
- D. Update the stage plan to show the work package as completed.
Answer: A
Explanation:
Explanation/Reference:
NEW QUESTION 51
Which of the following risk responses can be used for either an opportunity or a threat?
- A. Share
- B. Reject
- C. Reduce
- D. Enhance
Answer: A
NEW QUESTION 52
While preparing the Quality Management Strategy, the Project Manager noticed that the corporate quality management system does not specifically cover project management.
Which option provides an appropriate way for the Project Manager proceed?
- A. Record the development of a corporate quality management system for project management as a prerequisite of the Project Plan.
- B. Proceed with the project without a Quality Management Strategy and adopt the selected service provider's standards in stage 4.
- C. Seek relevant organizational standards, then facilitate a workshop to discuss the Quality Management Strategy with Project Assurance.
Answer: C
NEW QUESTION 53
What additional risk will this place on the project?
- A. These changes will delay stage 3 by three weeks.
- B. None because risks associated with the centralization and rationalization of the Facilities Division will be managed by another project.
- C. The reduced value of the contracted services required by the Outsourcing project may result in an insufficient number of proposals being received.
- D. There is only E70k left in the project change budget.
Answer: B
NEW QUESTION 54
In which Management product would the Project Board specify where the authority for change requests lies?
- A. Configuration Management Strategy
- B. Risk Management Strategy
- C. Communication Strategy
- D. Quality Management Strategy
Answer: A
NEW QUESTION 55
Use the 'Additional Information' in the Scenario Booklet to answer this question.
The Operations Director is the executive for the project and has proposed that a senior course developer be
appointed as project manager. The course developer works in the Training Development Manager's team and
has a good understanding of the standard course development model. The course developer was a team
manager on a previous project for which the Operations Director was the executive.
Is this proposed appointment appropriate, and why?
- A. Yes, because the course developer is likely to have the project management and specialist knowledge
required. - B. No, because the course developer's team reports to the Business Development Director, not the
Operations Director. - C. No, because there is a conflict of interest as the Training Development Manager is responsible for gaining
accreditation. - D. Yes, because the course developer is responsible for ensuring that trainers deliver courses to the required
standard.
Answer: D
NEW QUESTION 56
The Sales Director would like to add a new company logo to the 'marketing material'. The change to the project scope has been approved by the project board. It is expected to delay product and stage completion date by 3 days and cost £900. The stage 2 cost tolerance of +£1,000 has not been used. The change budget of
£500 has not been used.
Which option describes how this change should be funded?
- A. £400 of the stage 2 cost tolerance and the £500 change budget should be used.
- B. £900 of additional funding will need to be requested to pay for the change.
- C. £400 will need to be requested in addition to the £500 change budget.
- D. £900 needed for the change should be taken from the stage 2 cost tolerance.
Answer: C
NEW QUESTION 57
The development of the 'e-learning course' will be outsourced to an external supplier and their key members
will join the project management team. The supplier wants to keep their work processes confidential and not
share these with ABC Company. ABC Company has agreed.
Who should approve the external supplier's team plan?
- A. Project manager
- B. Senior supplier
- C. Supplier assurance
- D. Corporate, programme management or customer
Answer: D
NEW QUESTION 58
Scenario:
Techniques, processes and procedures
1. Any threat that may result in a loss of MFH data must be escalated immediately.
Joint agreements
2. Work is to start at the beginning of week 2 (Stage 4).
3. The project will take two years to complete, at an estimated cost of £2.5m.
Tolerances
4. None.
Constraints
5. MFH staff must not be involved in any heavy lifting during the removal of existing IT equipment.
6. Installation work must take place during MFH normal working hours.
7. +£10,000 / -£25,000.
Reporting arrangements
8. Highlight Report every Monday by 10.00 am.
9. The report must contain a summary of all products worked on during the previous week.
10. Project Manager must be notified of any issues immediately by telephone.
Problem handling and escalation
11. Impact analysis of all issues must be completed within 24 hours.
Extracts or references
12. The Stage Plan for stage 4 is available from Project Support.
Approval method
13. Project Assurance will review the completed Work Package and confirm completion Which 2 statements apply to either the Techniques, processes and procedures or Constraints sections?
- A. Delete entry 6 because this applies to Office Moves Limited and is therefore outside the Work Package.
- B. Add 'There must be minimum disruption to current services' to Constraints.
- C. Move entry 5 to Techniques, processes and procedures because this is a technique which staff should be aware of.
