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NEW QUESTION # 80
While preparing the Configuration Management Strategy, the Project Manager considered the options for
change control. He decided to recommend a change budget of E250k, but was undecided on the Change
Authority to recommend.
Which option is an appropriate Change Authority for the Outsourcing project?
- A. The Director of Facilities and the Director of Information Technology to approve all changes.
- B. Senior User(s) and Project Assurance representatives, within the limits of the recommended change
budget. - C. The selected service provider to approve and implement all changes.
Answer: B
NEW QUESTION # 81
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to cut costs, better manage suppliers' performance and reduce the confusion caused by inadequate internal controls, outdated standards and outdated technology.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.
Which 2 statements should be recorded under the Expected benefits heading?
- A. The 10-year outsourcing contract will enable MFH to stabilize costs at agreed levels.
- B. The confirmed cost of the Outsourcing project is £2.5m, but with considerable savings over 10 years.
- C. The 10-year outsourcing contract, at current prices, will be worth £80m.
- D. The total expected savings over 10 years, at current prices, is £20m.
- E. Outsourcing would allow MFH to take advantage of the best services the outsourcing industry has to offer.
Answer: A,D
NEW QUESTION # 82
What is the purpose of a Product Status Account?
- A. A log used to record problems or concerns about products
- B. A set of records that describe information about the project
- C. A report covering the status about the state of the projects products within
- D. An audit or review to compare actual status of products
Answer: C
NEW QUESTION # 83
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.
What additional risk will this place on the project?
- A. There is only (GBP)70k left in the project change budget.
- B. None because risks associated with the centralization and rationalization of the Facilities Division will be managed by another project.
- C. These changes will delay stage 3 by three weeks.
- D. The reduced value of the contracted services required by the Outsourcing project may result in an insufficient number of proposals being received.
Answer: B
NEW QUESTION # 84
PRINCE2 proposes 3 levels of Plan, which are they?
- A. Initiation, Project and Benefit Review Plans
- B. Project, Stage and Team Plans
- C. Initiation, Project and Stage Plans
- D. Project, Stage and Exception Plans
Answer: B
NEW QUESTION # 85
Which 2 statements explain why the Marketing Director should be appointed as the Executive for this project?
- A. She has been with the company for three years.
- B. She previously had a successful career in publicity.
- C. She is able to represent the business needs of MNO Manufacturing.
- D. She has authority to commit the marketing budget, from which the project will be funded.
- E. She requires more experience working with the engineering industry.
Answer: C,D
NEW QUESTION # 86
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 E500 change budget has been used to date and this is available for the stage.
Which 2 statements apply to the Monitoring and control section?
- A. No change to entry 12 because this describes how the Project Board will control the stage.
- B. Delete entry 14 because the Product Status Account is NOT an ad-hoc report. It is produced at the end of
each stage to identify any variations between planned status, reported status and actual status of the
stage's products. - C. Delete entry 11 because this relates to the monitoring and controlling of the Project Plan, not the Stage
Plan. - D. Move entry 12 because the Highlight Reports are deliverables of this stage and should be shown under
Product descriptions. - E. Delete entry 13 because this is part of the Controlling a Stage process.
Answer: A,C
NEW QUESTION # 87
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 Planning assumptions section?
- A. No change to entry 8 because this cannot be confirmed until all of the label designs entries have been received and an assessment made.
- B. Delete entry 10 because the inclusion of different members from the Engineering team in each photo should be shown in the Product Description for the photos.
- C. Move entry 9 to External dependencies because the photo session schedule is created by the professional photographer.
- D. Delete entry 9 because the photo session schedule should have been approved as part of stage 2.
- E. Move entry 8 to External dependencies because the label designs are created outside of the scope of the project.
Answer: A,B
NEW QUESTION # 88
The Team Manager has received notification that the new hardware and software solution has been installed and completed, but there is a concern that it has not been approved by the appropriate people.
