There are certain components that contribute to writing and designing effective emails. Here we will explore six main components of effective emails: the audience, subject line, copy, design, call to action and imagery.
1. Audience: Before writing your email copy, it is important to know who your audience is so you can align your email message to the right recipients.
2. Subject line: This is the deciding factor on whether the recipient will open your email. It should be clear, personalized, relevant to the recipient and aligned to the email copy.
3. Email Copy: This is the meat of your email marketing. It should offer a message that is relevant to the recipient and should provide value. The tone of your email comes into play here. You should write in the second person; more of ‘you’ and less of ‘we’. It should be engaging but brief and succinct. Readers should be able to skim and scan through the email and still get the general gist of your message.
4. Design: Design is not just the look and feels of an email but how it works. It helps to decide whether or not to include imagery and where to place a call to action button. The style and layout of your email copy can have an impact on how recipients receive your message and the font style, volume of text and how the text is justified in an email can all contribute to how your message resonates with your recipient. Striking a balance between email copy and design can help to drive conversions to retain customers, build relationships and inspire evangelists.
5. Call to Actions (CTA): When creating an email, ask yourself ‘ What do I want the recipient to do?’. The language in your CTAs should be actionable, as you want the recipient to take some kind of action. The CTA should be clear, concise, obvious and easy to identify. A strong CTA should create a sense of urgency and prompt the reader into action.
6. Imagery: Using images in an email is a colourful and engaging way to appeal to your recipient’s visual nature. Images give recipients an idea of what you are offering, whether it is a product or service. Images should be used effectively and complement the text in your email rather than detract from it. We will now look at each component in more detail.
Before writing, designing and sending an email copy, it is important to know who your audience is and ensure you are sending the right message to the right person. The buyer’s journey is the research a buyer goes through before purchasing. There are multiple stages the buyer goes through before and after purchase:
Awareness and Interest Stage: The buyer becomes aware of their need for a product or service and begins to look for solutions that will fulfil it.
Consideration Stage: The buyer has researched solutions and is considering their options. They have developed a certain view on the products available on the market and are aware of their personal preferences.
Conversion Stage: The buyer has selected the product they want and has made a decision to buy.
Retention Stage: Buyer and brand build a strong relationship. The customer receives valuable information that turns a satisfied customer into a true fan of your brand.
So what does the buyer’s journey have to do with email and your audience? Identifying the stage that your recipients are at in the buyer’s journey will help you to align the type of email you use and the message you send to the recipient.
For a new customer at the awareness or interest stages, you may send a welcome email within the first 24 hours of them subscribing to your list thanking them for signing up, letting them know what they should expect to receive from you and how frequently they should expect to receive them.
You may send regular email newsletters to existing customers to ensure that they stay engaged with your brand. Sending holiday and seasonal emails will build a relationship with your customers that doesn’t circulate around driving them to make a sale. Inviting them to events, such as product launches or a store opening, offers them an experience, further building trust and connection with you and your brand.
For your evangelist, are not just on board with your brand, but are advocates for it and believe in your message. You will want to send them emails with content they can share or resources they can download. When your evangelists get to the retention stage of the buyer’s journey it does not necessarily mean they stop there, you can bring them back to the top of the funnel, making them aware of new products or services through targeted content.
As we have just seen, identifying where your recipients are at in the buyer’s journey can help to align your emails effectively. In the slide above we see an example of a 32-year-old woman, named Claire. What we know about Claire is that she is career-driven, has an interest in fashion and is searching for a new outfit for work.
She has already come across your clothing website online, has selected a few outfits and entered her details to sign up before paying for the products. However, she left your website before completing the purchase. How do you use email to encourage Claire not just to come back to purchase, but to re-engage with your brand? And how does recognizing what stage she is at in the buyer’s journey help to send her the right email?
You could send her a welcome email, thanking her for signing up to your email list when she entered her details before leaving the purchase, offer her an option to confirm whether she would like to opt in to get regular newsletters and offers and then remind her of the items she has left in the online cart.
After this, the next step would be to help Claire move from the Consideration stage to Conversion. You want her to buy the new outfit from your company and not your competitors. Here, emails with product information and sale offers would perform well with the goal of getting Claire to buy.
As the saying goes, you never get a second chance to make a first impression, so it is important to start off on the right foot. The subject line of an email is the first thing a subscriber sees to determine if they want to open your email or not. If the subject line isn’t compelling the user will simply ignore your email.
By adding a sense of urgency to the subject line, you can draw the user in by prompting them to open the email to find out more. Always ensure the body of the email aligns with the subject line. If it’s not related, the user may no longer open your emails or unsubscribe altogether.
Be engaging and relevant to the recipient. Know who is opening your emails and how the subject line may affect this. Shorter subject lines are more impactful for B2C opens, while longer and descriptive subject lines often yield higher open rates for B2B. As always, be sure to test your audience and find out what works best for them.
There are various themes you can apply when creating a subject line for your email. The subject line will set the tone for the email and let the recipient know what to expect.
Here are some of the themes you can apply to your subject line and we will take a deeper look at each in the next few slides:
Self-interest
Curiosity
Offer
Urgency
Humanity
News
Social Proof
Story
Let’s take a look at the first four subject line email tones here and some points on how you can craft your subject to match that tone.
Self Interest: This speaks directly to the user and shows what benefit the customer will gain by opening the email. They also provide a clue to the reader about what’s in the email.
Curiosity: Without giving too much away you draw the user in prompting them to open the email and read further. Be careful when using this tone as if the subject line provides no information at all, the user might ignore the email completely.
Offer: If you are giving something away or having a sale, mention it in the subject line. Everyone loves free stuff and it’s a great way to convince the user to open it!
Urgency: This tells the reader they must act now or they will miss out. It’s a very powerful subject line tone but only use when there truly is a deadline or expiration.
Subject line
Now let’s take a look at the other four email subject line tones, and how you can craft one for your email.
Humanity: By adding a human appeal for attention or telling a story you are letting the reader know there is a person behind your product or service.
News: Providing the latest news about your company or the newest features to your product always performs well and drives open rates. These subject lines often work well with the curiosity tone.
Social Proof: Share success stories and inform users about how many other people are using your product or service. Humans will always look at the behaviour of others when making decisions.
Story: Tell the user a story or the beginning of one can draw the user into the email to read more.
Here we will take at some examples of subject lines that all relate to a certain tone.
Offer: ‘10-week live training and certification’. You let the reader know what you are providing and if this is something they are interested in, they will open the email.
Self-Interest: ‘28 ways to increase organic social traffic. This subject line is direct and clear. If the user wants to see how they can increase their organic social traffic, they will open to find out more.
Urgency: ‘Are you In or Out?’. Simple and direct with a sense of urgency, the user believes they might miss something if they do not open it.
News: ‘ANNOUNCING: Marketing Mastery Class’. This lets the user know this is something new and draws them in to read more about the class.
Here are a few more example subject lines that all relate to a certain tone.
Humanity: ‘Why I (kinda) HATE surveys… ’. The use of ‘I’ here lets the reader know there is a real person behind the email.
Social Proof: ‘[Case Study] $25,865/mo in recurring revenue’. The use of a case study lets the reader know how something was achieved and how they can do it.
Story: ‘I got Botox—& THIS is what it looked like. This draws the reader in with the start of a story. If they want to see what happened, they will open the email.
Curiosity: ‘Pokemon GO: 3 Marketing Mistakes, Millions of Users Lost!’. The use of curiosity makes the reader wonder what three mistakes were made.
Here are some statistics around email subject lines and what you can do to increase your open and click rate:
Emails that have a personalized subject line have a 26% better open rate. Personalize your subject line by including the user’s first name or username.
Segmented emails see an increase of 14% opens and 100% clicks. Segment your audience by grouping similar users together and sending them a relevant message.
80% of users say spelling errors are unacceptable mistakes. Always QA your emails before sending and have teammates proofread the copy. This will help eliminate spelling errors.
Let’s take a look at the email copy, which is the text the recipient reads. This includes the name, subject line, and body copy of an email.
The copy in both the subject line and the body of an email should grab the user’s attention and draw them in, build anticipation about what the email offers and call the reader to action.
No matter how fancy the email looks, if the email does not have well-written content your subscribers will stop reading and eventually ignore your emails.
Whether they are a new customer, existing customer, or brand evangelist the message will differ and should cater to individual users’ needs.
If the user found your subject line compelling they will open the email. It’s here you must follow up on what you promised and make it easy for the user to take action. Here are some guidelines that will help you to create a good experience for your users:
Simple & Strong: The email should capture the readers’ attention and keep them interested.
Scannable: Users only spend a couple of seconds scanning your email to see if it’s relevant. The main message should be clear. Using bullet points can help get the main points across.
Less “We” and more “You”: The message in the email should focus on the readers’ needs and how the email can help solve their problems.
Benefits versus Features: The reader wants to know what’s in it for them. What benefit will they get from reading your email?
Here are a few more guidelines for the copy in your email. It’s important to try to incorporate all the guidelines into your email. This will lead to better-performing campaigns.
Align with the subject line: If the content of the email doesn’t relate to the subject line, the user is less likely to take action.
Know your target market: Recognize what your audience wants and send them relevant content. For example, for a newsletter, if a user has set their preference to receive the emails weekly ensure you don’t send to them daily or monthly.
Singular goal: The email should have one goal such as clicking through to a landing page. If the email contains too many links that all go to different web pages then the marketing strategy won’t be successful.
Sense of urgency: By adding a sense of urgency to the email, the user is encouraged to take action immediately. This can help with the goal of the email campaign.
Legal Requirements
The last piece to creating an email is a legal requirement that all emails have to contain an unsubscribe link and a postal address so that the user can opt out of receiving the emails. It’s best practice to include the unsubscribe link and postal address in the footer of the email.
While not mandatory, including some text around why the user is receiving the email, social media links, and a link to your company’s privacy policy in the footer helps to provide a better experience for the reader.
The email design is not just the look and feel of an email but how it works and flows for the reader. Before jumping into how best to design your email, we need to answer the question, why is email design so important? The following are some of the main reasons why an effective and appealing design is important to implement throughout your email campaigns:
User experience: Having a good email design will add to the users’ experience. If the email looks and flows well, the user is more likely to continue reading your email and click through.
Consistent experience: If you send a regular newsletter, having the same design/layout in each will help the reader recognize your email and become familiar with its content. If the design regularly changes, this will only confuse the reader and reduce click-through rates.
Conveys your message in style: Nobody wants to read a wall of text. By splitting your content up into bite-size chunks with clear headers, the user is more likely to read and more importantly engage with your email.
Direct imagery and graphics: Images are a great way to showcase your product or service. In the example above, iPhone uses an image of their new phone allowing the reader to become familiar with the product.
Placement of CTAs: Clicking the CTA is often the main objective of an email. Having a clear CTA at the top and bottom of the email will make it easier for the reader and help them click through to the landing page.
Drives conversions: If the email is well designed and contains relevant information the user is more likely to take action and convert.
The first steps when creating a compelling email design are to identify who you are and to choose the colour palette.
It is best practice to include your company’s logo at the top of your email and also use your brand’s colour palette for CTAs, headers etc. These will allow a reader to easily recognize your emails and become more familiar with your brand.
In the above example from the Digital Marketing Institute, the head of the email includes the company’s logo so all readers can easily recognize the email, and the email also makes use of the colour blue which is part of the company’s colour palette. The logo and colours are used in all of their emails as well as their website, leading to a consistent experience for the user.
Another key component for designing effective emails is the layout. The layout controls the flow of the email and makes it easier for the reader to look at.
Organize for quick reading: Bold and colour the headers in your email to help the reader scan the email to find relevant information.
Make room: When designing the layout of your email, don’t be afraid to space out your content making it easier to read when there are multiple sections.
Align your content: Use the same width, font size, and colour for similar sections of the email. If one paragraph is 500 pixels wide and is left-aligned, make sure all other paragraphs are too.
Define your sections: If your email has multiple sections (e.g. Blog articles) make sure they are defined. You can use a different background colour or a dividing line to show where each section starts and ends.
Above the fold: Depending on the reader’s device screen size only a small portion of the email will be in view before they have to scroll. Place your most important piece of information and CTA in the top portion of the email.
600 pixels width: Keep your email less than 600px in width to ensure it displays well in all email clients and browsers.
The next key component when designing an email is the font you use. The font in your email should be consistent throughout. Use the same font style, font size, and font colour for all sections that are similar.
Also, avoid using a small font size as many readers will be viewing on mobile devices. Your company may specify what the brand font style is that is used on your company website, this font should be kept consistent in all emails also.
Here we can see two marketing emails, the email from Macy’s on the left-hand side is quite busy, predominantly image-based and offers multiple ways to respond, but no clear and obvious CTA. The subject line advertises Father’s Day gift ideas, but then the first link is for women’s products and there’s also a link for handbags. The font sizes vary within the same sections, making the advertisement look inconsistent and off-putting. Also, Macy’s brand identity is quite unclear without a logo displayed or mention of the shop in the email.
The email on the right is an example of one of Virgin’s welcome emails to a new customer. The message of the email is clear; Virgin has reached out to talk about what they do as a business. There is a good use of white space, making the images, copy and offer clearer. The recipient is prompted to ‘explore more with a clear call to action.
The identity is clearly represented by the colours used and the logo standing out in the header. The font sizes are consistent within different sections of the email, making it easier to scan and skim.
How To Create High-Performing Emails
In this article, I will take a look at:
How to develop a high-performing email strategy
What an email service provider is and the role it plays in running email campaigns
How you can capture more data about your contacts
How you can grow and manage your contact database
Let’s look at the first principle for building an effective email marketing strategy, segmentation. Segmentation is grouping similar users together and sending them relevant content. Segmenting your email lists will help you get better open rates, click rates and conversions. By sending messages to targeted segments within your lists, your recipients will find your campaigns more relevant. For example, a car dealership could segment their email list by users who are interested in similar cars, such as all users who are interested in BMWs and send them information specifically about BMWs. The more information you collect about your email recipients, the more effectively you can segment your audience and tailor your campaigns.
There are various ways you can segment your email lists and it’s important to tailor your messages to the relevant audience. The more information you collect about your email recipients, the more opportunities you have to send emails with content that is relevant and engaging for the recipient.
Here are just a few ways you can segment your email recipients:
Demographics – Gender, Age, Geography, Education
Job role/industry/company type
Purchase history
Web traffic
Interest groups
Clicks/Opens/Content format
Change in engagement/behaviour
The next principle we will discuss is personalization and the impact it has on running an effective email strategy. By personalizing your emails you give the user a unique experience, which will help drive opens, clicks and conversions. Here is an example of an email from Amazon, tailored specifically to the user:
A. Recommendation for the customer: the email clearly states “We have a recommendation for you” letting the user know that this email is tailored to their interests B. Addresses the customer by name: using a customer’s first name makes the email seem more personal C. Display a product based on the customers viewing history: By using data on customers viewing history you can compose an email the user will immediately recognize and increase the chance of a conversion
It is important to be strategic about the timing of your email to ensure it delivers the right message at the right time in order to drive open rates. For the majority of email campaigns, one single send time will not suit all recipients. Here are some tips for improving the timing of your email send:
Test your audience: there is no specific day and time that will suit all organizations. Utilize A/B testing to find the optimal send time for your audience.
Optimal days: from the majority of studies Tuesday, Wednesday, and Thursday are the best days to send email campaigns but as mentioned above, always test this with your audience.
Optimal send times: the best sends times in a day include 10 a.m., 8 p.m.-midnight, 2 p.m, and 6 a.m.
Note: make sure to take into account customers in different time zones. Building an email list is one thing, keeping those subscribers interested through a strong email engagement strategy is another. Here are some actions that can be taken to ensure that your emails draw your readers and recipients in and keep them engaged:
Start your email communications off on the right foot by welcoming all new subscribers.
Tell your subscribers how often you will be emailing them. This will set expectations early for the recipients and they will become familiar with how often you email them.
Set expectations about what your emails are focused on. Let your subscribers know what types of emails they will be receiving and allow them to set preferences for what emails they would prefer to receive.
Simplify your email messaging. By reducing the amount of different CTAs and text in your email, you can focus the subscribers’ attention and concentrate on a single goal.
Create targeted segments around individual experiences. As we saw in segmentation, there are many ways to group users and by doing so you will see better results.
Always test your audience. The best way to see what works for your subscriber is to continuously test and optimize your emails accordingly.
After every email campaign, it’s important to perform data-driven analysis and apply the learnings to optimize future campaigns. By applying the learnings of past campaigns you can increase the opens, clicks and conversions from your emails and thus drive business growth.
We will take a look at email analytics in my next article.
To implement an efficient email strategy you will need the help of a software program. That’s where Email Service Providers come in. An email service provider, or ESP, operates and maintains the software and hardware for delivering bulk email. They provide a platform for managing and segmenting your contact lists, building email templates, and sending and tracking your campaigns on a large scale.
An ESP should make the process of sending emails and managing your contact database easier. Some of the features an ESP provides include:
Contact database: this is where the subscribers’ email address and all related information is stored, making it easy to add, edit, and remove contacts
Segmentation: because the contact database stores all the information about your contacts, the ESP can use this data to segment users
Personalization: such as adding the users the first name of each email or displaying certain content based on their preference
Automation: allowing repetitive tasks, like sending a welcome email to every new subscriber, to be automated and sent automatically
Tracking behaviour: providing insights to who opened and clicked the email
Unsubscribe management: manage users who want to opt-out from receiving your emails
Email and landing page creation: drag and drop builders allow you to quickly create and edit your emails and landing pages
Effective ESPs enable emails to be tailored to their recipients, facilitating a unique experience. This unique experience is supported by three different considerations:
#1 Merge fields Placeholders, such as an email address and greeting, where information is populated from the contact database. For example, using the customer’s first name to personalize an email. As you can see in the email on the slide, it is addressed personally to a student called Vanessa.
#2 Dynamic content It allows the content in an email to dynamically change based on data. For instance, if a user’s currency is Euro the email will display a ‘€’ symbol but if it is dollars it will display a ‘$’ symbol. We can see this dynamic content in the example shown above. The email pulls personal data about Vanessa, the recipient, a final year student at Yale. Adding specific and relevant information about the recipient gives a personalized touch to the email and builds a relationship with subscribers.
#3 Accurate Targeting
This has to do with scheduling an email campaign at a relevant time for each user, based on their country and time zone. Here the accurate targeting can be seen in how Vanessa, a student from Yale was targeted in the Summer before going back to college in Autumn.
Effective ESPs have the ability to send automated emails based on user activity, personalization, segmentation, triggered emails and scheduled emails. Marketing automation helps you to stay connected to your customers every step of the way and reduces repetitive tasks such as abandoned cart notifications, product recommendations and retargeting.
The steps shown in the above example are as follows: 1. The user is sent an email about an upcoming sale. 2. They are then placed in a 3 day wait period.
3. After that time expires, the ESP checks to see if the user has made a purchase. If they didn’t they are automatically sent another email about the sale letting them know it’s about to end. This adds a sense of urgency.
4. The user is now aware the sale is about to end and is encouraged to make a purchase. As you can see the ESP reduces the amount of manual work required to perform such a campaign. To do the same campaign without ESPs automation would require a lot more work as you would have to check all users in the campaign and see if they made a purchase, then only send the second email to those who have not.
Taking a look at the different ESPs available, you may recognize a few of the more household names such as Gmail, Yahoo and Outlook. But what separates these providers from the rest? Which ESPs are best to use for day to day communication and organization, and which ones are more suitable for creating email marketing campaigns?
Action Point
PS: I know you might agree with some of the points that I have raised in this article. You might not agree with some of the issues raised. Let me know your views about the topic discussed. We will appreciate it if you could drop your comment. Thanks in anticipation.
Fact Check Policy
CRMNuggets is committed to fact-checking in a fair, transparent and non-partisan manner. Therefore, if you’ve found an error in any of our reports, be it factual, editorial, or an outdated post, please contact us to tell us about it.
Chatbots are quickly becoming an important marketing tool in the digital space, with companies like Facebook and Twitter rolling out their versions of chatbot technology.
These tools can be used to engage customers on social media, provide customer service, and gather feedback – if used correctly, chatbots could be the ultimate tool in making your brand the industry leader.
Chatbots are computer programs that simulate human conversation, and they can be used to provide customer service, promote products or services, or simply engage with customers.
In recent years, chatbot technology has become increasingly popular in the marketing industry. There are many benefits to using chatbots in marketing, including the ability to save time and resources, increase sales and engagement, and provide a personalized experience for customers.
Additionally, chatbots can be used to collect customer data and feedback, which can be extremely valuable for businesses.
Advantages of Chatbots
1. Chatbots can provide a more personalized experience for customers since they can remember past interactions and preferences.
2. They can also help to increase customer engagement since they are available 24/7 and can answer questions quickly.
3. Chatbots can also help to gather customer feedback and data, which can be used to improve marketing strategies.
4. Additionally, chatbots can help reduce costs by automating tasks that would otherwise require human intervention.
5. For example, if you run an e-commerce site where people can contact you with any questions about their orders or order status, you could use a chatbot to respond instantly so the company doesn’t have to employ a full-time staff member just for these types of inquiries.
6. It’s important to note that chatbots are not intended as a replacement for humans; rather, they should be seen as an enhancement of current marketing efforts.
Disadvantages of Chatbots
1. Chatbots can come across as robotic and impersonal, which can turn off potential customers.
2. If not programmed correctly, chatbots can be frustrating to use, as they may not understand the natural language very well or provide the wrong information.
3. Chatbots may also give your company a false sense of security, as they cannot replace human interaction completely.
4. They can be expensive to create and maintain.
Uses of Chatbots
1. Chatbots can be used to collect customer information such as contact information, preferences, and purchase history.
2. This information can be used to create targeted marketing campaigns that are more likely to convert leads into customers.
3. Chatbots can also be used to provide customer support, answer FAQs, and resolve issues.
4. By automating these tasks, chatbots can free up time for your marketing team to focus on other tasks.
5. Chatbots can also be a helpful tool when you’re short-staffed or don’t have enough qualified employees to deal with high-volume interactions.
6. The benefits of using chatbots include increased productivity, better customer experience, and the ability to generate revenue from automation.
Final Thoughts
In conclusion, chatbot technology can be extremely beneficial for marketing purposes. By automating customer service and providing 24/7 support, chatbots can help improve customer satisfaction.
Additionally, chatbots can be used to generate leads and drive sales. When used correctly, chatbots can be a powerful tool for any marketing team.
Action Point
PS: I know you might agree with some of the points that I have raised in this article. You might not agree with some of the issues raised. Let me know your views about the topic discussed. We will appreciate it if you could drop your comment. Thanks in anticipation.
Fact Check Policy
CRMNuggets is committed to fact-checking in a fair, transparent and non-partisan manner. Therefore, if you’ve found an error in any of our reports, be it factual, editorial, or an outdated post, please contact us to tell us about it.
In my previous article, I talked about some of the facts that you need to know about some of the elements of a good website design. In this article, I want to look at the six main stages of website design process. Follow me as we are going to look at these stages together in this article.
#1 Determine website objectives First and foremost, before you write your first code for the website, there is a need for you to determine your website objective. You do not have to just create a website, you need to know the reason why you are creating the website. There is a need for you to understand your website audience. When you understand your audience, you will be able to understand their expectation for the website. This will assist you in coming up with a website that meets the need of your stakeholders.
#2 Develop strategy and choose technology After you might have been able to ascertain what your end users are expecting from the website, you need to come up with a blueprint that will enable you to deliver on the objective. There is a need for you to consider the available alternatives as far as developing your website is concerned. This will allow you to consider some of the positive and negative aspects of the website. You will be able to decide whether you have the manpower to support the technology that you have decided to go with.
#3 Develop interface After you might have decided on the technology that you are going to go with as well as how the website will be implemented, you need to now start coding and developing the website. This is covered in two main areas. You need to consider the development of the website and the creation of unique content that you are going to place on the website. This is what you are going to use to engage your audience and increase the conversion rate on the website.
#4 Test website After you might have created the website, there is a need for you to test the website in order to be sure that all elements of the website are working the way they are supposed to work. You need to confirm whether the pages are resolving to the right landing pages. You also need to consider the website links as well. You have to be sure that all the links, as well as categories on the website, are resolving to the right website as well.
#5 Host website
After you might have tested the links and the pages on your website, you need to now decide on the hosting site where your website will be hosted.
In one of my articles, I have highlighted some of the factors that you should consider when you need to choose the right type of hosting company to go with. You can click on the hyperlink to read the article. Some of the factors that you need to consider include bandwidth, price, speed, and storage among other factors that you need to consider.
#6 Maintain website The last stage that you need to consider in your website design process is to plan how you are going to maintain the website.
When it comes to maintaining the website, you need to consider two options. You can decide to handle the maintenance of the website in-house, you can also decide to contract a third party to maintain the website on your behalf. Most times also, the technology you have deployed for the website will determine whether you can maintain it in-house or you hand it over to a third-party company.
Action Point
PS: I know you might agree with some of the points that I have raised in this article. You might not agree with some of the issues raised. Let me know your views about the topic discussed. We will appreciate it if you could drop your comment. Thanks in anticipation.
Fact Check Policy
CRMNuggets is committed to fact-checking in a fair, transparent and non-partisan manner. Therefore, if you’ve found an error in any of our reports, be it factual, editorial, or an outdated post, please contact us to tell us about it.
There are many websites and blogs that are created daily across the globe. The truth of the matter is not all websites that survive their first year. I know of many people that created their websites and buy their domains through my Qservers Affiliate links but not a single one of them was able to renew their domains.
This is also one of the factors that affected me in the early years of my blogging career. I seem not to know what to do to run a successful blog.
In this article, my focus is not on blogging. I want to talk about how to create an e-commerce website. The one that will stand the test of time.
I want to say this is going to be a mother article. I will try to write some subsequent posts that will explain some of the points that I Have in this article better.
Please, you need to read all those articles that will follow this article. I am sure it will assist you in running a successful e-commerce website.
#1 Plan your website The very first that you need to consider when you want to run a successful website is to have adequate planning.
You need to consider the product that you intend to sell and how you intend to sell it. You need to consider the design of the website.
Will your website be built inside or do you plan to use a third party? It is also important to consider the capital available to you to set up the site.
All this will guide you to decide on what is and what will not be part of the website.
#2 E-commerce template The next step that you need to consider is to decide on where to buy your e-commerce template.
Whichever way you have decided whether to buy your template in-house or to contract the design of your website to a third party, they will still need to buy a template.
These templates are sometimes modified in order to suit your needs. I can say that the amount you have will determine what type of template you can afford.
You can also decide to start small and upgrade as soon as you start making money from your e-commerce website.
#3 Right domain name It has happened to me before. There are many of us that concluded and we just jumped into choosing a domain name and we later regretted that we have not taken our time to think through it.
You need to really take some thoughtful action when you are choosing your domain name.
The domain name can revolve around the product you sell and it can also revolve around the organization setting up the e-commerce website.
A good example is the Amazon website. It revolves around the organization’s name and we all know Amazon has become a household name when it comes to building an e-commerce website.
They are also leveraging that name to introduce other products and services as well.
#4 Web hosting company I once organized a successful office launch for my company and I was busy looking for where I can accommodate participants that come from outside my state.
A thought later came to my mind to host them in my house. But to my amazement, my house was rejected become of the problem with internet connectivity.
That is also what you need to consider as someone that wants to run an online business. You should choose a hosting company that is reputable and has at least 99 percent uptime.
You can allow your business to be ruined because the hosting company you have chosen cannot keep their server on or they have other issues that can threaten the existence of your website.
#5 Develop a website The next step that you need to take after you might have decided on the hosting company that you want to use is to actually develop your website and begin to plan how the actual commencement of the e-commerce will take place.
You can decide to do the development in-house or give it to a third party to help you out. This largely depends on whether you have the required expertise to guarantee that a good job will be done at the end of the day.
#6 Develop contents After your e-commerce website might have been up and running, you then need to decide on how you are going to develop the contents of your website.
As they say, content is king, you need to ensure that at all times you are feeding the search engine with fresh content.
This will guarantee that your website will keep on appearing on the Search Engine Result Page. This will guarantee that organic traffics are coming to your website.
You need to make sure that good content is created and that the contents are good enough to convert prospects to customers.
From the contents, they should be able to decide on whether they are interested in the products or not. This will help you to maximize the Return on Investment on your website.
#7 Secure the website When you are running an e-commerce website, you need to know that you will be dealing with a lot of sensitive data.
It is very possible that customers will be coming to your websites to buy your products and services.
They will have to enter their card information and other details. You need to make sure that you invest in infrastructures to secure your customer data.
This is necessary to protect them so that it will not damage your customer’s reputation.
You need to make sure that payment systems are integrated into the e-commerce website so that it will be easy for customers to pay for products that they have purchased.
It is also essential that you make more than one payment method available to your customers who might wish to purchase your products and services as well.
#9 Test the website As part of your efforts towards the official launching of your website.
There is a need for you to test your website in order to be sure that everything works the way they supposed to work.
You have to test the speed of the website. You should test the Tabs and different links that you have included in your content. You need to ensure that the contents are loading the right contents.
This will reinforce in the mind of your audience that you truly care about their experience on your e-commerce website.
#10 Promote the website After you might have created your website, you should strive to promote such a website.
You might not really expect large patronage when you just create a website and you leave it to fate.
You need to budget for campaigns and the creation of awareness programs in order to spread the word out that your website is now active.
It is also important that you include share buttons and email marketing so that your existing customers can become your brand advertisers.
There are many websites and blogs that are created daily across the globe.
The truth of the matter is not all websites survive their first year. I know of many people that created their websites and buy their domains through my Qservers Affiliate links but not a single one of them was able to renew their domains. This is also one of the factors that affected me in the early years of my blogging career. I seem not to know what to do to run a successful blog. In this article, my focus is not on blogging. I want to talk about how to create an e-commerce website. The one that will stand the test of time.
I want to say this is going to be a mother article. I will try to write some subsequent posts that will explain some of the points that I Have in this article better. Please, you need to read all those articles that will follow this article. I am sure it will assist you in running a successful e-commerce website.
#1 Plan your website
The very first that you need to consider when you want to run a successful website is to have adequate planning. You need to consider the product that you intend to sell and how you intend to sell it. You need to consider the design of the website. Will your website be built inside or do you plan to use a third party? It is also important to consider the capital available to you to set up the site. All this will guide you to decide on what is and what will not be part of the website.
#2 E-commerce template
The next step that you need to consider is to decide on where to buy your e-commerce template. Whichever way you have decided whether to buy your template in-house or to contract the design of your website to a third party, they will still need to buy a template.
These templates are sometimes modified in order to suit your needs. I can say that the amount you have will determine what type of template you can afford. You can also decide to start small and upgrade as soon as you start making money from your e-commerce website.
#3 Right domain name
It has happened to me before. There are many of us that concluded and we just jumped into choosing a domain name and we later regretted that we have not taken our time to think through. You need to really take some thoughtful action when you are choosing your domain name.
The domain name can revolve around the product you sell and it can also revolve around the organization setting up the e-commerce website.
A good example is the Amazon website. It revolves around the organization’s name and we all know Amazon has become a household name when it comes to building an e-commerce website. They are also leveraging that name to introduce other products and services as well.
#4 Web hosting company
I once organized a successful office launch for my company and I was busy looking for where I can accommodate participants that come from outside my state. A thought later came to my mind to host them in my house. But to my amazement, my house was rejected become of the problem of internet connectivity.
That is also what you need to consider as someone that wants to run an online business. You should choose a hosting company that is reputable and has at least 99 percent uptime.
You can allow your business to be ruined because the hosting company you have chosen cannot keep their server on or they have other issues that can threaten the existence of your website.
#5 Develop a website
The next step that you need to take after you might have decided on the hosting company that you want to use is to actually develop your website and begin to plan how the actual commencement of the e-commerce will take place. You can decide to do the development in-house or you give it to a third party to help you out. This largely depends on whether you have the required expertise to guarantee that a good job will be done at the end of the day.
#6 Develop contents
After your e-commerce website might have been up and running, you then need to decide on how you are going to develop the contents of your website. As they say, content is king, you need to ensure that at all times you are feeding the search engine with fresh content. This will guarantee that your website will keep on appearing on the Search Engine Result Page. This will guarantee that organic traffics are coming to your website.
You need to make sure that good content is created and that the contents are good enough to converts prospects to customers. From the contents, they should be able to decide on whether they are interested in the products or not. This will help you to maximize the Return on Investment on your website.
#7 Secure the website
When you are running an e-commerce website, you need to know that you will be dealing with a lot of sensitive data. It is very possible that customers will be coming to your websites to buy your products and services.
They will have to enter their card information and other details. You need to make sure that you invest in infrastructures to secure your customer data. This is necessary to protect them so that it will not damage your customer’s reputation.
#8 Integrate online payment
Also, you need to understand that your e-commerce website is your online store. You have to ensure that your customers can start and finish their transactions online.
You need to make sure that payment systems are integrated into the e-commerce website so that it will be easy for customers to pay for products that they have purchased.
It is also essential that you make more than one payment method available to your customers who might wish to purchase your products and services as well.
#9 Test the website
As part of your efforts towards the official launching of your website. There is a need for you to test your website in order to be sure that everything works the way they supposed to work.
You have to test the speed of the website. You should test the Tabs and different links that you have included in your content. You need to ensure that the contents are loading the right contents.
This will reinforce in the mind of your audience that you truly care about their experience on your e-commerce website.
#10 Promote the website
After you might have created your website, you should strive to promote such a website. You might not really expect large patronage when you just create a website and you leave it to fate.
You need to budget for campaigns and the creation of awareness programs in order to spread the word out that your website is now active. It is also important that you include share buttons and email marketing so that your existing customers can become your brand advertisers.
Action Point
PS: I know you might agree with some of the points that I have raised in this article. You might not agree with some of the issues raised. Let me know your views about the topic discussed. We will appreciate it if you could drop your comment. Thanks in anticipation.
Fact Check Policy
CRMNuggets is committed to fact-checking in a fair, transparent and non-partisan manner. Therefore, if you’ve found an error in any of our reports, be it factual, editorial, or an outdated post, please contact us to tell us about it.
Marketing automation and personalization have become common terms used in the marketing industry over the past few years, but what do they mean? Do you need these tools to be successful in your marketing efforts or will they only make things more complicated?
In this post, we’ll discuss these topics and give you the answers you need to increase your conversions and sales.
What is Automated Marketing?
Automated marketing is the process of using technology to automate marketing tasks. This can include tasks like email marketing, social media campaigns, and targeted ads. By automating these tasks, businesses can save time and resources while still reaching their target audiences.
Why Does Automated Marketing Matter?
In a world where consumers are bombarded with marketing messages daily, it’s more important than ever to cut through the noise and deliver a personalized message that resonates. That’s where automated marketing comes in.
By using data to segment your audience and deliver tailored content, you can create a more personal connection with your leads and customers, which can lead to more conversions.
How Does Automated Marketing Work?
In its simplest form, automated marketing is about using technology to automate tasks that would otherwise be done manually. This can include things like sending out email campaigns, social media posts, and targeted ads. By automating these tasks, businesses can save time and resources while still reaching their target audiences.
Additionally, with the growing use of personalization technologies like AI and machine learning, it’s becoming easier for marketers to create messages tailored specifically for each person. For example, a restaurant might send one customer an ad for lunch specials on Tuesdays but another customer might receive an ad with suggestions for appetizers based on their order history.
Optimizing Your Website for SEO
SEO is important for any website that wants to rank high in search engine results pages (SERPs). By optimizing your website for SEO, you can improve your chances of ranking higher and getting more traffic.
Here are five tips for optimizing your website for SEO: 1. Use keyword-rich titles and descriptions. 2. Use keyword-rich anchor text. 3. Optimize your images. 4. Use social media to promote your content.
What are Digital Assistants?
Digital assistants are computer programs that can perform tasks or provide requested information. They are designed to make life easier by automating simple tasks and providing personalized recommendations.
How Can You Benefit From Personalization?
You can use personalization to make a connection with your audience on a deeper level. When you personalize your marketing, you can target specific pain points that your audience has and offer them a solution that is tailored to their needs. You can also use personalization to stand out from the competition by offering a unique experience that is tailored to your brand.
Additionally, personalization can help you build trust with your audience by showing that you understand their needs and are invested in providing them with a great experience.
Digital Assistants, Chatbots, and Voice Search
With the rise of digital assistants, chatbots, and voice search, marketing is becoming more automated and personalized. This allows businesses to target consumers more effectively with relevant ads and content. Additionally, automated marketing can help businesses save time and money by automating tasks that would otherwise be manual.
How is Content Created in The Automation Process?
In the automation process, content is created by first understanding the customer. Once you understand the customer, you can create content that is tailored to their specific needs. This content can be in the form of ads, emails, or even social media posts.
Tools For Automating And Personalizing Your Marketing
1. List management tools like AWeber or MailChimp can help you automate your email marketing campaigns, making it easier to stay in touch with your leads and customers.
2. Social media management tools like Hootsuite or Buffer can help you automate your social media posts, making it easier to keep your profiles active and engaging.
3. Lead capture tools like LeadPages or Unbounce can help you capture leads from your website or blog, making it easier to grow your list.
Action Point
PS: I know you might agree with some of the points that I have raised in this article. You might not agree with some of the issues raised. Let me know your views about the topic discussed. We will appreciate it if you could drop your comment. Thanks in anticipation.
Fact Check Policy
CRMNuggets is committed to fact-checking in a fair, transparent and non-partisan manner. Therefore, if you’ve found an error in any of our reports, be it factual, editorial, or an outdated post, please contact us to tell us about it.
QUESTION 453 Which tool and technique is used in Conduct Procurements?
