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NEW QUESTION 91
A change authority has been appointed for the project. During the development of the 'classroom-based training material', a large number of changes were proposed to the design of the 'e-learning course'. Therefore, the change authority has decided to use the Moscow technique to prioritize changes based on the impact they will have on completing each stage on time.
Is this an appropriate application of the Moscow technique, and why?
- A. No, because it should be used to prioritize change based on the project's business justification.
- B. Yes, because it should be used to prioritize change based on the estimated impact on time.
- C. Yes, because it is a prioritization technique that should be used to prioritize a product's quality criteria.
- D. No, because it should define scope tolerances, supporting the management by exception principle.
Answer: B
Explanation:
Explanation
Reference https://en.wikipedia.org/wiki/MoSCoW_method
NEW QUESTION 92
Whilst identifying the mailing costs for the calendars the Project Manager was surprised to find the costs could vary considerably depending on the size of the package and the delivery service used. For the purpose of this project, the Project Manager has selected an appropriate service but feels that a corporate standard for postage would have reduced the time and effort invested. It could reduce the company's overheads by up to £20k per year. How should the Project Manager record this observation within the project?
- A. Record the observation in an Exception Report to the Project Board.
- B. Make a note of the observation in the Daily Log to be transferred to a Benefits Review Plan at the end of the project.
- C. Make an entry in the Lessons Log for future consideration by corporate management.
- D. Produce a project mandate, outlining the potential savings to be achieved by the introduction of a corporate standard.
Answer: C
NEW QUESTION 93
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. 'Reduce' Response actions which result in a lower impact and/or probability rating.
- B. Probability will be assessed against the scales defined in this Risk Management Strategy.
- C. Any risk which has an expected value of more than E1 k will NOT be registered.
- D. Every threat and opportunity identified must be clearly defined in terms of cause, event and effect.
- E. When a new problem arises, a full impact analysis will be undertaken to assess the impact on the project' objectives and Business Case.
Answer: B,D
NEW QUESTION 94
Which statement is an appropriate entry for the project approach heading within the Project Brief?
- A. The initial estimates from the feasibility study will be verified during the initiation stage.
- B. The Information Technology Division and the Facilities Division will be outsourced to a single service provider.
- C. MFH must better manage suppliers' performance.
- D. The Project Manager will be responsible for ensuring that the agreed project approach remains an appropriate choice.
Answer: B
Explanation:
Explanation/Reference:
NEW QUESTION 95
Using the Project Scenario and the Extract from Stage Plan for stage 3 provided as additional intonation for this question in the Scenario Booklet, answer the following 5 questions.
The Stage Plan for stage 3 has been produced.
The Engineering Manager insists that there are to be no interruptions to operations whilst photographs are being taken of the engineering staff performing their everyday duties and operating machinery. Two weeks ago the professional photographer produced the photo session schedule based on the operational staff schedule. The operational staff schedule is produced weekly and maintained by the Engineering Manager.
None of the £500 change budget has been used to date and this is available for the stage.
Which 2 statements apply to the Budgets section?
- A. Amend entry 15 because it should also include the cost of management activities.
- B. Add 'Change budget - £500'.
- C. Delete entry 16 because timescales should NOT be shown under the heading of budgets.
- D. Delete entry 17 because the risk budget should be shown in the Risk Management Strategy.
- E. Add 'Cost tolerance - +£6k 1-£6k
Answer: A,B
Explanation:
Explanation/Reference:
Question Set 2
NEW QUESTION 96
Extract from the Project Product Description (with errors)
Column 1 is a list of objectives. For each objective in Column 1, select from Column 2 the quality activity that addresses it. Each selection from Column 2 can be used once, more than once or not at all. Drop down the right answer.
Answer:
Explanation:
Explanation
NEW QUESTION 97
During previous projects, stakeholders became confused when using a number of separate project registers.
Therefore, when preparing the risk management approach, the project manager created a risk register template and added it to an integrated project register. This register is a spreadsheet that includes project assumptions, issues, dependencies, and now risks, on separate pages.
Is this appropriate for a risk register, and why?
- A. Yes, because risks are often identified as a result of issues being raised.
- B. Yes, because the project registers should be tailored to meet the needs of the organization.