Which 2 actions should the Team Manager take to check that the completed products have been approved as required?
- A. Check the Configuration Management Strategy for product handover procedures.
- B. Check the approval records as required in the Work Package.
- C. Check the Work Package to ascertain who should approve the completed Work Package.
- D. Check the Product Descriptions for the quality method required.
- E. Check the Product Descriptions to ascertain who should have approved the products.
Answer: B,E
NEW QUESTION # 89
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 capturing lessons from previous projects identify lessons to be applied to this project.
- B. Yes, because the business outcomes are clear, the project brief can be a sample statement elaborating the mandate.
- C. Yes, because the executive can initiate the project based on the project mandate by passing the
'starting up a project' process. - D. No, because the project brief should be a statement which includes a fuller description of the project.
Answer: D
NEW QUESTION # 90
Which of the following statements is FALSE regarding the Continued Business Justification?
- A. The justification for the project should remain valid
- B. The justification for the project may change
- C. If the project is no longer justified it should be stopped
- D. The justification for the project must remain the same throughout the project
Answer: A
NEW QUESTION # 91
Scenario
Extract from the Project Product Description (with errors)
Which 2 statements apply to the Acceptance criteria section?
- A. Move entry 21 to Composition because the photos are part of the final product.
- B. Delete entry 22 because the development of the new company logo is not within the scope of the Calendar project.
- C. Move entry 23 to Derivation because the Data Protection Act already exists.
- D. Delete entry 24 because this is NOT a suitable acceptance criteria for this project.
- E. Amend entry 21 to 'Appearance - 12 photos each showing different members of staff.
Answer: B,E
NEW QUESTION # 92
During the 'create the project plan' activity as part of the initiation stage, the project manager identifies several threats to the project timescales. These threats relate to stage 3 products. Therefore, the project manager decides to wait until the end of stage 2 to assess the risks to the project plan.
Is this an appropriate application of the plans theme, and why?
- A. No, because the risk actions to manage project-level threats should be recorded in the risk register.
- B. Yes, because detailed planning of stage 3 should take place after completion of the stage 2 products.
- C. No, because the risks inherent in the project plan should be assessed, and the plan modified to manage them.
- D. Yes, because risk planning should take place in the stage plan before the risks occur, not in the project plan.
Answer: C
Explanation:
Explanation/Reference: https://books.google.com.pk/books?id=CSm7x74Px94C&pg=PA181&lpg=PA181&dq=prince2
+risks+inherent+in+the+project+plan+should+be+assessed,+and+the+plan+modified+to+manage
+them&source=bl&ots=wY57bkzn3M&sig=ACfU3U2SjvwFX9KajLooA41PHyOT8-
nHAA&hl=en&sa=X&ved=2ahUKEwjwk9b1ybnhAhWhMewKHWLwCQYQ6AEwCXoECAgQAQ#v=onepage&q
=prince2%20risks%20inherent%20in%20the%20project%20plan%20should%20be%20assessed%2C%20and
%20the%20plan%20modified%20to%20manage%20them&f=false
NEW QUESTION # 93
Product based planning focuses on which of the following:
1. Creating product descriptions
2. Identifying activities
3. Creating a Product hierarchy
4. Creating a Product sequence
- A. 1, 2, 4
- B. 2, 3, 4
- C. 1, 2, 3
- D. 1, 3, 4
Answer: C
NEW QUESTION # 94
Scenario
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 Proximity heading?
- A. The risk of MFH having no outsourcing experience will be categorized as Stage 4 proximity.
- B. Proximity categories for this project are: Imminent; Within the stage; Within the project; Beyond the project.
- C. The risk of staff leaving the organization will be categorized as beyond the project proximity.
- D. Imminent risks are those which may occur within two weeks.
- E. Any risk with a proximity category of imminent will be estimated as having a very high impact.