A. Teaming agreements B. Expert judgment C. Bidder conferences D. Contract types Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 454 What provides information regarding the ways people, teams, and organizational units behave? A. Organizational chart B. Organizational theory C. Organizational structure D. Organizational behavior Correct Answer: B Section: Volume D Explanation Explanation/Reference: QUESTION 455 What is a deliverable-oriented, hierarchical decomposition of the work to be executed to accomplish the project objectives and create the required deliverables? A. Organizational breakdown structure (OBS) B. Work performance information C. Work package D. Work breakdown structure (WBS) Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: 5.4.2.1 Decomposition Decomposition is a technique used for dividing and subdividing the project scope and project deliverables into smaller, more manageable parts. The work package is the work defined at the lowest level of the WBS for which cost and duration can be estimated and managed. The level of decomposition is often guided by the degree of control needed to effectively manage the project. The level of detail for work packages will vary with CAPM www.Dumpsgate.com .com 264 the size and complexity of the project. Decomposition of the total project work into work packages generally involves the following activities: Identifying and analyzing the deliverables and related work; Structuring and organizing the WBS; Decomposing the upper WBS levels into lower-level detailed components; Developing and assigning identification codes to the WBS components; and Verifying that the degree of decomposition of the deliverables is appropriate. QUESTION 456 What causes replanning of the project scope? A. Project document updates B. Project scope statement changes C. Variance analysis D. Change requests Correct Answer: D Section: Volume D Explanation Explanation/Reference: QUESTION 457 Which of the following is an output of the Distribute Information process? A. Project calendar B. Communications management plan C. Organizational process assets updates D. Project document updates Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 458 In the Develop Project Team process, which of the following is identified as a critical factor for a project’s success? A. Team meetings B. Subcontracting teams C. Virtual teams D. Teamwork Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: Process: 9.3 Develop Project Team Definition: The process of improving competencies, team member interaction, and overall team environment to enhance project performance. The key benefit of this process is that it results in improved teamwork, CAPM www.Dumpsgate.com .com 265 enhanced people skills and competencies, motivated employees, reduced staff turnover rates, and improved overall project performance. Key Benefit: The key benefit of this process is that it results in improved teamwork, enhanced people skills and competencies, motivated employees, reduced staff turnover rates, and improved overall project performance. Inputs 1. Human resource management plan 2. Project staff assignments 3. Resource calendars Tools & Techniques 1. Interpersonal skills 2. Training 3. Team-building activities 4. Ground rules 5. Colocation 6. Recognition and rewards 7. Personnel assessment tools Outputs 1. Team performance assessments 2. Enterprise environmental factors updates QUESTION 459 The project scope statement and resource calendars are inputs to which Project Time Management process? A. Sequence Activities B. Estimate Activity Resources C. Develop Schedule D. Control Schedule Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: The project team must complete a scope statement for developing a common understanding of the project scope among stakeholders. This lists project deliverables – summary level sub-products, whose full and satisfactory delivery marks the completion of the project Process: 6.6 Develop Schedule Definition: The process of analyzing activity sequences, durations, resource requirements, and schedule constraints to create the project schedule model. Key Benefit: The key benefit of this process is that by entering schedule activities, durations, resources, resource availabilities, and logical relationships into the scheduling tool, it generates a schedule model with planned dates for completing project activities. Inputs 1. Schedule management plan 2. Activity list 3. Activity attributes 4. Project schedule network diagrams 5. Activity resource requirements 6. Resource calendars 7. Activity duration estimates CAPM www.Dumpsgate.com .com 266 8. Project scope statement 9. Risk register 10. Project staff assignments 11. Resource breakdown structure 12. Enterprise environmental factors 13. Organizational process assets Tools & Techniques 1. Schedule network analysis 2. Critical path method 3. Critical chain method 4. Resource optimization techniques 5. Modeling techniques 6. Leads and lags 7. Schedule compression 8. .Scheduling tool Outputs 1. Schedule baseline 2. .Project schedule 3. Schedule data 4. Project calendars 5. Project management plan updates 6. Project documents updates QUESTION 460 Which process determines the risks that might affect the project? A. Perform Qualitative Risk Analysis B. Identify Risks C. Plan Risk Management D. Perform Quantitative Risk Analysis Correct Answer: B Section: Volume D Explanation Explanation/Reference: QUESTION 461 Which of the following is an input to the Direct and Manage Project Execution process? A. Approved change requests B. Approved contract documentation C. Work performance information D. Rejected change requests Correct Answer: A Section: Volume D Explanation Explanation/Reference: QUESTION 462 CAPM www.Dumpsgate.com .com 267 Which of the following factors is lowest at the start of the project? A. Cost of changes B. Stakeholder influences C. Risk D. Uncertainty Correct Answer: A Section: Volume D Explanation Explanation/Reference: QUESTION 463 In which domain of project management would a Pareto chart provide useful information? A. Project Scope Management B. Project Time Management C. Project Communications Management D. Project Quality Management Correct Answer: D Section: Volume D Explanation Explanation/Reference: QUESTION 464 Ensuring that both parties meet contractual obligations and that their own legal rights are protected is a function of: A. Conduct Procurements. B. Close Procurements. C. Administer Procurements, D. Plan Procurements. Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 465 In which process might a project manager use risk reassessment as a tool and technique? A. Perform Qualitative Risk Analysis B. Monitor and Control Risk C. Monitor and Control Project Work D. Plan Risk Responses Correct Answer: B Section: Volume D CAPM www.Dumpsgate.com .com 268 Explanation Explanation/Reference: QUESTION 466 A purchase order for a specified item to be delivered by a specified date for a specified price is the simplest form of what type of contract? A. Cost-reimbursable B. Time and material C. Fixed price or lump-sum D. Cost-plus-fixed-fee Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: • Units of measure. Each unit used in measurements (such as staff hours, staff days, weeks for time measures; or meters, liters, tons, kilometers, or cubic yards for quantity measures; or lump sum in currency form) is defined for each of the resources. Fixed-price contracts. This category of contracts involves setting a fixed total price for a defined product, service, or result to be provided. Fixed-price contracts may also incorporate financial incentives for achieving or exceeding selected project objectives, such as schedule delivery dates, cost and technical performance, or anything that can be quantified and subsequently measured. Sellers under fixed-price contracts are legally obligated to complete such contracts, with possible financial damages if they do not. Under the fixed-price arrangement, buyers need to precisely specify the product or services being procured. Changes in scope may be accommodated, but generally with an increase in contract price. QUESTION 467 What risk technique is used to quantify the probability and impact of risks on project objectives? A. Expert judgment B. Risk registry C. Risk response planning D. Interviewing Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: 11.2.2.2 Information Gathering Techniques Examples of information gathering techniques used in identifying risks can include: Brainstorming. The goal of brainstorming is to obtain a comprehensive list of project risks. The project team usually performs brainstorming, often with a multidisciplinary set of experts who are not part of the team. Ideas about project risk are generated under the leadership of a facilitator, either in a traditional free-form brainstorm session or structured mass interviewing techniques. Categories of risk, such as in a risk breakdown structure, can be used as a framework. Risks are then identified and categorized by type of risk and their definitions are refined. Delphi technique. The Delphi technique is a way to reach a consensus of experts. Project risk experts participate in this technique anonymously. A facilitator uses a questionnaire to solicit ideas about the important project risks. The responses are summarized and are then recirculated to the experts for further comment. CAPM www.Dumpsgate.com .com 269 Consensus may be reached in a few rounds of this process. The Delphi technique helps reduce bias in the data and keeps any one person from having undue influence on the outcome. Interviewing. Interviewing experienced project participants, stakeholders, and subject matter experts helps to identify risks. Root cause analysis. Root-cause analysis is a specific technique used to identify a problem, discover the underlying causes that lead to it, and develop preventive action. QUESTION 468 Which of the following terms indicates a deliverable-oriented hierarchical decomposition of the project work? A. WBS directory B. Activity list C. WBS D. Project schedule Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 469 Which process occurs within the Monitoring and Controlling Process Group? A. Control Costs B. Plan Quality C. Perform Quantitative Risk Analysis D. Determine Budget Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: Monitoring and Controlling Process Group 4.4 Monitor and Control Project Work 4.5 Perform Integrated Change Control 5.5 Validate Scope 5.6 Control Scope 6.7 Control Schedule 7.4 Control Costs 8.3 Control Quality 10.3 Control Communications 11.6 Control Risks 12.3 Control Procurements 13.4 Control Stakeholder Engagement Process: 7.4 Control Costs Definition: The process of monitoring the status of the project to update the project costs and managing changes to the cost baseline. Key Benefit: The key benefit of this process is that it determines the cost baseline against which project CAPM www.Dumpsgate.com .com 270 performance can be monitored and controlled. Inputs 1. Project management plan 2. Project funding requirements 3. Work performance data 4. Organizational process assets Tools & Techniques 1. Earned value management 2. Forecasting 3. To-complete performance index (TCPI) 4. Performance reviews 5. Project management software 6. Reserve analysis Outputs 1. Work performance information 2. Cost forecasts 3. Change requests 4. Project management plan updates 5. Project documents updates 6. Organizational process assets updates QUESTION 470 Which of the following processes audits the quality requirements and the results from quality control measures to ensure appropriate quality standards and operational definitions are used? A. Perform Quality Control B. Quality Metrics C. Perform Quality Assurance D. Plan Quality Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: Process: 8.2 Perform Quality Assurance Definition: The process of auditing the quality requirements and the results from quality control measurements to ensure that appropriate quality standards and operational definitions are used. Key Benefit: The key benefit of this process is that it facilitates the improvement of quality processes. Inputs 1. Quality management plan 2. Process improvement plan 3. Quality metrics 4. Quality control measurements 5. Project documents Tools & Techniques 1. Quality management and control tools 2. Quality audits 3. Process analysis Outputs CAPM www.Dumpsgate.com .com 271 1. Change requests 2. Project management plan updates 3. Project documents updates 4. Organizational process assets updates QUESTION 471 How is the schedule variance calculated using the earned value technique? A. EV less AC B. AC less PV C. EV less PV D. AC less EV Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 472 Which Perform Quality Control tool graphically represents how various elements of a system interrelate? A. Control chart B. Flowchart C. Run chart D. Pareto chart Correct Answer: B Section: Volume D Explanation Explanation/Reference: QUESTION 473 Which type of analysis is used as a general management technique within the Plan Procurements process? A. Risk assessment analysis B. Make or buy analysis C. Contract value analysis D. Cost impact analysis Correct Answer: B Section: Volume D Explanation Explanation/Reference: QUESTION 474 Which of the following tools and techniques is used in the Verify Scope process? A. Inspection B. Variance analysis CAPM www.Dumpsgate.com .com 272 C. Expert judgment D. Decomposition Correct Answer: A Section: Volume D Explanation Explanation/Reference: QUESTION 475 Define Activities and Estimate Activity Resources are processes in which project management Knowledge Area? A. Project Time Management B. Project Cost Management C. Project Scope Management D. Project Human Resource Management Correct Answer: A Section: Volume D Explanation Explanation/Reference: QUESTION 476 Which is a communication method used in the Report Performance process? A. Expert judgment B. Project management methodology C. Stakeholder analysis D. Status review meetings Correct Answer: D Section: Volume D Explanation Explanation/Reference: QUESTION 477 Prioritizing risks for further analysis or action by assessing and combining their probability of occurrence and impact takes place in which process? A. Monitor and Control Risks B. Plan Risk Management C. Perform Qualitative Risk Analysis D. Perform Quantitative Risk Analysis Correct Answer: C Section: Volume D Explanation Explanation/Reference: CAPM www.Dumpsgate.com .com 273 QUESTION 478 In which process is a project manager identified and given the authority to apply resources to project activities? A. Acquire Project Team B. Develop Project Management Plan C. Manage Project Execution D. Develop Project Charter Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: Process: 4.1. Develop Project Charter Definition: The process of developing a document that formally authorizes the existence of a project and provides the project manager with the authority to apply organizational resources to project activities. Key Benefit: The key benefit of this process is a well-defined project start and project boundaries, creation of a formal record of the project, and a direct way for senior management to formally accept and commit to the project. Inputs 1. Project statement of work 2. Business case 3. Agreements 4. Enterprise environmental factors 5. Organizational process assets Tools & Techniques 1. Expert judgment 2. Facilitation techniques Outputs 1. Project charter QUESTION 479 Which of the following documents allows the project manager to assess risks that may require near term action? A. Probability and impact matrix B. Contingency analysis report C. Risk urgency assessment D. Rolling wave plan Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: 11.3.2.5 Risk Urgency Assessment Risks requiring near-term responses may be considered more urgent to address. Indicators of priority may include probability of detecting the risk, time to affect a risk response, symptoms and warning signs, and CAPM www.Dumpsgate.com .com 274 the risk rating. In some qualitative analyses, the assessment of risk urgency is combined with the risk ranking that is determined from the probability and impact matrix to give a final risk severity rating. QUESTION 480 Which activity involves ensuring that the composition of a projects configuration items is correct? A. Configuration Identification B. Configuration Status Accounting C. Configuration Verification and Audit D. Configuration Quality Assurance Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: Configuration identification. Identification and selection of a configuration item to provide the basis for which the product configuration is defined and verified, products and documents are labeled, changes are managed, and accountability is maintained. Configuration status accounting. Information is recorded and reported as to when appropriate data about the configuration item should be provided. This information includes a listing of approved configuration identification, status of proposed changes to the configuration, and the implementation status of approved changes. Configuration verification and audit. Configuration verification and configuration audits ensure the composition of a project’s configuration items is correct and that corresponding changes are registered, assessed, approved, tracked, and correctly implemented. This ensures the functional requirements defined in the configuration documentation have been met. QUESTION 481 Change requests, project management plan updates, project document updates, and organizational process assets updates are all outputs of which project management process? A. Plan Risk Responses B. Manage Stakeholder Expectations C. Define Scope D. Report Performance Correct Answer: B Section: Volume D Explanation Explanation/Reference: QUESTION 482 Which process involves identifying and documenting the logical relationships between project activities? A. Develop Schedule B. Sequence Activities C. Create WBS D. Applying leads and lags Correct Answer: B Section: Volume D CAPM www.Dumpsgate.com .com 275 Explanation Explanation/Reference: Explanation: Process: 6.3 Sequence Activities Definition: The process of identifying and documenting relationships among the project activities. Key Benefit: The key benefit of this process is that it defines the logical sequence of work to obtain the greatest efficiency given all project constraints. Inputs 1. Schedule management plan 2. Activity list 3. Activity attributes 4. Milestone list 5. Project scope statement 6. Enterprise environmental factors 7. Organizational process assets Tools & Techniques 1. Precedence diagramming method (PDM) 2. Dependency determination 3. Leads and lags Outputs 1. Project schedule network diagrams 2. Project documents updates QUESTION 483 Which of the following is an example of the simplest fixed-price contract? A. Purchase requisition B. Purchase order C. Verbal agreement D. Request for quote Correct Answer: B Section: Volume D Explanation Explanation/Reference: QUESTION 484 Which technique helps to determine the risks that have the most potential impact on a project? A. Cost risk simulation analysis B. Expected monetary value analysis C. Modeling and simulation D. Sensitivity analysis Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: 11.4.2.2 Quantitative Risk Analysis and Modeling Techniques Commonly used techniques use both event-oriented and project-oriented analysis approaches, including: CAPM www.Dumpsgate.com .com 276 • Sensitivity analysis. Sensitivity analysis helps to determine which risks have the most potential impact on the project. It helps to understand how the variations in project’s objectives correlate with variations in different uncertainties. Conversely, it examines the extent to which the uncertainty of each project element affects the objective being studied when all other uncertain elements are held at their baseline values. QUESTION 485 Labor, materials, equipment, and supplies are examples of: A. Resource attributes. B. Resource types. C. Resource categories. D. Resource breakdown structures (RBS). Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: 6.4.3.2 Resource Breakdown Structure The resource breakdown structure is a hierarchical representation of resources by category and type. Examples of resource categories include labor, material, equipment, and supplies. Resource types may include the skill level, grade level, or other information as appropriate to the project. The resource breakdown structure is useful for organizing and reporting project schedule data with resource utilization information. QUESTION 486 Analogous cost estimating relies on which of the following techniques? A. Expert judgment B. Project management software C. Vendor bid analysis D. Reserve analysis Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: 4.1.2.1 Expert Judgment Definition: Expert judgment is often used to assess the inputs used to develop the project charter. Expert judgment is applied to all technical and management details during this process. Such expertise is provided by any group or individual with specialized knowledge or training and is available from many sources, including: Other units within the organization, Consultants, Stakeholders, including customers or sponsors, Professional and technical associations, Industry groups, Subject matter experts (SME), and Project management office (PMO). QUESTION 487 A method to manage stakeholder expectations in the scope statement is to clearly: A. state the guiding principles of the organization. CAPM www.Dumpsgate.com .com 277 B. identify alternatives to generate different approaches. C. state what is out of scope. D. outline the results of the Delphi technique. Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 488 Which type of management focuses on ensuring that projects and programs are reviewed to prioritize resource allocation? A. Project B. Functional C. Program D. Portfolio Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: 1.4.2 Portfolio Management A portfolio refers to projects, programs, subportfolios, and operations managed as a group to achieve strategic objectives. The projects or programs of the portfolio may not necessarily be interdependent or directly related. For example, an infrastructure firm that has the strategic objective of “maximizing the return on its investments” may put together a portfolio that includes a mix of projects in oil and gas, power, water, roads, rail, and airports. From this mix, the firm may choose to manage related projects as one program. All of the power projects may be grouped together as a power program. Similarly, all of the water projects may be grouped together as a water program. Thus, the power program and the water program become integral components of the enterprise portfolio of the infrastructure firm. QUESTION 489 One of the tools and techniques of the Manage Project Team process is: A. organization charts. B. ground rules. C. organizational theory, D. conflict management. Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: 9.4.2.3 Conflict Management Conflict is inevitable in a project environment. Sources of conflict include scarce resources, scheduling priorities, and personal work styles. Team ground rules, group norms, and solid project management practices, like communication planning and role definition, reduce the amount of conflict. Successful conflict management results in greater productivity and positive working relationships. When CAPM www.Dumpsgate.com .com 278 managed properly, differences of opinion can lead to increased creativity and better decision making. If the differences become a negative factor, project team members are initially responsible for their resolution. If conflict escalates, the project manager should help facilitate a satisfactory resolution. Conflict should be addressed early and usually in private, using a direct, collaborative approach. If disruptive conflict continues, formal procedures may be used, including disciplinary actions. The success of project managers in managing their project teams often depends a great deal on their ability to resolve conflict. Different project managers may utilize different conflict resolution methods. Factors that influence conflict resolution methods include: • Relative importance and intensity of the conflict, • Time pressure for resolving the conflict, • Position taken by persons involved, and • Motivation to resolve conflict on a long-term or a short-term basis. There are five general techniques for resolving conflict. As each one has its place and use, these are not given in any particular order: Withdraw/Avoid. Retreating from an actual or potential conflict situation; postponing the issue to be better prepared or to be resolved by others. Smooth/Accommodate. Emphasizing areas of agreement rather than areas of difference; conceding one’s position to the needs of others to maintain harmony and relationships. Compromise/Reconcile. Searching for solutions that bring some degree of satisfaction to all parties in order to temporarily or partially resolve the conflict. Force/Direct. Pushing one’s viewpoint at the expense of others; offering only win-lose solutions, usually enforced through a power position to resolve an emergency. Collaborate/Problem Solve. Incorporating multiple viewpoints and insights from differing perspectives; requires a cooperative attitude and open dialogue that typically leads to consensus and commitment. Process: 9.4 Manage Project Team Definition: The process of tracking team member performance, providing feedback, resolving issues, and managing changes to optimize project performance. Key Benefit: The key benefit of this process is that it influences team behavior, manages conflict, resolves issues, and appraises team member performance. Inputs 1. Human resource management plan 2. Project staff assignments 3. Team performance assessments 4. Issue log 5. Work performance reports 6. Organizational process assets Tools & Techniques 1. Observation and conversation 2. Project performance appraisals 3. Conflict management 4. Interpersonal skills Outputs 1. Change requests 2. Project management plan updates 3. Project documents updates 4. Enterprise environmental factors updates 5. Organizational process assets updates QUESTION 490 The process of monitoring the status of the project to update project progress and manage changes to the schedule baseline is: A. Control Schedule. CAPM www.Dumpsgate.com .com 279 B. Quality Control. C. Perform Integrated Change Control. D. Develop Schedule. Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: 6.6.3.1 Schedule Baseline A schedule baseline is the approved version of a schedule model that can be changed only through formal change control procedures and is used as a basis for comparison to actual results. It is accepted and approved by the appropriate stakeholders as the schedule baseline with baseline start dates and baseline finish dates. During monitoring and controlling, the approved baseline dates are compared to the actual start and finish dates to determine whether variances have occurred. The schedule baseline is a component of the project management plan. Process: 6.7 Control Schedule Definition: Control Schedule is the process of monitoring the status of project activities to update project progress and manage changes to the schedule baseline to achieve the plan. Key Benefit: The key benefit of this process is that it provides the means to recognize deviation from the plan and take corrective and preventive actions and thus minimize risk. Inputs 1. Project management plan 2. Project schedule 3. Work performance data 4. Project calendars 5. Schedule data 6. Organizational process assets Tools & Techniques 1. Performance reviews 2. Project management software 3. Resource optimization techniques 4. Modeling techniques 5. Leads and lags 6. Schedule compression 7. Scheduling tool Outputs 1. Work performance information 2. Schedule forecasts 3. Change requests 4. Project management plan updates 5. Project documents updates 6. Organizational process assets updates QUESTION 491 Changes to formally controlled documentation, plans, etc. to reflect modified or additional ideas or content are known as: A. updates. B. defect repairs. C. preventive actions. CAPM www.Dumpsgate.com .com 280 D. corrective actions. Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: 4.3.3.3 Change Requests A change request is a formal proposal to modify any document, deliverable, or baseline. An approved change request will replace the associated document, deliverable, or baseline and may result in an update to other parts of the project management plan. When issues are found while project work is being performed, change requests are submitted, which may modify project policies or procedures, project scope, project cost or budget, project schedule, or project quality. Other change requests cover the needed preventive or corrective actions to forestall negative impact later in the project. Requests for a change can be direct or indirect, externally or internally initiated, and can be optional or legally/contractually mandated, and may include: Corrective action—An intentional activity that realigns the performance of the project work with the project management plan; Preventive action—An intentional activity that ensures the future performance of the project work is aligned with the project management plan; Defect repair—An intentional activity to modify a nonconforming product or product component; Updates—Changes to formally controlled project documents, plans, etc., to reflect modified or additional ideas or content. QUESTION 492 Which provides the basic framework for managing a project? A. Project life cycle B. Work breakdown structure (WBS) C. Enterprise environmental factors D. Project initiation Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: Project Life Cycle. The series of phases that a project passes through from its initiation to its closure. QUESTION 493 A tool and technique used during the Perform Qualitative Risk Analysis process is: A. risk data quality assessment. B. variance and trend analysis. C. data gathering and representation techniques. D. risk audits. Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: CAPM www.Dumpsgate.com .com 281 11.3.2.3 Risk Data Quality Assessment Risk data quality assessment is a technique to evaluate the degree to which the data about risks is useful for risk management. It involves examining the degree to which the risk is understood and the accuracy, quality, reliability, and integrity of the data about the risk. The use of low-quality risk data may lead to a qualitative risk analysis of little use to the project. If data quality is unacceptable, it may be necessary to gather better data. Often, the collection of information about risks is diffcult, and consumes more time and resources than originally planned. Process: 11.3 Perform Qualitative Risk Analysis Definition: The process of prioritizing risks for further analysis or action by assessing and combining their probability of occurrence and impact. Key Benefit: The key benefit of this process is that it enables project managers to reduce the level of uncertainty and to focus on high-priority risks. Inputs 1. Risk management plan 2. Scope baseline 3. Risk register 4. Enterprise environmental factors 5. Organizational process assets Tools & Techniques 1. Risk probability and impact assessment 2. Probability and impact matrix 3. Risk data quality assessment 4. Risk categorization 5. Risk urgency assessment 6. Expert judgment Outputs 1. Project documents updates QUESTION 494 In the Estimate Activity Durations process, productivity metrics and published commercial information inputs are part of the: A. enterprise environmental factors B. organizational process assets C. project management plan D. project funding requirements Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: 6.5.1.9 Enterprise Environmental Factors Described in Section 2.1.5. The enterprise environmental factors that can influence the Estimate Activity Durations process include, but are not limited to: Duration estimating databases and other reference data, Productivity metrics, Published commercial information, and Location of team members. Process: 6.5 Estimate Activity Durations CAPM www.Dumpsgate.com .com 282 Definition: The process of estimating the number of work periods needed to complete individual activities with estimated resources. Key Benefit: The key benefit of this process is that it provides the amount of time each activity will take to complete, which is a major input into the Develop Schedule process. Inputs 1. Schedule management plan 2. Activity list 3. Activity attributes 4. Activity resource requirements 5. Resource calendars 6. Project scope statement 7. Risk register 8. Resource breakdown structure 9. Enterprise environmental factors 10. Organizational process assets Tools & Techniques 1. Expert judgment 2. Analogous estimating 3. Parametric estimating 4. Three-point estimating 5. Group decision-making techniques 6. Reserve analysis Outputs 1. Activity duration estimates 2. Project documents updates QUESTION 495 The milestone list is an input to which process from the Planning Process Group? A. Define Activities B. Estimate Activity Durations C. Estimate Activity Resources D. Sequence Activities Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: 6.2.3.3 Milestone List A milestone is a significant point or event in a project. A milestone list is a list identifying all project milestones and indicates whether the milestone is mandatory, such as those required by contract, or optional, such as those based upon historical information. Milestones are similar to regular schedule activities, with the same structure and attributes, but they have zero duration because milestones represent a moment in time. Process: 6.3 Sequence Activities Definition: The process of identifying and documenting relationships among the project activities. Key Benefit: The key benefit of this process is that it defines the logical sequence of work to obtain the greatest efficiency given all project constraints. Inputs 1. Schedule management plan 2. Activity list CAPM www.Dumpsgate.com .com 283 3. Activity attributes 4. Milestone list 5. Project scope statement 6. Enterprise environmental factors 7. Organizational process assets Tools & Techniques 1. Precedence diagramming method (PDM) 2. Dependency determination 3. Leads and lags Outputs 1. Project schedule network diagrams 2. Project documents updates QUESTION 496 Quality metrics are an output of which process? A. Plan Quality Management B. Perform Quality Control C. Perform Quality Assurance D. Perform Qualitative Risk Analysis Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: 8.1.3.3 Quality Metrics A quality metric specifically describes a project or product attribute and how the control quality process will measure it. A measurement is an actual value. The tolerance defines the allowable variations to the metric. For example, if the quality objective is to stay within the approved budget by ± 10%, the specific quality metric is used to measure the cost of every deliverable and determine the percent variance from the approved budget for that deliverable. Quality metrics are used in the perform quality assurance and control quality processes. Some examples of quality metrics include on-time performance, cost control, defect frequency, failure rate, availability, reliability, and test coverage. Process: 8.1 Plan Quality Management Definition: The process of identifying quality requirements and/or standards for the project and its deliverables, and documenting how the project will demonstrate compliance with relevant quality requirements and/or standards. Key Benefit: The key benefit of this process is that it provides guidance and direction on how quality will be managed and validated throughout the project. Inputs 1. Project management plan 2. Stakeholder register 3. Risk register 4. Requirements documentation 5. Enterprise environmental factors 6. Organizational process assets Tools & Techniques 1. Cost-benefit analysis 2. Cost of quality 3. Seven basic quality tools 4. Benchmarking CAPM www.Dumpsgate.com .com 284 5. Design of experiments 6. Statistical sampling 7. Additional quality planning tools 8. Meetings Outputs 1. Quality management plan 2. Process improvement plan 3. Quality metrics 4. Quality checklists 5. Project documents updates QUESTION 497 The purpose of inspection in Perform Quality Control is to keep errors: A. in line with a measured degree of conformity. B. out of the hands of the customer. C. in a specified range of acceptable results. D. out of the process. Correct Answer: B Section: Volume D Explanation Explanation/Reference: QUESTION 498 An input to the Perform Quantitative Risk Analysis process is the: A. quality management plan. B. project management plan. C. communications management plan. D. schedule management plan. Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: 6.1.3.1 Schedule Management Plan A component of the project management plan that establishes the criteria and the activities for developing, monitoring, and controlling the schedule. The schedule management plan may be formal or informal, highly detailed or broadly framed, based upon the needs of the project, and includes appropriate control thresholds. For example, the schedule management plan can establish the following: Project schedule model development. The scheduling methodology and the scheduling tool to be used in the development of the project schedule model are specified. Level of accuracy. The acceptable range used in determining realistic activity duration estimates is specified and may include an amount for contingencies. Units of measure. Each unit used in measurements (such as staff hours, staff days, or weeks for time measures, or meters, liters, tons, kilometers, or cubic yards for quantity measures) is defined for each of the resources. Organizational procedures links. The WBS (Section 5.4) provides the framework for the schedule management plan, allowing for consistency with the estimates and resulting schedules. Project schedule model maintenance. The process used to update the status and record progress of the project in the schedule model during the execution of the project is defined. CAPM www.Dumpsgate.com .com 285 Control thresholds. Variance thresholds for monitoring schedule performance may be specified to indicate an agreed-upon amount of variation to be allowed before some action needs to be taken. Thresholds are typically expressed as percentage deviations from the parameters established in the baseline plan. Rules of performance measurement. Earned value management (EVM) rules or other physical measurement rules of performance measurement are set. For example, the schedule management plan may specify: ○○ Rules for establishing percent complete, ○○ Control accounts at which management of progress and schedule will be measured, ○○ Earned value measurement techniques (e.g., baselines, fixed-formula, percent complete, etc.) to be employed (for more specific information, refer to the Practice Standard for Earned Value Management) [9], ○○ Schedule performance measurements such as schedule variance (SV) and schedule performance index (SPI) used to assess the magnitude of variation to the original schedule baseline. Reporting formats. The formats and frequency for the various schedule reports are defined. Process descriptions. Descriptions of each of the schedule management processes are documented. Process: 11.4 Perform Quantitative Risk Analysis Definition: The process of numerically analyzing the effect of identified risks on overall project objectives. Key Benefit: The key benefit of this process is that it produces quantitative risk information to support decision making in order to reduce project uncertainty. Inputs 1. Risk management plan 2. Cost management plan 3. Schedule management plan 4. Risk register 5. Enterprise environmental factors 6. Organizational process assets Tools & Techniques 1. Data gathering and representation techniques 2. Quantitative risk analysis and modeling techniques 3. Expert judgment Outputs 1. Project documents updates QUESTION 499 When large or complex projects are separated into distinct phases or subprojects, all of the Process Groups would normally be: A. divided among each of the phases or subprojects. B. repeated for each of the phases or subprojects. C. linked to specific phases or subprojects. D. integrated for specific phases or subprojects. Correct Answer: B Section: Volume D Explanation Explanation/Reference: QUESTION 500 A project has a current cost performance index (CPI) of 1.25. To date, US$10,000 have been spent on performing the project work. What is the earned value of the work completed to date? A. US$5000 CAPM www.Dumpsgate.com .com 286 B. US$9500 C. US$10,000 D. US$12,500 Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: CPI = EV / AC US$12,500/US$10,000 = 1.25
QUESTION 351 Which of the following is contained within the communications management plan?
A. An organizational chart B. Glossary of common terminology C. Organizational process assets D. Enterprise environmental factors
Correct Answer: B
Explanation: 10.1.3.1 Communications Management Plan The communications management plan is a component of the project management plan that describes how project communications will be planned, structured, monitored, and controlled. The plan contains the following information: Stakeholder communication requirements; Information to be communicated, including language, format, content, and level of detail; Reason for the distribution of that information; Time frame and frequency for the distribution of required information and receipt of acknowledgment or response, if applicable; Person responsible for communicating the information; Person responsible for authorizing release of confidential information; Person or groups who will receive the information; Methods or technologies used to convey the information, such as memos, e-mail, and/or press releases; Resources allocated for communication activities, including time and budget; Escalation process identifying time frames and the management chain (names) for escalation of issues that cannot be resolved at a lower staff level; Method for updating and refining the communications management plan as the project progresses and develops; Glossary of common terminology; Flow charts of the information flow in the project, workflows with possible sequence of authorization, list of reports, and meeting plans, etc.; and Communication constraints usually derived from a specific legislation or regulation, technology, and organizational policies, etc. The communications management plan can also include guidelines and templates for project status meetings, project team meetings, e-meetings, and e-mail messages. The use of a project website and project management software can also be included if these are to be used in the project. QUESTION 352 CAPM www.Dumpsgate.com .com 211 Which of the following is a tool and technique for Estimate Activity Durations? A. Parametric estimating B. Monte Carlo analysis C. Alternatives analysis D. Bottom-up estimating Correct Answer: A Section: Volume C Explanation Explanation/Reference: Explanation: 7.2.2.3 Parametric Estimating Parametric estimating uses a statistical relationship between relevant historical data and other variables (e.g., square footage in construction) to calculate a cost estimate for project work. This technique can produce higher levels of accuracy depending upon the sophistication and underlying data built into the model. Parametric cost estimates can be applied to a total project or to segments of a project, in conjunction with other estimating methods. Process: 6.5 Estimate Activity Durations Definition: The process of estimating the number of work periods needed to complete individual activities with estimated resources. Key Benefit: The key benefit of this process is that it provides the amount of time each activity will take to complete, which is a major input into the Develop Schedule process. Inputs 1. Schedule management plan 2. Activity list 3. Activity attributes 4. Activity resource requirements 5. Resource calendars 6. Project scope statement 7. Risk register 8. Resource breakdown structure 9. Enterprise environmental factors 10. Organizational process assets Tools & Techniques 1. Expert judgment 2. Analogous estimating 3. Parametric estimating 4. Three-point estimating 5. Group decision-making techniques 6. Reserve analysis Outputs 1. Activity duration estimates 2. Project documents updates QUESTION 353 Projects can be divided into phases to provide better management control. Collectively, what are these phases known as? A. Complete project phase B. Project life C. The project life cycle CAPM www.Dumpsgate.com .com 212 D. Project cycle Correct Answer: C Section: Volume C Explanation Explanation/Reference: QUESTION 354 Which schedule network analysis technique modifies the project schedule to account for limited resources? A. Human resource planning B. Fast tracking C. Critical chain method D. Rolling wave planning Correct Answer: C Section: Volume C Explanation Explanation/Reference: Explanation: 6.6.2.3 Critical Chain Method The critical chain method (CCM) is a schedule method that allows the project team to place buffers on any project schedule path to account for limited resources and project uncertainties. It is developed from the critical path method approach and considers the effects of resource allocation, resource optimization, resource leveling, and activity duration uncertainty on the critical path determined using the critical path method. To do so, the critical chain method introduces the concept of buffers and buffer management. The critical chain method uses activities with durations that do not include safety margins, logical relationships, and resource availability with statistically determined buffers composed of the aggregated safety margins of activities at specified points on the project schedule path to account for limited resources and project uncertainties. The resource-constrained critical path is known as the critical chain. QUESTION 355 Which of the following is an output of the Monitor and Control Project Work process? A. Change requests B. Performance reports C. Organizational process assets D. Project management plan Correct Answer: A Section: Volume C Explanation Explanation/Reference: Explanation: Process: 4.4. Monitor and Control Project Work Definition: Monitor and Control Project Work is the process of tracking, reviewing, and reporting the progress to meet the performance objectives defined in the project management plan. Key Benefit: The key benefit of this process is that it allows stakeholders to understand the current state of the project, the steps taken, and budget, schedule, and scope forecasts. Inputs 1. Project management plan CAPM www.Dumpsgate.com .com 213 2. Schedule forecasts 3. Cost forecasts 4. Validated changes 5. Work performance information 6. Enterprise environmental factors 7. Organizational process assets Tools & Techniques 1. Expert judgment 2. Analytical techniques 3. Project management information system 4. Meetings Outputs 1. Change requests 2. Work performance reports 3. Project management plan updates 4. Project documents updates QUESTION 356 Which of the following statements correctly characterizes pull communication? A. It includes letters, memos, reports, emails, and faxes. B. It requires recipients to access communication content at their own discretion. C. It is the most efficient way to ensure a common understanding among all participants. D. It is primarily used when the volume of information to be transferred is minimal. Correct Answer: B Section: Volume C Explanation Explanation/Reference: QUESTION 357 When would resource leveling be applied to a schedule model? A. Before constraints have been identified B. Before it has been analyzed by the critical path method C. After it has been analyzed by the critical path method D. After critical activities have been removed from the critical path Correct Answer: C Section: Volume C Explanation Explanation/Reference: Explanation: 6.6.2.2 Critical Path Method The critical path method, which is a method used to estimate the minimum project duration and determine the amount of scheduling flexibility on the logical network paths within the schedule model. This schedule network analysis technique calculates the early start, early finish, late start, and late finish dates for all activities without regard for any resource limitations by performing a forward and backward pass analysis through the schedule network, as shown in Figure 6-18. In this example the longest path includes activities A, C, and D, and, therefore, the sequence of A-C-D is the critical path. The critical path is the sequence of activities that represents the longest path through a project, which determines the shortest possible project duration. The resulting early and late start and finish dates are not necessarily the project schedule, rather they indicate the CAPM www.Dumpsgate.com .com 214 time periods within which the activity could be executed, using the parameters entered in the schedule model for activity durations, logical relationships, leads, lags, and other known constraints. The critical path method is used to calculate the amount of scheduling flexibility on the logical network paths within the schedule model. On any network path, the schedule flexibility is measured by the amount of time that a schedule activity can be delayed or extended from its early start date without delaying the project finish date or violating a schedule constraint, and is termed “total float.” A CPM critical path is normally characterized by zero total float on the critical path. As implemented with PDM sequencing, critical paths may have positive, zero, or negative total float depending on constraints applied. Any activity on the critical path is called a critical path activity. Positive total float is caused when the backward pass is calculated from a schedule constraint that is later than the early finish date that has been calculated during forward pass calculation. Negative total float is caused when a constraint on the late dates is violated by duration and logic. Schedule networks may have multiple near- critical paths. Many software packages allow the user to define the parameters used to determine the critical path(s). Adjustments to activity durations (if more resources or less scope can be arranged), logical relationships (if the relationships were discretionary to begin with), leads and lags, or other schedule constraints may be necessary to produce network paths with a zero or positive total float. Once the total float for a network path has been calculated, then the free float—the amount of time that a schedule activity can be delayed without delaying the early start date of any successor or violating a schedule constraint—can also be determined. For example the free float for Activity B, in Figure 6-18, is 5 days. QUESTION 358 Which Knowledge Area is concerned with the processes required to ensure timely and appropriate generation, collection, distribution, storage, retrieval, and ultimate disposition of project information? A. Project Integration Management B. Project Communications Management C. Project Information Management System (PIMS) D. Project Scope Management Correct Answer: B Section: Volume C Explanation Explanation/Reference: QUESTION 359 Which of the following tools or techniques is used for Estimate Activity Durations? A. Critical path method B. Rolling wave planning C. Precedence diagramming method D. Parametric estimating Correct Answer: D Section: Volume C Explanation Explanation/Reference: Explanation: 7.2.2.3 Parametric Estimating Parametric estimating uses a statistical relationship between relevant historical data and other variables (e.g., square footage in construction) to calculate a cost estimate for project work. This technique can produce higher levels of accuracy depending upon the sophistication and underlying data built into the model. Parametric cost estimates can be applied to a total project or to segments of a project, in conjunction with other estimating methods. CAPM www.Dumpsgate.com .com 215 Process: 6.5 Estimate Activity Durations Definition: The process of estimating the number of work periods needed to complete individual activities with estimated resources. Key Benefit: The key benefit of this process is that it provides the amount of time each activity will take to complete, which is a major input into the Develop Schedule process. Inputs 1. Schedule management plan 2. Activity list 3. Activity attributes 4. Activity resource requirements 5. Resource calendars 6. Project scope statement 7. Risk register 8. Resource breakdown structure 9. Enterprise environmental factors 10. Organizational process assets Tools & Techniques 1. Expert judgment 2. Analogous estimating 3. Parametric estimating 4. Three-point estimating 5. Group decision-making techniques 6. Reserve analysis Outputs 1. Activity duration estimates 2. Project documents updates QUESTION 360 Information collected on the status of project activities being performed to accomplish the project work is known as what? A. Project management information system B. Work performance information C. Work breakdown structure D. Variance analysis Correct Answer: B Section: Volume C Explanation Explanation/Reference: Explanation: 4.4.1.5 Work Performance Information Work performance information is the performance data collected from various controlling processes, analyzed in context, and integrated based on relationships across areas. Thus work performance data has been transformed into work performance information. Data in itself cannot be used in the decision-making process as it has only out-of-context meaning. Work performance information, however, is correlated and contextualized, and provides a sound foundation for project decisions. Work performance information is circulated through communication processes. Examples of performance information are status of deliverables, implementation status for change requests, and forecasted estimates to complete. QUESTION 361 CAPM www.Dumpsgate.com .com 216 What is the number of stakeholders, if the project has 28 potential communication channels? A. 7 B. 8 C. 14 D. 16 Correct Answer: B Section: Volume C Explanation Explanation/Reference: Explanation: Number of communication channels with ‘n’ members = n*(n-1)/2 QUESTION 362 Which of the following risk response strategies involves allocating ownership of a positive risk to a third party? A. Mitigate B. Transfer C. Share D. Avoid Correct Answer: C Section: Volume C Explanation Explanation/Reference: QUESTION 363 Which activity is an input to the Conduct Procurements process? A. Organizational process assets B. Resource availability C. Perform Integrated Change Control D. Team performance assessment Correct Answer: A Section: Volume C Explanation Explanation/Reference: Explanation: 2.1.4 Organizational Process Assets Organizational process assets are the plans, processes, policies, procedures, and knowledge bases specific to and used by the performing organization. They include any artifact, practice, or knowledge from any or all of the organizations involved in the project that can be used to perform or govern the project. The process assets also include the organization’s knowledge bases such as lessons learned and historical information. Organizational process assets may include completed schedules, risk data, and earned value data. Organizational process assets are inputs to most planning processes. Throughout the project, the project team members may update and add to the organizational process assets as necessary. Organizational process assets may be grouped into two categories: (1) processes and procedures, and (2) corporate knowledge base. Process: 12.2 Conduct Procurements CAPM www.Dumpsgate.com .com 217 Definition: The process of obtaining seller responses, selecting a seller, and awarding a contract. Key Benefit: The key benefit of this process is that it provides alignment of internal and external stakeholder expectations through established agreements. Inputs 1. Procurement management plan 2. Procurement documents 3. Source selection criteria 4. Seller proposals 5. Project documents 6. Make-or-buy decisions 7. Procurement statement of work 8. Organizational process assets Tools & Techniques 1. Bidder conference 2. Proposal evaluation techniques 3. Independent estimates 4. Expert judgment 5. Advertising 6. Analytical techniques 7. Procurement negotiations Outputs 1. .Selected sellers 2. .Agreements 3. .Resource calendars 4. .Change requests 5. .Project management plan updates 6. .Project documents updates QUESTION 364 Which of the following investigates the likelihood that each specific risk will occur? A. Risk register B. Risk audits C. Risk urgency assessment D. Risk probability and impact assessment Correct Answer: D Section: Volume C Explanation Explanation/Reference: Explanation: 11.3.2.1 Risk Probability and Impact Assessment Risk probability assessment investigates the likelihood that each specific risk will occur. Risk impact assessment investigates the potential effect on a project objective such as schedule, cost, quality, or performance, including both negative effects for threats and positive effects for opportunities. Probability and impact are assessed for each identified risk. Risks can be assessed in interviews or meetings with participants selected for their familiarity with the risk categories on the agenda. Project team members and knowledgeable persons external to the project are included. The level of probability for each risk and its impact on each objective is evaluated during the interview or meeting. Explanatory detail, including assumptions justifying the levels assigned, are also recorded. Risk probabilities and impacts are rated according to the definitions given in the risk management plan. Risks with low ratings of probability and impact will be included within the risk register as part of the watch list for future monitoring. QUESTION 365 What is a hierarchically organized depiction of the identified project risks arranged by risk category? CAPM www.Dumpsgate.com .com 218 A. Risk register B. Risk breakdown structure (RBS) C. Risk management plan D. Risk category Correct Answer: B Section: Volume C Explanation Explanation/Reference: QUESTION 366 Which tool or technique of Plan Quality involves comparing actual or planned practices to those of other projects to generate ideas for improvement and provide a basis by which to measure performance? A. Histogram B. Quality audits C. Benchmarking D. Performance measurement analysis Correct Answer: C Section: Volume C Explanation Explanation/Reference: Explanation: 5.2.2.9 Benchmarking Benchmarking involves comparing actual or planned practices, such as processes and operations, to those of comparable organizations to identify best practices, generate ideas for improvement, and provide a basis for measuring performance. The organizations compared during benchmarking can be internal or external. QUESTION 367 Taking out insurance in relation to risk management is called what? A. Transference B. Avoidance C. Exploring D. Mitigation Correct Answer: A Section: Volume C Explanation Explanation/Reference: QUESTION 368 During which process group is the quality policy determined? A. Initiating B. Executing C. Planning D. Controlling CAPM www.Dumpsgate.com .com 219 Correct Answer: C Section: Volume C Explanation Explanation/Reference: QUESTION 369 Which estimating technique uses the actual costs of previous similar projects as a basis for estimating the costs of the current project? A. Analogous B. Parametric C. Bottom-up D. Top-down Correct Answer: A Section: Volume C Explanation Explanation/Reference: QUESTION 370 What is the difference between the critical path and the critical chain? A. Scope changes B. Resource limitations C. Risk analysis D. Quality audits Correct Answer: B Section: Volume C Explanation Explanation/Reference: Explanation: 6.6.2.2 Critical Path Method The critical path method, which is a method used to estimate the minimum project duration and determine the amount of scheduling flexibility on the logical network paths within the schedule model. 