- C. No, because assumptions and dependencies are sources of risk.
- D. No, because an integrated project register should include the quality register as well.
Answer: D
Explanation:
Explanation/Reference: http://prince2.wiki/Quality_Register_Template
NEW QUESTION 98
HOTSPOT
Column 1 is a list of entries from the Daily Log that occurred during stage 4 in the Controlling a Stage process. For each entry in Column 1, select the first management product from Column 2 that should have been updated, or created, as a result of the entry. Each selection from Column 2 can be used once, more than once or not at all.
Drop down the right answer from column 1 to column 2.
Answer:
Explanation:
NEW QUESTION 99
Which 2 statements apply to the Composition section?
- A. Delete entry 3 because this is NOT a major product to be delivered by this project.
- B. Amend entry 2 to 'Selected paper'.
- C. Add 'Calendars distributed to customers'.
- D. Delete entry 7 because these will be produced by the photographer.
- E. Move entry 6 to Derivation because this product already exists.
Answer: A,B
NEW QUESTION 100
HOTSPOT
Product Summary
A list of customers will be collated. This will use existing information from the Accounts department about current customers, and existing information from the Marketing department about prospective customers.
Using the tariff of mailing costs available from the Post Office, a production cost forecast will be produced to allow the CEO and the Marketing Director to decide whether to continue with the project. If they decide to continue, they will give the approval to launch the internal label design competition. Competition rules will be required to communicate details of the competition to the staff. The chosen label design will then be selected from the competition entries.
The photos for the calendar must be based on existing photo design ideas available from the Marketing department. The selected photos will be chosen from these. Monthly calendar displays will be created to show the required layout of each page.
Product Breakdown Structure (contains errors)
Extract from Stage Plan for stage 3.
(All entries are true statements but may not be shown under the correct heading or in the correct document).
Using the Product Summary and Product Breakdown Structure provided as additional Information for this question In the Scenario Booklet, answer the following question.
Column 1 is a list of some of the entries in the product breakdown structure. Determine whether each entry in Column 1 has been correctly shown in the product breakdown structure. Select from Column 2 the appropriate statement that correctly describes that entry. Each selection from Column 2 can be used once, more than once or not at all.
Hot Area:
Answer:
Explanation:
NEW QUESTION 101
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. Supplier assurance
- B. Senior supplier
- C. Corporate, programme management or customer
- D. Project manager
Answer: C
NEW QUESTION 102
Which of the following management products ARE updated as part of Managing a stage boundary?
1.Business Case
2.Benefits Review Plan
3.Configuration Item Records
4.Project Brief
- A. 1, 3, 4
- B. 2, 3, 4
- C. 1, 2, 3
- D. 1, 2, 4
Answer: C
NEW QUESTION 103
Which 2 statements should be recorded under the Costs heading?
- A. The project will be funded from the business marketing budget
- B. Project costs are estimated to be a total of £26.5k.
- C. 10 further orders with an average profit of £2k will deliver a benefit of £20k in the first year.
- D. The new company logo is estimated to cost £4k.
- E. The MNO marketing budget this year is £120k.
Answer: A,B
Explanation:
Explanation/Reference:
Testlet 2
Scenario
A central government department, the Ministry of Food Hygiene (MFH), faces increasing pressure to cut costs, better manage suppliers' performance and reduce the confusion caused by inadequate internal controls, outdated standards and outdated technology. External consultants were employed to conduct a feasibility study to identify options to address the problems, and the likely costs and benefits. The following options were considered:
● Do nothing.
● Re-engineer selected business functions.
● Outsource selected business functions.
The feasibility study concluded that there was a case for outsourcing the MFH Information Technology Division and the Facilities Division (maintenance of buildings and grounds). The recommendations were:
● One service provider should be contracted to provide the services currently provided by the Information Technology Division and the Facilities Division.
● A 10-year service contract should be agreed with the selected service provider.
The feasibility study developed high-level designs of the current organization, processes, systems and operating models, plus an outline Business Case for the required project. The external consultants also made the following recommendations for the management of the project:
● Use PRINCE2.
● Set up the project with 4 management stages:
Stage 1. Standard PRINCE2 initiation activities.