Answer: D,E
NEW QUESTION # 95
The Work Package has been in progress for four weeks and has four weeks remaining. The Information Technology Team Manager is concerned that he has no idea what the service provider is doing about preparing to accept the transfer of Information Technology equipment and staff. He is uncertain about what should be happening.
Which 2 initial actions should the Team Manager take in response to this concern?
- A. Raise this concern in the next fortnightly Checkpoint Report.
- B. Raise an issue to notify the Project Manager of this concern.
- C. Check the Information Technology Work Package for development interfaces to see whether the service provider Team Manager should have been liaising with the Information Technology team during development.
- D. Notify the Project Manager by raising an Exception Report.
- E. Check the Communication Management Strategy to ascertain what records of communications with the service provider are required.
Answer: B,C
Explanation:
Topic 11, Managing a Stage Boundary and Closing a Project
NEW QUESTION # 96
Which 2 statements explain why the Sales Manager should be appointed as a Senior User for this project?
- A. He joined the company last year with huge enthusiasm.
- B. He reports directly to the Marketing Director.
- C. The launch of a company calendar will impact the Sales department.
- D. He is able to represent current and prospective customer interests.
- E. He would like to move into the Marketing department in the future and sees this as an opportunity to work closely with the Marketing Director.
Answer: C,D
NEW QUESTION # 97
Which 2 statements apply to the Development skills required section?
- A. Move entry 13 to Derivation because this is a source of information for this project.
Delete entry 14 because this skill is NOT required within this project. - B.
- C. Add 'Knowledge of Data Protection Act.
- D. Delete entry 15 because this skill is NOT required within this project.
- E. Move entry 13 to Composition because the appointment of the photographer is within the scope of this project.
Answer: C,D
NEW QUESTION # 98
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. Yes, because the executive should be available to provide ad hoc direction to the project manager.
- B. No, because the project manager should be given authority to manage the project on a day-to-day basis.
- 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: B
NEW QUESTION # 99
Additional Information Product Description
Quality notes from the Daily Log
The Director of Information Technology Division (DIT) has been asked to ensure that any changes to the outsourced staff employment contracts adhere to employment law. The DIT will review future job descriptions of the transferred staff before the final contract is signed with the selected service provider.
The service level agreement between MFH and the selected service provider will specify the type and quality of service required. The selected service provider must follow the industry standards for providing outsourced services.
MFH has a quality management system which contains a document control procedure for all its documentation, however this does not include change management.
All project documents will be subject to a quality review. Nominated products will require a
formal approval record signed-off by the quality review chair.
Extract from the draft Quality Management Strategy (may contain errors)
Introduction
1.This document defines the approach to be taken to achieve the required quality levels during the project.
2.The Project Board will have overall responsibility for the Quality Management Strategy.
3.Project Assurance will provide assurance on the implementation of the Quality Management Strategy.
Quality management procedure - Quality standards
4.The selected service provider will operate to industry standards for providing outsourced services.
5.MFH document standards will be used.
Records
6.A Quality Register will be maintained to record the planned quality events and the actual results from the quality activities.
7.Configuration Item Records will be maintained for each product to describe its status, version and variant.
8.Approval records for products that require them will be stored in the quality database. Roles and responsibilities
9.The DIT will check that the employment contracts for outsourced staff adhere to employment law.
10.
Team Managers will provide details of quality checks that have been carried out.
11.
Team Managers will ensure that the Quality Register is updated with the names of team members who are involved in the review process.
12.
The Senior User will review the Product Descriptions of the products to be produced by the selected service provider to ensure that they can be achieved.
Which is a correctly defined acceptance criterion for the transferred facilities computer system?
- A. Back-up of data must be kept until the data is no longer needed.
- B. Planned periods of shutdowns of the computer system must be kept to a minimum.
- C. No (zero) loss of system functionality.
- D. Must be subject to regular back-ups.
Answer: C
NEW QUESTION # 100
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