6.6.2.3 Critical Chain Method The critical chain method (CCM) is a schedule method that allows the project team to place buffers on any project schedule path to account for limited resources and project uncertainties. It is developed from the critical path method approach and considers the effects of resource allocation, resource optimization, resource leveling, and activity duration uncertainty on the critical path determined using the critical path method. To do so, the critical chain method introduces the concept of buffers and buffer management. The critical chain method uses activities with durations that do not include safety margins, logical relationships, and resource availability with statistically determined buffers composed of the aggregated safety margins of activities at specified points on the project schedule path to account for limited resources and project uncertainties. The resource-constrained critical path is known as the critical chain. QUESTION 371 Which of the following is an enterprise environmental factor that can influence the Develop Project Charter process? CAPM www.Dumpsgate.com .com 220 A. Organizational standard processes B. Marketplace conditions C. Historical information D. Templates Correct Answer: B Section: Volume C Explanation Explanation/Reference: Explanation: 4.1.1.4 Enterprise Environmental Factors Described in Section 2.1.5. The enterprise environmental factors that can influence the Develop Project Charter process include, but are not limited to: Governmental standards, industry standards, or regulations (e.g. codes of conduct, quality standards, or worker protection standards), Organizational culture and structure, and Marketplace conditions. Process: 4.1. Develop Project Charter Definition: The process of developing a document that formally authorizes the existence of a project and provides the project manager with the authority to apply organizational resources to project activities. Key Benefit: The key benefit of this process is a well-defined project start and project boundaries, creation of a formal record of the project, and a direct way for senior management to formally accept and commit to the project. Inputs 1. Project statement of work 2. Business case 3. Agreements 4. Enterprise environmental factors 5. Organizational process assets Tools & Techniques 1. Expert judgment 2. Facilitation techniques Outputs Project charter QUESTION 372 The Define Scope process is in which of the following Process Groups? A. Initiating B. Planning C. Monitoring and Controlling D. Executing Correct Answer: B Section: Volume C Explanation Explanation/Reference: Explanation: Planning Process Group 4.2 Develop Project Management Plan CAPM www.Dumpsgate.com .com 221 5.1 Plan Scope Management 5.2 Collect Requirements 5.3 Define Scope 5.4 Create WBS 6.1 Plan Schedule Management 6.2 Define Activities 6.3 Sequence Activities 6.4 Estimate Activity Resources 6.5 Estimate Activity Durations 6.6 Develop Schedule 7.1 Plan Cost Management 7.2 Estimate Costs 7.3 Determine Budget 8.1 Plan Quality Management 9.1 Plan Human Resource Management 10.1 Plan Communications Management 11.1 Plan Risk Management 11.2 Identify Risks 11.3 Perform Qualitative Risk Analysis 11.4 Perform Quantitative Risk Analysis 11.5 Plan Risk Responses 12.1 Plan Procurement Management 13.2 Plan Stakeholder Management QUESTION 373 Organizations perceive risks as: A. events that will inevitably impact project and organizational objectives. B. the effect of uncertainty on their project and organizational objectives. C. events which could have a negative impact on project and organizational objectives. D. the negative impact of undesired events on their project and organizational objectives. Correct Answer: B Section: Volume C Explanation Explanation/Reference: QUESTION 374 In an organization with a projectized organizational structure, who controls the project budget? A. Functional manager B. Project manager C. Program manager D. Project management office Correct Answer: B Section: Volume C Explanation Explanation/Reference: QUESTION 375 Who, along with the project manager, is supposed to direct the performance of the planned project activities and manage the various technical and organizational interfaces that exist within the project? CAPM www.Dumpsgate.com .com 222 A. The customer and functional managers B. The risk owners and stakeholders C. The sponsors and stakeholders D. The project management team Correct Answer: D Section: Volume C Explanation Explanation/Reference: QUESTION 376 Which enterprise environmental factors are considered during cost estimating? A. Market conditions and published commercial information B. Company structure and market conditions C. Commercial information and company structure D. Existing human resources and market conditions Correct Answer: A Section: Volume C Explanation Explanation/Reference: Explanation: 7.2.1.6 Enterprise Environmental Factors Described in Section 2.1.5. The enterprise environmental factors that influence the Estimate Costs process include, but are not limited to: Market conditions. These conditions describe what products, services, and results are available in the market, from whom, and under what terms and conditions. Regional and/or global supply and demand conditions greatly influence resource costs. Published commercial information. Resource cost rate information is often available from commercial databases that track skills and human resource costs, and provide standard costs for material and equipment. Published seller price lists are another source of information. Process: 7.2 Estimate Costs Definition: The process of developing an approximation of the monetary resources needed to complete project activities. Key Benefit: The key benefit of this process is that it determines the amount of cost required to complete project work. Inputs 1. Cost management plan 2. Human resource management plan 3. Scope baseline 4. Project schedule 5. Risk register 6. Enterprise environmental factors 7. Organizational process assets Tools & Techniques 1. Expert judgment 2. Analogous estimating 3. Parametric estimating CAPM www.Dumpsgate.com .com 223 4. Bottom-up estimating 5. Three-point estimating 6. Reserve analysis 7. Cost of quality 8. Project management software 9. Vendor bid analysis 10. Group decision-making techniques Outputs 1. Activity cost estimates 2. Basis of estimates 3. Project documents updates QUESTION 377 Who selects the appropriate processes for a project? A. Project stakeholders B. Project sponsor and project stakeholder C. Project manager and project team D. Project manager and project sponsor Correct Answer: C Section: Volume C Explanation Explanation/Reference: QUESTION 378 The scope management plan is a subsidiary of which project document? A. Schedule management plan B. Project management plan C. Quality management plan D. Resource management plan Correct Answer: B Section: Volume C Explanation Explanation/Reference: Explanation: 4.2.3.1 Project Management Plan The project management plan is the document that describes how the project will be executed, monitored, and controlled. It integrates and consolidates all of the subsidiary plans and baselines from the planning processes. Project baselines include, but are not limited to: Scope baseline (Section 5.4.3.1), Schedule baseline (Section 6.6.3.1), and Cost baseline (Section 7.3.3.1). Subsidiary plans include, but are not limited to: Scope management plan (Section 5.1.3.1), Requirements management plan (Section 5.1.3.2), Schedule management plan (Section 6.1.3.1), Cost management plan (Section 7.1.3.1), Quality management plan (Section 8.1.3.1), Process improvement plan (Section 8.1.3.2), CAPM www.Dumpsgate.com .com 224 Human resource management plan (Section 9.1.3.1), Communications management plan (Section 10.1.3.1), Risk management plan (Section 11.1.3.1), Procurement management plan (Section 12.1.3.1), and Stakeholder management plan (Section 13.2.3.1). Among other things, the project management plan may also include the following: Life cycle selected for the project and the processes that will be applied to each phase; Details of the tailoring decisions specified by the project management team as follows: ○ Project management processes selected by the project management team, ○ Level of implementation for each selected process, ○ Descriptions of the tools and techniques to be used for accomplishing those processes, and ○ Description of how the selected processes will be used to manage the specific project, including the dependencies and interactions among those processes and the essential inputs and outputs. Description of how work will be executed to accomplish the project objectives; Change management plan that documents how changes will be monitored and controlled; Configuration management plan that documents how Configuration management will be performed; Description of how the integrity of the project baselines will be maintained; Requirements and techniques for communication among stakeholders; and Key management reviews for content, the extent of, and timing to address, open issues and pending decisions. The project management plan may be either summary level or detailed, and may be composed of one or more subsidiary plans. Each of the subsidiary plans is detailed to the extent required by the specific project. Once the project management plan is baselined, it may only be changed when a change request is generated and approved through the Perform Integrated Change Control process. QUESTION 379 Which is an example of Administer Procurements? A. Negotiating the contract B. Authorizing contractor work C. Developing the statement of work D. Establishing evaluation criteria Correct Answer: B Section: Volume C Explanation Explanation/Reference: QUESTION 380 An input to the Create WBS process is a: A. project charter. B. stakeholder register. C. project scope statement. D. requirements traceability matrix. Correct Answer: C Section: Volume C Explanation Explanation/Reference: Explanation: 5.3.3.1 Project Scope Statement The project scope statement is the description of the project scope, major deliverables, assumptions, and CAPM www.Dumpsgate.com .com 225 constraints. The project scope statement documents the entire scope, including project and product scope. It describes, in detail, the project’s deliverables and the work required to create those deliverables. It also provides a common understanding of the project scope among project stakeholders. It may contain explicit scope exclusions that can assist in managing stakeholder expectations. It enables the project team to perform more detailed planning, guides the project team’s work during execution, and provides the baseline for evaluating whether requests for changes or additional work are contained within or outside the project’s boundaries. The degree and level of detail to which the project scope statement defines the work that will be performed and the work that is excluded can help determine how well the project management team can control the overall project scope. The detailed project scope statement, either directly, or by reference to other documents, includes the following: Product scope description. Progressively elaborates the characteristics of the product, service, or result described in the project charter and requirements documentation. Acceptance criteria. A set of conditions that is required to be met before deliverables are accepted. Deliverable. Any unique and verifiable product, result, or capability to perform a service that is required to be produced to complete a process, phase, or project. Deliverables also include ancillary results, such as project management reports and documentation. These deliverables may be described at a summary level or in great detail. Project exclusion. Generally identifies what is excluded from the project. Explicitly stating what is out of scope for the project helps to manage stakeholders’ expectations. Constraints. A limiting factor that affects the execution of a project or process. Constraints identified with the project scope statement list and describe the specific internal or external restrictions or limitations associated with the project scope that affect the execution of the project, for example, a predefined budget or any imposed dates or schedule milestones that are issued by the customer or performing organization. When a project is performed under an agreement, contractual provisions will generally be constraints. Information on constraints may be listed in the project scope statement or in a separate log. Assumptions. A factor in the planning process that is considered to be true, real, or certain, without proof or demonstration. Also describes the potential impact of those factors if they prove to be false. Project teams frequently identify, document, and validate assumptions as part of their planning process. Information on assumptions may be listed in the project scope statement or in a separate log. The project team must complete a scope statement for developing a common understanding of the project scope among stakeholders. This lists project deliverables – summary level sub-products, whose full and satisfactory delivery marks the completion of the project. 5.4 Create WBS Definition: WBS is the process of subdividing project deliverables and project work into smaller, more manageable components. Key Benefit: The key benefit of this process is that it provides a structured vision of what has to be delivered. Inputs 1. Scope management plan 2. Project scope statement 3. Requirements documentation 4. Enterprise environmental factors 5. Organizational process assets Tools & Techniques 1. Decomposition 2. Expert judgment Outputs 1. Scope baseline 2. Project documents updates QUESTION 381 An input of the Control Schedule process is the: A. resource calendar. CAPM www.Dumpsgate.com .com 226 B. activity list. C. risk management plan. D. organizational process assets. Correct Answer: D Section: Volume C Explanation Explanation/Reference: Explanation: 13.2.1.4 Organizational Process Assets Described in Section 2.1.4. All organizational process assets are used as inputs for the Plan Stakeholder Management process. Of these, lessons learned database and historical information are of particular importance, because they provide insights on previous stakeholder management plans and their effectiveness. These can be used to plan the stakeholder management activities for the current project. Process: 6.7 Control Schedule Definition: Control Schedule is the process of monitoring the status of project activities to update project progress and manage changes to the schedule baseline to achieve the plan. Key Benefit: The key benefit of this process is that it provides the means to recognize deviation from the plan and take corrective and preventive actions and thus minimize risk. Inputs 1. Project management plan 2. Project schedule 3. Work performance data 4. Project calendars 5. Schedule data 6. Organizational process assets Tools & Techniques 1. Performance reviews 2. Project management software 3. Resource optimization techniques 4. Modeling techniques 5. Leads and lags 6. Schedule compression 7. Scheduling tool Outputs 1. Work performance information 2. Schedule forecasts 3. Change requests 4. Project management plan updates 5. Project documents updates 6. Organizational process assets updates QUESTION 382 The Verify Scope process is primarily concerned with: A. formalizing acceptance of the completed project deliverables. B. accuracy of the work deliverables. C. formalizing approval of the scope statement. D. accuracy of the work breakdown structure (WBS). Correct Answer: A CAPM www.Dumpsgate.com .com 227 Section: Volume C Explanation Explanation/Reference: QUESTION 383 What is the total float of the critical path? A. Can be any number B. Zero or positive C. Zero or negative D. Depends on the calendar Correct Answer: C Section: Volume C Explanation Explanation/Reference: QUESTION 384 Portfolio Management is management of: A. a project by dividing the project into more manageable sub-projects. B. a project by utilizing a portfolio of general management skills such as planning, organizing, staffing, executing, and controlling. C. all projects undertaken by a company. D. a collection of projects that are grouped together to facilitate effective management and meet strategic business objectives. Correct Answer: D Section: Volume C Explanation Explanation/Reference: Explanation: 1.4.2 Portfolio Management A portfolio refers to projects, programs, subportfolios, and operations managed as a group to achieve strategic objectives. The projects or programs of the portfolio may not necessarily be interdependent or directly related. For example, an infrastructure firm that has the strategic objective of “maximizing the return on its investments” may put together a portfolio that includes a mix of projects in oil and gas, power, water, roads, rail, and airports. From this mix, the firm may choose to manage related projects as one program. All of the power projects may be grouped together as a power program. Similarly, all of the water projects may be grouped together as a water program. Thus, the power program and the water program become integral components of the enterprise portfolio of the infrastructure firm. QUESTION 385 Which action should a project manager take to ensure that the project management plan is effective and current? A. Conduct periodic project performance reviews. B. Identify quality project standards. C. Follow ISO 9000 quality standards. D. Complete the quality control checklist. CAPM www.Dumpsgate.com .com 228 Correct Answer: A Section: Volume C Explanation Explanation/Reference: Explanation: 4.2.3.1 Project Management Plan The project management plan is the document that describes how the project will be executed, monitored, and controlled. It integrates and consolidates all of the subsidiary plans and baselines from the planning processes. Project baselines include, but are not limited to: Scope baseline (Section 5.4.3.1), Schedule baseline (Section 6.6.3.1), and Cost baseline (Section 7.3.3.1). Subsidiary plans include, but are not limited to: Scope management plan (Section 5.1.3.1), Requirements management plan (Section 5.1.3.2), Schedule management plan (Section 6.1.3.1), Cost management plan (Section 7.1.3.1), Quality management plan (Section 8.1.3.1), Process improvement plan (Section 8.1.3.2), Human resource management plan (Section 9.1.3.1), Communications management plan (Section 10.1.3.1), Risk management plan (Section 11.1.3.1), Procurement management plan (Section 12.1.3.1), and Stakeholder management plan (Section 13.2.3.1). Among other things, the project management plan may also include the following: Life cycle selected for the project and the processes that will be applied to each phase; Details of the tailoring decisions specified by the project management team as follows: ○ Project management processes selected by the project management team, ○ Level of implementation for each selected process, ○ Descriptions of the tools and techniques to be used for accomplishing those processes, and ○ Description of how the selected processes will be used to manage the specific project, including the dependencies and interactions among those processes and the essential inputs and outputs. Description of how work will be executed to accomplish the project objectives; Change management plan that documents how changes will be monitored and controlled; Configuration management plan that documents how Configuration management will be performed; Description of how the integrity of the project baselines will be maintained; Requirements and techniques for communication among stakeholders; and Key management reviews for content, the extent of, and timing to address, open issues and pending decisions. The project management plan may be either summary level or detailed, and may be composed of one or more subsidiary plans. Each of the subsidiary plans is detailed to the extent required by the specific project. Once the project management plan is baselined, it may only be changed when a change request is generated and approved through the Perform Integrated Change Control process. QUESTION 386 While implementing an approved change, a critical defect was introduced. Removing the defect will delay the product delivery. What is the MOST appropriate approach to managing this situation? A. Utilize the change control process. B. Crash the schedule to fix the defect. C. Leave the defect in and work around it. D. Fast-track the remaining development. Correct Answer: A CAPM www.Dumpsgate.com .com 229 Section: Volume C Explanation Explanation/Reference: QUESTION 387 Which tool and technique identifies inefficient and ineffective policies, processes, and procedures? A. Scope audits B. Scope reviews C. Quality audits D. Control chart Correct Answer: C Section: Volume C Explanation Explanation/Reference: QUESTION 388 Which type of analysis would be used for the Plan Quality process? A. Schedule B. Checklist C. Assumption D. Cost-Benefit Correct Answer: D Section: Volume C Explanation Explanation/Reference: Explanation: 8.1.2.1 Cost-Benefit Analysis The primary benefits of meeting quality requirements include less rework, higher productivity, lower costs, increased stakeholder satisfaction, and increased profitability. A cost-benefit analysis for each quality activity compares the cost of the quality step to the expected benefit. Process: 8.1 Plan Quality Management Definition: The process of identifying quality requirements and/or standards for the project and its deliverables and documenting how the project will demonstrate compliance with quality requirements and/or standards. Key Benefit: The key benefit of this process is that it provides guidance and direction on how quality will be managed and validated throughout the project. Inputs 1. Project management plan 2. Stakeholder register 3. Risk register 4. Requirements documentation 5. Enterprise environmental factors 6. Organizational process assets Tools & Techniques 1. Cost-benefit analysis CAPM www.Dumpsgate.com .com 230 2. Cost of quality 3. Seven basic quality tools 4. Benchmarking 5. Design of experiments 6. Statistical sampling 7. Additional quality planning tools 8. Meetings Outputs 1. Quality management plan 2. Process improvement plan 3. Quality metrics 4. Quality checklists 5. Project documents updates QUESTION 389 The integrative nature of project management requires which Process Group to interact with the other Process Groups? A. Planning B. Executing C. Monitoring and Controlling D. Project Management Correct Answer: C Section: Volume C Explanation Explanation/Reference: QUESTION 390 Which is a tool or technique used in Define Scope? A. Templates, forms, and standards B. Change requests C. Product analysis D. Project assumptions Correct Answer: C Section: Volume C Explanation Explanation/Reference: Explanation: Process: 5.3 Define Scope Definition: The process of developing a detailed description of the project and product. Key Benefit: The key benefit of this process is that it describes the product, service, or result boundaries by defining which of the requirements collected will be included in and excluded from the project scope. Inputs 1. Scope management plan 2. Project charter 3. Requirements documentation 4. Organizational process assets Tools & Techniques CAPM www.Dumpsgate.com .com 231 1. Expert judgment 2. Product analysis 3. Alternatives generation 4. Facilitated workshops Outputs 1. Project scope statement 2. Project documents updates QUESTION 391 Identifying major deliverables, deciding if adequate cost estimates can be developed, and identifying tangible components of each deliverable are all part of which of the following? A. Work breakdown structure B. Organizational breakdown structure C. Resource breakdown structure D. Bill of materials Correct Answer: A Section: Volume C Explanation Explanation/Reference: QUESTION 392 What is the function of a Project Management Office (PMO)? A. To focus on the coordinated planning, prioritization, and execution of projects and subprojects that are tied to the parent organizations or the client’s overall business objectives. B. To coordinate and manage the procurement of projects relevant to the parent organization’s business objectives and to administer the project charters accordingly. C. To administer performance reviews for the project manager and the project team members and to handle any personnel and payroll issues. D. To focus on the specified project objectives and to manage the scope, schedule, cost, and quality of the work packages. Correct Answer: A Section: Volume C Explanation Explanation/Reference: Explanation: A primary function of a PMO is to support project managers in a variety of ways which may include, but are not limited to: Managing shared resources across all projects administered by the PMO; Identifying and developing project management methodology, best practices, and standards; Coaching, mentoring, training, and oversight; Monitoring compliance with project management standards, policies, procedures, and templates by means of project audits; Developing and managing project policies, procedures, templates, and other shared documentation (organizational process assets); and Coordinating communication across projects. QUESTION 393 Which type of analysis systemically gathers and analyzes qualitative and quantitative information to determine which interests should be taken into account throughout the project? CAPM www.Dumpsgate.com .com 232 A. Product B. Cost-benefit C. Stakeholder D. Research Correct Answer: C Section: Volume C Explanation Explanation/Reference: Explanation: 13.1.2.1 Stakeholder Analysis Stakeholder analysis is a technique of systematically gathering and analyzing quantitative and qualitative information to determine whose interests should be taken into account throughout the project. It identifies the interests, expectations, and influence of the stakeholders and relates them to the purpose of the project. It also helps to identify stakeholder relationships (with the project and with other stakeholders) that can be leveraged to build coalitions and potential partnerships to enhance the project’s chance of success, along with stakeholder relationships that need to be influenced differently at different stages of the project or phase. Stakeholder analysis generally follows the steps described below: Identify all potential project stakeholders and relevant information, such as their roles, departments, interests, knowledge, expectations, and influence levels. Key stakeholders are usually easy to identify. They include anyone in a decision-making or management role who is impacted by the project outcome, such as the sponsor, the project manager, and the primary customer. Identifying other stakeholders is usually done by interviewing identified stakeholders and expanding the list until all potential stakeholders are included. Analyze the potential impact or support each stakeholder could generate, and classify them so as to define an approach strategy. In large stakeholder communities, it is important to prioritize the stakeholders to ensure the efficient use of effort to communicate and manage their expectations. Assess how key stakeholders are likely to react or respond in various situations, in order to plan how to influence them to enhance their support and mitigate potential negative impacts. There are multiple classification models used for stakeholders analysis, such as: Power/interest grid, grouping the stakeholders based on their level of authority (“power”) and their level or concern (“interest”) regarding the project outcomes; Power/influence grid, grouping the stakeholders based on their level of authority (“power”) and their active involvement (“influence”) in the project; Influence/impact grid, grouping the stakeholders based on their active involvement (“influence”) in the project and their ability to effect changes to the project’s planning or execution (“impact”); and Salience model, describing classes of stakeholders based on their power (ability to impose their will), urgency (need for immediate attention), and legitimacy (their involvement is appropriate). QUESTION 394 Which of the following is an output of the Define Activities process? A. Activity list B. Project plan C. Activity duration estimates D. Project schedule Correct Answer: A Section: Volume C Explanation Explanation/Reference: CAPM www.Dumpsgate.com .com 233 Explanation: Process: 6.2 Define Activities Definition: The process of identifying and documenting the specific actions to be performed to produce the project deliverables. Key Benefit: The key benefit of this process is to break down work packages into activities that provide a basis for estimating, scheduling, executing, monitoring, and controlling the project work. Inputs 1. Schedule management plan 2. Scope baseline 3. Enterprise environmental factors 4. Organizational process assets Tools & Techniques 1. Decomposition 2. Rolling wave planning 3. Expert judgment Outputs 1. Activity list 2. Activity attributes 3. Milestone list QUESTION 395 When is a project finished? A. After verbal acceptance of the customer or sponsor B. After lessons learned have been documented in contract closure C. When the project objectives have been met D. After resources have been released Correct Answer: C Section: Volume C Explanation Explanation/Reference: QUESTION 396 Which process documents the business needs of a project and the new product, service, or other result that is intended to satisfy those requirements? A. Develop Project Management Plan B. Develop Project Charter C. Direct and Manage Project Execution D. Collect Requirements Correct Answer: B Section: Volume C Explanation Explanation/Reference: Explanation: Process: 4.1. Develop Project Charter Definition: The process of developing a document that formally authorizes the existence of a project and provides the project manager with the authority to apply organizational resources to project activities. CAPM www.Dumpsgate.com .com 234 Key Benefit: The key benefit of this process is a well-defined project start and project boundaries, creation of a formal record of the project, and a direct way for senior management to formally accept and commit to the project. Inputs 1. Project statement of work 2. Business case 3. Agreements 4. Enterprise environmental factors 5. Organizational process assets Tools & Techniques 1. Expert judgment 2. Facilitation techniques Outputs 1. Project charter QUESTION 397 Which Process Group typically consumes the bulk of a project’s budget? A. Monitoring and Controlling B. Executing C. Planning D. Initiating Correct Answer: B Section: Volume C Explanation Explanation/Reference: QUESTION 398 Which of the following involves making information available to project stakeholders in a timely manner? A. Plan Communications B. Performance reporting C. Project status reports D. Distribute Information Correct Answer: D Section: Volume C Explanation Explanation/Reference: QUESTION 399 Which process uses occurrence probability and impact on project objectives to assess the priority of identified risks? A. Identify Risks B. Perform Qualitative Risk Analysis C. Plan Risk Management D. Perform Quantitative Risk Analysis CAPM www.Dumpsgate.com .com 235 Correct Answer: B Section: Volume C Explanation Explanation/Reference: Explanation: Process: 11.3 Perform Qualitative Risk Analysis Definition: The process of prioritizing risks for further analysis or action by assessing and combining their probability of occurrence and impact. Key Benefit: The key benefit of this process is that it enables project managers to reduce the level of uncertainty and to focus on high-priority risks. Inputs 1. Risk management plan 2. Scope baseline 3. Risk register 4. Enterprise environmental factors 5. Organizational process assets Tools & Techniques 1. Risk probability and impact assessment 2. Probability and impact matrix 3. Risk data quality assessment 4. Risk categorization 5. Risk urgency assessment 6. Expert judgment Outputs 1. Project documents updates QUESTION 400 What is one of the objectives of Project Risk Management? A. Decrease the probability and impact of an event on project objectives. B. Distinguish between a project risk and a project issue so that a risk mitigation plan can be put in place. C. Increase the probability and impact of positive events. D. Removal of project risk. Correct Answer: C Section: Volume C Explanation Explanation/Reference: Explanation: PROJECT RISK MANAGEMENT Project Risk Management includes the processes of conducting risk management planning, identification, analysis, response planning, and controlling risk on a project. The objectives of project risk management are to increase the likelihood and impact of positive events, and decrease the likelihood and impact of negative events in the project. QUESTION 401 Which process involves documenting the actions necessary to define, prepare, integrate, and coordinate all subsidiary plans? A. Collect Requirements B. Direct and Manage Project Execution CAPM www.Dumpsgate.com .com 236 C. Monitor and Control Project Work D. Develop Project Management Plan Correct Answer: D Section: Volume C Explanation Explanation/Reference: Explanation: Process: 4.2. Develop Project Management Plan Definition: The process of defining, preparing, and coordinating all subsidiary plans and integrating them into a comprehensive project management plan. The project’s integrated baselines and subsidiary plans may be included within the project management plan. Key Benefit: The key benefit of this process is a central document that defines the basis of all project work. Inputs 1. Project charter 2. Outputs from other processes 3. Enterprise environmental factors 4. Organizational process assets Tools & Techniques 1. Expert judgment 2. Facilitation techniques Outputs 1. Project management plan 4.2.3.1 Project Management Plan The project management plan is the document that describes how the project will be executed, monitored, and controlled. It integrates and consolidates all of the subsidiary plans and baselines from the planning processes. Project baselines include, but are not limited to: Scope baseline (Section 5.4.3.1), Schedule baseline (Section 6.6.3.1), and Cost baseline (Section 7.3.3.1). Subsidiary plans include, but are not limited to: Scope management plan (Section 5.1.3.1), Requirements management plan (Section 5.1.3.2), Schedule management plan (Section 6.1.3.1), Cost management plan (Section 7.1.3.1), Quality management plan (Section 8.1.3.1), Process improvement plan (Section 8.1.3.2), Human resource management plan (Section 9.1.3.1), Communications management plan (Section 10.1.3.1), Risk management plan (Section 11.1.3.1), Procurement management plan (Section 12.1.3.1), and Stakeholder management plan (Section 13.2.3.1). Among other things, the project management plan may also include the following: Life cycle selected for the project and the processes that will be applied to each phase; Details of the tailoring decisions specified by the project management team as follows: ○ Project management processes selected by the project management team, ○ Level of implementation for each selected process, ○ Descriptions of the tools and techniques to be used for accomplishing those processes, and ○ Description of how the selected processes will be used to manage the specific project, including the dependencies and interactions among those processes and the essential inputs and outputs. Description of how work will be executed to accomplish the project objectives; Change management plan that documents how changes will be monitored and controlled; Configuration management plan that documents how Configuration management will be performed; CAPM www.Dumpsgate.com .com 237 Description of how the integrity of the project baselines will be maintained; Requirements and techniques for communication among stakeholders; and Key management reviews for content, the extent of, and timing to address, open issues and pending decisions. The project management plan may be either summary level or detailed, and may be composed of one or more subsidiary plans. Each of the subsidiary plans is detailed to the extent required by the specific project. Once the project management plan is baselined, it may only be changed when a change request is generated and approved through the Perform Integrated Change Control process.
QUESTION 501 Which of the following characteristics are found in a functional organizational structure?
A. Little or no project manager authority, little or no resource availability, and the functional manager controls the project budget B. Limited project manager authority, limited resource availability, and a part-time project manager’s role C. Low to moderate project manager authority, low to moderate resource availability, and a full-time project manager’s role D. High to almost total project manager authority, high to almost total resource availability, and full-time project management administrative staff
Correct Answer: A
Explanation/Reference:
QUESTION 502 The project manager at an organization has just realized that some of the engineering staff has been allocated to project Y and will not be available to finish task X. The project manager has also discovered that at the current pace, it will not be possible to complete the project on time. Due to cost constraints, hiring more work force is not a viable option. Which tools are at the manager’s disposal?
A. Resource leveling and fast tracking B. Fast tracking and crashing C. Crashing and applying leads and lags D. Scheduling tools and applying leads and lags
Correct Answer: A
Explanation: 6.6.2.7 Schedule Compression Schedule compression techniques are used to shorten the schedule duration without reducing the project scope, in order to meet schedule constraints, imposed dates, or other schedule objectives. Schedule compression techniques include, but are not limited to: Crashing. A technique used to shorten the schedule duration for the least incremental cost by adding resources. Examples of crashing include approving overtime, bringing in additional resources, or paying to expedite delivery to activities on the critical path. Crashing works only for activities on the critical path where CAPM www.Dumpsgate.com .com 287 additional resources will shorten the activity’s duration. Crashing does not always produce a viable alternative and may result in increased risk and/or cost. Fast tracking. A schedule compression technique in which activities or phases normally done in sequence are performed in parallel for at least a portion of their duration. An example is constructing the foundation for a building before completing all of the architectural drawings. Fast tracking may result in rework and increased risk. Fast tracking only works if activities can be overlapped to shorten the project duration. QUESTION 503 Which process should be conducted from the project inception through completion? A. Monitor and Control Project Work B. Perform Quality Control C. Perform Integrated Change Control D. Monitor and Control Risks Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 504 Which piece of information is part of the WBS Dictionary? A. Responsible organization B. Change requests C. Validated deliverables D. Organizational process assets Correct Answer: A Section: Volume D Explanation Explanation/Reference: QUESTION 505 When calculating the cost of quality (COQ) for a product or service, money spent for cost of conformance would include the areas of: A. training, testing, and warranty work. B. equipment, rework, and scrap. C. training, document processes, and inspections. D. inspections, rework, and warranty work. Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 506 Which of the following is a tool or technique of the Define Activities process? CAPM www.Dumpsgate.com .com 288 A. Rolling wave planning B. Precedence diagramming method (PDM) C. Alternatives analysis D. Parametric estimating Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: 6.2.2.2 Rolling Wave Planning Rolling wave planning is an iterative planning technique in which the work to be accomplished in the near term is planned in detail, while the work in the future is planned at a higher level. It is a form of progressive elaboration. Therefore, work can exist at various levels of detail depending on where it is in the project life cycle. During early strategic planning, when information is less defined, work packages may be decomposed to the known level of detail. As more is known about the upcoming events in the near term, work packages can be decomposed into activities. Process: 6.2 Define Activities Definition: The process of identifying and documenting the specific actions to be performed to produce the project deliverables. Key Benefit: The key benefit of this process is to break down work packages into activities that provide a basis for estimating, scheduling, executing, monitoring, and controlling the project work. Inputs 1. Schedule management plan 2. Scope baseline 3. Enterprise environmental factors 4. Organizational process assets Tools & Techniques 1. Decomposition 2. Rolling wave planning 3. Expert judgment Outputs 1. Activity list 2. Activity attributes 3. Milestone list QUESTION 507 Which of the following is a set of interrelated actions and activities performed to achieve a prespecified product, result, or service? A. Portfolio B. Process C. Project D. Program Correct Answer: B Section: Volume D Explanation Explanation/Reference: CAPM www.Dumpsgate.com .com 289 QUESTION 508 Which degree of authority does a project manager have on a project in a strong matrix organizational structure? A. Limited B. Low to moderate C. Moderate to high D. High to almost total Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 509 Which of the following is an information gathering technique in Identify Risks? A. Influence diagrams B. Brainstorming C. Assumption analysis D. SWOT analysis Correct Answer: B Section: Volume D Explanation Explanation/Reference: QUESTION 510 Documented identification of a flaw in a project component together with a recommendation is termed a: A. corrective action. B. preventive action. C. non-conformance report, D. defect repair. Correct Answer: D Section: Volume D Explanation Explanation/Reference: QUESTION 511 Which of the following is developed from the project scope baseline and defines only that portion of the project scope that is to be included within a related contract? A. Product scope description B. Procurement statement of work C. Project schedule CAPM www.Dumpsgate.com .com 290 D. Work breakdown structure (WBS) Correct Answer: B Section: Volume D Explanation Explanation/Reference: Explanation: 12.1.3.2 Procurement Statement of Work The statement of work (SOW) for each procurement is developed from the project scope baseline and defines only that portion of the project scope that is to be included within the related contract. The procurement SOW describes the procurement item in sufficient detail to allow prospective sellers to determine if they are capable of providing the products, services, or results. sufficient detail can vary based on the nature of the item, the needs of the buyer, or the expected contract form. Information included in a SOW can include specifications, quantity desired, quality levels, performance data, period of performance, work location, and other requirements. The procurement SOW is written to be clear, complete, and concise. It includes a description of any collateral services required, such as performance reporting or post-project operational support for the procured item. In some application areas, there are specific content and format requirements for a procurement SOW. Each individual procurement item requires a SOW; however, multiple products or services can be grouped as one procurement item within a single SOW. The procurement SOW can be revised and refined as required as it moves through the procurement process until incorporated into a signed agreement. QUESTION 512 Which of the following strategic considerations often results in project authorization? A. Customer requests and/or issue resolution B. Stakeholder expectations and/or strategic opportunity (business need) C. Technological advancement and/or senior executive request D. Market demand and/or legal requirements Correct Answer: D Section: Volume D Explanation Explanation/Reference: QUESTION 513 In which Process Group are lessons learned documented? A. Planning B. Closing C. Executing D. Initiating Correct Answer: B Section: Volume D Explanation Explanation/Reference: QUESTION 514 Tools and techniques used for Plan Communications include the communication: CAPM www.Dumpsgate.com .com 291 A. requirements analysis, communication technology, communication models, and communication methods. B. methods, stakeholder register, communication technology, and communication models. C. requirements, communication technology, communication requirements analysis, and communication methods. D. management plan, communication technology, communication models, and communication requirements analysis. Correct Answer: A Section: Volume D Explanation Explanation/Reference: QUESTION 515 In Project Cost Management, which input is exclusive to the Determine Budget process? A. Scope baseline B. Organizational process assets C. Project schedule D. Resource calendars Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: 7.3.1.6 Resource Calendars Described in Sections 9.2.3.2 and 12.2.3.3. Resource calendars provide information on which resources are assigned to the project and when they are assigned. This information can be used to indicate resource costs over the duration of the project. 9.2.3.2 Resource Calendars Resource calendars document the time periods that each project team member is available to work on the project. Creating a reliable schedule (Section 6.6.3.1) depends on having a good understanding of each person’s availability and schedule constraints, including time zones, work hours, vacation time, local holidays, and commitments to other projects. 12.2.3.3 Resource Calendars The quantity and availability of contracted resources and those dates on which each specific resource or resource group can be active or idle are documented. Process: 7.3 Determine Budget Definition: The process of aggregating the estimated costs of individual activities or work packages to establish an authorized cost baseline. Key Benefit: The key benefit of this process is that it determines the cost baseline against which project performance can be monitored and controlled. Inputs 1. Cost management plan 2. Scope baseline 3. Activity cost estimates 4. Basis of estimates CAPM www.Dumpsgate.com .com 292 5. Project schedule 6. Resource calendars 7. Risk register 8. Agreements 9. Organizational process assets Tools & Techniques 1. Cost aggregation 2. Reserve analysis 3. Expert judgment 4. Historical relationships 5. Funding limit reconciliation Outputs 1. Cost baseline 2. Project funding requirements 3. Project documents updates QUESTION 516 Which of the following is a conflict resolution technique that emphasizes areas of agreement rather than areas of difference? A. Compromising B. Collaborating C. Smoothing D. Problem Solving Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: There are five general techniques for resolving conflict. As each one has its place and use, these are not given in any particular order: Withdraw/Avoid. Retreating from an actual or potential conflict situation; postponing the issue to be better prepared or to be resolved by others. Smooth/Accommodate. Emphasizing areas of agreement rather than areas of difference; conceding one’s position to the needs of others to maintain harmony and relationships. Compromise/Reconcile. Searching for solutions that bring some degree of satisfaction to all parties in order to temporarily or partially resolve the conflict. Force/Direct. Pushing one’s viewpoint at the expense of others; offering only win-lose solutions, usually enforced through a power position to resolve an emergency. Collaborate/Problem Solve. Incorporating multiple viewpoints and insights from differing perspectives; requires a cooperative attitude and open dialogue that typically leads to consensus and commitment. QUESTION 517 A tool or technique in Perform Quality Control that a project manager would use is: A. quality audits. B. process analysis. C. benchmarking. D. inspection. Correct Answer: D Section: Volume D Explanation CAPM www.Dumpsgate.com .com 293 Explanation/Reference: QUESTION 518 The precedence diagramming method (PDM) is also known as: A. Arrow Diagram. B. Critical Path Methodology (CPM). C. Activity-On-Node (AON). D. schedule network diagram. Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 519 Change request status updates are an output of which process? A. Perform Integrated Change Control B. Direct and Manage Project Execution C. Close Project or Phase D. Monitor and Control Project Work Correct Answer: A Section: Volume D Explanation Explanation/Reference: QUESTION 520 As the project progresses, which of the following is routinely collected from the project activities? A. Communication management activities B. Change requests C. Configuration verification and audit D. Work performance information Correct Answer: D Section: Volume D Explanation Explanation/Reference: QUESTION 521 Which Process Group contains those processes performed to define a new project? A. Initiating B. Planning C. Executing CAPM www.Dumpsgate.com .com 294 D. Closing Correct Answer: A Section: Volume D Explanation Explanation/Reference: QUESTION 522 The risk management team of a software project has decided that due to the lack of adequate talent in the company, development of a specific part of the system is under high risk, so the team has decided to outsource it. This is an example of which risk response? A. Transfer B. Share C. Avoid D. Accept Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: 11.5.2.1 Strategies for Negative Risks or Threats Three strategies, which typically deal with threats or risks that may have negative impacts on project objectives if they occur, are: avoid, transfer, and mitigate. The fourth strategy, accept, can be used for negative risks or threats as well as positive risks or opportunities. Each of these risk response strategies have varied and unique influence on the risk condition. These strategies should be chosen to match the risk’s probability and impact on the project’s overall objectives. Avoidance and mitigation strategies are usually good strategies for critical risks with high impact, while transference and acceptance are usually good strategies for threats that are less critical and with low overall impact. The four strategies for dealing with negative risks or threats are further described as follows: Avoid. Risk avoidance is a risk response strategy whereby the project team acts to eliminate the threat or protect the project from its impact. It usually involves changing the project management plan to eliminate the threat entirely. The project manager may also isolate the project objectives from the risk’s impact or change the objective that is in jeopardy. Examples of this include extending the schedule, changing the strategy, or reducing scope. The most radical avoidance strategy is to shut down the project entirely. Some risks that arise early in the project can be avoided by clarifying requirements, obtaining information, improving communication, or acquiring expertise. Transfer. Risk transference is a risk response strategy whereby the project team shifts the impact of a threat to a third party, together with ownership of the response. Transferring the risk simply gives another party responsibility for its management—it does not eliminate it. Transferring does not mean disowning the risk by transferring it to a later project or another person without his or her knowledge or agreement. Risk transference nearly always involves payment of a risk premium to the party taking on the risk. Transferring liability for risk is most effective in dealing with financial risk exposure. Transference tools can be quite diverse and include, but are not limited to, the use of insurance, performance bonds, warranties, guarantees, etc. Contracts or agreements may be used to transfer liability for specified risks to another party. For example, when a buyer has capabilities that the seller does not possess, it may be prudent to transfer some work and its concurrent risk contractually back to the buyer. In many cases, use of a cost-plus contract may transfer the cost risk to the buyer, while a fixed-price contract may transfer risk to the seller. Mitigate. Risk mitigation is a risk response strategy whereby the project team acts to reduce the probability of occurrence or impact of a risk. It implies a reduction in the probability and/or impact of an adverse risk to be within acceptable threshold limits. Taking early action to reduce the probability and/or impact of a risk occurring on the project is often more effective than trying to repair the damage after the risk has occurred. Adopting less complex processes, conducting more tests, or choosing a more stable supplier are examples of CAPM www.Dumpsgate.com .com 295 mitigation actions. Mitigation may require prototype development to reduce the risk of scaling up from a bench- scale model of a process or product. Where it is not possible to reduce probability, a mitigation response might address the risk impact by targeting linkages that determine the severity. For example, designing redundancy into a system may reduce the impact from a failure of the original component. Accept. Risk acceptance is a risk response strategy whereby the project team decides to acknowledge the risk and not take any action unless the risk occurs. This strategy is adopted where it is not possible or cost- effective to address a specific risk in any other way. This strategy indicates that the project team has decided not to change the project management plan to deal with a risk, or is unable to identify any other suitable response strategy. This strategy can be either passive or active. Passive acceptance requires no action except to document the strategy, leaving the project team to deal with the risks as they occur, and to periodically review the threat to ensure that it does not change significantly. The most common active acceptance strategy is to establish a contingency reserve, including amounts of time, money, or resources to handle the risks. QUESTION 523 Which type of agreement is legal, contractual, and between two or more entities to form a partnership, joint venture, or some other arrangement as defined by the parties? A. Teaming B. Collective bargaining C. Sharing D. Working Correct Answer: A Section: Volume D Explanation Explanation/Reference: QUESTION 524 The process of aggregating the estimated costs of individual activities or work packages to establish an authorized cost baseline is: A. Determine Budget. B. Baseline Budget. C. Control Costs. D. Estimate Costs. Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: 7.3.3.1 Cost Baseline The cost baseline is the approved version of the time-phased project budget, excluding any management reserves, which can only be changed through formal change control procedures and is used as a basis for comparison to actual results. It is developed as a summation of the approved budgets for the different schedule activities. Process: 7.3 Determine Budget Definition: The process of aggregating the estimated costs of individual activities or work packages to establish an authorized cost baseline. Key Benefit: The key benefit of this process is that it determines the cost baseline against which project performance can be monitored and controlled. Inputs 1. Cost management plan CAPM www.Dumpsgate.com .com 296 2. Scope baseline 3. Activity cost estimates 4. Basis of estimates 5. Project schedule 6. Resource calendars 7. Risk register 8. Agreements 9. Organizational process assets Tools & Techniques 1. Cost aggregation 2. Reserve analysis 3. Expert judgment 4. Historical relationships 5. Funding limit reconciliation Outputs 1. Cost baseline 2. Project funding requirements 3. Project documents updates QUESTION 525 To please the customer, a project team member delivers a requirement which is uncontrolled. This is not part of the plan. This describes: A. scope creep. B. a change request. C. work performance information. D. deliverables. Correct Answer: A Section: Volume D Explanation Explanation/Reference: QUESTION 526 The definition of operations is a/an: A. organizational function performing the temporary execution of activities that produce the same product or provide repetitive service. B. temporary endeavor undertaken to create a unique product, service, or result. C. organization that provides oversight for an administrative area. D. organizational function performing the ongoing execution of activities that produce the same product or provide repetitive service. Correct Answer: D Section: Volume D Explanation Explanation/Reference: QUESTION 527 How many Project Management Process Groups are there? CAPM www.Dumpsgate.com .com 297 A. 3 B. 4 C. 5 D. 6 Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: 1. Initiating Process Group 2. Planning Process Group 3. Executing Process Group 4. Monitoring and Controlling Process Group 5. Closing Process Group QUESTION 528 Which type of estimating is used to improve the accuracy of an activity’s duration? A. Analogous B. Parametric C. Three-point D. What-if scenario analysis Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: 6.5.2.4 Three-Point Estimating The accuracy of single-point activity duration estimates may be improved by considering estimation uncertainty and risk. This concept originated with the program evaluation and review technique (PERT). PERT uses three estimates to define an approximate range for an activity’s duration: Most likely (tM). This estimate is based on the duration of the activity, given the resources likely to be assigned, their productivity, realistic expectations of availability for the activity, dependencies on other participants, and interruptions. Optimistic (tO). The activity duration based on analysis of the best-case scenario for the activity. Pessimistic (tP). The activity duration based on analysis of the worst-case scenario for the activity. Depending on the assumed distribution of values within the range of the three estimates the expected duration, tE, can be calculated using a formula. Two commonly used formulas are triangular and beta distributions. The formulas are: Triangular Distribution. tE = (tO + tM + tP) / 3 Beta Distribution (from the traditional PERT technique). tE = (tO + 4tM + tP) / 6 Duration estimates based on three points with an assumed distribution provide an expected duration and clarify the range of uncertainty around the expected duration. QUESTION 529 The Project Management Process Group in which performance is observed and measured regularly from project initiation through completion is: A. Executing. B. Initiating, CAPM www.Dumpsgate.com .com 298 C. Monitoring and Controlling. D. Planning. Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 530 Which of the following are outputs of Develop Project Team? A. Human resources plan changes and project staff assignment updates B. Project management plan updates and enterprise environmental factor updates C. Resource calendars and project management plan updates D. Team performance assessments and enterprise environmental factor updates Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: Process: 9.3 Develop Project Team Definition: The process of improving competencies, team member interaction, and overall team environment to enhance project performance. Key Benefit: The key benefit of this process is that it results in improved teamwork, enhanced people skills and competencies, motivated employees, reduced staff turnover rates, and improved overall project performance. Inputs 1. Human resource management plan 2. Project staff assignments 3. Resource calendars Tools & Techniques 1. Interpersonal skills 2. Training 3. Team-building activities 4. Ground rules 5. Colocation 6. Recognition and rewards 7. Personnel assessment tools Outputs 1. Team performance assessments 2. Enterprise environmental factors updates QUESTION 531 Which tool or technique is used in Manage Stakeholder Expectations? A. Stakeholder management strategy B. Communication methods C. Issue log D. Change requests CAPM www.Dumpsgate.com .com 299 Correct Answer: B Section: Volume D Explanation Explanation/Reference: QUESTION 532 Which of the following is a tool and technique used in the Develop Schedule process? A. Three-point estimates B. Resource leveling C. Precedence diagramming method D. Bottom-up estimating Correct Answer: B Section: Volume D Explanation Explanation/Reference: Explanation: Process: 6.6 Develop Schedule Definition: The process of analyzing activity sequences, durations, resource requirements, and schedule constraints to create the project schedule model. Key Benefit: The key benefit of this process is that by entering schedule activities, durations, resources, resource availabilities, and logical relationships into the scheduling tool, it generates a schedule model with planned dates for completing project activities. Inputs 1. Schedule management plan 2. Activity list 3. Activity attributes 4. Project schedule network diagrams 5. Activity resource requirements 6. Resource calendars 7. Activity duration estimates 8. Project scope statement 9. Risk register 10. Project staff assignments 11. Resource breakdown structure 12. Enterprise environmental factors 13. Organizational process assets Tools & Techniques 1. Schedule network analysis 2. Critical path method 3. Critical chain method 4. Resource optimization techniques 5. Modeling techniques 6. Leads and lags 7. Schedule compression 8. .Scheduling tool Outputs 1. Schedule baseline 2. .Project schedule 3. Schedule data CAPM www.Dumpsgate.com .com 300 4. Project calendars 5. Project management plan updates 6. Project documents updates QUESTION 533 The output that defines an approach to increase the support and minimize negative impacts of stakeholders is the: A. stakeholder management strategy. B. communications management plan. C. stakeholder register. D. performance report. Correct Answer: A Section: Volume D Explanation Explanation/Reference: QUESTION 534 Which of the following project documents is an input to the Control Scope process? A. Vendor risk assessment diagram B. Risk register C. Requirements traceability matrix D. Area of responsibility summary Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: 5.2.3.2 Requirements Traceability Matrix The requirements traceability matrix is a grid that links product requirements from their origin to the deliverables that satisfy them. The implementation of a requirements traceability matrix helps ensure that each requirement adds business value by linking it to the business and project objectives. It provides a means to track requirements throughout the project life cycle, helping to ensure that requirements approved in the requirements documentation are delivered at the end of the project. Finally, it provides a structure for managing changes to the product scope. Tracing includes, but is not limited to, tracing requirements for the following: Business needs, opportunities, goals, and objectives; Project objectives; Project scope/WBS deliverables; Product design; Product development; Test strategy and test scenarios; and High-level requirements to more detailed requirements. Attributes associated with each requirement can be recorded in the requirements traceability matrix. These attributes help to define key information about the requirement. Typical attributes used in the requirements traceability matrix may include: a unique identifier, a textual description of the requirement, the rationale for inclusion, owner, source, priority, version, current status (such as active, cancelled, deferred, added, approved, assigned, completed), and status date. Additional attributes to ensure that the requirement has met stakeholders’ satisfaction may include stability, complexity, and acceptance criteria. CAPM www.Dumpsgate.com .com 301 Process: 5.6 Control Scope Definition: The process of monitoring the status of the project and product scope and managing changes to the scope baseline. Key Benefit: The key benefit of this process is that it allows the scope baseline to be maintained throughout the project. Inputs 1. Project management plan 2. Requirements documentation 3. Requirements traceability matrix 4. Work performance data 5. Organizational process assets Tools & Techniques 1. Variance analysis Outputs 1. Work performance information 2. Change requests 3. Project management plan updates 4. Project documents updates 5. Organizational process assets updates QUESTION 535 The progressive detailing of the project management plan is called: A. expert judgment. B. rolling wave planning. C. work performance information. D. specification. Correct Answer: B Section: Volume D Explanation Explanation/Reference: Explanation: 6.2.2.2 Rolling Wave Planning Rolling wave planning is an iterative planning technique in which the work to be accomplished in the near term is planned in detail, while the work in the future is planned at a higher level. It is a form of progressive elaboration. Therefore, work can exist at various levels of detail depending on where it is in the project life cycle. During early strategic planning, when information is less defined, work packages may be decomposed to the known level of detail. As more is known about the upcoming events in the near term, work packages can be decomposed into activities. 4.2.3.1 Project Management Plan The project management plan is the document that describes how the project will be executed, monitored, and controlled. It integrates and consolidates all of the subsidiary plans and baselines from the planning processes. Project baselines include, but are not limited to: Scope baseline (Section 5.4.3.1), Schedule baseline (Section 6.6.3.1), and Cost baseline (Section 7.3.3.1). Subsidiary plans include, but are not limited to: Scope management plan (Section 5.1.3.1), Requirements management plan (Section 5.1.3.2), CAPM www.Dumpsgate.com .com 302 Schedule management plan (Section 6.1.3.1), Cost management plan (Section 7.1.3.1), Quality management plan (Section 8.1.3.1), Process improvement plan (Section 8.1.3.2), Human resource management plan (Section 9.1.3.1), Communications management plan (Section 10.1.3.1), Risk management plan (Section 11.1.3.1), Procurement management plan (Section 12.1.3.1), and Stakeholder management plan (Section 13.2.3.1). Among other things, the project management plan may also include the following: Life cycle selected for the project and the processes that will be applied to each phase; Details of the tailoring decisions specified by the project management team as follows: ○ Project management processes selected by the project management team, ○ Level of implementation for each selected process, ○ Descriptions of the tools and techniques to be used for accomplishing those processes, and ○ Description of how the selected processes will be used to manage the specific project, including the dependencies and interactions among those processes and the essential inputs and outputs. Description of how work will be executed to accomplish the project objectives; Change management plan that documents how changes will be monitored and controlled; Configuration management plan that documents how Configuration management will be performed; Description of how the integrity of the project baselines will be maintained; Requirements and techniques for communication among stakeholders; and Key management reviews for content, the extent of, and timing to address, open issues and pending decisions. The project management plan may be either summary level or detailed, and may be composed of one or more subsidiary plans. Each of the subsidiary plans is detailed to the extent required by the specific project. Once the project management plan is baselined, it may only be changed when a change request is generated and approved through the Perform Integrated Change Control process. QUESTION 536 What is the responsibility of the project manager and the functional manager respectively? A. Oversight for an administrative area; a facet of the core business B. Achieving the project objectives; providing management oversight for an administrative area C. A facet of the core business; achieving the project objectives D. Both are responsible for achieving the project objectives. Correct Answer: B Section: Volume D Explanation Explanation/Reference: QUESTION 537 Which is used to solicit proposals from prospective sellers? A. Procurement statement of work B. Resource calendars C. Procurement document D. Independent estimates Correct Answer: C Section: Volume D Explanation CAPM www.Dumpsgate.com .com 303 Explanation/Reference: Explanation: 12.1.3.3 Procurement Documents Procurement documents are used to solicit proposals from prospective sellers. Terms such as bid, tender, or quotation are generally used when the seller selection decision will be based on price (as when buying commercial or standard items), while a term such as proposal is generally used when other considerations, such as technical capability or technical approach are paramount. Common terms are in use for different types of procurement documents and may include request for information (RFI), invitation for bid (IFB), request for proposal (RFP), request for quotation (RFQ), tender notice, invitation for negotiation, and invitation for seller’s initial response. Specific procurement terminology used may vary by industry and location of the procurement. The buyer structures procurement documents to facilitate an accurate and complete response from each prospective seller and to facilitate easy evaluation of the responses. These documents include a description of the desired form of the response, the relevant procurement statement of work (SOW) and any required contractual provisions. With government contracting, some or all of the content and structure of procurement documents may be defined by regulation. The complexity and level of detail of the procurement documents should be consistent with the value of, and risks associated with, the planned procurement. Procurement documents are required to be sufficient to ensure consistent, appropriate responses, but flexible enough to allow consideration of any seller suggestions for better ways to satisfy the same requirements. Issuing a procurement request to potential sellers to submit a proposal or bid is normally done in accordance with the policies of the buyer’s organization, which can include publication of the request in public newspapers, in trade journals, in public registries, or on the internet. QUESTION 538 In which Project Management Process Group is the project charter developed? A. Monitoring and Controlling B. Executing C. Initiating D. Planning Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: Initiating Process Group. Those processes performed to define a new project or a new phase of an existing project by obtaining authorization to start the project or phase. Process: 4.1. Develop Project Charter Definition: The process of developing a document that formally authorizes the existence of a project and provides the project manager with the authority to apply organizational resources to project activities. Key Benefit: The key benefit of this process is a well-defined project start and project boundaries, creation of a formal record of the project, and a direct way for senior management to formally accept and commit to the project. Inputs 1. Project statement of work 2. Business case 3. Agreements 4. Enterprise environmental factors 5. Organizational process assets Tools & Techniques 1. Expert judgment 2. Facilitation techniques CAPM www.Dumpsgate.com .com 304 Outputs 1. Project charter QUESTION 539 Which can be used to determine whether a process is stable or has predictable performance? A. Matrix diagram B. Histogram C. Control chart D. Flowchart Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: Control charts, are used to determine whether or not a process is stable or has predictable performance. Upper and lower specification limits are based on requirements of the agreement. They reflect the maximum and minimum values allowed. There may be penalties associated with exceeding the specification limits. Upper and lower control limits are different from specification limits. The control limits are determined using standard statistical calculations and principles to ultimately establish the natural capability for a stable process. The project manager and appropriate stakeholders may use the statistically calculated control limits to identify the points at which corrective action will be taken to prevent unnatural performance. The corrective action typically seeks to maintain the natural stability of a stable and capable process. For repetitive processes, the control limits are generally set at ±3 s around a process mean that has been set at 0 s. A process is considered out of control when: (1) a data point exceeds a control limit; (2) seven consecutive plot points are above the mean; or (3) seven consecutive plot points are below the mean. Control charts can be used to monitor various types of output variables. Although used most frequently to track repetitive activities required for producing manufactured lots, control charts may also be used to monitor cost and schedule variances, volume, and frequency of scope changes, or other management results to help determine if the project management processes are in control. QUESTION 540 When sequencing activities, what does the common acronym FF stand for? A. Fixed Fee B. Free Float C. Fixed Finish CAPM www.Dumpsgate.com .com 305 D. Finish-to-Finish Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: A finish-to-start (FS) relationship between two activities implies that the initiation of successor is dependent on the completion of predecessor. A finish-to-finish (FF) relationship between two activities implies that the completion of successor is dependent on the completion of predecessor. A start-to-start (SS) relationship implies that the initiation of successor is dependent on the initiation of predecessor. A start-to-finish (SF) relationship between two activities implies that the completion of successor is dependent on the initiation of its predecessor QUESTION 541 Which is the correct formula for calculating expected activity cost for three-point estimating? A. Ce = (C0 + 6Cm + Cp)/4 B. Ce = (6C0 + Cm + Cp)/4 C. Ce = (C0 + 4Cm + Cp)/6 D. Ce = (C0 + C„, + 4Cp) /6 Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: 6.5.2.4 Three-Point Estimating The accuracy of single-point activity duration estimates may be improved by considering estimation uncertainty and risk. This concept originated with the program evaluation and review technique (PERT). PERT uses three estimates to define an approximate range for an activity’s duration: Most likely (tM). This estimate is based on the duration of the activity, given the resources likely to be assigned, their productivity, realistic expectations of availability for the activity, dependencies on other participants, and interruptions. Optimistic (tO). The activity duration based on analysis of the best-case scenario for the activity. Pessimistic (tP). The activity duration based on analysis of the worst-case scenario for the activity. Depending on the assumed distribution of values within the range of the three estimates the expected duration, tE, can be calculated using a formula. Two commonly used formulas are triangular and beta distributions. The formulas are: Triangular Distribution. tE = (tO + tM + tP) / 3 Beta Distribution (from the traditional PERT technique). tE = (tO + 4tM + tP) / 6 Duration estimates based on three points with an assumed distribution provide an expected duration and clarify the range of uncertainty around the expected duration. QUESTION 542 Monte Carlo is which type of risk analysis technique? A. Probability B. Quantitative C. Qualitative D. Sensitivity CAPM www.Dumpsgate.com .com 306 Correct Answer: B Section: Volume D Explanation Explanation/Reference: Explanation: Monte Carlo Simulation. A process which generates hundreds or thousands of probable performance outcomes based on probability distributions for cost and schedule on individual tasks. The outcomes are then used to generate a probability distribution for the project as a whole. QUESTION 543 When addressing roles and responsibilities, which item ensures that the staff has the skills required to complete project activities? A. Authority B. Role C. Competency D. Responsibility Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 544 Which of the following reduces the probability of potential consequences of project risk events? A. Preventive action B. Risk management C. Corrective action D. Defect repair Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: 4.3.3.3 Change Requests A change request is a formal proposal to modify any document, deliverable, or baseline. An approved change request will replace the associated document, deliverable, or baseline and may result in an update to other parts of the project management plan. When issues are found while project work is being performed, change requests are submitted, which may modify project policies or procedures, project scope, project cost or budget, project schedule, or project quality. Other change requests cover the needed preventive or corrective actions to forestall negative impact later in the project. Requests for a change can be direct or indirect, externally or internally initiated, and can be optional or legally/contractually mandated, and may include: Corrective action—An intentional activity that realigns the performance of the project work with the project management plan; Preventive action—An intentional activity that ensures the future performance of the project work is aligned with the project management plan; Defect repair—An intentional activity to modify a nonconforming product or product component; Updates—Changes to formally controlled project documents, plans, etc., to reflect modified or additional CAPM www.Dumpsgate.com .com 307 ideas or content. QUESTION 545 The project manager needs to review the templates in use. The templates are part of the: A. Enterprise environmental factors. B. Historical information, C. Organizational process assets. D. Corporate knowledge base. Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 546 Which of the following Project Communication Management processes uses performance reports as an input? A. Manage Stakeholder Expectations B. Report Performance C. Distribute Information D. Plan Communications Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 547 Which cost estimate technique includes contingencies to account for cost uncertainty? A. Vendor bid analysis B. Three-point estimates C. Parametric estimating D. Reserve analysis Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: 6.5.2.6 Reserve Analysis Duration estimates may include contingency reserves, sometimes referred to as time reserves or buffers, into the project schedule to account for schedule uncertainty. Contingency reserves are the estimated duration within the schedule baseline, which is allocated for identified risks that are accepted and for which contingent or mitigation responses are developed. Contingency reserves are associated with the “known-unknowns,” which may be estimated to account for this unknown amount of rework. As more precise information about the project becomes available, the contingency reserve may be used, reduced, or eliminated. Contingency should be clearly identified in schedule documentation. [..] Estimates may also be produced for the amount of management reserve of time for the project. Management CAPM www.Dumpsgate.com .com 308 reserves are a specified amount of the project duration withheld for management control purposes and are reserved for unforeseen work that is within scope of the project. Management reserves are intended to address the “unknown-unknowns” that can affect a project. Management reserve is not included in the schedule baseline, but it is part of the overall project duration requirements. Depending on contract terms, use of management reserves may require a change to the schedule baseline. QUESTION 548 Which of the following is an output of the Perform Integrated Change Control process? A. Project document updates B. Organizational process assets updates C. Change requests D. Deliverables Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: Process: 4.5 Perform Integrated Change Control Definition: Perform Integrated Change Control is the process of reviewing all change requests; approving changes and managing changes to deliverables, organizational process assets, project documents, and the project management plan; and communicating their disposition. It reviews all requests for changes or modifications to project documents, deliverables, baselines, or the project management plan and approves or rejects the changes. Key Benefit: The key benefit of this process is that it allows for documented changes within the project to be considered in an integrated fashion while reducing project risk, which often arises from changes made without consideration to the overall project objectives or plans. Inputs 1. Project management plan 2. Work performance reports 3. Change requests 4. Enterprise environmental factors 5. Organizational process assets Tools & Techniques 1. Expert judgment 2. Meetings 3. Change control tools Outputs 1. Approved change requests 2. Change log 3. Project management plan updates 4. Project documents updates QUESTION 549 Which of the following is an input to Control Scope? A. Project schedule B. Organizational process assets updates C. Project document updates D. Work performance information Correct Answer: D CAPM www.Dumpsgate.com .com 309 Section: Volume D Explanation Explanation/Reference: Explanation: Process: 5.6 Control Scope Definition: The process of monitoring the status of the project and product scope and managing changes to the scope baseline. Key Benefit: The key benefit of this process is that it allows the scope baseline to be maintained throughout the project. Inputs 1. Project management plan 2. Requirements documentation 3. Requirements traceability matrix 4. Work performance data 5. Organizational process assets Tools & Techniques 1. Variance analysis Outputs 1. Work performance information 2. Change requests 3. Project management plan updates 4. Project documents updates 5. Organizational process assets updates QUESTION 550 Lessons learned documentation is gathered during which of the following Project Management Process Groups? A. Planning B. Executing C. Closing D. Initiating Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: 3.7 Closing Process Group The Closing Process Group consists of those processes performed to conclude all activities across all Project Management Process Groups to formally complete the project, phase, or contractual obligations. This Process Group, when completed, verifes that the defined processes are completed within all of the Process Groups to close the project or a project phase, as appropriate, and formally establishes that the project or project phase is complete. This Process Group also formally establishes the premature closure of the project. Prematurely closed projects may include, for example: aborted projects, cancelled projects, and projects having a critical situation. In specific cases, when some contracts cannot be formally closed (e.g. claims, termination clauses, etc.) or some activities are to be transferred to other organizational units, specific hand-over procedures may be arranged and finalized. At project or phase closure, the following may occur: Obtain acceptance by the customer or sponsor to formally close the project or phase, Conduct post-project or phase-end review, Record impacts of tailoring to any process, CAPM “Best Material, Great Results”. www.certkingdom.com 310 Document lessons learned, Apply appropriate updates to organizational process assets, Archive all relevant project documents in the project management information system (PMIS) to be used as historical data, Close out all procurement activities ensuring termination of all relevant agreements, and Perform team members’ assessments and release project resources.
QUESTION 402 Which Project Management Process Group includes Collect Requirements, Define Activities, Sequence Activities, Perform Qualitative Risk Analysis, and Perform Quantitative Risk Analysis?
A. Initiating B. Monitoring and Controlling C. Planning D. Closing
Correct Answer: C
Explanation: Planning Process Group 4.2 Develop Project Management Plan 5.1 Plan Scope Management 5.2 Collect Requirements 5.3 Define Scope 5.4 Create WBS 6.1 Plan Schedule Management 6.2 Define Activities 6.3 Sequence Activities 6.4 Estimate Activity Resources 6.5 Estimate Activity Durations 6.6 Develop Schedule 7.1 Plan Cost Management 7.2 Estimate Costs 7.3 Determine Budget 8.1 Plan Quality Management 9.1 Plan Human Resource Management 10.1 Plan Communications Management 11.1 Plan Risk Management 11.2 Identify Risks 11.3 Perform Qualitative Risk Analysis 11.4 Perform Quantitative Risk Analysis 11.5 Plan Risk Responses 12.1 Plan Procurement Management 13.2 Plan Stakeholder Management QUESTION 403 A work package has been scheduled to cost $1,000 to complete and was to be finished today. As of today, the actual expenditure is $1,200 and approximately half of the work has been completed. What is the cost variance? A. -700 CAPM www.Dumpsgate.com .com 238 B. -200 C. 200 D. 500 Correct Answer: A Section: Volume C Explanation Explanation/Reference: QUESTION 404 Which type of managers do composite organizations involve? A. Functional managers and manager of project managers B. Functional managers only C. Project managers only D. Technical managers and project managers Correct Answer: A Section: Volume C Explanation Explanation/Reference: QUESTION 405 Assigned risk ratings are based upon: A. Root cause analysis. B. Risk probability and impact assessment. C. Expert judgment. D. Revised stakeholders’ tolerances. Correct Answer: B Section: Volume C Explanation Explanation/Reference: Explanation: 11.3.2.2 Probability and Impact Matrix Definition: can be prioritized for further quantitative analysis and planning risk responses based on their risk rating. Ratings are assigned to risks based on their assessed probability and impact. Evaluation of each risk’s importance and priority for attention is typically conducted using a look-up table or a probability and impact matrix. Such a matrix specifies combinations of probability and impact that lead to rating the risks as low, moderate, or high priority. Descriptive terms or numeric values can be used depending on organizational preference. Probability and impact matrix. A probability and impact matrix is a grid for mapping the probability of each risk occurrence and its impact on project objectives if that risk occurs. Risks are prioritized according to their potential implications for having an effect on the project’s objectives. A typical approach to prioritizing risks is to use a look-up table or a probability and impact matrix. The specific combinations of probability and impact that lead to a risk being rated as “high,” “moderate,” or “low” importance are usually set by the organization. QUESTION 406 CAPM www.Dumpsgate.com .com 239 Which tool is used to develop technical details within the project management plan? A. Expert judgment B. Project management methodology C. Project management information system (PMIS) D. Project selection methods Correct Answer: A Section: Volume C Explanation Explanation/Reference: Explanation: 4.1.2.1 Expert Judgment Expert judgment is often used to assess the inputs used to develop the project charter. Expert judgment is applied to all technical and management details during this process. Such expertise is provided by any group or individual with specialized knowledge or training and is available from many sources, including: Other units within the organization, Consultants, Stakeholders, including customers or sponsors, Professional and technical associations, Industry groups, Subject matter experts (SME), and Project management office (PMO). QUESTION 407 What is the name of a graphic display of project team members and their reporting relationships? A. Role dependencies chart B. Reporting flow diagram C. Project organization chart D. Project team structure diagram Correct Answer: C Section: Volume C Explanation Explanation/Reference: QUESTION 408 Which of the following consists of the detailed project scope statement and its associated WBS and WBS dictionary? A. Scope plan B. Product scope C. Scope management plan D. Scope baseline Correct Answer: D Section: Volume C Explanation Explanation/Reference: Explanation: 5.4.3.1 Scope Baseline CAPM www.Dumpsgate.com .com 240 The scope baseline is the approved version of a scope statement, work breakdown structure (WBS), and its associated WBS dictionary, that can be changed only through formal change control procedures and is used as a basis for comparison. It is a component of the project management plan. Components of the scope baseline include: Project scope statement. The project scope statement includes the description of the project scope, major deliverables, assumptions, and constraints. WBS. The WBS is a hierarchical decomposition of the total scope of work to be carried out by the project team to accomplish the project objectives and create the required deliverables. Each descending level of the WBS represents an increasingly detailed definition of the project work. The WBS is finalized by assigning each work package to a control account and establishing a unique identifier for that work package from a code of accounts. These identifiers provide a structure for hierarchical summation of costs, schedule, and resource information. A control account is a management control point where scope, budget, actual cost, and schedule are integrated and compared to the earned value for performance measurement. Control accounts are placed at selected management points in the WBS. Each control account may include one or more work packages, but each of the work packages should be associated with only one control account. A control account may include one or more planning packages. A planning package is a work breakdown structure component below the control account with known work content but without detailed schedule activities. WBS dictionary. The WBS dictionary is a document that provides detailed deliverable, activity, and scheduling information about each component in the WBS. The WBS dictionary is a document that supports the WBS. Information in the WBS dictionary may include, but is not limited to: ○ Code of account identifier, ○ Description of work, ○ Assumptions and constraints, ○ Responsible organization, ○ Schedule milestones, ○ Associated schedule activities, ○ Resources required, ○ Cost estimates, ○ Quality requirements, ○ Acceptance criteria, ○ Technical references, and ○ Agreement information QUESTION 409 What type of reward can hurt team cohesiveness? A. Sole-sum B. Win-lose C. Lose-win D. Partial-sum Correct Answer: B Section: Volume C Explanation Explanation/Reference: Explanation: Recognition and rewards. Clear criteria for rewards and a planned system for their use help promote and reinforce desired behaviors. To be effective, recognition and rewards should be based on activities and performance under a person’s control. For example, a team member who is to be rewarded for meeting cost objectives should have an appropriate level of control over decisions that affect expenses. Creating a plan with established times for distribution of rewards ensures that recognition takes place and is not forgotten. Recognition and rewards are part of the Develop Project Team process (Section 9.3). Process: 9.3 Develop Project Team Definition: The process of improving competencies, team member interaction, and overall team environment to enhance project performance. Key Benefit: The key benefit of this process is that it results in improved teamwork, enhanced people skills CAPM www.Dumpsgate.com .com 241 and competencies, motivated employees, reduced staff turnover rates, and improved overall project performance. Inputs 1. Human resource management plan 2. Project staff assignments 3. Resource calendars Tools & Techniques 1. Interpersonal skills 2. Training 3. Team-building activities 4. Ground rules 5. Colocation 6. Recognition and rewards 7. Personnel assessment tools Outputs 1. Team performance assessments 2. Enterprise environmental factors updates QUESTION 410 What type of planning is used where the work to be accomplished in the near term is planned in detail, while work in the future is planned at a higher level? A. Finish-to-start planning B. Rolling wave planning C. Short term planning D. Dependency determination Correct Answer: B Section: Volume C Explanation Explanation/Reference: Explanation: 6.2.2.2 Rolling Wave Planning Rolling wave planning is an iterative planning technique in which the work to be accomplished in the near term is planned in detail, while the work in the future is planned at a higher level. It is a form of progressive elaboration. Therefore, work can exist at various levels of detail depending on where it is in the project life cycle. During early strategic planning, when information is less defined, work packages may be decomposed to the known level of detail. As more is known about the upcoming events in the near term, work packages can be decomposed into activities. QUESTION 411 Which Develop Schedule tool and technique produces a theoretical early start date and late start date? A. Critical path method B. Variance analysis C. Schedule compression D. Schedule comparison bar charts Correct Answer: A Section: Volume C Explanation CAPM www.Dumpsgate.com .com 242 Explanation/Reference: Explanation: 6.6.2.2 Critical Path Method The critical path method, which is a method used to estimate the minimum project duration and determine the amount of scheduling flexibility on the logical network paths within the schedule model. This schedule network analysis technique calculates the early start, early finish, late start, and late finish dates for all activities without regard for any resource limitations by performing a forward and backward pass analysis through the schedule network, as shown in Figure 6-18. In this example the longest path includes activities A, C, and D, and, therefore, the sequence of A-C-D is the critical path. The critical path is the sequence of activities that represents the longest path through a project, which determines the shortest possible project duration. The resulting early and late start and finish dates are not necessarily the project schedule, rather they indicate the time periods within which the activity could be executed, using the parameters entered in the schedule model for activity durations, logical relationships, leads, lags, and other known constraints. The critical path method is used to calculate the amount of scheduling flexibility on the logical network paths within the schedule model. On any network path, the schedule flexibility is measured by the amount of time that a schedule activity can be delayed or extended from its early start date without delaying the project finish date or violating a schedule constraint, and is termed “total float.” A CPM critical path is normally characterized by zero total float on the critical path. As implemented with PDM sequencing, critical paths may have positive, zero, or negative total float depending on constraints applied. Any activity on the critical path is called a critical path activity. Positive total float is caused when the backward pass is calculated from a schedule constraint that is later than the early finish date that has been calculated during forward pass calculation. Negative total float is caused when a constraint on the late dates is violated by duration and logic. Schedule networks may have multiple near- critical paths. Process: 6.6 Develop Schedule Definition: The process of analyzing activity sequences, durations, resource requirements, and schedule constraints to create the project schedule model. Key Benefit: The key benefit of this process is that by entering schedule activities, durations, resources, resource availabilities, and logical relationships into the scheduling tool, it generates a schedule model with planned dates for completing project activities. Inputs 1. Schedule management plan 2. Activity list 3. Activity attributes 4. Project schedule network diagrams 5. Activity resource requirements 6. Resource calendars 7. Activity duration estimates 8. Project scope statement 9. Risk register 10. Project staff assignments 11. Resource breakdown structure 12. Enterprise environmental factors 13. Organizational process assets Tools & Techniques 1. Schedule network analysis 2. Critical path method 3. Critical chain method 4. Resource optimization techniques 5. Modeling techniques 6. Leads and lags 7. Schedule compression 8. .Scheduling tool Outputs CAPM www.Dumpsgate.com .com 243 1. Schedule baseline 2. .Project schedule 3. Schedule data 4. Project calendars 5. Project management plan updates 6. Project documents updates QUESTION 412 Perform Quality Control is accomplished by: A. Identifying quality standards that are relevant to the project and determining how to satisfy them. B. Monitoring and recording the results of executing the quality activities to assess performance and recommend necessary changes. C. Ensuring that the entire project team has been adequately trained in quality assurance processes. D. Applying Monte Carlo, sampling, Pareto analysis, and benchmarking techniques to ensure conformance to quality standards. Correct Answer: B Section: Volume C Explanation Explanation/Reference: QUESTION 413 Which type of estimating can produce higher levels of accuracy, depending upon the sophistication and underlying data built into the model? A. Bottom-up B. Three-point C. Parametric D. Analogous Correct Answer: C Section: Volume C Explanation Explanation/Reference: Explanation: 7.2.2.3 Parametric Estimating Parametric estimating uses a statistical relationship between relevant historical data and other variables (e.g., square footage in construction) to calculate a cost estimate for project work. This technique can produce higher levels of accuracy depending upon the sophistication and underlying data built into the model. Parametric cost estimates can be applied to a total project or to segments of a project, in conjunction with other estimating methods. QUESTION 414 Activity resource requirements and the resource breakdown structure (RBS) are outputs of which Project Time Management process? A. Control Schedule B. Define Activities C. Develop Schedule D. Estimate Activity Resources Correct Answer: D CAPM www.Dumpsgate.com .com 244 Section: Volume C Explanation Explanation/Reference: Explanation: 6.4.3.2 Resource Breakdown Structure The resource breakdown structure is a hierarchical representation of resources by category and type. Examples of resource categories include labor, material, equipment, and supplies. Resource types may include the skill level, grade level, or other information as appropriate to the project. The resource breakdown structure is useful for organizing and reporting project schedule data with resource utilization information. Process: 6.4 Estimate Activity Resources Definition: Activity Resources is the process of estimating the type and quantities of material, human resources, equipment, or supplies required to perform each activity. Key Benefit: The key benefit of this process is that it identifies the type, quantity, and characteristics of resources required to complete the activity which allows more accurate cost and duration estimates. Inputs 1. Schedule management plan 2. Activity list 3. Activity attributes 4. Resource calendars 5. Risk register 6. Activity cost estimates 7. Enterprise environmental factors 8. Organizational process assets Tools & Techniques 1. Expert judgment 2. Alternative analysis 3. Published estimating data 4. Bottom-up estimating 5. Project management software Outputs 1. Activity resource requirements 2. Resource breakdown structure 3. Project documents updates QUESTION 415 Which of the following statements best describes the influence of stakeholders and the cost of changes as project time advances? A. The influence of the stakeholders increases, the cost of changes increases. B. The influence of the stakeholders decreases, the cost of changes increases. C. The influence of the stakeholders increases, the cost of changes decreases. D. The influence of the stakeholders decreases, the cost of changes decreases. Correct Answer: B Section: Volume C Explanation Explanation/Reference: QUESTION 416 Which process includes prioritizing risks for subsequent further analysis or action by assessing and combining their probability of occurrence and impact? CAPM www.Dumpsgate.com .com 245 A. Perform Qualitative Risk Analysis B. Perform Quantitative Risk Analysis C. Plan Risk Management D. Plan Risk Responses Correct Answer: A Section: Volume C Explanation Explanation/Reference: Explanation: Process: 11.3 Perform Qualitative Risk Analysis Definition: The process of prioritizing risks for further analysis or action by assessing and combining their probability of occurrence and impact. Key Benefit: The key benefit of this process is that it enables project managers to reduce the level of uncertainty and to focus on high-priority risks. Inputs 1. Risk management plan 2. Scope baseline 3. Risk register 4. Enterprise environmental factors 5. Organizational process assets Tools & Techniques 1. Risk probability and impact assessment 2. Probability and impact matrix 3. Risk data quality assessment 4. Risk categorization 5. Risk urgency assessment 6. Expert judgment Outputs 1. Project documents updates QUESTION 417 A change log for communications can be used to communicate to the appropriate stakeholders that there are changes: A. To the project management plan. B. To the risk register. C. In the scope verification processes. D. And their impact to the project in terms of time, cost, and risk. Correct Answer: D Section: Volume C Explanation Explanation/Reference: Explanation: 4.5.3.2 Change Log A change log is used to document changes that occur during a project. These changes and their impact to the project in terms of time, cost, and risk, are communicated to the appropriate stakeholders. Rejected change requests are also captured in the change log. 13.3.1.3 Change Log Described in Section 4.5.3.2. A change log is used to document changes that occur during a project. These CAPM www.Dumpsgate.com .com 246 changes—and their impact on the project in terms of time, cost, and risk—are communicated to the appropriate stakeholders. QUESTION 418 A procurement management plan is a subsidiary of which other type of plan? A. Resource plan B. Project management plan C. Cost control plan D. Expected monetary value plan Correct Answer: B Section: Volume C Explanation Explanation/Reference: Explanation: 4.2.3.1 Project Management Plan The project management plan is the document that describes how the project will be executed, monitored, and controlled. It integrates and consolidates all of the subsidiary plans and baselines from the planning processes. Project baselines include, but are not limited to: Scope baseline (Section 5.4.3.1), Schedule baseline (Section 6.6.3.1), and Cost baseline (Section 7.3.3.1) Subsidiary plans include, but are not limited to: Scope management plan (Section 5.1.3.1), Requirements management plan (Section 5.1.3.2), Schedule management plan (Section 6.1.3.1), Cost management plan (Section 7.1.3.1), Quality management plan (Section 8.1.3.1), Process improvement plan (Section 8.1.3.2), Human resource management plan (Section 9.1.3.1), Communications management plan (Section 10.1.3.1), Risk management plan (Section 11.1.3.1), Procurement management plan (Section 12.1.3.1), and Stakeholder management plan (Section 13.2.3.1) 12.1.3.1 Procurement Management Plan Definition: Procurement management plan is a component of the project management plan that describes how a project team will acquire goods and services from outside the performing organization. It describes how the procurement processes will be managed from developing procurement documents through contract closure. The procurement management plan can include guidance for: Types of contracts to be used; Risk management issues; Whether independent estimates will be used and whether they are needed as evaluation criteria; Those actions the project management team can take unilaterally, if the performing organization has a prescribed procurement, contracting, or purchasing department; Standardized procurement documents, if needed; Managing multiple suppliers; Coordinating procurement with other project aspects, such as scheduling and performance reporting; Any constraints and assumptions that could affect planned procurements; Handling the long lead times to purchase certain items from sellers and coordinating the extra time needed to procure these items with the development of the project schedule; Handling the make-or-buy decisions and linking them into the Estimate Activity Resources and Develop Schedule processes; the scheduled dates in each contract for the contract deliverables and coordinating with CAPM www.Dumpsgate.com .com 247 the schedule development and control processes; Identifying requirements for performance bonds or insurance contracts to mitigate some forms of project risk; Establishing the direction to be provided to the sellers on developing and maintaining a work breakdown structure (WBS); Establishing the form and format to be used for the procurement/contract statements of work; Identifying prequalified sellers, if any, to be used; and Procurement metrics to be used to manage contracts and evaluate sellers. A procurement management plan can be formal or informal, can be highly detailed or broadly framed, and is based upon the needs of each project. QUESTION 419 An electronics firm authorizes a new project to develop a faster, cheaper, and smaller laptop after improvements in the industry and electronics technology. With which of the following strategic considerations is this project mainly concerned? A. Customer request B. Market demand C. Technological advance D. Strategic opportunity Correct Answer: C Section: Volume C Explanation Explanation/Reference: QUESTION 420 Which of the following processes are part of the Project Integration Management Knowledge Area? A. Develop Project Management Plan, Collect Requirements, Create WBS B. Develop Project Management Plan, Control Scope, Develop Schedule C. Develop Project Charter, Define Scope, Estimate Costs D. Develop Project Charter, Direct and Manage Project Execution, Close Project or Phase Correct Answer: D Section: Volume C Explanation Explanation/Reference: Explanation: 4. Project Integration Management 4.1 Develop Project Charter 4.2 Develop Project Management Plan 4.3 Direct and Manage Project Work 4.4 Monitor and Control Project Work 4.5 Perform Integrated Change Control 4.6 Close Project or Phase QUESTION 421 What tool and technique is used to determine whether work and deliverables meet requirements and product acceptance criteria? A. Decomposition B. Benchmarking CAPM www.Dumpsgate.com .com 248 C. Inspection D. Checklist analysis Correct Answer: C Section: Volume C Explanation Explanation/Reference: QUESTION 422 To which process is work performance information an input? A. Administer Procurements B. Direct and Manage Project Execution C. Create WBS D. Perform Qualitative Risk Analysis Correct Answer: A Section: Volume C Explanation Explanation/Reference: QUESTION 423 Which defines the portion of work included in a contract for items being purchased or acquired? A. Procurement management plan B. Evaluation criteria C. Work breakdown structure D. Procurement statement of work Correct Answer: D Section: Volume C Explanation Explanation/Reference: QUESTION 424 Cost baseline is an output of which of the following processes? A. Control Costs B. Determine Budget C. Estimate Costs D. Estimate Activity Resources Correct Answer: B Section: Volume C Explanation Explanation/Reference: Explanation: 7.3.3.1 Cost Baseline CAPM www.Dumpsgate.com .com 249 The cost baseline is the approved version of the time-phased project budget, excluding any management reserves, which can only be changed through formal change control procedures and is used as a basis for comparison to actual results. It is developed as a summation of the approved budgets for the different schedule activities. Process: 7.3 Determine Budget Definition: The process of aggregating the estimated costs of individual activities or work packages to establish an authorized cost baseline. Key Benefit: The key benefit of this process is that it determines the cost baseline against which project performance can be monitored and controlled. Inputs 1. Cost management plan 2. Scope baseline 3. Activity cost estimates 4. Basis of estimates 5. Project schedule 6. Resource calendars 7. Risk register 8. Agreements 9. Organizational process assets Tools & Techniques 1. Cost aggregation 2. Reserve analysis 3. Expert judgment 4. Historical relationships 5. Funding limit reconciliation Outputs 1. Cost baseline 2. Project funding requirements 3. Project documents updates QUESTION 425 Which group creativity technique asks a selected group of experts to answer questionnaires and provide feedback regarding the responses from each round of requirements gathering? A. The Delphi technique B. Nominal group technique C. Affinity diagram D. Brainstorming Correct Answer: A Section: Volume C Explanation Explanation/Reference: Explanation: Delphi technique. The Delphi technique is a way to reach a consensus of experts. Project risk experts participate in this technique anonymously. A facilitator uses a questionnaire to solicit ideas about the important project risks. The responses are summarized and are then recirculated to the experts for further comment. Consensus may be reached in a few rounds of this process. The Delphi technique helps reduce bias in the data and keeps any one person from having undue influence on the outcome. QUESTION 426 At which point of the project is the uncertainty the highest and the risk of failing the greatest? CAPM www.Dumpsgate.com .com 250 A. Final phase of the project B. Start of the project C. End of the project D. Midpoint of the project Correct Answer: B Section: Volume C Explanation Explanation/Reference: QUESTION 427 What type of project structure is a hierarchically organized depiction of the resources by type? A. Organizational breakdown structure (OBS) B. Resource breakdown structure (RBS) C. Work breakdown structure (WBS) D. Project breakdown structure (PBS) Correct Answer: B Section: Volume C Explanation Explanation/Reference: Explanation: 6.4.3.2 Resource Breakdown Structure The resource breakdown structure is a hierarchical representation of resources by category and type. Examples of resource categories include labor, material, equipment, and supplies. Resource types may include the skill level, grade level, or other information as appropriate to the project. The resource breakdown structure is useful for organizing and reporting project schedule data with resource utilization information. QUESTION 428 When can pre-assignment of project team members occur? A. When the project uses capital expenditures B. When the required staff can be acquired from outside sources C. When the project would be ignored due to travel expenses D. When the project is the result of specific people being promised as part of a competitive proposal Correct Answer: D Section: Volume C Explanation Explanation/Reference: Explanation: 9.2.2.1 Pre-assignment When project team members are selected in advance, they are considered pre-assigned. This situation can occur if the project is the result of specific people being identified as part of a competitive proposal, if the project is dependent upon the expertise of particular persons, or if some staff assignments are defined within the project charter. QUESTION 429 An output of the Create WBS process is: CAPM www.Dumpsgate.com .com 251 A. Scope baseline. B. Project scope statement. C. Organizational process assets. D. Requirements traceability matrix. Correct Answer: A Section: Volume C Explanation Explanation/Reference: Explanation: 5.4.3.1 Scope Baseline The scope baseline is the approved version of a scope statement, work breakdown structure (WBS), and its associated WBS dictionary, that can be changed only through formal change control procedures and is used as a basis for comparison. It is a component of the project management plan. Components of the scope baseline include: Project scope statement. The project scope statement includes the description of the project scope, major deliverables, assumptions, and constraints. WBS. The WBS is a hierarchical decomposition of the total scope of work to be carried out by the project team to accomplish the project objectives and create the required deliverables. Each descending level of the WBS represents an increasingly detailed definition of the project work. The WBS is finalized by assigning each work package to a control account and establishing a unique identifier for that work package from a code of accounts. These identifiers provide a structure for hierarchical summation of costs, schedule, and resource information. A control account is a management control point where scope, budget, actual cost, and schedule are integrated and compared to the earned value for performance measurement. Control accounts are placed at selected management points in the WBS. Each control account may include one or more work packages, but each of the work packages should be associated with only one control account. A control account may include one or more planning packages. A planning package is a work breakdown structure component below the control account with known work content but without detailed schedule activities. WBS dictionary. The WBS dictionary is a document that provides detailed deliverable, activity, and scheduling information about each component in the WBS. The WBS dictionary is a document that supports the WBS. Information in the WBS dictionary may include, but is not limited to: ○ Code of account identifier, ○ Description of work, ○ Assumptions and constraints, ○ Responsible organization, ○ Schedule milestones, ○ Associated schedule activities, ○ Resources required, ○ Cost estimates, ○ Quality requirements, ○ Acceptance criteria, ○ Technical references, and ○ Agreement information Process: 5.4 Create WBS Definition: WBS is the process of subdividing project deliverables and project work into smaller, more manageable components. Key Benefit: The key benefit of this process is that it provides a structured vision of what has to be delivered. Inputs 1. Scope management plan 2. Project scope statement 3. Requirements documentation 4. Enterprise environmental factors 5. Organizational process assets Tools & Techniques 1. Decomposition CAPM www.Dumpsgate.com .com 252 2. Expert judgment Outputs 1. Scope baseline 2. Project documents updates QUESTION 430 Change requests are an output from which Project Integration Management process? A. Direct and Manage Project Execution B. Develop Project Management Plan C. Close Project D. Develop Project Charter Correct Answer: A Section: Volume C Explanation Explanation/Reference: QUESTION 431 Which process involves aggregating the estimated costs of the individual schedule activities or work packages? A. Estimate Costs B. Estimate Activity Resources C. Control Costs D. Determine Budget Correct Answer: D Section: Volume C Explanation Explanation/Reference: Explanation: Process: 7.3 Determine Budget Definition: The process of aggregating the estimated costs of individual activities or work packages to establish an authorized cost baseline. Key Benefit: The key benefit of this process is that it determines the cost baseline against which project performance can be monitored and controlled. Inputs 1. Cost management plan 2. Scope baseline 3. Activity cost estimates 4. Basis of estimates 5. Project schedule 6. Resource calendars 7. Risk register 8. Agreements 9. Organizational process assets Tools & Techniques 1. Cost aggregation 2. Reserve analysis 3. Expert judgment 4. Historical relationships 5. Funding limit reconciliation CAPM www.Dumpsgate.com .com 253 Outputs 1. Cost baseline 2. Project funding requirements 3. Project documents updates QUESTION 432 Plan Risk Management is the process of defining how to: A. Communicate identified risks to the project stakeholders. B. Conduct risk management activities for a project. C. Analyze the impact a specific risk may have on the project. D. Address unexpected risks that may occur during a project. Correct Answer: B Section: Volume C Explanation Explanation/Reference: Explanation: Process: 11.1 Plan Risk Management Definition: The process of defining how to conduct risk management activities for a project. Key Benefit: The key benefit of this process is it ensures that the degree, type, and visibility of risk management are commensurate with both the risks and the importance of the project to the organization. The risk management plan is vital to communicate with and obtain agreement and support from all stakeholders to ensure the risk management process is supported and performed effectively over the project life cycle. Inputs 1. Project management plan 2. Project charter 3. Stakeholder register 4. Enterprise environmental factors 