Stage 2. Create detailed designs (future organization, processes, systems and operating models) and the service level agreement between MFH and the future service provider.
Stage 3. Request and evaluate proposals, select service provider and agree contract.
Stage 4. Transfer equipment and staff, transfer responsibility for service provision and run trial period.
Initial estimates indicated that the project would cost £2.5m and take two years to complete.
MFH senior management agreed that there was a case for outsourcing, and accepted the recommendations as a basis for the project. There is an expected saving of £20m over 10 years.
The Outsourcing project has completed the Starting up a Project process and is now in the initiation stage.
Because of the strategic importance of the project, the MFH Chief Executive Officer has taken the role of Executive. A PRINCE2-experienced Project Manager has been appointed from within MFH. Staff within the business functions being outsourced will work with the external consultants who conducted the feasibility study to define the detailed designs.
NEW QUESTION 104
Project Scenario - Health and Safety Training Project:
ABC Company is a well-established training company that uses a standard model to develop training materials and deliver courses to customers.
ABC Company has commissioned a project in response to recent changes in government legislation relating to health and safety on construction sites. The project will deliver "capability to provide health and safety training", including the materials needed for classroom-based training and e-learning. The expected benefits for construction companies include a reduction in lost days and legal costs due to accidents.
The e-learning course will be developed by a specialist external consultancy. The materials for classroom-based training will be delivered by ABC Company's development team. All course materials will be piloted before they are used. ABC Company will deliver training to its customers and also hopes to sell the course materials to other training companies as part of their operational business. ABC Company will use their own sales and marketing departments to promote the courses.
The legislation requires construction companies to comply with the new legislation within two years. The course materials and trainers have to be accredited by a government agency before courses can be delivered.
ABC Company is planning to deliver pilot courses within five months of starting the project.
The ABC Company standard development model for new courses recommends the following stages:
End of the Project scenario.
Additional Information:
The Chief Executive Officer (CEO) founded the company five years ago. Under her leadership, ABC Company has grown quickly into a successful training company. It delivers a range of accredited professional training.
The Finance Director is also a founder member of ABC Company and is responsible for authorizing budgets for the Operations and Development Teams. She authorizes all large contracts personally.
The Purchasing Manager reports to the Finance Director and is responsible for managing and monitoring supplier contracts.
The Operations Director is responsible for the delivery off all training and for the training development budget. His department organizes courses, venues and trainers. They work with the Product and the Sales teams to provide a comprehensive training schedule. ABC Company's IT manager reports to the Operations Director.
The Business Development Director has recently been appointed to identify new training needs and propose new products. She will work with the Operations. Director to ensure a cost-conscious approach and that appropriate development technologies are used for the health and safety course.
The Training Development Manager reports to the Business Development Director and is responsible for developing training materials and gaining accreditation, in accordance with the standard course development model. Course developers in his team have skills in a range of development technologies and are allocated to projects as needed.
The Training Delivery Manager, who reports to the Operations Director, is responsible for ensuring that internal and external trainers deliver ABC Company training courses to the required standard. He also checks course materials to ensure they are fit for purpose and of the required quality.
The Central Services Director has responsibility for corporate communications, facilities management and configuration management. He recently led a project to consolidate all company quality systems into one quality management system and set up a corporate quality department, now managed by the Corporate Quality Manager.
The Corporate Document Manager reports to the Central Services Director. She helped establish the company's document management system and now operates it across the business. She manages a team of administrators and contracts staff when workload is high.
The Sales Director joined ABC Company two months ago and is keen to establish himself by suggesting new markets for the courses and material. All account managers and the marketing team report to him. They promote existing training courses to other training companies and existing customers.
End of the additional information.
The external team manager for the 'e-learning course' has reviewed the quality register to ensure all quality activities have been completed. The 'e-learning course' has been approved and accreditation has been achieved. As a result, the team manager updated the work package to notify the project manager that it is complete, and updated the team plan.
Is this appropriate, and why?
- A. No, because it is the configuration item record of the relevant product description that is updated, not the work package.
- B. Yes, because the project manager needs to receive confirmation that work has been completed and approved.
- C. Yes, because a team plan to gain accreditation of the 'e-learning course' is required to be part of the work package.