- D. Delete entry 1 because this section should contain the techniques, processes and procedures required for specialist product development.
- E. Delete entry 7 because this should be contained in the Quality skills required section of the Product Description.
Answer: A,E
NEW QUESTION 59
While preparing the Risk Management Strategy, the Project Manager considered the commercial customer/ supplier environment and how this may affect the management of risk. Which approach should the Outsourcing project adopt?
- A. Due to the sensitive nature of this project, consideration should be given to creating a separate Risk Register to be held by MFH and the selected supplier.
- B. Plan to use the selected service provider's risk management procedures.
- C. All project risks associated with the specialist deliverables should be owned by the selected service provider.
Answer: A
NEW QUESTION 60
Scenario
Additional Information
Extract from the Communication Management Strategy.
The project information in the table below is true, but it may not be recorded under the correct heading or be in the correct document.
Using the Project Scenario, select the appropriate response to each of the following 5 questions which have been raised by the Project Board.
The project is now at the end of the initiation stage. Having decided that the Calendar project is a relatively simple project, the Project Manager combined the Starting Up a Project process and the Initiating a Project process. No Project Brief has been produced. Instead the Project Manager used the project mandate to produce a simple Project Initiation Documentation (PlO). The PlO includes the Business Case, a product checklist and several Product Descriptions, Including the Project Product Description. Short sections are also included for each of the strategies and the controls to be applied. The Project Manager has elected to use the Daily Log to record all risks, issues, lessons and quality - results.
After the initiation stage there will be two further stages during which a small number of Work Packages will be authorized. While these are being managed, the Project Manager will hold regular checkpoints, which will support the production of weekly Highlight Reports to the Project Board.
Without a Risk Register how can project risks, the progress of risk actions taken to date and the current status of residual risks be measured?
- A. It was not appropriate to use the Daily Log to capture all risks and issues during the Starting up a Project process. Separate registers should have been set up for risks, issues and lessons learned. This will now be done.
- B. In a simple project, the Project Initiation Documentation (PID) should contain a register for recording risk information and monitoring project risks throughout the delivery stages. The register will now be added to the PID.
- C. The Daily Log was correctly used to monitor risks during the Starting up a Project process. It will be used to capture all risks, actions, decisions, assumptions
Answer: C
NEW QUESTION 61
Which 2 statements should be recorded under the Expected dis-benefits heading?
- A. Staff may lose the opportunity to work in Information Technology.
- B. MFH will lose direct control over the outsourced business functions.
- C. Staff morale will be negatively affected.
- D. An investment of £2.5m is required.
- E. The project will take two years to deliver.
Answer: B,E
Explanation:
Explanation/Reference:
Reference: http://www.whatisprince2.net/prince2-theme-business-case.php
NEW QUESTION 62
Scenario
Additional Information
Further information on some resources who could be involved in the project:
Outcome Account Manager: He represents Outcome which is a recruitment agency that provides specialist outsourcing resources. Outcome provided the consultants who carried out the feasibility study and the same consultants will be providing support and guidance to the Information Technology and Facilities teams during the project.
Director of Finance Division: She was transferred from the Information Technology Division 12 months ago. She is responsible for ensuring a cost-conscious approach is adopted in all operational and project activities across the Ministry of Food Hygiene.
Hardware Manager: Reports to the Director of Information Technology. He provides computer hardware to all business functions but has little awareness of the needs of his colleagues working in software.
Payroll Manager: Reports to the Director of Finance. He is a very experienced and efficient qualified accountant who has much of the responsibility of running the Finance Division on behalf of the Director of Finance. He has been involved in drafting the Ministry's business strategy and assisting in a full business risk assessment. He also drafted the corporate Business Case standards.
Which 2 alternative actions apply to the proposed user assurance for this project?
- A. Retain because selecting only one of them may cause unnecessary conflict.
- B. Retain because their divisions will be the major users of the outsourced services and they can provide the user perspective on the impact of any proposed changes.
- C. Retain because they are both very positive about outsourcing the selected business functions.
- D. Retain because they are able to help identify stakeholders and their communication requirements.
- E. Remove because neither of these individuals are from the business functions to be outsourced.
Answer: B,D
NEW QUESTION 63
The executive identified that there would be a benefit to the construction companies as their working time lost due to accidents would be reduced. This was included as a benefit to ABC Company in the business case for the Health and Safety Training Project.
Is this appropriate, and why?
- A. Yes, because both tangible and intangible benefits should be included in the business case.