5. Organizational process assets Tools & Techniques 1. Analytical techniques 2. Expert judgment 3. Meetings Outputs 1. Risk management plan QUESTION 433 If the most likely duration of an activity is five weeks, the best-case duration is two weeks, and the worst-case duration is 14 weeks, how many weeks is the expected duration of the activity? A. One B. Five C. Six D. Seven Correct Answer: C Section: Volume C Explanation Explanation/Reference: Explanation: CAPM www.Dumpsgate.com .com 254 E = (a + 4m + b) / 6 (2+ (4*5) +14)=36 /6 =6 QUESTION 434 The CPI is .92, and the EV is US$172,500.What is the actual cost of the project? A. US$158,700 B. US$172,500 C. US$187,500 D. US$245,600 Correct Answer: C Section: Volume C Explanation Explanation/Reference: Explanation: CPI = budgeted cost of work performed (BCWP) / actual cost of work performed (ACWP) US$172,500 / US$187,500 = 0.92 QUESTION 435 Which type of analysis is used to examine project results through time to determine if performance is improving or deteriorating? A. Control chart B. Earned value C. Variance D. Trend Correct Answer: D Section: Volume C Explanation Explanation/Reference: Explanation: 6.7.2.1 Performance Reviews Performance reviews measure, compare, and analyze schedule performance such as actual start and finish dates, percent complete, and remaining duration for work in progress. Various techniques may be used, among them: Trend analysis. Trend analysis examines project performance over time to determine whether performance is improving or deteriorating. Graphical analysis techniques are valuable for understanding performance to date and for comparison to future performance goals in the form of completion dates. Critical path method (Section 6.6.2.2). Comparing the progress along the critical path can help determine schedule status. The variance on the critical path will have a direct impact on the project end date. Evaluating the progress of activities on near critical paths can identify schedule risk. Critical chain method (Section 6.6.2.3). Comparing the amount of buffer remaining to the amount of buffer needed to protect the delivery date can help determine schedule status. The difference between the buffer needed and the buffer remaining can determine whether corrective action is appropriate. Earned value management (Section 7.4.2.1). Schedule performance measurements such as schedule variance (SV) and schedule performance index (SPI), are used to assess the magnitude of variation to the original schedule baseline. The total float and early finish variances are also essential planning components to evaluate project time performance. Important aspects of schedule control include determining the cause and degree of variance relative to the schedule baseline (Section 6.6.3.1), estimating the implications of those variances for future work to completion, and deciding whether corrective or preventive action is required. For example, a major delay on any activity not on the critical path may have little effect on the overall project schedule, while a much shorter delay on a critical or near-critical activity may require immediate action. For CAPM www.Dumpsgate.com .com 255 projects not using earned value management, similar variance analysis can be performed by comparing planned activity start or finish dates against actual start or finish dates to identify variances between the schedule baseline and actual project performance. Further analysis can be performed to determine the cause and degree of variance relative to the schedule baseline and any corrective or preventative actions needed. QUESTION 436 Which is one of the major outputs of Sequence Activities? A. Responsibility assignment matrix (RAM) B. Work breakdown structure (WBS) update C. Project schedule network diagram D. Mandatory dependencies list Correct Answer: C Section: Volume C Explanation Explanation/Reference: Explanation: 6.3.3.1 Project Schedule Network Diagrams A project schedule network diagram is a graphical representation of the logical relationships, also referred to as dependencies, among the project schedule activities. Figure 6-11 illustrates a project schedule network diagram. A project schedule network diagram is produced manually or by using project management software. It can include full project details, or have one or more summary activities. A summary narrative can accompany the diagram and describe the basic approach used to sequence the activities. Any unusual activity sequences within the network should be fully described within the narrative. Process: 6.3 Sequence Activities Definition: The process of identifying and documenting relationships among the project activities. Key Benefit: The key benefit of this process is that it defines the logical sequence of work to obtain the greatest efficiency given all project constraints. Inputs 1. Schedule management plan 2. Activity list 3. Activity attributes 4. Milestone list 5. Project scope statement 6. Enterprise environmental factors 7. Organizational process assets Tools & Techniques 1. Precedence diagramming method (PDM) 2. Dependency determination 3. Leads and lags Outputs 1. Project schedule network diagrams 2. Project documents updates QUESTION 437 The Human Resource Management processes are: A. Develop Human Resource Plan, Acquire Project Team, Develop Project Team, and Manage Project Team. B. Acquire Project Team, Manage Project Team, Manage Stakeholder Expectations, and Develop Project Team. C. Acquire Project Team, Develop Human Resource Plan, Conflict Management, and Manage Project Team. CAPM www.Dumpsgate.com .com 256 D. Develop Project Team, Manage Project Team, Estimate Activity Resources, and Acquire Project Team. Correct Answer: A Section: Volume C Explanation Explanation/Reference: QUESTION 438 What are the formal and informal policies, procedures, and guidelines that could impact how the project’s scope is managed? A. Organizational process assets B. Enterprise environmental factors C. Project management processes D. Project scope management plan Correct Answer: A Section: Volume C Explanation Explanation/Reference: Explanation: 2.1.4 Organizational Process Assets Organizational process assets are the plans, processes, policies, procedures, and knowledge bases specific to and used by the performing organization. They include any artifact, practice, or knowledge from any or all of the organizations involved in the project that can be used to perform or govern the project. The process assets also include the organization’s knowledge bases such as lessons learned and historical information. Organizational process assets may include completed schedules, risk data, and earned value data. Organizational process assets are inputs to most planning processes. Throughout the project, the project team members may update and add to the organizational process assets as necessary. Organizational process assets may be grouped into two categories: (1) processes and procedures, and (2) corporate knowledge base. QUESTION 439 Organizational planning impacts projects by means of project prioritization based on risk, funding, and an organizations: A. Budget plan B. Resource plan C. Scope plan D. Strategic plan Correct Answer: D Section: Volume C Explanation Explanation/Reference: Explanation: 4.1.1.1 Project Statement of Work The project statement of work (SOW) is a narrative description of products, services, or results to be delivered by a project. For internal projects, the project initiator or sponsor provides the statement of work based on business needs, product, or service requirements. For external projects, the statement of work can be received from the customer as part of a bid document, (e.g., a request for proposal, request for information, or request for bid) or as part of a contract. The SOW references the following: CAPM www.Dumpsgate.com .com 257 Business need. An organization’s business need may be based on a market demand, technological advance, legal requirement, government regulation, or environmental consideration. Typically, the business need and the cost-beneft analysis are contained in the business case to justify the project. Product scope description. The product scope description documents the characteristics of the product, service, or results that the project will be undertaken to create. The description should also document the relationship between the products, services, or results being created and the business need that the project will address. Strategic plan. The strategic plan documents the organization’s strategic vision, goals, and objectives and may contain a high-level mission statement. All projects should be aligned with their organization’s strategic plan. Strategic plan alignment ensures that each project contributes to the overall objectives of the organization. QUESTION 440 When does Monitor and Control Risks occur? A. At project initiation B. During work performance analysis C. Throughout the life of the project D. At project milestones Correct Answer: C Section: Volume C Explanation Explanation/Reference: QUESTION 441 Conflict should be best addressed in which manner? A. Early, in private, using a direct, collaborative approach B. Early, in public, using an indirect, collaborative approach C. Early, in private, using an indirect, cooperative approach D. As late as possible, in public, using a direct, confrontational approach Correct Answer: A Section: Volume C Explanation Explanation/Reference: QUESTION 442 The project management processes presented in the PMBOK Guide® should: A. always be applied uniformly. B. be selected as appropriate by the sponsor. C. be selected as appropriate by the project team. D. be applied based on ISO guidelines. Correct Answer: C Section: Volume C Explanation Explanation/Reference: CAPM www.Dumpsgate.com .com 258 QUESTION 443 Which type of contract is most commonly used by buying organizations because the price for goods is set at the outset and is not subject to change unless the scope of work changes? A. Fixed Price with Economic Price Adjustments Contract (FP-EPA) B. Cost-Reimbursable Contract (CR) C. Firm-Fixed -Price Contract (FFP) D. Fixed-Price-Incentive-Fee Contract (FPIF) Correct Answer: C Section: Volume C Explanation Explanation/Reference: Explanation: Firm Fixed Price Contracts (FFP). The most commonly used contract type is the FFP. It is favored by most buying organizations because the price for goods is set at the outset and not subject to change unless the scope of work changes. Any cost increase due to adverse performance is the responsibility of the seller, who is obligated to complete the effort. Under the FFP contract, the buyer should precisely specify the product or services to be procured, and any changes to the procurement specification can increase the costs to the buyer. QUESTION 444 Which schedule compression technique has phases or activities done in parallel that would normally have been done sequentially? A. Crashing B. Fast tracking C. Leads and lags adjustment D. Parallel task development Correct Answer: B Section: Volume C Explanation Explanation/Reference: Explanation: 6.6.2.7 Schedule Compression Schedule compression techniques are used to shorten the schedule duration without reducing the project scope, in order to meet schedule constraints, imposed dates, or other schedule objectives. Schedule compression techniques include, but are not limited to: Crashing. A technique used to shorten the schedule duration for the least incremental cost by adding resources. Examples of crashing include approving overtime, bringing in additional resources, or paying to expedite delivery to activities on the critical path. Crashing works only for activities on the critical path where additional resources will shorten the activity’s duration. Crashing does not always produce a viable alternative and may result in increased risk and/or cost. Fast tracking. A schedule compression technique in which activities or phases normally done in sequence are performed in parallel for at least a portion of their duration. An example is constructing the foundation for a building before completing all of the architectural drawings. Fast tracking may result in rework and increased risk. Fast tracking only works if activities can be overlapped to shorten the project duration. QUESTION 445 What is the definition of Direct and Manage Project Execution? A. Integrating all planned activities CAPM www.Dumpsgate.com .com 259 B. Performing the activities included in the plan C. Developing and maintaining the plan D. Execution of deliverables Correct Answer: B Section: Volume C Explanation Explanation/Reference: QUESTION 446 What name(s) is (are) associated with the Plan-Do-Check-Act cycle? A. Pareto B. Ishikawa C. Shewhart-Deming D. Delphi Correct Answer: C Section: Volume C Explanation Explanation/Reference: QUESTION 447 A project management office manages a number of aspects including the: A. Project scope, schedule, cost, and quality of the products of the work packages. B. Central coordination of communication management across projects. C. Assignment of project resources to best meet project objectives. D. Overall risk, overall opportunity, and interdependencies among projects at the enterprise level. Correct Answer: D Section: Volume C Explanation Explanation/Reference: Explanation: 1.4.4 Project Management Office A project management office (PMO) is a management structure that standardizes the project-related governance processes and facilitates the sharing of resources, methodologies, tools, and techniques. The responsibilities of a PMO can range from providing project management support functions to actually being responsible for the direct management of one or more projects. There are several types of PMO structures in organizations, each varying in the degree of control and influence they have on projects within the organization, such as: Supportive. Supportive PMOs provide a consultative role to projects by supplying templates, best practices, training, access to information and lessons learned from other projects. This type of PMO serves as a project repository. The degree of control provided by the PMO is low. Controlling. Controlling PMOs provide support and require compliance through various means. Compliance may involve adopting project management frameworks or methodologies, using specific templates, forms and tools, or conformance to governance. The degree of control provided by the PMO is CAPM www.Dumpsgate.com .com 260 moderate. Directive. Directive PMOs take control of the projects by directly managing the projects. The degree of control provided by the PMO is high. The PMO integrates data and information from corporate strategic projects and evaluates how higher level strategic objectives are being fulfilled. The PMO is the natural liaison between the organization’s portfolios, programs, projects, and the corporate measurement systems (e.g. balanced scorecard). The projects supported or administered by the PMO may not be related, other than by being managed together. The specific form, function, and structure of a PMO are dependent upon the needs of the organization that it supports. A PMO may have the authority to act as an integral stakeholder and a key decision maker throughout the life of each project, to make recommendations, or to terminate projects or take other actions, as required, to remain aligned with the business objectives. In addition, the PMO may be involved in the selection, management, and deployment of shared or dedicated project resources. A primary function of a PMO is to support project managers in a variety of ways which may include, but are not limited to: Managing shared resources across all projects administered by the PMO; Identifying and developing project management methodology, best practices, and standards; Coaching, mentoring, training, and oversight; Monitoring compliance with project management standards, policies, procedures, and templates by means of project audits; Developing and managing project policies, procedures, templates, and other shared documentation (organizational process assets); and Coordinating communication across projects. Project managers and PMOs pursue different objectives and, as such, are driven by different requirements. All of these efforts are aligned with the strategic needs of the organization. Differences between the role of project managers and a PMO may include the following: The project manager focuses on the specified project objectives, while the PMO manages major program scope changes, which may be seen as potential opportunities to better achieve business objectives. The project manager controls the assigned project resources to best meet project objectives, while the PMO optimizes the use of shared organizational resources across all projects. The project manager manages the constraints (scope, schedule, cost, quality, etc.) of the individual projects, while the PMO manages the methodologies, standards, overall risks/opportunities, metrics, and interdependencies among projects at the enterprise level. QUESTION 448 Which of the following techniques is used during Control Scope? A. Cost-benefit analysis B. Variance analysis C. Reserve analysis D. Stakeholder analysis Correct Answer: B Section: Volume C Explanation Explanation/Reference: Explanation: 5.6.2.1 Variance Analysis Variance analysis is a technique for determining the cause and degree of difference between the baseline and CAPM www.Dumpsgate.com .com 261 actual performance. Project performance measurements are used to assess the magnitude of variation from the original scope baseline. Important aspects of project scope control include determining the cause and degree of variance relative to the scope baseline (Section 5.4.3.1) and deciding whether corrective or preventive action is required. Process: 5.6 Control Scope Definition: The process of monitoring the status of the project and product scope and managing changes to the scope baseline. Key Benefit: The key benefit of this process is that it allows the scope baseline to be maintained throughout the project. Inputs 1. Project management plan 2. Requirements documentation 3. Requirements traceability matrix 4. Work performance data 5. Organizational process assets Tools & Techniques 1. Variance analysis Outputs 1. Work performance information 2. Change requests 3. Project management plan updates 4. Project documents updates 5. Organizational process assets updates QUESTION 449 As part of a mid-project evaluation, the project sponsor has asked for a forecast of the total project cost. What should be used to calculate the forecast? A. BAC B. EAC C. ETC D. WBS Correct Answer: B Section: Volume C Explanation Explanation/Reference: QUESTION 450 A weighting system is a tool for which area of Conduct Procurements? A. Plan contracting B. Requesting seller responses C. Selecting seller’s D. Planning purchase and acquisition Correct Answer: C Section: Volume D Explanation Explanation/Reference: CAPM www.Dumpsgate.com .com 262 Explanation: Process: 12.2 Conduct Procurements Definition: Conduct Procurements is the process of obtaining seller responses, selecting a seller, and awarding a contract. Key Benefit: The key benefit of this process is that it provides alignment of internal and external stakeholder expectations through established agreements. Inputs 1. Procurement management plan 2. Procurement documents 3. Source selection criteria 4. Seller proposals 5. Project documents 6. Make-or-buy decisions 7. Procurement statement of work 8. Organizational process assets Tools & Techniques 1. Bidder conference 2. Proposal evaluation techniques 3. Independent estimates 4. Expert judgment 5. Advertising 6. Analytical techniques 7. Procurement negotiations Outputs 1. .Selected sellers 2. .Agreements 3. .Resource calendars 4. .Change requests 5. .Project management plan updates 6. .Project documents updates QUESTION 451 Which type of chart is a graphic representation of a process showing the relationships among process steps? A. Control B. Bar C. Flow D. Pareto Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 452 What is the schedule performance index (SPI) using the following data? BAC = $100,000 PV = $50,000 AC = $80,000 EV = $40,000 A. 1 B. 0.4 C. 0.5 D. 0.8 Correct Answer: D CAPM www.Dumpsgate.com .com 263 Section: Volume D Explanation Explanation/Reference:
QUESTION 551 The key benefit of the Monitoring and Controlling Process Group is the ability to:
A. establish and manage project communication channels, both external and internal to the project team. B. influence the stakeholders that want to circumvent integrated change control so that their changes are implemented. C. monitor the ongoing project team against the team performance assessments and the project performance baseline. D. observe and measure project performance regularly and consistently to identify variances from the project management plan.
Correct Answer: D
Explanation: • Monitoring and Controlling Process Group. Those processes required to track, review, and regulate the progress and performance of the project; identify any areas in which changes to the plan are required; and initiate the corresponding changes. 4.2.3.1 Project Management Plan The project management plan is the document that describes how the project will be executed, monitored, and controlled. It integrates and consolidates all of the subsidiary plans and baselines from the planning processes. Project baselines include, but are not limited to: Scope baseline (Section 5.4.3.1), Schedule baseline (Section 6.6.3.1), and Cost baseline (Section 7.3.3.1). Subsidiary plans include, but are not limited to: Scope management plan (Section 5.1.3.1), Requirements management plan (Section 5.1.3.2), Schedule management plan (Section 6.1.3.1), Cost management plan (Section 7.1.3.1), Quality management plan (Section 8.1.3.1), Process improvement plan (Section 8.1.3.2), Human resource management plan (Section 9.1.3.1), Communications management plan (Section 10.1.3.1), Risk management plan (Section 11.1.3.1), Procurement management plan (Section 12.1.3.1), and Stakeholder management plan (Section 13.2.3.1). Among other things, the project management plan may also include the following: Life cycle selected for the project and the processes that will be applied to each phase; Details of the tailoring decisions specified by the project management team as follows: ○ Project management processes selected by the project management team, ○ Level of implementation for each selected process, ○ Descriptions of the tools and techniques to be used for accomplishing those processes, and ○ Description of how the selected processes will be used to manage the specific project, including the dependencies and interactions among those processes and the essential inputs and outputs. Description of how work will be executed to accomplish the project objectives; Change management plan that documents how changes will be monitored and controlled; CAPM “Best Material, Great Results”. www.certkingdom.com 311 Configuration management plan that documents how Configuration management will be performed; Description of how the integrity of the project baselines will be maintained; Requirements and techniques for communication among stakeholders; and Key management reviews for content, the extent of, and timing to address, open issues and pending decisions. The project management plan may be either summary level or detailed, and may be composed of one or more subsidiary plans. Each of the subsidiary plans is detailed to the extent required by the specific project. Once the project management plan is baselined, it may only be changed when a change request is generated and approved through the Perform Integrated Change Control process. QUESTION 552 Which written document helps monitor who is responsible for resolving specific problems and concerns by a target date? A. Project Plan B. Responsibility Matrix C. Issue Log D. Scope Document Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: 9.4.1.4 Issue Log Issues arise in the course of managing the project team. An issue log can be used to document and monitor who is responsible for resolving specific issues by a target date. QUESTION 553 Who provides the inputs for the original estimates of activity durations for tasks on the project plan? A. Project sponsor B. Project manager C. Person responsible for project scheduling D. Person who is most familiar with the task Correct Answer: D Section: Volume D Explanation Explanation/Reference: QUESTION 554 Which of the following is the primary output of the Identify Risks process? A. Risk management plan B. Risk register C. Change requests D. Risk response plan Correct Answer: B Section: Volume D Explanation CAPM “Best Material, Great Results”. www.certkingdom.com 312 Explanation/Reference: Explanation: Process: 11.2 Identify Risks Definition: The process of determining which risks may affect the project and documenting their characteristics. Key Benefit: The key benefit of this process is the documentation of existing risks and the knowledge and ability it provides to the project team to anticipate events. Inputs 1. Risk management plan 2. Cost management plan 3. Schedule management plan 4. Quality management plan 5. Human resource management plan 6. Scope baseline 7. Activity cost estimates 8. Activity duration estimates 9. Stakeholder register 10. Project documents 11. Procurement documents 12. Enterprise environmental factors 13. Organizational process assets Tools & Techniques 1. Documentation reviews 2. Information gathering techniques 3. Checklist analysis 4. Assumptions analysis 5. Diagramming techniques 6. SWOT analysis 7. Expert judgment Outputs 1. Risk register 11.2.3.1 Risk Register The primary output from Identify Risks is the initial entry into the risk register. The risk register is a document in which the results of risk analysis and risk response planning are recorded. It contains the outcomes of the other risk management processes as they are conducted, resulting in an increase in the level and type of information contained in the risk register over time. The preparation of the risk register begins in the Identify Risks process with the following information, and then becomes available to other project management and risk management processes: List of identified risks. The identified risks are described in as much detail as is reasonable. A structure for describing risks using risk statements may be applied, for example, EVENT may occur causing IMPACT, or If CAUSE exists, EVENT may occur leading to EFFECT. In addition to the list of identified risks, the root causes of those risks may become more evident. These are the fundamental conditions or events that may give rise to one or more identified risks. They should be recorded and used to support future risk identification for this and other projects. List of potential responses. Potential responses to a risk may sometimes be identified during the Identify Risks process. These responses, if identified in this process, should be used as inputs to the Plan Risk Responses process. QUESTION 555 Which type of elaboration allows a project management team to manage at a greater level of detail as the project evolves? A. Cyclic CAPM “Best Material, Great Results”. www.certkingdom.com 313 B. Progressive C. Repetitive D. Iterative Correct Answer: B Section: Volume D Explanation Explanation/Reference: QUESTION 556 Which of the following helps to ensure that each requirement adds business value by linking it to the business and project objectives? A. Requirements traceability matrix B. Work breakdown structure (WBS) dictionary C. Requirements management plan D. Requirements documentation Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: 5.2.3.2 Requirements Traceability Matrix The requirements traceability matrix is a grid that links product requirements from their origin to the deliverables that satisfy them. The implementation of a requirements traceability matrix helps ensure that each requirement adds business value by linking it to the business and project objectives. It provides a means to track requirements throughout the project life cycle, helping to ensure that requirements approved in the requirements documentation are delivered at the end of the project. Finally, it provides a structure for managing changes to the product scope. Tracing includes, but is not limited to, tracing requirements for the following: Business needs, opportunities, goals, and objectives; Project objectives; Project scope/WBS deliverables; Product design; Product development; Test strategy and test scenarios; and High-level requirements to more detailed requirements. Attributes associated with each requirement can be recorded in the requirements traceability matrix. These attributes help to define key information about the requirement. Typical attributes used in the requirements traceability matrix may include: a unique identifier, a textual description of the requirement, the rationale for inclusion, owner, source, priority, version, current status (such as active, cancelled, deferred, added, approved, assigned, completed), and status date. Additional attributes to ensure that the requirement has met stakeholders’ satisfaction may include stability, complexity, and acceptance criteria. QUESTION 557 Which category of contracts are sellers legally obligated to complete, with possible financial damages if the project objectives are not met? A. Cost-reimbursable contracts B. Time and Material contracts (T&M) C. Fixed-price contracts CAPM “Best Material, Great Results”. www.certkingdom.com 314 D. Cost Plus Fixed Fee Contracts (CPFF) Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: Fixed-price contracts. This category of contracts involves setting a fixed total price for a defined product, service, or result to be provided. Fixed-price contracts may also incorporate financial incentives for achieving or exceeding selected project objectives, such as schedule delivery dates, cost and technical performance, or anything that can be quantified and subsequently measured. Sellers under fixed-price contracts are legally obligated to complete such contracts, with possible financial damages if they do not. Under the fixed-price arrangement, buyers need to precisely specify the product or services being procured. Changes in scope may be accommodated, but generally with an increase in contract price. QUESTION 558 Types of internal failure costs include: A. inspections. B. equipment and training. C. lost business. D. reworking and scrapping. Correct Answer: D Section: Volume D Explanation Explanation/Reference: QUESTION 559 In a weak matrix, the project managers role is: A. part-time B. full-time C. occasional D. unlimited Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: Project managers have the highest level of power and authority in a projectized organization. They also have high levels of power and authority in a strong matrix; however, a matrix organization is a blend of functional and projectized organizations, and therefore, the project manager does not have quite the same level of authority as they would in a projectized organization. QUESTION 560 Which of the following is an example of schedule compression? A. Activity sequencing B. Resource leveling C. Lead and lag adjusting CAPM “Best Material, Great Results”. www.certkingdom.com 315 D. Crashing Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: 6.6.2.7 Schedule Compression Schedule compression techniques are used to shorten the schedule duration without reducing the project scope, in order to meet schedule constraints, imposed dates, or other schedule objectives. Schedule compression techniques include, but are not limited to: Crashing. A technique used to shorten the schedule duration for the least incremental cost by adding resources. Examples of crashing include approving overtime, bringing in additional resources, or paying to expedite delivery to activities on the critical path. Crashing works only for activities on the critical path where additional resources will shorten the activity’s duration. Crashing does not always produce a viable alternative and may result in increased risk and/or cost. Fast tracking. A schedule compression technique in which activities or phases normally done in sequence are performed in parallel for at least a portion of their duration. An example is constructing the foundation for a building before completing all of the architectural drawings. Fast tracking may result in rework and increased risk. Fast tracking only works if activities can be overlapped to shorten the project duration. QUESTION 561 Which of the following types of a dependency determination is used to define the sequence of activities? A. Legal B. Discretionary C. Internal D. Resource Correct Answer: B Section: Volume D Explanation Explanation/Reference: Explanation: 6.3.2.2 Dependency Determination Dependencies may be characterized by the following attributes: mandatory or discretionary, internal or external, as described below. Dependency has four attributes, but two can be applicable at the same time in following ways: mandatory external dependencies, mandatory internal dependencies, discretionary external dependencies, or discretionary internal dependencies. Mandatory dependencies. Mandatory dependencies are those that are legally or contractually required or inherent in the nature of the work. Mandatory dependencies often involve physical limitations, such as on a construction project, where it is impossible to erect the superstructure until after the foundation has been built, or on an electronics project, where a prototype has to be built before it can be tested. Mandatory dependencies are also sometimes referred to as hard logic or hard dependencies. Technical dependencies may not be mandatory. The project team determines which dependencies are mandatory during the process of sequencing the activities. Mandatory dependencies should not be confused with assigning schedule constraints in the scheduling tool. Discretionary dependencies. Discretionary dependencies are sometimes referred to as preferred logic, preferential logic, or soft logic. Discretionary dependencies are established based on knowledge of best practices within a particular application area or some unusual aspect of the project where a specific sequence is desired, even though there may be other acceptable sequences. Discretionary dependencies should be fully documented since they can create arbitrary total float values and can limit later scheduling options. When fast tracking techniques are employed, these discretionary dependencies should be reviewed and considered for modifcation or removal. The project team determines which dependencies are discretionary during the process of sequencing the activities. External dependencies. External dependencies involve a relationship between project activities and non- CAPM “Best Material, Great Results”. www.certkingdom.com 316 project activities. These dependencies are usually outside the project team’s control. For example, the testing activity in a software project may be dependent on the delivery of hardware from an external source, or governmental environmental hearings may need to be held before site preparation can begin on a construction project. The project management team determines which dependencies are external during the process of sequencing the activities. Internal dependencies. Internal dependencies involve a precedence relationship between project activities and are generally inside the project team’s control. For example, if the team cannot test a machine until they assemble it, this is an internal mandatory dependency. The project management team determines which dependencies are internal during the process of sequencing the activities. QUESTION 562 Control charts, flowcharting, histograms, Pareto charts, and scatter diagrams are tools and techniques of which process? A. Perform Quality Control B. Perform Quality Assurance C. Plan Quality D. Report Performance Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 563 Co-location is a tool and technique of: A. Develop Human Resource Plan. B. Manage Project Team. C. Develop Project Team. D. Acquire Project Team. Correct Answer: C Section: Volume D Explanation Explanation/Reference: 9.3.2.5 Colocation Colocation, also referred to as “tight matrix,” involves placing many or all of the most active project team members in the same physical location to enhance their ability to perform as a team. Colocation can be temporary, such as at strategically important times during the project, or for the entire project. Colocation strategies can include a team meeting room (sometimes called “war room”), places to post schedules, and other conveniences that enhance communication and a sense of community. While colocation is considered a good strategy, the use of virtual teams can bring benefits such as the use of more skilled resources, reduced costs, less travel, and relocation expenses and the proximity of team members to suppliers, customers, or other key stakeholders. Process: 9.3 Develop Project Team Definition: The process of improving competencies, team member interaction, and overall team environment to enhance project performance. The key benefit of this process is that it results in improved teamwork, enhanced people skills and competencies, motivated employees, reduced staff turnover rates, and improved overall project performance. Key Benefit: The key benefit of this process is that it results in improved teamwork, enhanced people skills and competencies, motivated employees, reduced staff turnover rates, and improved overall project performance. CAPM “Best Material, Great Results”. www.certkingdom.com 317 Inputs 1. Human resource management plan 2. Project staff assignments 3. Resource calendars Tools & Techniques 1. Interpersonal skills 2. Training 3. Team-building activities 4. Ground rules 5. Colocation 6. Recognition and rewards 7. Personnel assessment tools Outputs 1. Team performance assessments 2. Enterprise environmental factors updates QUESTION 564 During which process would stakeholders provide formal acceptance of the completed project scope? A. Perform Quality Control B. Verify Scope C. Control Scope D. Develop Schedule Correct Answer: B Section: Volume D Explanation Explanation/Reference: QUESTION 565 The PV is $1000, EV is $2000, and AC is $1500. What is CPI? A. 1.33 B. 2 C. 0.75 D. 0.5 Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: CPI = EV / AC QUESTION 566 A given schedule activity is most likely to last four weeks. In a best-case scenario, the schedule activity is estimated to last two weeks. In a worst-case scenario, the schedule activity is estimated to last 12 weeks. Given these three estimates, what is the expected duration of the activity? A. Three weeks CAPM “Best Material, Great Results”. www.certkingdom.com 318 B. Four weeks C. Five weeks D. Six weeks Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: 6.5.2.4 Three-Point Estimating The accuracy of single-point activity duration estimates may be improved by considering estimation uncertainty and risk. This concept originated with the program evaluation and review technique (PERT). PERT uses three estimates to define an approximate range for an activity’s duration: Most likely (tM). This estimate is based on the duration of the activity, given the resources likely to be assigned, their productivity, realistic expectations of availability for the activity, dependencies on other participants, and interruptions. Optimistic (tO). The activity duration based on analysis of the best-case scenario for the activity. Pessimistic (tP). The activity duration based on analysis of the worst-case scenario for the activity. Depending on the assumed distribution of values within the range of the three estimates the expected duration, tE, can be calculated using a formula. Two commonly used formulas are triangular and beta distributions. The formulas are: Triangular Distribution. tE = (tO + tM + tP) / 3 Beta Distribution (from the traditional PERT technique). tE = (tO + 4tM + tP) / 6 Duration estimates based on three points with an assumed distribution provide an expected duration and clarify the range of uncertainty around the expected duration. Formula: E = (a + 4m + b) / 6 Application: (2+ (4*4) +12)=30 /6 =5 QUESTION 567 What is the primary benefit of meeting quality requirements? A. Quality metrics B. Less rework C. Quality control measurements D. Benchmarking Correct Answer: B Section: Volume D Explanation Explanation/Reference: QUESTION 568 What is a tool to improve team performance? A. Staffing plan B. External feedback C. Performance reports D. Co-location CAPM “Best Material, Great Results”. www.certkingdom.com 319 Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: 9.3.2.5 Colocation Colocation, also referred to as “tight matrix,” involves placing many or all of the most active project team members in the same physical location to enhance their ability to perform as a team. Colocation can be temporary, such as at strategically important times during the project, or for the entire project. Colocation strategies can include a team meeting room (sometimes called “war room”), places to post schedules, and other conveniences that enhance communication and a sense of community. While colocation is considered a good strategy, the use of virtual teams can bring benefits such as the use of more skilled resources, reduced costs, less travel, and relocation expenses and the proximity of team members to suppliers, customers, or other key stakeholders. Process: 9.3 Develop Project Team Definition: The process of improving competencies, team member interaction, and overall team environment to enhance project performance. The key benefit of this process is that it results in improved teamwork, enhanced people skills and competencies, motivated employees, reduced staff turnover rates, and improved overall project performance. Key Benefit: The key benefit of this process is that it results in improved teamwork, enhanced people skills and competencies, motivated employees, reduced staff turnover rates, and improved overall project performance. Inputs 1. Human resource management plan 2. Project staff assignments 3. Resource calendars Tools & Techniques 1. Interpersonal skills 2. Training 3. Team-building activities 4. Ground rules 5. Colocation 6. Recognition and rewards 7. Personnel assessment tools Outputs 1. Team performance assessments 2. Enterprise environmental factors updates QUESTION 569 Which tool within the Perform Quality Control process identifies whether or not a process has a predictable performance? A. Cause and effect diagram B. Control charts C. Pareto chart D. Histogram Correct Answer: B Section: Volume D Explanation Explanation/Reference: CAPM “Best Material, Great Results”. www.certkingdom.com 320 Explanation: • Control charts, are used to determine whether or not a process is stable or has predictable performance. Upper and lower specification limits are based on requirements of the agreement. They reflect the maximum and minimum values allowed. There may be penalties associated with exceeding the specification limits. Upper and lower control limits are different from specification limits. The control limits are determined using standard statistical calculations and principles to ultimately establish the natural capability for a stable process. The project manager and appropriate stakeholders may use the statistically calculated control limits to identify the points at which corrective action will be taken to prevent unnatural performance. The corrective action typically seeks to maintain the natural stability of a stable and capable process. For repetitive processes, the control limits are generally set at ±3 s around a process mean that has been set at 0 s. A process is considered out of control when: (1) a data point exceeds a control limit; (2) seven consecutive plot points are above the mean; or (3) seven consecutive plot points are below the mean. Control charts can be used to monitor various types of output variables. Although used most frequently to track repetitive activities required for producing manufactured lots, control charts may also be used to monitor cost and schedule variances, volume, and frequency of scope changes, or other management results to help determine if the project management processes are in control. QUESTION 570 Based on the following metrics: EV= $20,000, AC= $22,000, and PV= $28,000, what is the project CV? A. -8000 B. -2000 C. 2000 D. 8000 Correct Answer: B Section: Volume D Explanation Explanation/Reference: QUESTION 571 Which type of risk diagram is useful for showing time ordering of events? A. Ishikawa B. Milestone C. Influence D. Decision tree Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 572 In a construction project schedule, what is the logical relationship between the delivery of the concrete materials and the pouring of concrete? A. Start-to-start (SS) B. Start-to-finish (SF) C. Finish-to-finish (FF) D. Finish-to-start (FS) CAPM “Best Material, Great Results”. www.certkingdom.com 321 Correct Answer: D Section: Volume D Explanation Explanation/Reference: QUESTION 573 A required input for Create WBS is a project: A. quality plan. B. schedule network. C. management document update. D. scope statement. Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: 5.3.3.1 Project Scope Statement The project scope statement is the description of the project scope, major deliverables, assumptions, and constraints. The project scope statement documents the entire scope, including project and product scope. It describes, in detail, the project’s deliverables and the work required to create those deliverables. It also provides a common understanding of the project scope among project stakeholders. It may contain explicit scope exclusions that can assist in managing stakeholder expectations. It enables the project team to perform more detailed planning, guides the project team’s work during execution, and provides the baseline for evaluating whether requests for changes or additional work are contained within or outside the project’s boundaries. The degree and level of detail to which the project scope statement defines the work that will be performed and the work that is excluded can help determine how well the project management team can control the overall project scope. The detailed project scope statement, either directly, or by reference to other documents, includes the following: Product scope description. Progressively elaborates the characteristics of the product, service, or result described in the project charter and requirements documentation. Acceptance criteria. A set of conditions that is required to be met before deliverables are accepted. Deliverable. Any unique and verifiable product, result, or capability to perform a service that is required to be produced to complete a process, phase, or project. Deliverables also include ancillary results, such as project management reports and documentation. These deliverables may be described at a summary level or in great detail. Project exclusion. Generally identifies what is excluded from the project. Explicitly stating what is out of scope for the project helps to manage stakeholders’ expectations. Constraints. A limiting factor that affects the execution of a project or process. Constraints identified with the project scope statement list and describe the specific internal or external restrictions or limitations associated with the project scope that affect the execution of the project, for example, a predefined budget or any imposed dates or schedule milestones that are issued by the customer or performing organization. When a project is performed under an agreement, contractual provisions will generally be constraints. Information on constraints may be listed in the project scope statement or in a separate log. Assumptions. A factor in the planning process that is considered to be true, real, or certain, without proof or demonstration. Also describes the potential impact of those factors if they prove to be false. Project teams frequently identify, document, and validate assumptions as part of their planning process. Information on assumptions may be listed in the project scope statement or in a separate log. The project team must complete a scope statement for developing a common understanding of the project scope among stakeholders. This lists project deliverables – summary level sub-products, whose full and satisfactory delivery marks the completion of the project. CAPM “Best Material, Great Results”. www.certkingdom.com 322 Process: 5.4 Create WBS Definition: WBS is the process of subdividing project deliverables and project work into smaller, more manageable components. Key Benefit: The key benefit of this process is that it provides a structured vision of what has to be delivered. Inputs 1. Scope management plan 2. Project scope statement 3. Requirements documentation 4. Enterprise environmental factors 5. Organizational process assets Tools & Techniques 1. Decomposition 2. Expert judgment Outputs 1. Scope baseline 2. Project documents updates QUESTION 574 Which of the following statements is true regarding project and product lifecycles? A. A single product lifecycle may consist of multiple project lifecycles. B. A product lifecycle is always shorter than the project lifecycle. C. A single product lifecycle can only have one project lifecycle. D. A single project lifecycle may consist of multiple product lifecycles. Correct Answer: A Section: Volume D Explanation Explanation/Reference: QUESTION 575 Which tool or technique is used in Close Procurements? A. Contract plan B. Procurement plan C. Closure process D. Procurement audits Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: 12.4.2.1 Procurement Audits A procurement audit is a structured review of the procurement process originating from the Plan Procurement Management process through Control Procurements. The objective of a procurement audit is to identify successes and failures that warrant recognition in the preparation or administration of other procurement contracts on the project, or on other projects within the performing organization. 12.4 Close Procurements The process of completing each project procurement. Key Benefit: The key benefit of this process is that it documents agreements and related documentation for future reference. CAPM “Best Material, Great Results”. www.certkingdom.com 323 Inputs 1. Project management plan 2. Procurement documents Tools & Techniques 1. Procurement audits 2. Procurement negotiations 3. Records management system Outputs 1. Closed procurements 2. Organizational process assets updates QUESTION 576 Which of the following is an output of Direct and Manage Project Execution? A. Project management plan B. Change request status updates C. Organizational process assets updates D. Work performance information Correct Answer: D Section: Volume D Explanation Explanation/Reference: QUESTION 577 Which of the following is an input to Develop Human Resource Plan? A. Team performance assessment B. Roles and responsibilities C. Staffing management plan D. Enterprise environmental factors Correct Answer: D Section: Volume D Explanation Explanation/Reference: QUESTION 578 Which of the following outputs from the Control Schedule process aids in the communication of schedule variance (SV), schedule performance index (SPI), or any performance status to stakeholders? A. Performance organizations B. Schedule baselines C. Work performance measurements D. Change requests Correct Answer: C Section: Volume D Explanation CAPM “Best Material, Great Results”. www.certkingdom.com 324 Explanation/Reference: QUESTION 579 Testing falls into which of the following categories of cost of quality? A. Internal failure costs B. Prevention costs C. Appraisal costs D. External failure costs Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: Cost of Quality. (COQ) A method of determining the costs incurred to ensure quality. Prevention and appraisal costs (cost of conformance) include costs for quality planning, quality control (QC), and quality assurance to ensure compliance to requirements (i.e., training, QC systems, etc.). Failure costs (cost of nonconformance) include costs to rework products, components, or processes that are non-compliant, costs of warranty work and waste, and loss of reputation. QUESTION 580 Another name for an Ishikawa diagram is: A. cause and effect diagram. B. control chart. C. flowchart. D. histogram. Correct Answer: A Section: Volume D Explanation Explanation/Reference: QUESTION 581 Which standard has interrelationships to other project management disciplines such as program management and portfolio management? A. Program Management Body of Knowledge Guide B. The Standard for Program Management C. Organizational Project Management Maturity Model (OPM3$) D. Guide to the Project Management Body of Knowledge (PMBOK®) Correct Answer: D Section: Volume D Explanation Explanation/Reference: QUESTION 582 CAPM “Best Material, Great Results”. www.certkingdom.com 325 Which of the following strategies is used to deal with risks that may have a negative impact on project objectives? A. Exploit B. Share C. Enhance D. Transfer Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: 11.5.2.1 Strategies for Negative Risks or Threats Three strategies, which typically deal with threats or risks that may have negative impacts on project objectives if they occur, are: avoid, transfer, and mitigate. The fourth strategy, accept, can be used for negative risks or threats as well as positive risks or opportunities. Each of these risk response strategies have varied and unique influence on the risk condition. These strategies should be chosen to match the risk’s probability and impact on the project’s overall objectives. Avoidance and mitigation strategies are usually good strategies for critical risks with high impact, while transference and acceptance are usually good strategies for threats that are less critical and with low overall impact. The four strategies for dealing with negative risks or threats are further described as follows: Avoid. Risk avoidance is a risk response strategy whereby the project team acts to eliminate the threat or protect the project from its impact. It usually involves changing the project management plan to eliminate the threat entirely. The project manager may also isolate the project objectives from the risk’s impact or change the objective that is in jeopardy. Examples of this include extending the schedule, changing the strategy, or reducing scope. The most radical avoidance strategy is to shut down the project entirely. Some risks that arise early in the project can be avoided by clarifying requirements, obtaining information, improving communication, or acquiring expertise. Transfer. Risk transference is a risk response strategy whereby the project team shifts the impact of a threat to a third party, together with ownership of the response. Transferring the risk simply gives another party responsibility for its management—it does not eliminate it. Transferring does not mean disowning the risk by transferring it to a later project or another person without his or her knowledge or agreement. Risk transference nearly always involves payment of a risk premium to the party taking on the risk. Transferring liability for risk is most effective in dealing with financial risk exposure. Transference tools can be quite diverse and include, but are not limited to, the use of insurance, performance bonds, warranties, guarantees, etc. Contracts or agreements may be used to transfer liability for specified risks to another party. For example, when a buyer has capabilities that the seller does not possess, it may be prudent to transfer some work and its concurrent risk contractually back to the buyer. In many cases, use of a cost-plus contract may transfer the cost risk to the buyer, while a fixed-price contract may transfer risk to the seller. Mitigate. Risk mitigation is a risk response strategy whereby the project team acts to reduce the probability of occurrence or impact of a risk. It implies a reduction in the probability and/or impact of an adverse risk to be within acceptable threshold limits. Taking early action to reduce the probability and/or impact of a risk occurring on the project is often more effective than trying to repair the damage after the risk has occurred. Adopting less complex processes, conducting more tests, or choosing a more stable supplier are examples of mitigation actions. Mitigation may require prototype development to reduce the risk of scaling up from a bench- scale model of a process or product. Where it is not possible to reduce probability, a mitigation response might address the risk impact by targeting linkages that determine the severity. For example, designing redundancy into a system may reduce the impact from a failure of the original component. Accept. Risk acceptance is a risk response strategy whereby the project team decides to acknowledge the risk and not take any action unless the risk occurs. This strategy is adopted where it is not possible or cost- effective to address a specific risk in any other way. This strategy indicates that the project team has decided not to change the project management plan to deal with a risk, or is unable to identify any other suitable response strategy. This strategy can be either passive or active. Passive acceptance requires no action except to document the strategy, leaving the project team to deal with the risks as they occur, and to periodically review the threat to ensure that it does not change significantly. The most common active acceptance strategy CAPM “Best Material, Great Results”. www.certkingdom.com 326 is to establish a contingency reserve, including amounts of time, money, or resources to handle the risks. QUESTION 583 Which of the following correctly explains the term “progressive elaboration’? A. Changing project specifications continuously B. Elaborate tracking of the project progress C. Elaborate tracking of the project specifications with a change control system D. Project specifications becoming more explicit and detailed as the project progresses Correct Answer: D Section: Volume D Explanation Explanation/Reference: Explanation: Progressive Elaboration. The iterative process of increasing the level of detail in a project management plan as greater amounts of information and more accurate estimates become available. QUESTION 584 A project has an EV of 100 workdays, an AC of 120 workdays, and a PV of 80 workdays. What should be the concern? A. There is a cost underrun. B. There is a cost overrun. C. The project may not meet the deadline. D. The project is 20 days behind schedule. Correct Answer: B Section: Volume D Explanation Explanation/Reference: Explanation: Earned Value (EV) = 100 Actual Cost (AC) = 120 Planned Value (PV) = 80 QUESTION 585 Which characteristic do projects and operational work share in common? A. Performed by systems B. Constrained by limited resources C. Repetitiveness D. Uniqueness Correct Answer: B Section: Volume D Explanation Explanation/Reference: QUESTION 586 What does a CPI value greater than 1.0 indicate? CAPM “Best Material, Great Results”. www.certkingdom.com 327 A. Cost right at the estimated value B. Cost under the estimated value C. Cost right at the actual value D. Cost over the estimated value Correct Answer: B Section: Volume D Explanation Explanation/Reference: Explanation: CPI = EV / AC QUESTION 587 Which of the following is an output from Control Scope? A. Change requests B. Variance analysis C. Accepted deliverables D. Requirements documentation Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: Process: 5.6 Control Scope Definition: The process of monitoring the status of the project and product scope and managing changes to the scope baseline. Key Benefit: The key benefit of this process is that it allows the scope baseline to be maintained throughout the project. Inputs Project management plan Requirements documentation Requirements traceability matrix Work performance data Organizational process assets Tools & Techniques Variance analysis Outputs Work performance information Change requests Project management plan updates Project documents updates Organizational process assets updates QUESTION 588 Managing procurement relationships and monitoring contract performance are part of which process? A. Conduct Procurements B. Plan Procurements C. Administer Procurements CAPM “Best Material, Great Results”. www.certkingdom.com 328 D. Close Procurements Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 589 Which technique is commonly used for the Perform Quantitative Risk Analysis process? A. Brainstorming B. Strategies for opportunities C. Decision tree analysis D. Risk data quality assessment Correct Answer: C Section: Volume D Explanation Explanation/Reference: Explanation: Decision Tree Analysis. A diagramming and calculation technique for evaluating the implications of a chain of multiple options in the presence of uncertainty. – Can only be used with discrete data. Process: 11.4 Perform Quantitative Risk Analysis Definition: The process of numerically analyzing the effect of identified risks on overall project objectives. Key Benefit: The key benefit of this process is that it produces quantitative risk information to support decision making in order to reduce project uncertainty. Inputs Risk management plan Cost management plan Schedule management plan Risk register Enterprise environmental factors Organizational process assets Tools & Techniques Data gathering and representation techniques Quantitative risk analysis and modeling techniques Expert judgment Outputs 1. Project documents updates QUESTION 590 In which type of organizational structure are staff members grouped by specialty? A. Functional B. Projectized C. Matrix D. Balanced CAPM “Best Material, Great Results”. www.certkingdom.com 329 Correct Answer: A Section: Volume D Explanation Explanation/Reference: QUESTION 591 Which of the following is an input to the Perform Qualitative Risk Analysis process? A. Risk register B. Risk data quality assessment C. Risk categorization D. Risk urgency Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: 11.2.3.1 Risk Register The primary output from Identify Risks is the initial entry into the risk register. The risk register is a document in which the results of risk analysis and risk response planning are recorded. It contains the outcomes of the other risk management processes as they are conducted, resulting in an increase in the level and type of information contained in the risk register over time. The preparation of the risk register begins in the Identify Risks process with the following information, and then becomes available to other project management and risk management processes: List of identified risks. The identified risks are described in as much detail as is reasonable. A structure for describing risks using risk statements may be applied, for example, EVENT may occur causing IMPACT, or If CAUSE exists, EVENT may occur leading to EFFECT. In addition to the list of identified risks, the root causes of those risks may become more evident. These are the fundamental conditions or events that may give rise to one or more identified risks. They should be recorded and used to support future risk identification for this and other projects. List of potential responses. Potential responses to a risk may sometimes be identified during the Identify Risks process. These responses, if identified in this process, should be used as inputs to the Plan Risk Responses process. Process: 11.3 Perform Qualitative Risk Analysis Definition: The process of prioritizing risks for further analysis or action by assessing and combining their probability of occurrence and impact. Key Benefit: The key benefit of this process is that it enables project managers to reduce the level of uncertainty and to focus on high-priority risks. Inputs 1. Risk management plan 2. Scope baseline 3. Risk register 4. Enterprise environmental factors 5. Organizational process assets Tools & Techniques 1. Risk probability and impact assessment 2. Probability and impact matrix 3. Risk data quality assessment 4. Risk categorization 5. Risk urgency assessment CAPM “Best Material, Great Results”. www.certkingdom.com 330 6. Expert judgment Outputs 1. Project documents updates QUESTION 592 Which of the following Process Groups covers all Project Management Knowledge Areas? A. Executing B. Monitoring and Controlling C. Planning D. Initiating Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 593 The process of identifying the stakeholders’ information needs is completed during: A. Plan Communications. B. Manage Stakeholder Expectations. C. Stakeholder Analysis. D. Identify Stakeholders. Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: Process: 10.1 Plan Communications Management Definition: The process of developing an appropriate approach and plan for project communications based on stakeholder’s information needs and requirements, and available organizational assets. Key Benefit: The key benefit of this process is that it identifies and documents the approach to communicate most effectively and efficiently with stakeholders. Inputs 1. Project management plan 2. Stakeholder register 3. Enterprise environmental factors 4. Organizational process assets Tools & Techniques 1. Communication requirements analysis 2. Communication technology 3. Communication models 4. Communication methods 5. Meetings Outputs 1. Communications management plan 2. Project documents updates CAPM “Best Material, Great Results”. www.certkingdom.com 331 QUESTION 594 What is the most accurate rough order of magnitude (ROM)? A. In the Initiation phase, the estimate is in the range of +/- 50%. B. In the Planning phase, the estimate is in the range of +/- 50%. C. In the Monitoring and Controlling phase, the estimate is in the range of +/- 15%. D. In the Closing phase, the estimate is in the range of +/- 15%. Correct Answer: A Section: Volume D Explanation Explanation/Reference: Explanation: A rough order of magnitude (ROM) estimate is the least accurate estimate. A Guide to the Project Management Body of Knowledge (The PMBOK® Guide), 5th Edition gives the guidelines that ROMs are -50% to +50% accurate, the PMBOK Guide 5th Edition gives the guidelines that ROMs are -25% to +75% accurate, or potentially even larger. It should be noted that stated percentages are not the main takeaway are not likely specifically tested on; it is more the concept and idea that ROMs are a rough estimate, are used early in the project when info is limited, and are hence the least accurate. QUESTION 595 Project contracts generally fall into which of the following three broad categories? A. Fixed-price, cost reimbursable, time and materials B. Make-or-buy, margin analysis, fixed-price C. Time and materials, fixed-price, margin analysis D. Make-or-buy, lump-sum, cost-plus-incentive Correct Answer: A Section: Volume D Explanation Explanation/Reference: QUESTION 596 Which of the following events would result in a baseline update? A. A project is behind schedule and the project manager wants the baseline to reflect estimated actual completion. B. A customer has approved a change request broadening the project scope and increasing the budget. C. One of the risks identified in the risk management plan occurs, resulting in a schedule delay. D. One of the key project team resources has left the team and no replacement is available. Correct Answer: B Section: Volume D Explanation Explanation/Reference: Explanation: 5.6.3.3 Project Management Plan Updates Project management plan updates may include, but are not limited to: • Scope Baseline Updates. If the approved change requests have an effect on the project scope, then the scope statement, the WBS, and the WBS dictionary are revised and reissued to reflect the approved changes through Perform Integrated Change Control process. CAPM “Best Material, Great Results”. www.certkingdom.com 332 • Other Baseline Updates. If the approved change requests have an effect on the project besides the project scope, then the corresponding cost baseline and schedule baselines are revised and reissued to reflect the approved changes. QUESTION 597 Which of the following schedule network analysis techniques is applied when a critical path method calculation has been completed and resources availability is critical? A. Applying calendars B. Resource leveling C. Resource planning D. Resource conflict management Correct Answer: B Section: Volume D Explanation Explanation/Reference: Explanation: 6.6.2.2 Critical Path Method The critical path method, which is a method used to estimate the minimum project duration and determine the amount of scheduling flexibility on the logical network paths within the schedule model. This schedule network analysis technique calculates the early start, early finish, late start, and late finish dates for all activities without regard for any resource limitations by performing a forward and backward pass analysis through the schedule network, as shown in Figure 6-18. In this example the longest path includes activities A, C, and D, and, therefore, the sequence of A-C-D is the critical path. The critical path is the sequence of activities that represents the longest path through a project, which determines the shortest possible project duration. The resulting early and late start and finish dates are not necessarily the project schedule, rather they indicate the time periods within which the activity could be executed, using the parameters entered in the schedule model for activity durations, logical relationships, leads, lags, and other known constraints. The critical path method is used to calculate the amount of scheduling flexibility on the logical network paths within the schedule model. On any network path, the schedule flexibility is measured by the amount of time that a schedule activity can be delayed or extended from its early start date without delaying the project finish date or violating a schedule constraint, and is termed “total float.” A CPM critical path is normally characterized by zero total float on the critical path. As implemented with PDM sequencing, critical paths may have positive, zero, or negative total float depending on constraints applied. Any activity on the critical path is called a critical path activity. Positive total float is caused when the backward pass is calculated from a schedule constraint that is later than the early finish date that has been calculated during forward pass calculation. Negative total float is caused when a constraint on the late dates is violated by duration and logic. Schedule networks may have multiple near- critical paths. Many software packages allow the user to define the parameters used to determine the critical path(s). Adjustments to activity durations (if more resources or less scope can be arranged), logical relationships (if the relationships were discretionary to begin with), leads and lags, or other schedule constraints may be necessary to produce network paths with a zero or positive total float. Once the total float for a network path has been calculated, then the free float—the amount of time that a schedule activity can be delayed without delaying the early start date of any successor or violating a schedule constraint—can also be determined. For example the free float for Activity B, in Figure 6-18, is 5 days. QUESTION 598 “Tailoring” is defined as the: A. effort of addressing each process to determine which are appropriate and their appropriate degree of rigor. B. act of creating a project team with the specialized skills required to produce a required product or service. C. action taken to bring a defective or nonconforming component into compliance with requirements or specifications. D. adjustment of the respective influences of time, cost, and quality in order to most efficiently achieve scope. CAPM “Best Material, Great Results”. www.certkingdom.com 333 Correct Answer: A Section: Volume D Explanation Explanation/Reference: QUESTION 599 Which is an input to the Verify Scope process? A. Performance report B. Work breakdown structure (WBS) C. Requested changes D. Project management plan Correct Answer: D Section: Volume D Explanation Explanation/Reference: QUESTION 600 Which is an output from Distribute Information? A. Earned value analysis B. Trend analysis C. Project records D. Performance reviews Correct Answer: C Section: Volume D Explanation Explanation/Reference: QUESTION 601 Fast tracking is a schedule compression technique used to shorten the project schedule without changing project scope. Which of the following can result from fast tracking? A. The risk of achieving the shortened project time is increased. B. The critical path will have positive total float. C. Contingency reserves are released for redeployment by the project manager. D. Duration buffers are added to maintain a focus on planned activity durations. Correct Answer: A Section: Volume E Explanation Explanation/Reference: Explanation: Fast tracking is a compression technique that increases risk and potentially causes rework. Fast tracking is starting two projects previously scheduled to start one after the other at the same time. CAPM “Best Material, Great Results”. www.certkingdom.com 334 QUESTION 602 Requirements documentation, requirements management plan, and requirements traceability matrix are all outputs of which process? A. Control Scope B. Collect Requirements C. Create WBS D. Define Scope Correct Answer: B Section: Volume E Explanation Explanation/Reference: QUESTION 603 Which of the following is a strategy to deal with positive risks or opportunities? A. Mitigate B. Transfer C. Exploit D. Avoid Correct Answer: C Section: Volume E Explanation Explanation/Reference: Explanation: 11.5.2.2 Strategies for Positive Risks or Opportunities Three of the four responses are suggested to deal with risks with potentially positive impacts on project objectives. The fourth strategy, accept, can be used for negative risks or threats as well as positive risks or opportunities. These strategies, described below, are to exploit, share, enhance, and accept. Exploit. The exploit strategy may be selected for risks with positive impacts where the organization wishes to ensure that the opportunity is realized. This strategy seeks to eliminate the uncertainty associated with a particular upside risk by ensuring the opportunity definitely happens. Examples of directly exploiting responses include assigning an organization’s most talented resources to the project to reduce the time to completion or using new technologies or technology upgrades to reduce cost and duration required to realize project objectives. Enhance. The enhance strategy is used to increase the probability and/or the positive impacts of an opportunity. Identifying and maximizing key drivers of these positive-impact risks may increase the probability of their occurrence. Examples of enhancing opportunities include adding more resources to an activity to finish early. Share. Sharing a positive risk involves allocating some or all of the ownership of the opportunity to a third party who is best able to capture the opportunity for the beneft of the project. Examples of sharing actions include forming risk-sharing partnerships, teams, special-purpose companies, or joint ventures, which can be established with the express purpose of taking advantage of the opportunity so that all parties gain from their actions. Accept. Accepting an opportunity is being willing to take advantage of the opportunity if it arises, but not actively pursuing it. QUESTION 604 What are the identified risks for doing excessive decomposition in a WBS? A. Insufficient project funding and disqualification of sellers CAPM “Best Material, Great Results”. www.certkingdom.com 335 B. Insufficient project funding and ineffective use of resources C. Disqualification of sellers and non-productive management efforts D. Non-productive management effort and inefficient use of resources Correct Answer: D Section: Volume E Explanation Explanation/Reference: Explanation: 5.4.2.1 Decomposition Decomposition is a technique used for dividing and subdividing the project scope and project deliverables into smaller, more manageable parts. The work package is the work defined at the lowest level of the WBS for which cost and duration can be estimated and managed. The level of decomposition is often guided by the degree of control needed to effectively manage the project. The level of detail for work packages will vary with the size and complexity of the project. Decomposition of the total project work into work packages generally involves the following activities: Identifying and analyzing the deliverables and related work; Structuring and organizing the WBS; Decomposing the upper WBS levels into lower-level detailed components; Developing and assigning identification codes to the WBS components; and Verifying that the degree of decomposition of the deliverables is appropriate. QUESTION 605 Which statement is true about the project management body of knowledge? A. Recognized by every project manager B. Constantly evolving C. The sum of all knowledge related to project management D. A sum of knowledge that should be applied on every project Correct Answer: B Section: Volume E Explanation Explanation/Reference: QUESTION 606 The initial development of a Project Scope Management plan uses which technique? A. Alternatives identification B. Scope decomposition C. Expert judgment D. Product analysis Correct Answer: C Section: Volume E Explanation Explanation/Reference: Explanation: 4.1.2.1 Expert Judgment Expert judgment is often used to assess the inputs used to develop the project charter. Expert judgment is applied to all technical and management details during this process. Such expertise is provided by any group or individual with specialized knowledge or training and is available from many sources, including: CAPM “Best Material, Great Results”. www.certkingdom.com 336 Other units within the organization, Consultants, Stakeholders, including customers or sponsors, Professional and technical associations, Industry groups, Subject matter experts (SME), and Project management office (PMO). QUESTION 607 Which of the following is a project constraint? A. Twenty-five percent staff turnover is expected. B. The technology to be used is cutting-edge. C. Project leadership may change due to volatile political environment. D. The product is needed in 250 days. Correct Answer: D Section: Volume E Explanation Explanation/Reference: QUESTION 608 An input to the Estimate Activity Resources process is: A. Activity resource requirements. B. Published estimating data. C. Resource calendars. D. Resource breakdown structure (RBS). Correct Answer: C Section: Volume E Explanation Explanation/Reference: Explanation: Process: 6.4 Estimate Activity Resources Definition: The process of estimating the type and quantities of material, human resources, equipment, or supplies required to perform each activity. Key Benefit: The key benefit of this process is that it identifies the type, quantity, and characteristics of resources required to complete the activity which allows more accurate cost and duration estimates. Inputs 1. Schedule management plan 2. Activity list 3. Activity attributes 4. Resource calendars 5. Risk register 6. Activity cost estimates 7. Enterprise environmental factors 8. Organizational process assets Tools & Techniques 1. Expert judgment 2. Alternative analysis 3. Published estimating data CAPM “Best Material, Great Results”. www.certkingdom.com 337 4. Bottom-up estimating 5. Project management software Outputs 1. Activity resource requirements 2. Resource breakdown structure 3. Project documents updates QUESTION 609 The project budget is set at $150,000. The project duration is planned to be one year. At the completion of Week 16 of the project, the following information is collected: Actual cost = $50,000, Plan cost = $45,000, Earned value = $40,000. What is the cost performance index? A. 0.8 B. 0.89 C. 1.13 D. 1.25 Correct Answer: A Section: Volume E Explanation Explanation/Reference: Explanation: CPI = EV / AC QUESTION 610 Which technique is utilized in the Control Schedule process? A. Performance measure B. Baseline schedule C. Schedule network analysis D. Variance analysis Correct Answer: D Section: Volume E Explanation Explanation/Reference: QUESTION 611 What happens to a stakeholder’s project influence over time? A. Increases B. Decreases C. Stays the same D. Has no bearing Correct Answer: B Section: Volume E Explanation Explanation/Reference: CAPM “Best Material, Great Results”. www.certkingdom.com 338 QUESTION 612 Which is one of the determining factors used to calculate CPI? A. EV B. SPI C. PV D. ETC Correct Answer: A Section: Volume E Explanation Explanation/Reference: Explanation: CPI = EV / AC QUESTION 613 Which process requires implementation of approved changes? A. Direct and Manage Project Execution B. Monitor and Control Project Work C. Perform Integrated Change Control D. Close Project or Phase Correct Answer: A Section: Volume E Explanation Explanation/Reference: QUESTION 614 Which quality control technique illustrates the 80/20 principle? A. Ishikawa diagram B. Control chart C. Run chart D. Pareto chart Correct Answer: D Section: Volume E Explanation Explanation/Reference: QUESTION 615 At the end of the project, what will be the value of SV? A. Positive B. Zero C. Negative D. Greater than one Correct Answer: B CAPM “Best Material, Great Results”. www.certkingdom.com 339 Section: Volume E Explanation Explanation/Reference: QUESTION 616 The process of identifying specific actions to be performed to produce project deliverables is: A. Define Activities. B. Create WBS. C. Define Scope. D. Develop Schedule. Correct Answer: A Section: Volume E Explanation Explanation/Reference: QUESTION 617 What is project management? A. A logical grouping of project management inputs, outputs, tools, and techniques B. Applying knowledge, skills, tools, and techniques to project activities to meet the project requirements C. Launching a process that can result in the authorization of a new project D. A formal, approved document that defines how the project is executed, monitored, and controlled Correct Answer: B Section: Volume E Explanation Explanation/Reference: Explanation: 1.3 What is Project Management? Project management is the application of knowledge, skills, tools, and techniques to project activities to meet the project requirements. Project management is accomplished through the appropriate application and integration of the 47 logically grouped project management processes, which are categorized into fve Process Groups. These five Process Groups are: Initiating, Planning, Executing, Monitoring and Controlling, and Closing. QUESTION 618 Resource calendars are included in the: A. staffing management plan. B. work breakdown structure (WBS). C. project communications plan. D. project charter. Correct Answer: A CAPM “Best Material, Great Results”. www.certkingdom.com 340 Section: Volume E Explanation Explanation/Reference: QUESTION 619 Expected monetary value (EMV) is computed by which equation? A. Value of each possible outcome multiplied by probability of occurrence B. Value of each possible outcome multiplied by probability of non-occurrence C. Multiplying the value of each possible outcome by the probability of occurrence and adding the products together D. Multiplying the value of each possible outcome by the probability of non-occurrence and adding the products together Correct Answer: C Section: Volume E Explanation Explanation/Reference: Explanation: EMV = Probability * Impact in currency Expected Monetary Value (EMV) Analysis. A statistical technique that calculates the average outcome when the future includes scenarios that may or may not happen. A common use of this technique is within decision tree analysis. QUESTION 620 An input to the Collect Requirements process is the: A. stakeholder register. B. project management plan. C. project scope statement. D. requirements management plan. Correct Answer: A Section: Volume E Explanation Explanation/Reference: Explanation: 5.2.1.5 Stakeholder Register Described in Section 13.1.3.1. The stakeholder register is used to identify stakeholders who can provide information on the requirements. The stakeholder register also captures major requirements and main expectations stakeholders may have for the project. 13.1.3.1 Stakeholder Register The main output of the Identify Stakeholders process is the stakeholder register. This contains all details related to the identified stakeholders including, but not limited to: Identification information. Name, organizational position, location, role in the project, contact information; Assessment information. Major requirements, main expectations, potential influence in the project, phase in the life cycle with the most interest; and Stakeholder classification. Internal/external, supporter/neutral/resistor, etc. The stakeholder register should be consulted and updated on a regular basis, as stakeholders may change— or new ones identified—throughout the life cycle of the project. CAPM “Best Material, Great Results”. www.certkingdom.com 341 Process: 5.2 Collect Requirements Definition: The process of determining, documenting, and managing stakeholder needs and requirements to meet project objectives. Key Benefit: The key benefit of this process is that it provides the basis for defining and managing the project scope including product scope. Inputs 1. Scope management plan 2. Requirements management plan 3. Stakeholder management plan 4. Project charter 5. Stakeholder register Tools & Techniques 1. Interviews 2. Focus groups 3. Facilitated workshops 4. Group creativity techniques 5. Group decision-making techniques 6. Questionnaires and surveys 7. Observations 8. Prototypes 9. Benchmarking 10. Context diagrams 11. Document analysis Outputs 1. Requirements documentation 2. Requirements traceability matrix QUESTION 621 Projects are separated into phases or subprojects; these phases include: A. feasibility study, concept development, design, and prototype. B. initiate, plan, execute, and monitor. C. Develop Charter, Define Activities, Manage Stakeholder Expectations, and Report Performance. D. Identify Stakeholders, develop concept, build, and test. Correct Answer: A Section: Volume E Explanation Explanation/Reference: QUESTION 622 In which type of contract are the performance targets established at the onset and the final contract price determined after completion of all work based on the sellers performance? A. Firm-Fixed-Price (FFP) B. Fixed Price with Economic Price Adjustments (FP-EPA) C. Fixed-Price-Incentive-Fee (FPIF) D. Cost Plus Fixed Fee (CPFF) Correct Answer: C Section: Volume E Explanation CAPM “Best Material, Great Results”. www.certkingdom.com 342 Explanation/Reference: QUESTION 623 Which of the following is an input to the Develop Project Charter process? A. Work performance information B. Project management plan C. Business case D. Change requests Correct Answer: C Section: Volume E Explanation Explanation/Reference: Explanation: Process: 4.1. Develop Project Charter Definition: The process of developing a document that formally authorizes the existence of a project and provides the project manager with the authority to apply organizational resources to project activities. Key Benefit: The key benefit of this process is a well-defined project start and project boundaries, creation of a formal record of the project, and a direct way for senior management to formally accept and commit to the project. Inputs 1. Project statement of work 2. Business case 3. Agreements 4. Enterprise environmental factors 5. Organizational process assets Tools & Techniques 1. Expert judgment 2. Facilitation techniques Outputs 1. Project charter 4.1.1.2 Business Case The business case or similar document describes the necessary information from a business standpoint to determine whether or not the project is worth the required investment. It is commonly used for decision making by managers or executives above the project level. Typically, the business need and the cost-benefit analysis are contained in the business case to justify and establish boundaries for the project, and such analysis is usually completed by a business analyst using various stakeholder inputs. The sponsor should agree to the scope and limitations of the business case. The business case is created as a result of one or more of the following: Market demand (e.g., a car company authorizing a project to build more fuel-efficient cars in response to gasoline shortages), Organizational need (e.g., due to high overhead costs a company may combine staff functions and streamline processes to reduce costs.), Customer request (e.g., an electric utility authorizing a project to build a new substation to serve a new industrial park), Technological advance (e.g., an airline authorizing a new project to develop electronic tickets instead of paper tickets based on technological advances), Legal requirement (e.g., a paint manufacturer authorizing a project to establish guidelines for handling toxic materials), Ecological impacts (e.g., a company authorizing a project to lessen its environmental impact), or CAPM “Best Material, Great Results”. www.certkingdom.com 343 Social need (e.g., a nongovernmental organization in a developing country authorizing a project to provide potable water systems, latrines, and sanitation education to communities suffering from high rates of cholera). Each of the examples in this list may contain elements of risk that should be addressed. In the case of multiphase projects, the business case may be periodically reviewed to ensure that the project is on track to deliver the business benefits. In the early stages of the project life cycle, periodic review of the business case by the sponsoring organization also helps to confirm that the project is still aligned with the business case. The project manager is responsible for ensuring that the project effectively and efficiently meets the goals of the organization and those requirements of a broad set of stakeholders, as defined in the business case. QUESTION 624 The diagram below is an example of a: A. Risk breakdown structure (RBS). B. Project team. C. SWOT Analysis. D. Work breakdown structure (WBS). Correct Answer: A Section: Volume E Explanation Explanation/Reference: QUESTION 625 Who is responsible for initiating a project? A. Project sponsor B. Project manager C. Program manager D. Project management office (PMO) Correct Answer: A Section: Volume E Explanation CAPM “Best Material, Great Results”. www.certkingdom.com 344 Explanation/Reference: QUESTION 626 Which type of diagram includes groups of information and shows relationships between factors, causes, and objectives? A. Affinity B. Scatter C. Fishbone D. Matrix Correct Answer: D Section: Volume E Explanation Explanation/Reference: Explanation: Matrix diagrams. A quality management and control tool used to perform data analysis within the organizational structure created in the matrix. The matrix diagram seeks to show the strength of relationships between factors, causes, and objectives that exist between the rows and columns that form the matrix. QUESTION 627 Activity cost estimates are quantitative assessments of the probable costs required to: A. Create WBS. B. complete project work. C. calculate costs. D. Develop Project Management Plan. Correct Answer: B Section: Volume E Explanation Explanation/Reference: Explanation: 7.2.3.1 Activity Cost Estimates Activity cost estimates are quantitative assessments of the probable costs required to complete project work. Cost estimates can be presented in summary form or in detail. Costs are estimated for all resources that are applied to the activity cost estimate. This includes, but is not limited to, direct labor, materials, equipment, services, facilities, information technology, and special categories such as cost of financing (including interest charges), an inflation allowance, exchange rates, or a cost contingency reserve. Indirect costs, if they are included in the project estimate, can be included at the activity level or at higher levels. QUESTION 628 The item that provides more detailed descriptions of the components in the work breakdown structure (WB5) is called a WBS: A. dictionary. B. chart. C. report. D. register. Correct Answer: A CAPM “Best Material, Great Results”. www.certkingdom.com 345 Section: Volume E Explanation Explanation/Reference: Explanation: • WBS dictionary. The WBS dictionary is a document that provides detailed deliverable, activity, and scheduling information about each component in the WBS. The WBS dictionary is a document that supports the WBS. Information in the WBS dictionary may include, but is not limited to: Code of account identifier, Description of work, Assumptions and constraints, Responsible organization, Schedule milestones, Associated schedule activities, Resources required, Cost estimates, Quality requirements, Acceptance criteria, Technical references, and Agreement information. QUESTION 629 How should a stakeholder who is classified as high power and low interest be grouped in a power/interest grid during stakeholder analysis? A. Keep satisfied B. Keep informed C. Manage closely D. Monitor Correct Answer: A Section: Volume E Explanation Explanation/Reference: Explanation: 13.1.2.1 Stakeholder Analysis Stakeholder analysis is a technique of systematically gathering and analyzing quantitative and qualitative information to determine whose interests should be taken into account throughout the project. It identifies the interests, expectations, and influence of the stakeholders and relates them to the purpose of the project. It also helps to identify stakeholder relationships (with the project and with other stakeholders) that can be leveraged to build coalitions and potential partnerships to enhance the project’s chance of success, along with stakeholder relationships that need to be influenced differently at different stages of the project or phase. Stakeholder analysis generally follows the steps described below: Identify all potential project stakeholders and relevant information, such as their roles, departments, interests, knowledge, expectations, and influence levels. Key stakeholders are usually easy to identify. They include anyone in a decision-making or management role who is impacted by the project outcome, such as the sponsor, the project manager, and the primary customer. Identifying other stakeholders is usually done by interviewing identified stakeholders and expanding the list until all potential stakeholders are included. Analyze the potential impact or support each stakeholder could generate, and classify them so as to define an approach strategy. In large stakeholder communities, it is important to prioritize the stakeholders to ensure the efficient use of effort to communicate and manage their expectations. Assess how key stakeholders are likely to react or respond in various situations, in order to plan how to influence them to enhance their support and mitigate potential negative impacts. There are multiple classification models used for stakeholders analysis, such as: CAPM “Best Material, Great Results”. www.certkingdom.com 346 Power/interest grid, grouping the stakeholders based on their level of authority (“power”) and their level or concern (“interest”) regarding the project outcomes; Power/influence grid, grouping the stakeholders based on their level of authority (“power”) and their active involvement (“influence”) in the project; Influence/impact grid, grouping the stakeholders based on their active involvement (“influence”) in the project and their ability to effect changes to the project’s planning or execution (“impact”); and Salience model, describing classes of stakeholders based on their power (ability to impose their will), urgency (need for immediate attention), and legitimacy (their involvement is appropriate). QUESTION 630 The project has a current cost performance index of 0.80. Assuming this performance will continue, the new estimate at completion is $1000. What was the original budget at completion for the project? A. $800 B. $1000 C. $1250 D. $1800 Correct Answer: A Section: Volume E Explanation Explanation/Reference: QUESTION 631 Who determines which dependencies are mandatory during the Sequence Activities process? A. Project manager B. External stakeholders C. Internal stakeholders D. Project team Correct Answer: D Section: Volume E Explanation Explanation/Reference: Explanation: Who determines which dependencies are mandatory during the Sequence Activities process? QUESTION 632 Risk exists the moment that a project is: A. planned. B. conceived. C. chartered. D. executed. Correct Answer: B Section: Volume E Explanation Explanation/Reference: CAPM “Best Material, Great Results”. www.certkingdom.com 347 QUESTION 633 Which type of contract is a hybrid of both a cost-reimbursable and a fixed-price contract? A. Cost Plus Award Fee Contract (CPAF) B. Firm-Fixed -Price Contract (FFP) C. Time and Material Contract (T&M) D. Cost Plus Incentive Fee Contract (CPIF) Correct Answer: C Section: Volume E Explanation Explanation/Reference: Explanation: Time and Material Contracts (T&M). Time and material contracts are a hybrid type of contractual arrangement that contain aspects of both cost-reimbursable and fixed-price contracts. They are often used for staff augmentation, acquisition of experts, and any outside support when a precise statement of work cannot be quickly prescribed. These types of contracts resemble cost-reimbursable contracts in that they can be left open ended and may be subject to a cost increase for the buyer. The full value of the agreement and the exact quantity of items to be delivered may not be defined by the buyer at the time of the contract award. Thus, T&M contracts can increase in contract value as if they were costreimbursable contracts. Many organizations require not-to-exceed values and time limits placed in all T&M contracts to prevent unlimited cost growth. Conversely, T&M contracts can also resemble fixed unit price arrangements when certain parameters are specified in the contract. Unit labor or material rates can be preset by the buyer and seller, including seller profit, when both parties agree on the values for specific resource categories, such as senior engineers at specified rates per hour, or categories of materials at specified rates per unit. QUESTION 634 Which characteristics do effective project managers possess? A. Project management knowledge, performance skills, and personal effectiveness B. Preparedness, project management knowledge, and personality characteristics C. General management, preparedness, and project management knowledge D. Assertiveness, collaboration, and performance skills Correct Answer: A Section: Volume E Explanation Explanation/Reference: Explanation: 1.7.1 Responsibilities and Competencies of the Project Manager In general, project managers have the responsibility to satisfy the needs: task needs, team needs, and individual needs. As project management is a critical strategic discipline, the project manager becomes the link between the strategy and the team. Projects are essential to the growth and survival of organizations. Projects create value in the form of improved business processes, are indispensable in the development of new products and services, and make it easier for companies to respond to changes in the environment, competition, and the marketplace. The project manager’s role therefore becomes increasingly strategic. However, understanding and applying the knowledge, tools, and techniques that are recognized as good practice are not sufficient for effective project management. In addition to any area-specific skills and general management proficiencies required for the project, effective project management requires that the project manager possess the following competencies: Knowledge—Refers to what the project manager knows about project management. Performance—Refers to what the project manager is able to do or accomplish while applying his or her project management knowledge. Personal—Refers to how the project manager behaves when performing the project or related activity. CAPM “Best Material, Great Results”. www.certkingdom.com 348 Personal effectiveness encompasses attitudes, core personality characteristics, and leadership, which provides the ability to guide the project team while achieving project objectives and balancing the project constraints. QUESTION 635 In the basic communication model, which term refers to the method that is used to convey the message? A. Decode B. Encode C. Medium D. Noise Correct Answer: C Section: Volume E Explanation Explanation/Reference: QUESTION 636 During project selection, which factor is most important? A. Types of constraints B. Internal business needs C. Budget D. Schedule Correct Answer: B Section: Volume E Explanation Explanation/Reference: Explanation: Projects are initiated by an entity external to the project such as a sponsor, program or project management offce (PMO) staff person, or a portfolio governing body chairperson or authorized representative. The project initiator or sponsor should be at the level that is appropriate to procure funding and commit resources to the project. Projects are initiated due to internal business needs or external influences. These needs or influences often trigger the creation of a needs analysis, feasibility study, business case, or description of the situation that the project will address. Chartering a project validates alignment of the project to the strategy and ongoing work of the organization. A project charter is not considered to be a contract, because there is no consideration or money promised or exchanged in its creation. QUESTION 637 The staffing management plan is part of the: A. organizational process assets. B. resource calendar. C. human resource plan. D. Develop Project Team process. Correct Answer: C Section: Volume E Explanation Explanation/Reference: CAPM “Best Material, Great Results”. www.certkingdom.com 349 QUESTION 638 Which is an output of the Collect Requirements process? A. Requirements traceability matrix B. Project scope statement C. WBS dictionary D. Work performance measurements Correct Answer: A Section: Volume E Explanation Explanation/Reference: Explanation: 5.2.3.2 Requirements Traceability Matrix The requirements traceability matrix is a grid that links product requirements from their origin to the deliverables that satisfy them. The implementation of a requirements traceability matrix helps ensure that each requirement adds business value by linking it to the business and project objectives. It provides a means to track requirements throughout the project life cycle, helping to ensure that requirements approved in the requirements documentation are delivered at the end of the project. Finally, it provides a structure for managing changes to the product scope. Tracing includes, but is not limited to, tracing requirements for the following: Business needs, opportunities, goals, and objectives; Project objectives; Project scope/WBS deliverables; Product design; Product development; Test strategy and test scenarios; and High-level requirements to more detailed requirements. Attributes associated with each requirement can be recorded in the requirements traceability matrix. These attributes help to define key information about the requirement. Typical attributes used in the requirements traceability matrix may include: a unique identifier, a textual description of the requirement, the rationale for inclusion, owner, source, priority, version, current status (such as active, cancelled, deferred, added, approved, assigned, completed), and status date. Additional attributes to ensure that the requirement has met stakeholders’ satisfaction may include stability, complexity, and acceptance criteria. Process: 5.2 Collect Requirements Definition: The process of determining, documenting, and managing stakeholder needs and requirements to meet project objectives. Key Benefit: The key benefit of this process is that it provides the basis for defining and managing the project scope including product scope. Inputs 1. Scope management plan 2. Requirements management plan 3. Stakeholder management plan 4. Project charter 5. Stakeholder register Tools & Techniques 1. Interviews 2. Focus groups 3. Facilitated workshops 4. Group creativity techniques 5. Group decision-making techniques 6. Questionnaires and surveys 7. Observations CAPM “Best Material, Great Results”. www.certkingdom.com 350 8. Prototypes 9. Benchmarking 10. Context diagrams 11. Document analysis Outputs 1. Requirements documentation 2. Requirements traceability matrix QUESTION 639 Which activity may occur at project or phase closure? A. Acceptance of deliverables B. Change requests C. Project management plan updates D. Benchmarking Correct Answer: A Section: Volume E Explanation Explanation/Reference: QUESTION 640 Which of the following is an input to Direct and Manage Project Execution? A. Performance reports B. Project charter C. Outputs from planning processes D. Enterprise environmental factors Correct Answer: D Section: Volume E Explanation Explanation/Reference: QUESTION 641 Using the three-point estimating technique, if the most likely duration is four months, the optimistic duration is two months, and the pessimistic duration is one year, how many months is the expected activity duration? A. Two B. Four C. Five D. Twelve Correct Answer: C Section: Volume E Explanation Explanation/Reference: Explanation: 6.5.2.4 Three-Point Estimating The accuracy of single-point activity duration estimates may be improved by considering estimation uncertainty CAPM “Best Material, Great Results”. www.certkingdom.com 351 and risk. This concept originated with the program evaluation and review technique (PERT). PERT uses three estimates to define an approximate range for an activity’s duration: Most likely (tM). This estimate is based on the duration of the activity, given the resources likely to be assigned, their productivity, realistic expectations of availability for the activity, dependencies on other participants, and interruptions. Optimistic (tO). The activity duration based on analysis of the best-case scenario for the activity. Pessimistic (tP). The activity duration based on analysis of the worst-case scenario for the activity. Depending on the assumed distribution of values within the range of the three estimates the expected duration, tE, can be calculated using a formula. Two commonly used formulas are triangular and beta distributions. The formulas are: Triangular Distribution. tE = (tO + tM + tP) / 3 Beta Distribution (from the traditional PERT technique). tE = (tO + 4tM + tP) / 6 Duration estimates based on three points with an assumed distribution provide an expected duration and clarify the range of uncertainty around the expected duration. E = (a + 4m + b) / 6 (2+ (4*4) +12)=30 /6 =5 QUESTION 642 A project lifecycle is defined as: A. a collection of generally sequential and sometimes overlapping project phases. B. a process required to ensure that the project includes all the work required, and only the work required, to complete the project successfully. C. a recognized standard for the project management profession. D. the application of knowledge, skills, tools, and techniques to project activities to meet the project requirements. Correct Answer: A Section: Volume E Explanation Explanation/Reference: Explanation: 2.4 Project Life Cycle A project life cycle is the series of phases that a project passes through from its initiation to its closure. The phases are generally sequential, and their names and numbers are determined by the management and control needs of the organization or organizations involved in the project, the nature of the project itself, and its area of application. The phases can be broken down by functional or partial objectives, intermediate results or deliverables, specific milestones within the overall scope of work, or financial availability. Phases are generally time bounded, with a start and ending or control point. A life cycle can be documented within a methodology. The project life cycle can be determined or shaped by the unique aspects of the organization, industry, or technology employed. While every project has a definite start and a definite end, the specific deliverables and activities that take place in between will vary widely with the project. The life cycle provides the basic framework for managing the project, regardless of the specific work involved. QUESTION 643 Administer Procurements is part of which Process Group? A. Planning B. Executing C. Monitoring and Controlling D. Closing Correct Answer: C CAPM “Best Material, Great Results”. www.certkingdom.com 352 Section: Volume E Explanation Explanation/Reference: QUESTION 644 The process to ensure that appropriate quality standards and operational definitions are used is: A. Plan Quality. B. Perform Quality Assurance. C. Perform Quality Control. D. Total Quality Management. Correct Answer: B Section: Volume E Explanation Explanation/Reference: Explanation: Process: 8.2 Perform Quality Assurance Definition: The process of auditing the quality requirements and the results from quality control measurements to ensure that appropriate quality standards and operational definitions are used. Key Benefit: The key benefit of this process is that it facilitates the improvement of quality processes. Inputs 1. Quality management plan 2. Process improvement plan 3. Quality metrics 4. Quality control measurements 5. Project documents Tools & Techniques 1. Quality management and control tools 2. Quality audits 3. Process analysis Outputs 1. Change requests 2. Project management plan updates 3. Project documents updates 4. Organizational process assets updates QUESTION 645 Which Process Group contains the processes performed to complete the work defined in the project management plan to satisfy the project specifications? A. Initiating B. Planning C. Executing D. Closing Correct Answer: C Section: Volume E Explanation Explanation/Reference: CAPM “Best Material, Great Results”. www.certkingdom.com 353 QUESTION 646 A project manager at a publishing company decides to initiate the editing phase of the project as soon as each chapter is written. Which type of Sequence Activities tool and technique is involved, considering that there was a start-to-start relationship with a 15-day delay? A. Slack B. Float C. Lag D. Lead Correct Answer: C Section: Volume E Explanation Explanation/Reference: A lag is the amount of time whereby a successor activity will be delayed with respect to a predecessor activity. For example, a technical writing team may begin editing the draft of a large document 15 days after they begin writing it. Process: 6.3 Sequence Activities Definition: The process of identifying and documenting relationships among the project activities. Key Benefit: The key benefit of this process is that it defines the logical sequence of work to obtain the greatest efficiency given all project constraints. Inputs 1. Schedule management plan 2. Activity list 3. Activity attributes 4. Milestone list 5. Project scope statement 6. Enterprise environmental factors 7. Organizational process assets Tools & Techniques 1. Precedence diagramming method (PDM) 2. Dependency determination 3. Leads and lags Outputs 1. Project schedule network diagrams 2. Project documents updates QUESTION 647 The completion of the project scope is measured against the: A. requirements documentation. B. project scope statement. C. project management plan. D. work performance measurements. Correct Answer: C Section: Volume E Explanation Explanation/Reference: CAPM “Best Material, Great Results”. www.certkingdom.com 354 Explanation: 4.2.3.1 Project Management Plan The project management plan is the document that describes how the project will be executed, monitored, and controlled. It integrates and consolidates all of the subsidiary plans and baselines from the planning processes. Project baselines include, but are not limited to: Scope baseline (Section 5.4.3.1), Schedule baseline (Section 6.6.3.1), and Cost baseline (Section 7.3.3.1). Subsidiary plans include, but are not limited to: Scope management plan (Section 5.1.3.1), Requirements management plan (Section 5.1.3.2), Schedule management plan (Section 6.1.3.1), Cost management plan (Section 7.1.3.1), Quality management plan (Section 8.1.3.1), Process improvement plan (Section 8.1.3.2), Human resource management plan (Section 9.1.3.1), Communications management plan (Section 10.1.3.1), Risk management plan (Section 11.1.3.1), Procurement management plan (Section 12.1.3.1), and Stakeholder management plan (Section 13.2.3.1). Among other things, the project management plan may also include the following: Life cycle selected for the project and the processes that will be applied to each phase; Details of the tailoring decisions specified by the project management team as follows: ○ Project management processes selected by the project management team, ○ Level of implementation for each selected process, ○ Descriptions of the tools and techniques to be used for accomplishing those processes, and ○ Description of how the selected processes will be used to manage the specific project, including the dependencies and interactions among those processes and the essential inputs and outputs. Description of how work will be executed to accomplish the project objectives; Change management plan that documents how changes will be monitored and controlled; Configuration management plan that documents how Configuration management will be performed; Description of how the integrity of the project baselines will be maintained; Requirements and techniques for communication among stakeholders; and Key management reviews for content, the extent of, and timing to address, open issues and pending decisions. The project management plan may be either summary level or detailed, and may be composed of one or more subsidiary plans. Each of the subsidiary plans is detailed to the extent required by the specific project. Once the project management plan is baselined, it may only be changed when a change request is generated and approved through the Perform Integrated Change Control process. QUESTION 648 The processes required to establish the scope of the project, refine the objectives, and define the course of action required to attain the objectives that the project has been undertaken to achieve are grouped within which Process Group? A. Initiating B. Planning C. Executing D. Monitoring and Controlling Correct Answer: B Section: Volume E Explanation Explanation/Reference: CAPM “Best Material, Great Results”. www.certkingdom.com 355 QUESTION 649 Which input will be used when tasked with developing the human resource plan? A. Project management plan B. Activity resource requirements C. Resource calendar D. Project staff assignments Correct Answer: B Section: Volume E Explanation Explanation/Reference: Explanation: 9.1.1.2 Activity Resource Requirements Described in Section 6.4.3.1. Human resource planning uses activity resource requirements to determine the human resource needs for the project. The preliminary requirements regarding the required project team members and their competencies are progressively elaborated as part of the Plan Human Resource Management process. 6.4.3.1 Activity Resource Requirements Activity resource requirements identify the types and quantities of resources required for each activity in a work package. These requirements then can be aggregated to determine the estimated resources for each work package and each work period. The amount of detail and the level of specificity of the resource requirement descriptions can vary by application area. The resource requirements documentation for each activity can include the basis of estimate for each resource, as well as the assumptions that were made in determining which types of resources are applied, their availability, and what quantities are used. Process: 9.1 Plan Human Resource Management Definition: The process of identifying and documenting project roles, responsibilities, required skills, reporting relationships, and creating a staffing management plan. Key Benefit: The key benefit of this process is that it establishes project roles and responsibilities, project organization charts, and the staffing management plan including the timetable for staff acquisition and release. Inputs 1. Project management plan 2. Activity resource requirements 3. Enterprise environmental factors 4. Organizational process assets Tools & Techniques 1. Organization charts and position descriptions 2. Networking 3. Organizational theory 4. Expert judgment 5. Meetings Outputs 1. Human resource management plan QUESTION 650 Which of the following are an enterprise environmental factor that can influence the Identify Risks process? A. Work performance reports B. Assumptions logs C. Network diagrams D. Academic studies Correct Answer: D CAPM “Best Material, Great Results”. www.certkingdom.com 356 Section: Volume E Explanation Explanation/Reference: Explanation: 11.2.1.12 Enterprise Environmental Factors Described in Section 2.1.5. Enterprise environmental factors that can influence the Identify Risks process include, but are not limited to: Published information, including commercial databases, Academic studies, Published checklists, Benchmarking, Industry studies, and Risk attitudes. Process: 11.2 Identify Risks Definition: The process of determining which risks may affect the project and documenting their characteristics. Key Benefit: The key benefit of this process is the documentation of existing risks and the knowledge and ability it provides to the project team to anticipate events. Inputs 1. Risk management plan 2. Cost management plan 3. Schedule management plan 4. Quality management plan 5. Human resource management plan 6. Scope baseline 7. Activity cost estimates 8. Activity duration estimates 9. Stakeholder register 10. Project documents 11. Procurement documents 12. Enterprise environmental factors 13. Organizational process assets Tools & Techniques 1. Documentation reviews 2. Information gathering techniques 3. Checklist analysis 4. Assumptions analysis 5. Diagramming techniques 6. SWOT analysis Expert judgment Outputs Risk register
” To everything, there is a season and a time to every purpose under the heaven; A time to be born, and a time to die; a time to plant, and a time to pluck up that which is planted; a time to kill, and a time to heal; a time to break down, and a time to build up; A time to weep, and a time to laugh; a time to mourn, and a time to dance; A time to cast away stones and a time to gather stones together; and to embrace, and a time to refrain from embracing;”.