- D. No, because the work package should be checked to confirm the reporting arrangements of the
'e-learning course'.
Answer: B
NEW QUESTION 105
Project Scenario - Health and Safety Training Project:
ABC Company is a well-established training company that uses a standard model to develop training materials and deliver courses to customers.
ABC Company has commissioned a project in response to recent changes in government legislation relating to health and safety on construction sites. The project will deliver "capability to provide health and safety training", including the materials needed for classroom-based training and e-learning. The expected benefits for construction companies include a reduction in lost days and legal costs due to accidents.
The e-learning course will be developed by a specialist external consultancy. The materials for classroom- based training will be delivered by ABC Company's development team. All course materials will be piloted before they are used. ABC Company will deliver training to its customers and also hopes to sell the course materials to other training companies as part of their operational business. ABC Company will use their own sales and marketing departments to promote the courses.
The legislation requires construction companies to comply with the new legislation within two years. The course materials and trainers have to be accredited by a government agency before courses can be delivered. ABC Company is planning to deliver pilot courses within five months of starting the project.
The ABC Company standard development model for new courses recommends the following stages:
End of the Project scenario.
Additional Information:
The Chief Executive Officer (CEO) founded the company five years ago. Under her leadership, ABC Company has grown quickly into a successful training company. It delivers a range of accredited professional training.
The Finance Director is also a founder member of ABC Company and is responsible for authorizing budgets for the Operations and Development Teams. She authorizes all large contracts personally.
The Purchasing Manager reports to the Finance Director and is responsible for managing and monitoring supplier contracts.
The Operations Director is responsible for the delivery off all training and for the training development budget. His department organizes courses, venues and trainers. They work with the Product and the Sales teams to provide a comprehensive training schedule. ABC Company's IT manager reports to the Operations Director.
The Business Development Director has recently been appointed to identify new training needs and propose new products. She will work with the Operations. Director to ensure a cost-conscious approach and that appropriate development technologies are used for the health and safety course.
The Training Development Manager reports to the Business Development Director and is responsible for developing training materials and gaining accreditation, in accordance with the standard course development model. Course developers in his team have skills in a range of development technologies and are allocated to projects as needed.
The Training Delivery Manager, who reports to the Operations Director, is responsible for ensuring that internal and external trainers deliver ABC Company training courses to the required standard. He also checks course materials to ensure they are fit for purpose and of the required quality.
The Central Services Director has responsibility for corporate communications, facilities management and configuration management. He recently led a project to consolidate all company quality systems into one quality management system and set up a corporate quality department, now managed by the Corporate Quality Manager.
The Corporate Document Manager reports to the Central Services Director. She helped establish the company's document management system and now operates it across the business. She manages a team of administrators and contracts staff when workload is high.
The Sales Director joined ABC Company two months ago and is keen to establish himself by suggesting new markets for the courses and material. All account managers and the marketing team report to him.
They promote existing training courses to other training companies and existing customers.
End of the additional information.
The 'classroom-based training materials' will be used as the basis for developing the 'e-learning course'.
As a result, the executive wants to ensure that the 'classroom-based training materials' are of the required standard. The executive has asked to meet the project manager every day during stage 2 to discuss progress and identify any concerns regarding quality.
Is this an appropriate approach to applying the organization theme, and why?
- A. No, because the project manager should be given authority to manage the project on a day-to-day basis.
- B. Yes, because the executive should be available to provide ad hoc direction to the project manager.
- C. Yes, because the executive should be the key decision-maker on the project, supported by other project board members.
- D. No, because the senior user should be responsible for specifying the quality criteria for the training materials.
Answer: A
NEW QUESTION 106
DIRECTING A PROJECT
Here are three activities that occur during the 'directing a project' process.
Which theme (A-E) do they relate to?
Choose only one theme for each activity. Each theme can be used once, more than once, or not at all.
Answer:
Explanation:
Explanation
NEW QUESTION 107
When updating the project plan as part of Managing a stage boundary, what else might be updated?
- A. Exception Plan
- B. Project Initiation Documentation
- C. Project Management team
- D. Business Case
Answer: A
NEW QUESTION 108
Who would be responsible for maintaining the Configuration Item Records?