- B. Yes, because the benefits to the customer are an essential part of business justification for a project.
- C. No, because it is the customer's benefits that should be used to justify the project business case.
- D. No, because ABC Company will not achieve their benefits if construction companies do not book the courses.
Answer: B
NEW QUESTION 64
It is now late October and the project is in stage 3. The label design competition has been held and the photos of the staff have been taken. The CEO and Marketing Director still need to choose the winning label design and the 12 photos for the calendar. However, the Executive has learned that two competitors are issuing calendars to MNO's customers by the middle of November. After analyzing the impact of this Issue, one of the options the Project Manager has presented to the Project Board is to close the project prematurely.
There are a number of key facts relating to this project that would need to be recorded if the project Y-e to be closed now.
Which product should show that the project has been closed prematurely and has not achieved the objectives defined in the Project Initiation Documentation (PID)?
- A. Project closure notification
- B. Benefits Review Plan
- C. End Project Report
- D. Exception Report
Answer: C
NEW QUESTION 65
Extract from the Project Product Description (with errors)
Which 2 statements apply to the Customer's quality expectations section?
- A. Delete entry 20 because this is an expected benefit and should be recorded in the Business Case.
- B. Delete entry 18 because standards should NOT be shown here.
- C. Delete entry 17 because this is beyond the scope of this project.
- D. Delete entry 19 because this should appear in the Product Description for the calendar and not the Project Product Description.
- E. Delete entry 16 because this should be shown on the Product Description for the photos.
Answer: A,C
NEW QUESTION 66
Which 2 alternative actions apply to the proposed user assurance for this project?
- A. Retain because selecting only one of them may cause unnecessary conflict.
- B. Retain because their divisions will be the major users of the outsourced services and they can provide the user perspective on the impact of any proposed changes.
- C. Retain because they are both very positive about outsourcing the selected business functions.
- D. Retain because they are able to help identify stakeholders and their communication requirements.
- E. Remove because neither of these individuals are from the business functions to be outsourced.
Answer: B,D
Explanation:
Explanation/Reference:
Organization Theme
Question Set 3
NEW QUESTION 67
Having created the Issue Report and analyzed the impact of removing the Facilities Division from the scope of the Outsourcing project, the proposed option exceeds tolerance. \Nhat is the next action the Project Manager should consider?
- A. Amend the Stage Plan for stage 3: remove all products related to the Facilities Division and add the activities required to deliver the new Government initiative.
- B. Update the associated Configuration Item Records with details of the Issue Report that caused the change.
- C. Create an Exception Plan to change all of the project's products to reflect the exclusion of services provided by the Facilities Division.
- D. Create an Exception Report to inform the Project Board of the situation and the available options.
Answer: D
NEW QUESTION 68
Which project controls should be established for the Outsourcing project?
- A. Highlight Reports to the Project Board; Exception Reports to the Project Board when stage or project tolerances are forecast to be exceeded.
- B. Highlight Reports to the Project Manager; Exception Reports to the Project Board when project tolerances are forecast to be exceeded.
- C. Highlight Reports to the Project Board; Exception Reports to corporate management when stage tolerances are forecast to be exceeded.
Answer: A
Explanation:
Explanation/Reference:
Testlet 1
It is now late October and the project is in stage 3. The label design competition has been held and the photos of the staff have been taken. The CEO and Marketing Director still need to choose the winning label design and the 12 photos for the calendar. However, the Executive has learned that two competitors are issuing calendars to MNO's customers by the middle of November. After analyzing the impact of this Issue, one of the options the Project Manager has presented to the Project Board is to close the project prematurely.
There are a number of key facts relating to this project that would need to be recorded if the project Y-e to be closed now.
NEW QUESTION 69
It is now late October and the project is in stage 3. The label design competition has been held and the photos of the staff have been taken. The CEO and Marketing Director still need to choose the winning label design and the 12 photos for the calendar. However, the Executive has learned that two competitors are issuing calendars to MNO's customers by the middle of November. After analyzing the impact of this Issue, one of the options the Project Manager has presented to the Project Board is to close the project prematurely.
There are a number of key facts relating to this project that would need to be recorded if the project Y-e to be closed now.
Which product should show that if anybody has any remaining resource costs to be charged to the project, they should ensure this is done by 10 November?
- A. End Project Report
- B. Project closure notification
- C. Follow-on action recommendations
- D. Benefits Review Plan
Answer: B
NEW QUESTION 70
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