The disciple knows that there is a time to gather stones together. and a time to cast away stones. What exactly do we know about casting away stones? Stones can be an obstruction, particularly in a garden where they are very many. They hinder the effort to bring forth a lot of fruits. In that case. You will need to remove all the stones in the garden so that they do not obstruct the growth of the plants.
According to Isaiah 5:1-2, the Bible says when you want to plant a vineyard, you must remove the stones. So anything in the life of the Disciple that would not allow him to bear fruits, the kind of fruits that Jesus Christ expects, anything in the life of a disciple that will not allow him to win souls or that will not allow him to be forth fruits unto repentance have to be removed.
Hearts of stones must also be removed. (Ez. 36:26). The Bible tells us that after God has washed us in His blood after we have been saved from all our sins, He made a promise that He will remove the stony heart and replace it with a heart of flesh. This heart of stone is what everyone possesses from birth, or is desperately wicked (Jer. 17:9). That is, it is sinful and there is no way anybody can improve on it. It must therefore be replaced by God with the heart of flesh. For a Christian to be able to live the life of Christ, the kind of life that will bring glory to God, after salvation, after he has been cleaned in the blood of the lamb. that heart which is desperately wicked has to be replaced. He will remove the heart of stone and replace it with the heart of flesh, a heart that will be like that of Jesus Christ.
Brethren as stones of obstruction
When you go through the scriptures as in 2 Thess. 4:6-7; 1 Cor. 5:1-5, the Bible regards some brethren as stones of obstruction and they must be removed from the church or else the church will not be able to move forward.
Some brethren have been regarded as stones that must be cast away; some of them are agents of the devil. Some of them are false brethren. They are in church purposely to weaken the church; they must be uprooted and thrown out.
TIME TO GATHER STONES
There are some stones that must be gathered together also, for example, all disciples that are living the life of God are called by the Bible, living stones. They will be gathered together to build a house of God- a spiritual house for God. If you look at 1 Peter 2:5: “Ye also, as living stones, are built up a spiritual house, a holy priesthood, to offer up spiritual sacrifices, acceptable to God by Jesus Christ.”
There is a house that is called a spiritual house, where the Almighty God dwells and JESUS Christ is the Chief Cornerstone and we the disciples of Jesus Christ are the living stones; living stones that God will now use to array his house. The disciple knows that such brethren must be gathered together so that they are combined, they can use their voices in praises, to the Almighty God so that when God wants to dwell with his people he would find a habitation.
TIME TO EMBRACE
Eccl. 3:5.
“A time to cast away stones, and a time to gather stones together, a time to embrace, and a time to refrain from embracing”.
There is a time for embracing. For example, there is a time when a husband embraces his wife. The Bible says they must do so whenever the need arises so that either party will not go into sin. The Bible says unless they are fasting, neither the husband nor the wife ought to deny each other.
However, the Bible says there are occasions in the life of the disciple that even those who are married must be as if they are not. In other words, there must be a time when the two of them want to concentrate on the service of God and even though they are married, they will run away from embracing.
Look at 1 Cor. 7:5, the Bible says:
“Defraud ye not the other, except it is with consent for a time, that ye may give yourselves to fasting and prayer; and come together again, that Satan tempts you not for your inconsistency”.
In other words, there is a time when the two of you will stay apart because you want to fast, you want to pray, but then when there is no fasting and praying, to give room for the enemy to come in between husband and wife, they should come together again”- 1 Cor. 7:27-29 says:
“Art thou bound unto a wife? Seek not to be loosed. Art thou loosed from a wife? Seek not a wife. But and if thou marry, thou hast not sinned. Nevertheless such shall have trouble in the flesh: but I spare you. But this I say, brethren, the time is short: it remaineth, that both they that have wives be as though they had none”.
Some people would not even marry at all, people who would say “No, I want to concentrate the rest of my life on the service of God”. However, if you want to marry, you can go ahead and marry. But just take note that part of your attention has to be given to your partner. But the one that remains single is going to concentrate all his love unto the Lord Jesus Christ. “But this I say, brethren, the time is short: it remaineth, that both they that have wives be as though they had none”(1 Cor. 7:29).
In other words, there is so much to be done and there is little time to do it. And those who are wise will now spend more of their time doing the will of God, and not fooling around. According to Matthew 19:11-12, it is not everybody that will say because I was to serve God, I will remain single forever. But then some people are born as eunuchs and some people make themselves eunuchs for the kingdom of God’s sake.
In other words, it is a matter of concentration. There are some people who would say, “I decided, I will not marry so that I can do the work of God to the maximum”.
So there is a time for embracing, there is a time for not embracing. Some people would say “I will not even embrace any other person other than any heavenly husband. Jesus”. Those who can take it can take it. One thing I know is this, if you decide to consecrate to God that way, His grace will be more than sufficient. I can guarantee you, that your reward in heaven will be fabulous.
TIME TO GET AND TIME TO LOSE
“There is a time to get and there is a time to lose. A time to keep and there is a time to cast away” (Eccl. 3:6).
There is a time to get and a time to lose. This is very important because it is the core of the whole matter we’ve been discussing.
The disciple knows that no one can get anything of eternal value unless he is willing to lose those things that are not of eternal value. Anyone who wants to get things that money cannot buy must be willing to let go of all material things. We would remember Paul speaking; he said “All those things that were gains to me, I lost them and I don’t even bother. I count them as dung because I want to win Christ. I want something special, I want something that could be of eternal value”. The Lord himself said in Matthew 10:39, “He that findeth his life shall lose it and he that loseth his life for my sake shall find it”.
In other words, to live forever, you must be willing to die to the wield. Paul said, ” I am crucified with Christ, nevertheless I live, but it’s not me living, it’s Christ that is living in me”.
According to Psalms 23:1, anyone who is going to say, the Lord is my Shepherd, must also be willing to become a sheep, not a goat, because the Lord is a Shepherd of the Sheep not a Shepherd of goats. Anyone who is going to be able to say, “The Lord is my Shepherd” is somebody who will forever say, ” Yes Lord”, He must be someone who will say, “Thy will be done. Thy will. not mine, be done. Whatever you want, let that be done”.
In other words, the fellow who will want to say the “Lord is my Shepherd” who will get the attention of the Almighty God who is the All-Sufficient, must be willing to surrender everything, lose everything that could be called my own and that exactly is the core of the matter. The true disciple has nothing he can call his own but he has everything that is of God.
If you want to be that kind of disciple, why not bow down your head now, and talk to the Lord? “Once again Lord, I surrender all. You just take control. Anything You want, that’s what I will do. And it will be done.”
Action Point PS: If you would like to have an online course on any of the courses that you found on this blog, I will be glad to do that on an individual and corporate level, I will be very glad to do that because I have trained several individuals and groups and they are doing well in their various fields of endeavour. Some of those that I have trained include the staff of Dangote Refinery, FCMB, Zenith Bank, and New Horizons Nigeria among others. Please come on Whatsapp and let’s talk about your training. You can reach me on Whatsapp HERE. Please note that I will be using Microsoft Team to facilitate the training.
I know you might agree with some of the points raised in this article. You might disagree with some of the issues raised. Let me know your views about the topic discussed. We will appreciate it if you can drop your comment. Thanks in anticipation.
Fact Check Policy
CRMNuggets is committed to fact-checking in a fair, transparent and non-partisan manner. Therefore, if you’ve found an error in any of our reports, be it factual, editorial, or an outdated post, please contact us to tell us about it.
Email promoting is utilized to brighten, drive deals, and compose a local area around your image. Current email promotion has moved away from one-size-fits. Every single quantity mailing and rather centres around assent, division, and personalization.
Email Marketing
The usage of email marketing inside your exhibition tries to propel a business’ things and organizations, similarly to lift customer endurance. Email publicizing is a kind of advancement that can make the customers on your email list aware of new things, limits, and various organizations.
It can similarly be a milder proposal to show your group on the assessment of your picture or keep them attracted to the centre of purchases. It can similarly be anything in the centre.
Mailchimp can help you design, develop, and improve your email displaying to get the best ROI in your promoting activation tries.
It can moreover accept a basic part in your publicizing strategy with lead age, brand care, building associations, or keeping customers attracted to the centre of purchases through different sorts of email marketing advancing messages.
A short history of email marketing
Without a doubt, the principal email was sent in 1971 by a PC engineer named Ray Tomlinson. The message he sent was just a progression of numbers and letters, yet it was the beginning of another time of correspondence.
Tomlinson was in like manner the person who introduced the utilization of the “@” picture in email addresses.
In 1978, an advancing boss at Digital Equipment Corp named Gary Turk used this new procedure for direct correspondence to pass on the essential business email to inform people concerning another thing.
His email list just had 400 areas, anyway the messages he sent happened in about $13 million in arrangements.
By the ’90s, the web had gotten modernly available to the greater part. The way wherein people talked with one another began to change definitely, and publicists found that email could be a convincing strategy to advance.
The ascent of displaying messages in the like manner presented the prerequisite for authoritative updates; the U.K.’s. Information Protection Act, for example, was changed as per require a “quit” elective for all promoting messages
Favourable circumstances of email marketing
The email has become an especially notable displaying instrument for associations mostly considering the way that it controls the customer to make a type of move; an email will sit in the inbox until it’s examined, eradicated, or documented.
Nevertheless, email is furthermore potentially the most monetarily sharp gadget open, also. In all honesty, a new report by the U.K.- based Direct Marketing Association (CMA) found that for each $1 spent, email has a typical benefit from adventure (ROI) of $38. For extra on the power of email displaying, peruse our email advancing estimations by industry.
Email marketing advancing can assist you with creating a relationship with your group while moreover guiding individuals to your blog, online media, or somewhere else you’d like individuals to visit.
You can even piece your messages and target customers by fragment, so you’re simply sending people the messages they need to see most. Here are some email elevating exertion tips to start.
Email publicizing moreover allows you to run A/B preliminary of a title or wellspring of motivation to recognize the best performing message by using email marketing that can similarly be intended to easily pass on messages.
Peruse our Mailchimp’s email arrangements to see a more prominent measure of how you can oversee email exhibiting
Tips for building your email marketing list
Nevertheless, how might you manufacture a gathering of individuals of people to send email marketing to as a segment of your web displaying attempts regardless? There are a few different ways, and all of them have to do with treating your customers right, and considering exhibiting best practices.
Make an effort not to buy email records. Many email displaying associations (checking Mailchimp) have an extreme, assent-based plan concerning email addresses, which infers that delivery off purchased records is blocked.
In light of everything, centre around asking individuals to choose into getting messages from you by using lead magnets.
You could offer a markdown on your customers’ first orders when they seek after your email list through a custom data trade structure.
Or then again conceivably you can offer new allies free transportation on their next solicitation—or permit them to win a prize when they join your overview. Here are some more tips to assist you with manufacturing an email list.
What is email marketing?
Email exhibiting is an astounding publicizing channel, a kind of direct advancing similarly as modernized promoting, that use email to propel your business’ things or organizations.
It can help make your customers aware of your latest things or offers by organizing them into your exhibition.
The Importance of Email Marketing
We’ve covered the greatest inquiry, what is , yet haven’t gotten into why email showcasing is so vital for your business. We should discuss that at this point.
Regardless of the ascent of web-based media and spontaneous spam email (which is never a decent advertising procedure, coincidentally), email stays the best method to support leads and lift client unwaveringness.
There are numerous reasons you should make email advertising one of your main concerns, however here are the best 3:
Email is the #1 correspondence channel. Did you realize that at any rate, 99% of buyers browse their email consistently?
You own your rundown. On any web-based media stage, your record (alongside the entirety of your fans and posts) could be suspended or erased whenever, in any way, shape, or form, without notice. Nonetheless, you own your email list. Nobody can remove those leads from you.
The email simply changes for the better. People who buy things displayed through email consume 138% more than the people who don’t get email offers. Truth be told, email advertising has an ROI (profits from the venture) of 4400%. That is tremendous! Also, on the off chance that you are contemplating whether web-based media changes over surprisingly better, reconsider: the normal request estimation of an email is, at any rate, multiple times higher than that of online media.
Final Thought
E-mail marketing is a great way to promote your business to the audience. If you can convert your ideas into customers, you can lead to the next level of online marketing.
Action Point
PS: I know you might agree with some of the points that I have raised in this article. You might not agree with some of the issues raised. Let me know your views about the topic discussed. We will appreciate it if you could drop your comment. Thanks in anticipation.
Fact Check Policy
CRMNuggets is committed to fact-checking in a fair, transparent and non-partisan manner. Therefore, if you’ve found an error in any of our reports, be it factual, editorial, or an outdated post, please contact us to tell us about it.
SUNDAY SCHOOL HYMN 1. O Sunday School, on the Lord’s day, O how I love Thee well, I am happy, it makes me glad To rejoice at Thy birth.
2. O Sunday School, on the Lord’s day, Thy friendship suits me well, Both young and will sing Thy song, We long for Sunday School.
3. O Sunday School, on the Lord’s day, Christ was Thy first teacher, The Holy Spirit, great teacher, Does manifest in thee.
4. O Sunday School, on the Lord’s day, This testimony is sure, That God, the Father Almighty, Poured His blessing on Thee
5. O Sunday School, on the Lord’s day, Though the sun be so bright, Or if the clouds be black with rain, I’ll be in Sunday School.
6. O Sunday School, on the Lord’s day I rejoice to see Thee, Will thou pass over me today? Without my being blest?
BIBLE PASSAGE: Isaiah 66:10-14
[10]Rejoice ye with Jerusalem, and be glad with her, all ye that love her: rejoice for joy with her, all ye that mourn for her:
[11]That ye may suck, and be satisfied with the breasts of her consolations; that ye may milk out, and be delighted with the abundance of her glory.
[12]For thus saith the LORD, Behold, I will extend peace to her like a river, and the glory of the Gentiles like a flowing stream: then shall ye suck, ye shall be borne upon her sides, and be dandled upon her knees.
[13]As one whom his mother comforteth, so will I comfort you; and ye shall be comforted in Jerusalem.
[14]And when ye see this, your heart shall rejoice, and your bones shall flourish like a herb: and the hand of the LORD shall be known toward his servants, and his indignation toward his enemies.
MEMORY VERSE: “Hope deferred maketh the heart sick: but when the desire cometh, it is a tree of life.” Proverbs 13:12.
INTRODUCTION: Hope is a feeling of expectation and desire for a particular thing to happen. However, when there is an uncomfortable or prolonged delay, weariness and heaviness of the heart may set in. Sometimes, while in this valley of life, we fast, pray, work smart and even sow seeds of faith in our bid to find solutions, yet, there might still be a delay. In this lesson, we shall consider biblical examples and winning strategies while waiting.
OUTLINES: 1. SOME BIBLICAL INSTANCES 2. WHAT TO DO WHILE WAITING
1. SOME BIBLICAL INSTANCES
There were Bible characters who, despite their relationship with God, waited painfully and hoped patiently for their expectations to be met and were not disappointed in the long run (Prov.23:18; Rom.5:5). For instance, Abraham/Sarah as well as Hannah waited long for the ‘fruit of the womb’ – children (Gen.15:2; 1 Sam.1:2). David hoped painfully for deliverance from King Saul and his enemies (1Sam.19:18;Ps.3:1). Joseph had a dream that he would be great but was thrown into the pit, sold into slavery and imprisoned (Gen.37:5). Job lost his children, business, and health suddenly and hoped for restoration (Job 1:13-20; 14:7, 14). The children of Israel laboured and suffered for 430 years in Egypt before God sent Moses to liberate them (Ex.12:40). The widow of the indebted prophet was exhausted until she cried to the prophet (2Kgs.4:1).
Abraham and Sarah were visited by God and they got Isaac (Gen.21:1-5). Hannah received her testimony son (1 Sam.1:20). David later got his deliverance and became a king (2 Sam.6:21). Joseph’s dream became a reality. He became the ruler over the realm of Egypt and his brothers bowed to him (Gen.42:6-7). God blessed the end of Job more than his beginning (Job 42:10). The Israelites eventually got delivered from the Egyptians (Ex.14:26-29). The indebted widow of the prophet received divine assistance (2Kgs.4:1-7). Waiting patiently on God in times of distress is key (Isa.40:28-31).
CLASS ACTIVITY 1: Why do you think so many people do not want to wait patiently on God to receive His promise?
2. WHAT TO DO WHILE WAITING
While waiting for your miracle: 1. Focus on the aspect of your life that is working (Isa.50:7) and give thanks to God rather than being sad over what you are yet to receive (Ps. 103:2).
2. Be optimistic about your long-awaited miracle (Ps.27:13) and wait quietly for the salvation of the Lord (Lam.3:25-26).
3. Remember that God makes all things beautiful in His own time (Eccl.3:11).
4. Refuse to respond to discouragement (Mk. 10:46-52).
5. Encourage yourself in the Lord your God (1 Sam. 30:6).
6. Get your heart fixed on your purpose and aspiration (Neh.4:6).
7. Study the word of God to build your faith (Rom.10:17).
CLASS ACTIVITY 2: The class should discuss the dangers the following are likely to face for not waiting patiently on God: i. An individual. ii. The Church. iii. The Society. iv. The Nation.
CONCLUSION: Hopelessness can lead to despair. Do not give up on God because He never comes late.
QUESTIONS: * Mention four (4) biblical examples of people who waited on God. * Mention three (3) things believers need to do while waiting on God.
Action Point PS: If you would like to have an online course on any of the courses that you found on this blog, I will be glad to do that on an individual and corporate level, I will be very glad to do that because I have trained several individuals and groups and they are doing well in their various fields of endeavour. Some of those that I have trained include the staff of Dangote Refinery, FCMB, Zenith Bank, and New Horizons Nigeria among others. Please come on Whatsapp and let’s talk about your training. You can reach me on Whatsapp HERE. Please note that I will be using Microsoft Team to facilitate the training.
I know you might agree with some of the points that I have raised in this article. You might not agree with some of the issues raised. Let me know your views about the topic discussed. We will appreciate it if you can drop your comment. Thanks in anticipation.
Fact Check Policy
CRMNuggets is committed to fact-checking in a fair, transparent and non-partisan manner. Therefore, if you’ve found an error in any of our reports, be it factual, editorial, or an outdated post, please contact us to tell us about it.
SUNDAY SCHOOL HYMN 1. O Sunday School, on the Lord’s day, O how I love Thee well, I am happy, it makes me glad To rejoice at Thy birth.
2. O Sunday School, on the Lord’s day, Thy friendship suits me well, Both young and will sing Thy song, We long for Sunday School.
3. O Sunday School, on the Lord’s day, Christ was Thy first teacher, The Holy Spirit, great teacher, Does manifest in thee.
4. O Sunday School, on the Lord’s day, This testimony is sure, That God, the Father Almighty, Poured His blessing on Thee
5. O Sunday School, on the Lord’s day, Though the sun be so bright, Or if the clouds be black with rain, I’ll be in Sunday School.
6. O Sunday School, on the Lord’s day I rejoice to see Thee, Will thou pass over me today? Without my being blest?
MEMORY VERSE: “Hope deferred maketh the heart sick: but when the desire cometh, it is a tree of life.” Proverbs 13:12.
Isaiah 66:10-14
[10]Rejoice ye with Jerusalem, and be glad with her, all ye that love her: rejoice for joy with her, all ye that mourn for her:
[11]That ye may suck, and be satisfied with the breasts of her consolations; that ye may milk out, and be delighted with the abundance of her glory.
[12]For thus saith the LORD, Behold, I will extend peace to her like a river, and the glory of the Gentiles like a flowing stream: then shall ye suck, ye shall be borne upon her sides, and be dandled upon her knees.
[13]As one whom his mother comforteth, so will I comfort you; and ye shall be comforted in Jerusalem.
[14]And when ye see this, your heart shall rejoice, and your bones shall flourish like an herb: and the hand of the LORD shall be known toward his servants, and his indignation toward his enemies.
INTRODUCTIO N: Hope is a feeling of expectation and desire for a particular thing to happen. However, weariness and heavine ss of heart m ay set in when there is an uncomfortable or prolonged delay. Sometimes, while in this valley of life, we fast, pray, work smart and even sow seeds of faith in our bid to find solutions, yet, there might still be a delay. In this lesson, we shall consider biblical examples and winning strategies while waiting.
TEXT REVIEW: Isaiah 60:10-14.
This Scripture gives hope to those who are experiencing delayed hope. The teacher should identify five (5) words of hope from the passage. i. ——————————————– ii. —————————————— iii. —————————————— iv. —————————————— v. ——————————————
LESSON OUTLINES: 1. SOME BIBLICAL INSTANCES
I. Mention some Bible characters who, despite their relationship with God, waited painfully and hoped patiently for their expectations to be met and were not disappointed in the long run (Prov.23:18; Rom.5:5). For instance: a. Abraham/Sarah and Hannah waited long for the ‘fruit of the womb’ (Gen.15:2; 1Sam.1:2).
b. David hoped painfully for deliverance from King Saul and his enemies (1Sam.19:18; Ps.3:1).
c. Joseph had a dream that he would be great but was thrown into the pit, sold into slavery and imprisoned (Gen.37:5).
d. Job lost his children, business, and health suddenly and hoped for restoration (Job1:13-20; 14:7, 14).
e. The children of Israel laboured and suffered for 430years in Egypt before God sent Moses to liberate them (Ex.12:40).
f. The widow of the indebted prophet was exhausted until she cried to the prophet (2 Kgs.4:1).
II. At the end of the day, God changed their stories: a. Abraham/Sarah and Hannah were visited by God and they got Isaac (Gen.21:1-5). Hannah received her testimony son (1Sam.1:20).
b. David later got his deliverance and became a king (2Sam.6:21).
c. Joseph’s dream became a reality. He became the ruler over the realm of Egypt and his brothers bowed to him (Gen.42:6-7).
d. God blessed the end of Job more than his beginning (Job 42:10).
e. The Israelites eventually got delivered from the Egyptians (Ex.14:26-29).
f. The indebted widow of the prophet received divine assistance (2Kgs.4:1-7).
III. Waiting patiently on God in times of distress is key (Isa.40:28-31).
CLASS ACTIVITY 1: Why do you think so many people do not want to wait patiently on God to receive His promise?
LESSON OUTLINE 2: WHAT TO DO WHILE WAITING
i. Focus on the aspect of your life that is working (Isa.50:7) and thank God rather than being sad over what you are yet to receive. Ps.103:2. ii. Be optimistic about your long-awaited miracle (Ps.27:13) and wait quietly for the salvation of the Lord. Lam.3:25-26.
iii. Remember that God makes all things beautiful in His own time. Eccl.3:11.
iv. Refuse to respond to discouragement. Mk.10:46-52.
v. Encourage yourself in the Lord your God. 1 Sam.30:6.
vi. Get your heart fixed on your purpose and aspiration. Neh.4:6.
vii. Study the word of God to build your faith. Rom.10:17.
While waiting for your miracle: 1. Focus on the aspect of your life that is working (Isa.50:7) and give thanks to God rather than being sad over what you are yet to receive (Ps. 103:2).
2. Be optimistic about your long-awaited miracle (Ps.27:13) and wait quietly for the salvation of the Lord (Lam.3:25-26).
4. Remember that God makes all things beautiful in His own time (Eccl.3:11).
5. Refuse to respond to discouragement (Mk. 10:46-52).
6. Encourage yourself in the Lord your God (1 Sam. 30:6).
8. Get your heart fixed on your purpose and aspiration
9. Study the word of God to build your faith (Rom.10:17).
CLASS ACTIVITY 2: The class should discuss the dangers the following are likely to face for not waiting patiently on God: i. An individual. ii. The Church. iii. The Society. iv. The Nation.
SUMMARY: During your waiting time, be patient and rely on God who is ever faithful.
CONCLUSION: Hopelessness can lead to despair. Do not give up on God because He never comes late.
QUESTIONS * Mention four (4) biblical examples of people who waited on God. * Mention three (3) things believers need to do while waiting on God.
EVALUATION: Hopelessness can lead to despair. Do not give up on God because He never comes late.
CLOSING PRAYER: i. What can bring deferred hope? ii. What advice do you give to those whose hope are being delayed?
Action Point PS: If you would like to have an online course on any of the courses that you found on this blog, I will be glad to do that on an individual and corporate level, I will be very glad to do that because I have trained several individuals and groups and they are doing well in their various fields of endeavour. Some of those that I have trained include the staff of Dangote Refinery, FCMB, Zenith Bank, and New Horizons Nigeria among others. Please come on Whatsapp and let’s talk about your training. You can reach me on Whatsapp HERE. Please note that I will be using Microsoft Team to facilitate the training.
I know you might agree with some of the points that I have raised in this article. You might not agree with some of the issues raised. Let me know your views about the topic discussed. We will appreciate it if you can drop your comment. Thanks in anticipation.
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QUESTION 761 Which of the following is an output of Close Procurements?