- A. Team Manager
- B. Project Support
- C. Project Assurance
- D. Project Manager
Answer: B
NEW QUESTION 109
Project Scenario - Health and Safety Training Project:
ABC Company is a well-established training company that uses a standard model to develop training materials and deliver courses to customers.
ABC Company has commissioned a project in response to recent changes in government legislation relating to health and safety on construction sites. The project will deliver "capability to provide health and safety training", including the materials needed for classroom-based training and e-learning. The expected benefits for construction companies include a reduction in lost days and legal costs due to accidents.
The e-learning course will be developed by a specialist external consultancy. The materials for classroom- based training will be delivered by ABC Company's development team. All course materials will be piloted before they are used. ABC Company will deliver training to its customers and also hopes to sell the course materials to other training companies as part of their operational business. ABC Company will use their own sales and marketing departments to promote the courses.
The legislation requires construction companies to comply with the new legislation within two years. The course materials and trainers have to be accredited by a government agency before courses can be delivered. ABC Company is planning to deliver pilot courses within five months of starting the project.
The ABC Company standard development model for new courses recommends the following stages:
End of the Project scenario.
Additional Information:
The Chief Executive Officer (CEO) founded the company five years ago. Under her leadership, ABC Company has grown quickly into a successful training company. It delivers a range of accredited professional training.
The Finance Director is also a founder member of ABC Company and is responsible for authorizing budgets for the Operations and Development Teams. She authorizes all large contracts personally.
The Purchasing Manager reports to the Finance Director and is responsible for managing and monitoring supplier contracts.
The Operations Director is responsible for the delivery off all training and for the training development budget. His department organizes courses, venues and trainers. They work with the Product and the Sales teams to provide a comprehensive training schedule. ABC Company's IT manager reports to the Operations Director.
The Business Development Director has recently been appointed to identify new training needs and propose new products. She will work with the Operations. Director to ensure a cost-conscious approach and that appropriate development technologies are used for the health and safety course.
The Training Development Manager reports to the Business Development Director and is responsible for developing training materials and gaining accreditation, in accordance with the standard course development model. Course developers in his team have skills in a range of development technologies and are allocated to projects as needed.
The Training Delivery Manager, who reports to the Operations Director, is responsible for ensuring that internal and external trainers deliver ABC Company training courses to the required standard. He also checks course materials to ensure they are fit for purpose and of the required quality.
The Central Services Director has responsibility for corporate communications, facilities management and configuration management. He recently led a project to consolidate all company quality systems into one quality management system and set up a corporate quality department, now managed by the Corporate Quality Manager.
The Corporate Document Manager reports to the Central Services Director. She helped establish the company's document management system and now operates it across the business. She manages a team of administrators and contracts staff when workload is high.
The Sales Director joined ABC Company two months ago and is keen to establish himself by suggesting new markets for the courses and material. All account managers and the marketing team report to him.
They promote existing training courses to other training companies and existing customers.
End of the additional information.
ABC Company uses a standard development model to develop courses and uses PRINCE2 to manage these projects. The objectives from the Health and Safety Training Project have been documented in the business plan of ABC Company. This business plan has triggered this project. As a result, to save time, the executive has decided to simplify the 'starting up a project' process. The project mandate will be adapted and becomes the project brief.
Is this appropriate, and why?
- A. No, because the project brief should be a statement which includes a fuller description of the project.
- B. Yes, because the business outcomes are clear, the project brief can be a sample statement elaborating the mandate.
- C. No, because capturing lessons from previous projects identify lessons to be applied to this project.
- D. Yes, because the executive can initiate the project based on the project mandate by passing the
'starting up a project' process.
Answer: A
NEW QUESTION 110
Who is responsible for reviewing the risk management practices to ensure they are in line with the project's risk management strategy?
- A. Team Manager
- B. Project Assurance
- C. Project Support
- D. Project Manager
Answer: B
Explanation:
Explanation/Reference:
Testlet 1
Scenario:
The Ministry of Food Hygiene (MFH) has a quality management system which contains a document control process to manage all documentation requirements. The document control process was created by the MFH Quality Manager, who now maintains all of MFH's documents and performs an organization-wide configuration management role. The MFH Quality Manager will administer the configuration management procedure for the Restructuring project since this must comply with the MFH document control process.
NEW QUESTION 111
Scenario
Additional Information
During the initiation stage the Project Manager met with the Marketing Director to find out more about the requirements of the promotional calendar and recorded the following notes:
There has been a reduction in the order numbers at the MNO Manufacturing due in part to the increased marketing activities of its competitors. 10% of customers have not re-ordered in this financial year and staff morale is poor. A number of skilled staff have left as a result and replacement staff have not been recruited due to the reduced operation. If the project is successful, a recruitment campaign will be required to fill the existing staff vacancies and there may be a requirement for additional staff. Operational costs are likely to increase because skilled staff are expensive and difficult to find.
In financial terms, there were a total of 1,500 orders in the last financial year, each with an average profit of
£2k. The Marketing department believes that sending a promotional calendar to our current and prospective customers would increase orders by at least 10% with a minimum of 10 further orders from the list of prospective customers within 12 months from the date of distribution.
The Marketing Director will be funding the project from the business marketing budget. She believes that the effect of a good company image portrayed by a successful calendar would last into a second year. She has forecast the same increase in orders for a second year and predicts that the annual employee satisfaction survey will show a measurable improvement in staff morale.
A number of alternatives were explored, including:
* 20% discount for all repeat customers - not cost-effective and very short term
* A promotional calendar as a free Christmas gift - would target current and prospective customers and the benefits would last into a second year
* A series of television and press advertisements was too expensive
* A direct mail shot to all customers - benefit would be short term
* Creation of an internet website - would not suit all customers
The calendar is seen as the favored option, as long as the company's competitors do not increase their marketing activity. Whilst the Marketing department wants a very high quality, glossy product, the project management team must be aware of the cost this will incur.
Using the Project Scenario and the additional Information provided for this question In the Scenario Booklet, answer the following question.
Which 2 statements should be recorded under the Costs heading?
- A. The project will be funded from the business marketing budget
- B. Project costs are estimated to be a total of £26.5k.
- C. 10 further orders with an average profit of £2k will deliver a benefit of £20k in the first year.
- D. The new company logo is estimated to cost £4k.
- E. The MNO marketing budget this year is £120k.
Answer: A,B
NEW QUESTION 112
Scenario
Product Summary
A list of customers will be collated. This will use existing information from the Accounts department about current customers, and existing information from the Marketing department about prospective customers.
Using the tariff of mailing costs available from the Post Office, a production cost forecast will be produced to allow the CEO and the Marketing Director to decide whether to continue with the project. If they decide to continue, they will give the approval to launch the internal label design competition. Competition rules will be required to communicate details of the competition to the staff. The chosen label design will then be selected from the competition entries.
The photos for the calendar must be based on existing photo design ideas available from the Marketing department. The selected photos will be chosen from these. Monthly calendar displays will be created to show the required layout of each page.
Product Breakdown Structure (contains errors)
Extract from Stage Plan for stage 3.
(All entries are true statements but may not be shown under the correct heading or in the correct document).
Using the Project Scenario and the Extract from Stage Plan for stage 3 provided as additional intonation for this question in the Scenario Booklet, answer the following 5 questions.
The Stage Plan for stage 3 has been produced.
The Engineering Manager insists that there are to be no interruptions to operations whilst photographs are being taken of the engineering staff performing their everyday duties and operating machinery. Two weeks ago the professional photographer produced the photo session schedule based on the operational staff schedule. The operational staff schedule is produced weekly and maintained by the Engineering Manager.
None of the £500 change budget has been used to date and this is available for the stage.
Which 2 statements apply to the Plan prerequisites section?
- A. Delete entry 3 because the production cost forecast is a deliverable of stage 2, not a prerequisite for stage 3.
- B. Delete entry 2 because these are project benefits not prerequisites of the stage.
- C. Add 'Compliance with the Data Protection Act'.
- D. Delete entry 4 because the customer list is a deliverable of stage 2, not a prerequisite for stage 3.
- E. Add 'Engineering team must be made available for photos'.
Answer: B,D
NEW QUESTION 113
......
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