A. Accepted deliverables B. Organizational process assets updates C. Managing stakeholder expectations D. Performance reports
Correct Answer: B
Explanation: Organizational Process Assets Updates
Elements of the organizational process assets that may be updated include, but are not limited to: Procurement file. A complete set of indexed contract documentation, including the closed contract, is prepared for inclusion with the final project fles. Deliverable acceptance. Documentation of formal acceptance of seller-provided deliverables may be required to be retained by the organization. The Close Procurement process ensures this documentation requirement is satisfed. Requirements for formal deliverable acceptance and how to address nonconforming deliverables are usually defined in the agreement. Lessons learned documentation. Lessons learned, what has been experienced, and process improvement recommendations, should be developed for the project fle to improve future procurements. Process: 12.4 Close Procurements Definition: The process of completing each project procurement. Key Benefit: The key benefit of this process is that it documents agreements and related documentation for CAPM “Best Material, Great Results”. www.certkingdom.com 384 future reference. Inputs Project management plan Procurement documents Tools & Techniques Procurement audits Procurement negotiations Records management system Outputs Closed procurements Organizational process assets updates
QUESTION 762 CAPM 414 What is the tool and technique used to request seller responses? A. Procurement documents B. Expert judgment C. Bidder conferences D. Contract types Correct Answer: C Section: Volume E Explanation Explanation/Reference: Explanation: 12.2.2.1 Bidder Conferences Bidder conferences (sometimes called contractor conferences, vendor conferences, and pre-bid conferences) are meetings between the buyer and all prospective sellers prior to submittal of a bid or proposal. They are used to ensure that all prospective sellers have a clear and common understanding of the procurement requirements, and that no bidders receive preferential treatment. To be fair, buyers should take great care to ensure that all prospective sellers hear every question from any individual prospective seller and every answer from the buyer. Typically fairness is addressed by techniques such as collecting questions from bidders or arranging field visits in advance of the bidder conference. Responses to questions can be incorporated into the procurement documents as amendments. QUESTION 763 What process determines which risks might affect the project? A. Qualitative risk analysis B. Identify Risks C. Plan Risk Management D. Quantitative risk analysis Correct Answer: B Section: Volume E Explanation Explanation/Reference: Explanation: Process: 11.2 Identify Risks Definition: The process of determining which risks may affect the project and documenting their characteristics. Key Benefit: The key benefit of this process is the documentation of existing risks and the knowledge and ability it provides to the project team to anticipate events. Inputs 1. Risk management plan 2. Cost management plan 3. Schedule management plan 4. Quality management plan 5. Human resource management plan 6. Scope baseline 7. Activity cost estimates 8. Activity duration estimates 9. Stakeholder register 10. Project documents 11. Procurement documents 12. Enterprise environmental factors CAPM 415 13. Organizational process assets Tools & Techniques 1. Documentation reviews 2. Information gathering techniques 3. Checklist analysis 4. Assumptions analysis 5. Diagramming techniques 6. SWOT analysis 7. Expert judgment Outputs 1. Risk register 11.2.3.1 Risk Register The primary output from Identify Risks is the initial entry into the risk register. The risk register is a document in which the results of risk analysis and risk response planning are recorded. It contains the outcomes of the other risk management processes as they are conducted, resulting in an increase in the level and type of information contained in the risk register over time. The preparation of the risk register begins in the Identify Risks process with the following information, and then becomes available to other project management and risk management processes: List of identified risks. The identified risks are described in as much detail as is reasonable. A structure for describing risks using risk statements may be applied, for example, EVENT may occur causing IMPACT, or If CAUSE exists, EVENT may occur leading to EFFECT. In addition to the list of identified risks, the root causes of those risks may become more evident. These are the fundamental conditions or events that may give rise to one or more identified risks. They should be recorded and used to support future risk identification for this and other projects. List of potential responses. Potential responses to a risk may sometimes be identified during the Identify Risks process. These responses, if identified in this process, should be used as inputs to the Plan Risk Responses process. QUESTION 764 What scope definition technique is used to generate different approaches to execute and perform the work of the project? A. Build vs. buy B. Expert judgment C. Alternatives identification D. Product analysis Correct Answer: C Section: Volume E Explanation Explanation/Reference: QUESTION 765 When a control chart is used to monitor performance of a process, which of the following will be set by the project manager and the appropriate stakeholders to reflect the point(s) at which corrective action will be taken to prevent exceeding the specification limits? A. Upper and lower control limits B. Upper and lower specification limits C. Process mean D. Data points CAPM 416 Correct Answer: A Section: Volume E Explanation Explanation/Reference: QUESTION 766 Where are product requirements and characteristics documented? A. Product scope description B. Project charter C. Preliminary project scope statement D. Communications management plan Correct Answer: A Section: Volume E Explanation Explanation/Reference: Explanation: Product scope description. The product scope description documents the characteristics of the product, service, or results that the project will be undertaken to create. The description should also document the relationship between the products, services, or results being created and the business need that the project will address. QUESTION 767 Which Activity Duration Estimating technique incorporates additional timing for contingency purposes? A. Analogous Estimating B. Expert Judgment C. Optimistic Estimates D. Reserve Analysis Correct Answer: D Section: Volume E Explanation Explanation/Reference: Explanation: 6.5.2.6 Reserve Analysis Duration estimates may include contingency reserves, sometimes referred to as time reserves or buffers, into the project schedule to account for schedule uncertainty. Contingency reserves are the estimated duration within the schedule baseline, which is allocated for identified risks that are accepted and for which contingent or mitigation responses are developed. Contingency reserves are associated with the “known-unknowns,” which may be estimated to account for this unknown amount of rework. As more precise information about the project becomes available, the contingency reserve may be used, reduced, or eliminated. Contingency should be clearly identified in schedule documentation. [..] Estimates may also be produced for the amount of management reserve of time for the project. Management reserves are a specified amount of the project duration withheld for management control purposes and are reserved for unforeseen work that is within scope of the project. Management reserves are intended to address the “unknown-unknowns” that can affect a project. Management reserve is not included in the schedule baseline, but it is part of the overall project duration requirements. Depending on contract terms, use of management reserves may require a change to the schedule baseline. QUESTION 768 CAPM 417 Which characteristic is unique to project work and does not apply to operational work? A. Performed by individuals B. Limited by constraints C. Temporary D. Performed to achieve organizational objectives Correct Answer: C Section: Volume E Explanation Explanation/Reference: QUESTION 769 Which document describes the procurement item in sufficient detail to allow prospective sellers to determine if they are capable of providing the products, services, or results? A. Procurement management plan B. Procurement statement of work C. Request for proposal D. Request for quote Correct Answer: B Section: Volume E Explanation Explanation/Reference: Explanation: 12.1.3.2 Procurement Statement of Work The statement of work (SOW) for each procurement is developed from the project scope baseline and defines only that portion of the project scope that is to be included within the related contract. The procurement SOW describes the procurement item in sufficient detail to allow prospective sellers to determine if they are capable of providing the products, services, or results. Sufficient detail can vary based on the nature of the item, the needs of the buyer, or the expected contract form. Information included in a SOW can include specifications, quantity desired, quality levels, performance data, period of performance, work location, and other requirements. The procurement SOW is written to be clear, complete, and concise. It includes a description of any collateral services required, such as performance reporting or post-project operational support for the procured item. In some application areas, there are specific content and format requirements for a procurement SOW. Each individual procurement item requires a SOW; however, multiple products or services can be grouped as one procurement item within a single SOW. The procurement SOW can be revised and refined as required as it moves through the procurement process until incorporated into a signed agreement. QUESTION 770 Which is a tool used in monitoring and controlling project work? A. Work performance information B. Project management information system (PMIS) C. Activity duration estimates D. Scheduled network analysis Correct Answer: B Section: Volume E Explanation CAPM 418 Explanation/Reference: QUESTION 771 Which is an input to the Scope Verification Process? A. Performance report B. Work breakdown structure C. Requested changes D. Project scope statement Correct Answer: D Section: Volume E Explanation Explanation/Reference: Explanation: The project team must complete a scope statement for developing a common understanding of the project scope among stakeholders. This lists project deliverables – summary level sub-products, whose full and satisfactory delivery marks the completion of the project QUESTION 772 Which is the document that presents a hierarchical project organization? A. WBS B. CPI C. OBS D. BOM Correct Answer: C Section: Volume E Explanation Explanation/Reference: QUESTION 773 Which knowledge area employs the processes required to ensure timely and appropriate generation, collection, distribution, storage, retrieval, and ultimate disposition of project information? A. Project Risk Management B. Project Integration Management C. Project Communications Management D. Project Quality Management Correct Answer: C Section: Volume E Explanation Explanation/Reference: Explanation: PROJECT COMMUNICATIONS MANAGEMENT Project Communications Management includes the processes that are required to ensure timely and appropriate planning, collection, creation, distribution, storage, retrieval, management, control, monitoring, and the ultimate disposition of project information. Project managers spend most of their time CAPM 419 communicating with team members and other project stakeholders, whether they are internal (at all organizational levels) or external to the organization. Effective communication creates a bridge between diverse stakeholders who may have different cultural and organizational backgrounds, different levels of expertise, and different perspectives and interests, which impact or have an influence upon the project execution or outcome. QUESTION 774 Which of following could be organizational process assets? A. Historical information B. Industry standards C. Organization infrastructure D. Marketplace conditions Correct Answer: A Section: Volume E Explanation Explanation/Reference: Explanation: 2.1.4 Organizational Process Assets Organizational process assets are the plans, processes, policies, procedures, and knowledge bases specific to and used by the performing organization. They include any artifact, practice, or knowledge from any or all of the organizations involved in the project that can be used to perform or govern the project. The process assets also include the organization’s knowledge bases such as lessons learned and historical information. Organizational process assets may include completed schedules, risk data, and earned value data. Organizational process assets are inputs to most planning processes. Throughout the project, the project team members may update and add to the organizational process assets as necessary. Organizational process assets may be grouped into two categories: (1) processes and procedures, and (2) corporate knowledge base. QUESTION 775 Which of the following are documented directions to perform an activity that can reduce the probability of negative consequences associated with project risks? A. Recommended corrective actions B. Recommended preventive actions C. Risk audits D. Risk reassessments Correct Answer: B Section: Volume E Explanation Explanation/Reference: Explanation: 11.6.3.2 Change Requests Implementing contingency plans or workarounds sometimes results in a change request. Change requests are prepared and submitted to the Perform Integrated Change Control process (Section 4.5). Change requests can include recommended corrective and preventive actions as well. Recommended corrective actions. These are activities that realign the performance of the project work with the project management plan. They include contingency plans and workarounds. The latter are responses that were not initially planned, but are required to deal with emerging risks that were previously unidentified or accepted passively. Recommended preventive actions. These are activities that ensure that future performance of the project work is aligned with the project management plan. QUESTION 776 CAPM 420 Which of the following are examples of interactive communication? A. Intranet sites B. Voice mails C. Video conferences D. Press releases Correct Answer: C Section: Volume E Explanation Explanation/Reference: QUESTION 777 Which of the following are the components of the scope baseline? A. Project charter, project scope statement, and work breakdown structure (WBS) B. Project charter, project management plan, and plan procurement C. Project scope statement, work breakdown structure (WBS), and WBS dictionary D. Project management plan, plan procurement, and contract administration Correct Answer: C Section: Volume E Explanation Explanation/Reference: Explanation: 5.4.3.1 Scope Baseline The scope baseline is the approved version of a scope statement, work breakdown structure (WBS), and its associated WBS dictionary, that can be changed only through formal change control procedures and is used as a basis for comparison. It is a component of the project management plan. Components of the scope baseline include: Project scope statement. The project scope statement includes the description of the project scope, major deliverables, assumptions, and constraints. WBS. The WBS is a hierarchical decomposition of the total scope of work to be carried out by the project team to accomplish the project objectives and create the required deliverables. Each descending level of the WBS represents an increasingly detailed definition of the project work. The WBS is finalized by assigning each work package to a control account and establishing a unique identifier for that work package from a code of accounts. These identifiers provide a structure for hierarchical summation of costs, schedule, and resource information. A control account is a management control point where scope, budget, actual cost, and schedule are integrated and compared to the earned value for performance measurement. Control accounts are placed at selected management points in the WBS. Each control account may include one or more work packages, but each of the work packages should be associated with only one control account. A control account may include one or more planning packages. A planning package is a work breakdown structure component below the control account with known work content but without detailed schedule activities. WBS dictionary. The WBS dictionary is a document that provides detailed deliverable, activity, and scheduling information about each component in the WBS. The WBS dictionary is a document that supports the WBS. Information in the WBS dictionary may include, but is not limited to: Code of account identifier, Description of work, Assumptions and constraints, Responsible organization, Schedule milestones, Associated schedule activities, Resources required, CAPM 421 Cost estimates, Quality requirements, Acceptance criteria, Technical references, and Agreement information. QUESTION 778 Which of the following buffers protects the target finish date from slippage along the critical chain? A. Critical buffer B. Project buffer C. Duration buffer D. Feeding buffer Correct Answer: B Section: Volume E Explanation Explanation/Reference: Explanation: 6.6.2.3 Critical Chain Method The critical chain method (CCM) is a schedule method that allows the project team to place buffers on any project schedule path to account for limited resources and project uncertainties. It is developed from the critical path method approach and considers the effects of resource allocation, resource optimization, resource leveling, and activity duration uncertainty on the critical path determined using the critical path method. To do so, the critical chain method introduces the concept of buffers and buffer management. The critical chain method uses activities with durations that do not include safety margins, logical relationships, and resource availability with statistically determined buffers composed of the aggregated safety margins of activities at specified points on the project schedule path to account for limited resources and project uncertainties. The resource-constrained critical path is known as the critical chain. The critical chain method adds duration buffers that are non-work schedule activities to manage uncertainty. One buffer, placed at the end of the critical chain, as shown in Figure 6-19, is known as the project buffer and protects the target finish date from slippage along the critical chain. Additional buffers, known as feeding buffers, are placed at each point where a chain of dependent activities that are not on the critical chain feeds into the critical chain. Feeding buffers thus protect the critical chain from slippage along the feeding chains. The size of each buffer should account for the uncertainty in the duration of the chain of dependent activities leading up to that buffer. Once the buffer schedule activities are determined, the planned activities are scheduled to their latest possible planned start and finish dates. Consequently, instead of managing the total float of network paths, the critical chain method focuses on managing the remaining buffer durations against the remaining durations of chains of activities. CAPM 422 Figure 6-19. Example of Critical Chain Method QUESTION 779 Which of the following correctly describes when organizations and stakeholders are willing to accept varying degrees of risk? A. Risk analysis B. Risk tolerance C. Risk management D. Risk attitude Correct Answer: B Section: Volume E Explanation Explanation/Reference: Explanation: 11 PROJECT RISK MANAGEMENT [..] Organizations perceive risk as the effect of uncertainty on projects and organizational objectives. Organizations and stakeholders are willing to accept varying degrees of risk depending on their risk attitude. The risk attitudes of both the organization and the stakeholders may be influenced by a number of factors, which are broadly classifed into three themes: Risk appetite, which is the degree of uncertainty an entity is willing to take on in anticipation of a reward. Risk tolerance, which is the degree, amount, or volume of risk that an organization or individual will withstand. Risk threshold, which refers to measures along the level of uncertainty or the level of impact at which a stakeholder may have a specific interest. Below that risk threshold, the organization will accept the risk. Above that risk threshold, the organization will not tolerate the risk. For example, an organization’s risk attitude may include its appetite for uncertainty, its threshold for risk levels that are unacceptable, or its risk tolerance at which point the organization may select a different risk response. Positive and negative risks are commonly referred to as opportunities and threats. The project may be accepted if the risks are within tolerances and are in balance with the rewards that may be gained by taking the risks. Positive risks that offer opportunities within the limits of risk tolerances may be pursued in order to generate enhanced value. For example, adopting an aggressive resource optimization technique is a risk taken in anticipation of a reward for using fewer resources. QUESTION 780 Which of the following correctly lists the configuration management activities included in the Integrated Change Control process? A. Configuration definition, configuration status accounting, configuration monitoring and control B. Configuration identification, configuration status accounting, configuration verification and audit C. Configuration identification, configuration status reporting, configuration verification and audit D. Configuration definition, configuration status reporting, configuration monitoring and Control Correct Answer: B Section: Volume E Explanation Explanation/Reference: Explanation: Configuration control is focused on the specification of both the deliverables and the processes; while change control is focused on identifying, documenting, and approving or rejecting changes to the project documents, deliverables, or baselines. Some of the configuration management activities included in the Perform Integrated Change Control process CAPM 423 are as follows: Configuration identification. Identification and selection of a configuration item to provide the basis for which the product configuration is defined and verified, products and documents are labeled, changes are managed, and accountability is maintained. Configuration status accounting. Information is recorded and reported as to when appropriate data about the configuration item should be provided. This information includes a listing of approved configuration identification, status of proposed changes to the configuration, and the implementation status of approved changes. Configuration verification and audit. Configuration verification and configuration audits ensure the composition of a project’s configuration items is correct and that corresponding changes are registered, assessed, approved, tracked, and correctly implemented. This ensures the functional requirements defined in the configuration documentation have been met. QUESTION 781 Which of the following is a complete set of indexed contract documentation, including the closed contract? A. Procurement package B. Negotiated settlements C. Procurement file D. Procurement management plan Correct Answer: C Section: Volume E Explanation Explanation/Reference: Explanation: 12.4.3.2 Organizational Process Assets Updates Elements of the organizational process assets that may be updated include, but are not limited to: Procurement file. A complete set of indexed contract documentation, including the closed contract, is prepared for inclusion with the final project fles. Deliverable acceptance. Documentation of formal acceptance of seller-provided deliverables may be required to be retained by the organization. The Close Procurement process ensures this documentation requirement is satisfed. Requirements for formal deliverable acceptance and how to address nonconforming deliverables are usually defined in the agreement. Lessons learned documentation. Lessons learned, what has been experienced, and process improvement recommendations, should be developed for the project fle to improve future procurements. QUESTION 782 Which of the following is a component of three-point estimates? A. Probabilistic B. Most likely C. Expected D. Anticipated Correct Answer: B Section: Volume E Explanation Explanation/Reference: QUESTION 783 Which of the following is a means of reaching a group decision in which everyone agrees on a single course of CAPM 424 action? A. Dictatorship B. Majority C. Plurality D. Unanimity Correct Answer: D Section: Volume E Explanation Explanation/Reference: QUESTION 784 Which of the following is a schedule network analysis technique that takes limited resources into account? A. Network reserve analysis B. Critical chain method C. Lead and lag adjustment D. Critical path method Correct Answer: B Section: Volume E Explanation Explanation/Reference: Explanation: 6.6.2.3 Critical Chain Method The critical chain method (CCM) is a schedule method that allows the project team to place buffers on any project schedule path to account for limited resources and project uncertainties. It is developed from the critical path method approach and considers the effects of resource allocation, resource optimization, resource leveling, and activity duration uncertainty on the critical path determined using the critical path method. To do so, the critical chain method introduces the concept of buffers and buffer management. The critical chain method uses activities with durations that do not include safety margins, logical relationships, and resource availability with statistically determined buffers composed of the aggregated safety margins of activities at specified points on the project schedule path to account for limited resources and project uncertainties. The resource-constrained critical path is known as the critical chain. QUESTION 785 Which of the following is a schematic display of the project’s schedule activities and the logical relationships among them? A. Gantt chart B. Project schedule network diagram C. Project milestone list D. Activity list Correct Answer: B Section: Volume E Explanation Explanation/Reference: QUESTION 786 CAPM 425 Which of the following is a tool and technique used in all processes within Project Integration Management? A. Records management system B. Expert judgment C. Project management software D. Issue log Correct Answer: B Section: Volume E Explanation Explanation/Reference: Explanation: 4.1.2.1 Expert Judgment Expert judgment is often used to assess the inputs used to develop the project charter. Expert judgment is applied to all technical and management details during this process. Such expertise is provided by any group or individual with specialized knowledge or training and is available from many sources, including: Other units within the organization, Consultants, Stakeholders, including customers or sponsors, Professional and technical associations, Industry groups, Subject matter experts (SME), and Project management office (PMO). QUESTION 787 Which of the following is an example of a risk symptom? A. Failure to meet intermediate milestones B. Force of nature, such as a flood C. Risk threshold target D. Crashing, front loading, or fast tracking Correct Answer: A Section: Volume E Explanation Explanation/Reference: QUESTION 788 Which of the following is an example of a technique used in quantitative risk analysis? A. Sensitivity analysis B. Probability and impact matrix C. Risk data quality assessment D. Risk categorization Correct Answer: A Section: Volume E Explanation Explanation/Reference: QUESTION 789 CAPM 426 Which of the following is an example of contract administration? A. Negotiating the contract B. Authorizing contractor work C. Developing the statement of work D. Establishing evaluation criteria Correct Answer: B Section: Volume E Explanation Explanation/Reference: QUESTION 790 Which of the following is an example of push communication? A. Intranet sites B. Video conferencing C. Knowledge repositories D. Press releases Correct Answer: D Section: Volume E Explanation Explanation/Reference: Explanation: 10.1.2.4 Communication Methods There are several communication methods that are used to share information among project stakeholders. These methods are broadly classifed as follows: Interactive communication. Between two or more parties performing a multidirectional exchange of information. It is the most effcient way to ensure a common understanding by all participants on specified topics, and includes meetings, phone calls, instant messaging, video conferencing, etc. Push communication. Sent to specific recipients who need to receive the information. This ensures that the information is distributed but does not ensure that it actually reached or was understood by the intended audience. Push communications include letters, memos, reports, emails, faxes, voice mails, blogs, press releases, etc. Pull communication. Used for very large volumes of information, or for very large audiences, and requires the recipients to access the communication content at their own discretion. These methods include intranet sites, e-learning, lessons learned databases, knowledge repositories, etc. The choices of communication methods that are used for a project may need to be discussed and agreed upon by the project stakeholders based on communication requirements; cost and time constraints; and familiarity and availability of the required tools and resources that may be applicable to the communications process. QUESTION 791 Which of the following is an input into the Develop Project Team process? A. Enterprise environmental factors B. Organizational process assets C. Project staff assignments D. Performance reports Correct Answer: C Section: Volume E CAPM 427 Explanation Explanation/Reference: Explanation: 9.3 Develop Project Team Definition: The process of improving competencies, team member interaction, and overall team environment to enhance project performance. Key Benefit: The key benefit of this process is that it results in improved teamwork, enhanced people skills and competencies, motivated employees, reduced staff turnover rates, and improved overall project performance. Inputs 1. Human resource management plan 2. Project staff assignments 3. Resource calendars Tools & Techniques 1. Interpersonal skills 2. Training 3. Team-building activities 4. Ground rules 5. Colocation 6. Recognition and rewards 7. Personnel assessment tools Outputs 1. Team performance assessments 2. Enterprise environmental factors updates QUESTION 792 Which of the following is an input to the Plan Risk Responses process? A. Risk urgency assessment B. Organizational process assets C. Risk register D. Schedule management plan Correct Answer: C Section: Volume E Explanation Explanation/Reference: Explanation: 11.2.3.1 Risk Register The primary output from Identify Risks is the initial entry into the risk register. The risk register is a document in which the results of risk analysis and risk response planning are recorded. It contains the outcomes of the other risk management processes as they are conducted, resulting in an increase in the level and type of information contained in the risk register over time. The preparation of the risk register begins in the Identify Risks process with the following information, and then becomes available to other project management and risk management processes: List of identified risks. The identified risks are described in as much detail as is reasonable. A structure for describing risks using risk statements may be applied, for example, EVENT may occur causing IMPACT, or If CAUSE exists, EVENT may occur leading to EFFECT. In addition to the list of identified risks, the root causes of those risks may become more evident. These are the fundamental conditions or events that may give rise to one or more identified risks. They should be recorded and used to support future risk identification for this and other projects. List of potential responses. Potential responses to a risk may sometimes be identified during the Identify CAPM 428 Risks process. These responses, if identified in this process, should be used as inputs to the Plan Risk Responses process. Process: 11.5 Plan Risk Responses Definition: The process of developing options and actions to enhance opportunities and to reduce threats to project objectives. Key Benefit: The key benefit of this process is that it addresses the risks by their priority, inserting resources and activities into the budget, schedule and project management plan as needed. Inputs 1. Risk management plan 2. Risk register Tools & Techniques 1. Strategies for negative risks or threats 2. Strategies for positive risks or opportunities 3. Contingent response strategies 4. Expert judgment Outputs 1. Project management plan updates 2. Project documents updates QUESTION 793 Which of the following is an output of the Plan Quality process? A. Project document update B. Control chart C. Cost performance baseline D. Organizational process asset update Correct Answer: A Section: Volume E Explanation Explanation/Reference: QUESTION 794 Which of the following is the correct network diagram for the table? A. Begin-A-C-D-E-End-B-D B. Begin-A-B-C-D-E-End C. Begin-A-B-D-E-End A-C-D D. Begin-A-C-D-E-End-B-C CAPM 429 Correct Answer: A Section: Volume E Explanation Explanation/Reference: QUESTION 795 Which of the following is the process of identifying the specific actions to be performed to produce the project deliverables? A. Estimate Activity Durations B. Sequence Activities C. Define Activities D. Activity Attributes Correct Answer: C Section: Volume E Explanation Explanation/Reference: Explanation: Process: 6.2 Define Activities Definition: The process of identifying and documenting the specific actions to be performed to produce the project deliverables. Key Benefit: The key benefit of this process is to break down work packages into activities that provide a basis for estimating, scheduling, executing, monitoring, and controlling the project work. Inputs 1. Schedule management plan 2. Scope baseline 3. Enterprise environmental factors 4. Organizational process assets Tools & Techniques 1. Decomposition 2. Rolling wave planning 3. Expert judgment Outputs 1. Activity list 2. Activity attributes 3. Milestone list QUESTION 796 Which of the following methods is a project selection technique? A. Flowcharting B. Earned value C. Cost-benefit analysis D. Pareto analysis Correct Answer: C Section: Volume E Explanation Explanation/Reference: CAPM 430 Explanation: 8.1.2.1 Cost-Benefit Analysis The primary benefits of meeting quality requirements include less rework, higher productivity, lower costs, increased stakeholder satisfaction, and increased profitability. A cost-benefit analysis for each quality activity compares the cost of the quality step to the expected benefit. QUESTION 797 Which of the following methods of performance review examines project performance over time to determine if performance is improving or deteriorating? A. Earned value performance B. Trend analysis C. Cost-benefit analysis D. Variance analysis Correct Answer: B Section: Volume E Explanation Explanation/Reference: QUESTION 798 Which of the following processes are within the Initiating Process Group? A. Develop Project Management Plan and Identify Stakeholders B. Develop Project Management Plan and Plan Communications C. Develop Project Charter and Identify Stakeholders D. Develop Project Charter and Develop Project Scope Statement Correct Answer: C Section: Volume E Explanation Explanation/Reference: Explanation: Initiating Process Group 4.1 Develop Project Charter 13.1 Identify Stakeholders QUESTION 799 Which of the following tools and techniques is used in the Develop Project Team process? A. Acquisitions B. Organizational theories C. Team-building activities D. Virtual teams Correct Answer: C Section: Volume E Explanation Explanation/Reference: Explanation: 9.3.2.3 Team-Building Activities Team-building activities can vary from a 5-minute agenda item in a status review meeting to an off-site, CAPM 431 professionally facilitated experience designed to improve interpersonal relationships. The objective of team- building activities is to help individual team members work together effectively. Team-building strategies are particularly valuable when team members operate from remote locations without the beneft of face-to-face contact. Informal communication and activities can help in building trust and establishing good working relationships. As an ongoing process, team building is crucial to project success. While team building is essential during the initial stages of a project, it is a never-ending process. Changes in a project environment are inevitable, and to manage them effectively, a continued or a renewed team-building effort should be applied. The project manager should continually monitor team functionality and performance to determine if any actions are needed to prevent or correct various team problems. One of the models used to describe team development is the Tuckman ladder (Tuckman, 1965; Tuckman & Jensen, 1977), which includes fve stages of development that teams may go through. Although it’s common for these stages to occur in order, it’s not uncommon for a team to get stuck in a particular stage or slip to an earlier stage. Projects with team members who worked together in the past may skip a stage. Forming. This phase is where the team meets and learns about the project and their formal roles and responsibilities. Team members tend to be independent and not as open in this phase. Storming. During this phase, the team begins to address the project work, technical decisions, and the project management approach. If team members are not collaborative and open to differing ideas and perspectives, the environment can become counterproductive. Norming. In the norming phase, team members begin to work together and adjust their work habits and behaviors to support the team. The team learns to trust each other. Performing. Teams that reach the performing stage function as a well-organized unit. They are interdependent and work through issues smoothly and effectively. Adjourning. In the adjourning phase, the team completes the work and moves on from the project. This typically occurs when staff is released from the project as deliverables are completed or as part of carrying out the Close Project or Phase process (Section 4.6). The duration of a particular stage depends upon team dynamics, team size, and team leadership. Project managers should have a good understanding of team dynamics in order to move their team members through all stages in an effective manner. 9.3 Develop Project Team Definition: The process of improving competencies, team member interaction, and overall team environment to enhance project performance. Key Benefit: The key benefit of this process is that it results in improved teamwork, enhanced people skills and competencies, motivated employees, reduced staff turnover rates, and improved overall project performance. Inputs 1. Human resource management plan 2. Project staff assignments 3. Resource calendars Tools & Techniques 1. Interpersonal skills 2. Training 3. Team-building activities 4. Ground rules 5. Colocation 6. Recognition and rewards 7. Personnel assessment tools Outputs 1. Team performance assessments 2. Enterprise environmental factors updates QUESTION 800 Which of the following tools and techniques is used to estimate cost? A. Budget forecast B. Variance analysis CAPM 432 C. Activity cost estimate D. Three-point estimate Correct Answer: D Section: Volume E Explanation Explanation/Reference: Explanation: Three-Point Estimate. A technique used to estimate cost or duration by applying an average of optimistic, pessimistic, and most likely estimates when there is uncertainty with the individual activity estimates. QUESTION 801 Which of the following tools will be used to produce performance reports that provide information to stakeholders about project cost, schedule progress, and performance? A. Communications methods B. Reporting systems C. Forecasting methods D. Variance analysis Correct Answer: B Section: Volume E Explanation Explanation/Reference: Explanation: Reporting Systems. Facilities, processes, and procedures used to generate or consolidate reports from one or more information management systems and facilitate report distribution to the project stakeholders. QUESTION 802 Which of the following will provide the basis for estimating, scheduling, executing, and monitoring and controlling project work? A. Activities B. Milestone list C. Work breakdown structure (WBS) D. Work packages Correct Answer: A Section: Volume E Explanation Explanation/Reference: QUESTION 803 Which of the Project Time Management processes analyzes activity sequencing, durations, resource requirements, and schedule constraints? A. Estimate Activity Durations B. Control Schedule C. Sequence Activities D. Develop Schedule CAPM 433 Correct Answer: D Section: Volume E Explanation Explanation/Reference: Explanation: Process: 6.6 Develop Schedule Definition: The process of analyzing activity sequences, durations, resource requirements, and schedule constraints to create the project schedule model. Key Benefit: The key benefit of this process is that by entering schedule activities, durations, resources, resource availabilities, and logical relationships into the scheduling tool, it generates a schedule model with planned dates for completing project activities. Inputs 1. Schedule management plan 2. Activity list 3. Activity attributes 4. Project schedule network diagrams 5. Activity resource requirements 6. Resource calendars 7. Activity duration estimates 8. Project scope statement 9. Risk register 10. Project staff assignments 11. Resource breakdown structure 12. Enterprise environmental factors 13. Organizational process assets Tools & Techniques 1. Schedule network analysis 2. Critical path method 3. Critical chain method 4. Resource optimization techniques 5. Modeling techniques 6. Leads and lags 7. Schedule compression 8. .Scheduling tool Outputs 1. Schedule baseline 2. .Project schedule 3. Schedule data 4. Project calendars 5. Project management plan updates 6. Project documents updates QUESTION 804 Which process group contains the processes performed to finalize all activities? A. Planning Process Group B. Executing Process Group C. Monitoring and Controlling Process Group D. Closing Process Group Correct Answer: D Section: Volume E Explanation CAPM 434 Explanation/Reference: Explanation: • Closing Process Group. Those processes performed to finalize all activities across all Process Groups to formally close the project or phase. QUESTION 805 Which schedule development technique modifies the project schedule to account for limited resources? A. Human resource planning B. Fast tracking C. Critical chain method D. Rolling wave planning Correct Answer: C Section: Volume E Explanation Explanation/Reference: Explanation: 6.6.2.3 Critical Chain Method The critical chain method (CCM) is a schedule method that allows the project team to place buffers on any project schedule path to account for limited resources and project uncertainties. It is developed from the critical path method approach and considers the effects of resource allocation, resource optimization, resource leveling, and activity duration uncertainty on the critical path determined using the critical path method. To do so, the critical chain method introduces the concept of buffers and buffer management. The critical chain method uses activities with durations that do not include safety margins, logical relationships, and resource availability with statistically determined buffers composed of the aggregated safety margins of activities at specified points on the project schedule path to account for limited resources and project uncertainties. The resource-constrained critical path is known as the critical chain. QUESTION 806 Which stakeholder communicates with higher levels of management to gather organizational support and promote project benefits? A. Portfolio manager B. Project sponsor C. Project manager D. Project management office Correct Answer: B Section: Volume E Explanation Explanation/Reference: Explanation: Sponsor. A sponsor is the person or group who provides resources and support for the project and is accountable for enabling success. The sponsor may be external or internal to the project manager’s organization. From initial conception through project closure, the sponsor promotes the project. This includes serving as spokesperson to higher levels of management to gather support throughout the organization and promoting the benefits the project brings. The sponsor leads the project through the initiating processes until formally authorized, and plays a significant role in the development of the initial scope and charter. For issues that are beyond the control of the project manager, the sponsor serves as an escalation path. The sponsor may also be involved in other important issues such as authorizing changes in scope, phase-end reviews, and go/no-go decisions when risks are particularly high. The sponsor also ensures a smooth transfer of the project’s deliverables into the business of the requesting organization after project closure. CAPM 435 QUESTION 807 Which standard examines an enterprise’s project management process capabilities? A. PMBOK Guide B. The Standard for Program Management. C. Organizational Project Management Maturity Model “OPM3” D. The Standard for Portfolio Management Correct Answer: C Section: Volume E Explanation Explanation/Reference: QUESTION 808 Which tool or technique is used to develop a project charter? A. Project manager information systems B. Expert judgment C. Change control meetings D. Brainstorming Correct Answer: B Section: Volume E Explanation Explanation/Reference: Explanation: 4.1.2.1 Expert Judgment Expert judgment is often used to assess the inputs used to develop the project charter. Expert judgment is applied to all technical and management details during this process. Such expertise is provided by any group or individual with specialized knowledge or training and is available from many sources, including: Other units within the organization, Consultants, Stakeholders, including customers or sponsors, Professional and technical associations, Industry groups, Subject matter experts (SME), and Project management office (PMO). Process: 4.1. Develop Project Charter Definition: The process of developing a document that formally authorizes the existence of a project and provides the project manager with the authority to apply organizational resources to project activities. Key Benefit: The key benefit of this process is a well-defined project start and project boundaries, creation of a formal record of the project, and a direct way for senior management to formally accept and commit to the project. Inputs 1. Project statement of work 2. Business case 3. Agreements 4. Enterprise environmental factors 5. Organizational process assets Tools & Techniques 1. Expert judgment CAPM 436 2. Facilitation techniques Outputs 1. Project charter
Basics Of Project Management: Tips For Running A Successful Project
First and foremost, you want to plan and implement projects that will positively impact your organisation, a thorough knowledge of projects and project management is required to efficiently manage your project.
in this article, I want to talk about all that you need to know about the basics of project management. Follow me as we are going to look at that in this article.
Business organisations around the world are using project management as a competitive advantage to achieve corporate strategic objectives.
By identifying the main elements involved in project management practices, you can enhance the chances of success over a wide range of projects across application areas and industries.
What is a project…
A project is a temporary work endeavour that creates a unique product, service, or result. It has clearly defined beginning and end.
The project requires resources to perform project activities and lead themselves to a teamwork structure because they draw from a range of disciplines to complete the work.
Also, projects vary widely in terms of budget, team size, duration, expected outcomes among others. A project is considered to be successful when the specified objectives are met within the specified duration and budget and with the required quality.
Typical example…
Consider a project authorized by a firm to create an intranet website that will display its employees’ information.
The outcome of the project is the website, and the duration will depend on the complexity and size of the work involved.
The project will come to an end when the website is posted on the server and is ready for use by appropriate users.
Subprojects…
A subproject is an independently manageable component of an existing project. A project can have multiple subprojects and they have in turn can have even smaller subprojects.
Usually, a subproject is given on contract either to an external enterprise or to another functional unit in an organisation.
Typical example…
The project team working on the interior design of a solar-powered car decided to subcontract the designing of seats and the air conditioning system to two individual external vendors as subprojects.
Now Project Management …
Project management is the planned effort for executing and monitoring a project in order to accomplish its defined goals and objectives.
Managing projects involves scheduling; identifying requirements; establishing objectives; balancing quality, scope, time and cost; and addressing the concerns and expectations of stakeholders.
Project management is different from the management of routine, outgoing work initiatives.
Projects generally involve temporary initiatives, unique circumstances, and cross-functional teams.
Projects may involve new or specially formed teams taking on new tasks and attempting unfamiliar skills, processes, or work efforts.
Typical example…
In any given project, some of the common responsibilities of project managers include communicating, cross-functionality, managing the efforts of the team members who do not report directly to them, and delivering work on time, within the allowed budget and specification for quality.
Action Point
PS: I know you might agree with some of the points that I have raised in this article. You might not agree with some of the issues raised. Let me know your views about the topic discussed. We will appreciate it if you could drop your comment. Thanks in anticipation.
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QUESTION 809 Which tool or technique measures performance of the project as it moves from project initiation through project closure?
A. Resource leveling B. Parametric measuring C. Pareto chart D. Earned value
Correct Answer: D
Explanation: 7.4.2.1 Earned Value Management Earned value management (EVM) is a methodology that combines scope, schedule, and resource measurements to assess project performance and progress. It is a commonly used method of performance measurement for projects. It integrates the scope baseline with the cost baseline, along with the schedule baseline, to form the performance measurement baseline, which helps the project management team assess and measure project performance and progress. It is a project management technique that requires the formation of an integrated baseline against which performance can be measured for the duration of the project. QUESTION 810 Which type of team can be defined as a group of people with a shared goal who fulfill their roles although spending little or no time meeting face to face? A. Co-location team B. Virtual team C. Departmental team D. Consultant team Correct Answer: B Section: Volume E Explanation Explanation/Reference: QUESTION 811 Who is responsible for determining which processes from the Process Groups will be employed and who will be performing them? A. Project sponsor and project manager B. Project sponsor and functional manager C. Project manager and project team D. Project team and functional manager Correct Answer: C Section: Volume E Explanation CAPM 437 Explanation/Reference: QUESTION 812 Who is responsible for developing the project management plan and all related component plans? A. Project team B. Portfolio manager C. Project manager D. Project management office Correct Answer: C Section: Volume E Explanation Explanation/Reference: Explanation: 4.2.3.1 Project Management Plan The project management plan is the document that describes how the project will be executed, monitored, and controlled. It integrates and consolidates all of the subsidiary plans and baselines from the planning processes. Project baselines include, but are not limited to: Scope baseline (Section 5.4.3.1), Schedule baseline (Section 6.6.3.1), and Cost baseline (Section 7.3.3.1). Subsidiary plans include, but are not limited to: Scope management plan (Section 5.1.3.1), Requirements management plan (Section 5.1.3.2), Schedule management plan (Section 6.1.3.1), Cost management plan (Section 7.1.3.1), Quality management plan (Section 8.1.3.1), Process improvement plan (Section 8.1.3.2), Human resource management plan (Section 9.1.3.1), Communications management plan (Section 10.1.3.1), Risk management plan (Section 11.1.3.1), Procurement management plan (Section 12.1.3.1), and Stakeholder management plan (Section 13.2.3.1). Among other things, the project management plan may also include the following: Life cycle selected for the project and the processes that will be applied to each phase; Details of the tailoring decisions specified by the project management team as follows: ○ Project management processes selected by the project management team, ○ Level of implementation for each selected process, ○ Descriptions of the tools and techniques to be used for accomplishing those processes, and ○ Description of how the selected processes will be used to manage the specific project, including the dependencies and interactions among those processes and the essential inputs and outputs. Description of how work will be executed to accomplish the project objectives; Change management plan that documents how changes will be monitored and controlled; Configuration management plan that documents how Configuration management will be performed; Description of how the integrity of the project baselines will be maintained; Requirements and techniques for communication among stakeholders; and Key management reviews for content, the extent of, and timing to address, open issues and pending decisions. The project management plan may be either summary level or detailed, and may be composed of one or more subsidiary plans. Each of the subsidiary plans is detailed to the extent required by the specific project. Once the project management plan is baselined, it may only be changed when a change request is generated and approved through the Perform Integrated Change Control process. CAPM 438 QUESTION 813 Who is responsible for reviewing change requests and approving or rejecting the change requests? A. Change control board B. Project manager C. Project management office D. Project sponsor Correct Answer: A Section: Volume E Explanation Explanation/Reference: Explanation: Change Control Board (CCB). A formally chartered group responsible for reviewing, evaluating, approving, delaying, or rejecting changes to the project, and for recording and communicating such decisions. QUESTION 814 Who MUST know when a risk event occurs so that a response can be implemented? A. Customers B. Project sponsors C. Project management team D. Insurance claims department. Correct Answer: C Section: Volume E Explanation Explanation/Reference: QUESTION 815 Within a matrix organization, dual reporting of team members is a risk for project success. Who is responsible for managing this dual reporting relationship factor? A. Functional manager B. Project manager C. Functional manager supported by the project manager D. Project management office Correct Answer: B Section: Volume E Explanation Explanation/Reference: QUESTION 816 Within project integration management, the statement of work (SOW) references which aspects of the project? A. Strategic plan, business need, and product scope description B. Contract, enterprise environmental factors, and organizational process assets C. Business plan, project management plan, and project schedule CAPM 439 D. Product lifecycle, business objective, and management strategy Correct Answer: A Section: Volume E Explanation Explanation/Reference: Explanation: 4.1.1.1 Project Statement of Work Page 67 The project statement of work (SOW) is a narrative description of products, services, or results to be delivered by a project. For internal projects, the project initiator or sponsor provides the statement of work based on business needs, product, or service requirements. For external projects, the statement of work can be received from the customer as part of a bid document, (e.g., a request for proposal, request for information, or request for bid) or as part of a contract. The SOW references the following: Business need. An organization’s business need may be based on a market demand, technological advance, legal requirement, government regulation, or environmental consideration. Typically, the business need and the cost-benefit analysis are contained in the business case to justify the project. Product scope description. The product scope description documents the characteristics of the product, service, or results that the project will be undertaken to create. The description should also document the relationship between the products, services, or results being created and the business need that the project will address. Strategic plan. The strategic plan documents the organization’s strategic vision, goals, and objectives and may contain a high-level mission statement. All projects should be aligned with their organization’s strategic plan. Strategic plan alignment ensures that each project contributes to the overall objectives of the organization. QUESTION 817 Which tool or technique is used in the Develop Project Management Plan process? A. Pareto diagram B. Performance reporting C. SWOT analysis D. Expert judgment Correct Answer: D Section: Volume E Explanation Explanation/Reference: QUESTION 818 The review of a seller’s progress toward achieving the goals of scope and quality within cost and schedule compared to the contract is known as: A. Work performance information. B. Inspections and audits. C. A contract change control system. D. Procurement performance reviews. Correct Answer: D Section: Volume E CAPM 440 Explanation Explanation/Reference: QUESTION 819 Which statement summarizes the role of the change control board? A. The change control board is responsible for presenting the change for approval B. The change control board will analyze the change impact in terms of cost and schedule C. The change control board is responsible for managing the change management and configuration management systems D. The change control board is responsible for reviewing and approving changes to the project Correct Answer: D Section: Volume E Explanation Explanation/Reference: Reference: https://blog.masterofproject.com/change-control-board/ QUESTION 820 A contractor has provided hands-on training to a team member on new equipment that has been purchased as part of the project. The team member has acquired key insight and experience on the new equipment. What is this an example of? A. Explicit knowledge B. Formal education C. Tacit knowledge D. Lessons learned Correct Answer: A Section: Volume E Explanation Explanation/Reference: QUESTION 821 Which action should the project manager take after the team finishes executing the scope? A. Verify the deliverables to ensure that they are correct and meet the customer’s satisfaction B. Accept all the deliverables and deliver them to the customer for final acceptance C. Conduct a joint session with the customer, change the deliverables, and then request approval D. Check that all change requests were implemented and release deliverables to the customer Correct Answer: C Section: Volume E Explanation Explanation/Reference: QUESTION 822 Which tools and techniques will a project manager use to develop a project charter? CAPM 441 A. Project manager experience, expert judgment, scope statement, and meetings B. Lessons learned database, interpersonal and team skills, cost baseline, and meetings C. Expert judgment, data gathering, scope statement, schedule baseline, and meetings D. Expert judgment, data gathering, interpersonal and team skills, and meetings Correct Answer: C Section: Volume E Explanation Explanation/Reference: QUESTION 823 The project manager needs to manage a critical issue immediately, and this requires action from the upper management of a specific stakeholder group. Which plan should the project manager consult? A. Risk management plan B. Communications management plan C. Change management plan D. Stakeholder engagement plan Correct Answer: B Section: Volume E Explanation Explanation/Reference: Reference: https://www.projectmanagementdocs.com/template/project-planning/communications- management-plan/#axzz5lB7MU0m5 QUESTION 824 Which statement describes the Monitor Communications process? A. Evaluates the differences between the communications management plan and the reality of communications in a project B. Ensures that the information needs of the project and the stakeholders are met C. Ensures that project information is created, collected, and distributed in a timely and appropriate manner D. Develops an appropriate and plan for communication of project activities Correct Answer: B Section: Volume E Explanation Explanation/Reference: Reference: https://www.oreilly.com/library/view/a-users-manual/9781118546604/xhtml/Chapter25.html QUESTION 825 Which kind of communication should the project manager use when creating reports for government bodies? A. Hierarchical B. External C. Formal D. Official Correct Answer: B CAPM 442 Section: Volume E Explanation Explanation/Reference: QUESTION 826 How can a project manager maintain the engagement of stakeholders in a project with a high degree of change? A. Monitor project stakeholder relationships using engaging strategies and plans B. Send all project documents to stakeholders each time they are modified C. Schedule monthly meetings with the stakeholders, including team members D. Engage only with the project sponsors Correct Answer: A Section: Volume E Explanation Explanation/Reference: Reference: https://study.com/academy/lesson/maintaining-stakeholder-relationships-during-project- execution.html QUESTION 827 The project manager implemented the stakeholder engagement plan and realized that some updates should be made. Which components of the project management plan should be modified? A. Project charter and stakeholder engagement plan B. Risk management plan and stakeholder engagement plan C. Communications management plan and stakeholder engagement plan D. Project charter and communications management plan Correct Answer: C Section: Volume E Explanation Explanation/Reference: QUESTION 828 If a project manager effectively manages project knowledge, a key benefit is that: A. all stakeholders have access to the same information B. the project team is able to understand the project status C. project stakeholders have a clear picture of the project D. new knowledge is added to organizational process assets Correct Answer: C Section: Volume E Explanation Explanation/Reference: Reference: https://mymanagementguide.com/project-knowledge-management-the-importance-of-managing- project-knowledge/ QUESTION 829 CAPM 443 Which project documents can determine the budget? A. Procurement documents, contracts, requirements documentation, and basis of estimates B. Basis of estimates, cost estimates, project schedule, and risk register C. Business case, project charter, statement of work, and cost estimates D. Scope baseline, resource management plan, activity list, and assumption log Correct Answer: B Section: Volume E Explanation Explanation/Reference: Reference: https://project-management-knowledge.com/definitions/d/determine-budget/ QUESTION 830 Which conflict resolution technique is based on bringing some degree of satisfaction to all parties? A. Smooth/Accommodate B. Collaborate/Problem Solve C. Compromise/Reconcile D. Withdraw/Avoid Correct Answer: C Section: Volume E Explanation Explanation/Reference: Reference: http://projectmanagementhacks.com/conflict-management-techniques-pmbok/ QUESTION 831 What are the four management processes included in the Project Cost Management (PCM) method? A. Plan Cost Management, Estimate Costs, Determine Budget, Control Costs B. Control Costs, Project Cost Management, Determine Budget, Estimate Costs C. Estimate Activities, Control Costs, Project Cost Management, Determine Budget D. Control Quality, Project Cost Management, Estimate Costs, Determine Budget Correct Answer: A Section: Volume E Explanation Explanation/Reference: Reference: https://www.projectengineer.net/project-cost-management-according-to-the-pmbok/ QUESTION 832 The activity of tailoring is necessary because: A. The members of the project team need to select the appropriate order of every tool, technique, input, and output listed in the PMBOK Guide; this is required for all projects. B. Each project is unique, and the members of the project team should select the appropriate tools, techniques, inputs, and outputs from the PMBOK Guide. C. The members of the project team need to understand the PMBOK Guide processes, which are applied to all projects. D. Each project is unique, and the project team must plan how to apply all the tools, techniques, inputs, and outputs in the PMBOK Guide. CAPM 444 Correct Answer: B Section: Volume E Explanation Explanation/Reference: Reference: https://www.greycampus.com/opencampus/project-management-professional/project-lifecycle-and- tailoring QUESTION 833 Which are the competing constraints that a project manager should address when tailoring a project? A. Cost, scope, schedule B. Sponsorship, risk, quality C. Schedule, sponsorship, scope D. Resources, quality, communication Correct Answer: A Section: Volume E Explanation Explanation/Reference: Explanation: Tailoring is necessary because each project is unique; not every process, tool, technique, input, or output identified in the PMBoK® Guide is required on every project. Tailoring should address the competing constraints of scope, schedule, cost, resources, quality, and risk. In addition, consideration of whether the customer of the project is internal or external to the organization may affect project management tailoring decisions. Sound project management methodologies take into account the unique nature of projects and allow tailoring, to some extent, by the project manager. However, the tailoring that is included in the methodology may still require additional tailoring for a given project. And that brings us to the end of Tailoring.n QUESTION 834 Given the following information: Activity A takes one week. Activity B takes three weeks. Activity C takes two weeks. Activity D takes five weeks. Activity A starts at the same time as Activity B. Activity C follows Activity B and Activity A. Activity D follows Activity C. How long will it take to complete the project? A. 8 weeks B. 9 weeks C. 10 weeks D. 11 weeks Correct Answer: C Section: Volume E Explanation Explanation/Reference: QUESTION 835 The project team is using their current information, abilities, and experience to achieve project objectives; the CAPM 445 team is also developing new experiences, and the project manager is ensuring that the team is documenting new learnings in order to contribute to organizational knowledge. In which process is the project team and project manager involved? A. Direct and manage project work B. Manage project knowledge C. Develop team D. Manage team Correct Answer: C Section: Volume E Explanation Explanation/Reference: QUESTION 836 Which of the following set of elements is part of an effective communications management plan? A. Escalation processes, person responsible for communicating the information, glossary of common terminology, methods or technologies used to convey the information. B. Phone book directory, stakeholder communication requirements, project charter, glossary of common terminology. C. Organizational chart, escalation processes, person responsible for communicating the information, project management plan, glossary of common terminology. D. Glossary of common terminology, constraints derived from specific legislation and regulation, person responsible for communicating information, project management plan, resource management plan. Correct Answer: A Section: Volume E Explanation Explanation/Reference: QUESTION 837 Two members of the team are having a conflict. The project manager decides that, in this case, the best solution is to bring some degree of satisfaction to all parties in order to temporarily or partially resolve the problem. Which technique should the project manager use? A. Withdraw/Avoid B. Smooth/Accommodate C. Compromise/Reconcile D. Collaborate/Problem Solve Correct Answer: C Section: Volume E Explanation Explanation/Reference: QUESTION 838 CAPM 446 Which is the order of steps in the Procurement Management process? A. Identifying and planning procurement requirements, obtaining quotes or proposals, negotiating with vendors, contracting with selected vendors, and controlling procurements. B. Identifying and planning procurement requirements, negotiating with vendors, contracting with selected vendors, obtaining quotes or proposals, and controlling procurements. C. Controlling procurements, identifying and planning procurement requirements, obtaining quotes or proposals, negotiating with vendors, and contracting with selected vendors. D. Obtaining quotes or proposals, identifying and planning procurement requirements, negotiating with vendors, contracting with selected vendors, and controlling procurements. Correct Answer: A Section: Volume E Explanation Explanation/Reference: Reference: https://www.projectengineer.net/project-procurement-management-according-to-the-pmbok/ QUESTION 839 After defining activities in project schedule management, which processes should a project manager follow? A. Sequence Activities and Estimate Activity Durations B. Estimate Activity Durations and Control Schedule C. Develop Schedule and Control Schedule D. Review Activities and Develop Schedule Correct Answer: A Section: Volume E Explanation Explanation/Reference: Reference: https://www.projectengineer.net/steps-in-project-scheduling/ QUESTION 840 Which is an example of analogous estimating? A. Estimates are created by individuals or groups with specialized knowledge B. Estimates are created by using information about resources of previous similar projects C. Estimates are created by analyzing data D. Estimates are created at the task level and aggregated upwards Correct Answer: B Section: Volume E Explanation Explanation/Reference: Reference: https://www.projectengineer.net/analogous-estimating/ QUESTION 841 The project manager and the project team are having a meeting with the purpose of identifying risks. Which tools and techniques might help in this process? A. Prompt lists and data analysis B. Reports and representations of uncertainty C. Data analysis and risk audits CAPM 447 D. Interpersonal and team skills and project management information system Correct Answer: B Section: Volume E Explanation Explanation/Reference: QUESTION 842 How is the Project Scope Management process different in agile and adaptive projects than in traditional projects? A. Less time spent on defining scope early on B. More time spent on defining scope early on C. Less time spent on scope management process D. Project scope management is the same in all projects Correct Answer: A Section: Volume E Explanation Explanation/Reference: QUESTION 843 In a project using agile methodology, who may perform the quality control activities? A. A group of quality experts at specific times during the project B. The project manager only C. All team members throughout the project life cycle D. Selected stakeholders at specific times during the project Correct Answer: D Section: Volume E Explanation Explanation/Reference: QUESTION 844 The project manager is explaining to others the essential business aspects of the project. To which skill category does this ability belong? A. Technical project management skills B. Time management skills C. Strategic and business management skills D. Leadership skills Correct Answer: C Section: Volume E Explanation Explanation/Reference: Reference: https://www.projectsmart.co.uk/the-role-of-the-project-manager.php CAPM 448 QUESTION 845 A project manager is considering whether or not to procure a new vendor. What can the project manager use to determine a make-or-buy decision? A. Data analysis B. Interpersonal skills C. Bidder conferences D. Bid documents Correct Answer: A Section: Volume E Explanation Explanation/Reference: Reference: https://project-management-knowledge.com/definitions/m/make-buy-analysis/ QUESTION 846 Which tools and techniques should a project manager use to monitor risks? A. Expert judgment, data analysis, and interpersonal and team skills B. Data analysis, audits, and meetings C. Expert judgment, audits, and decision making D. Meetings, data gathering, and expert judgment Correct Answer: D Section: Volume E Explanation Explanation/Reference: QUESTION 847 Which are the most important competencies required for a project manager? A. Leadership, bilingualism, experience, and technical knowledge B. PMP certification, experience, technical knowledge, and post-graduate education C. Leadership, strategic and business management, project management knowledge, and technical knowledge D. Communication skills, project management knowledge, PMP certification, and availability to travel Correct Answer: D Section: Volume E Explanation Explanation/Reference: QUESTION 848 Which of the following is a category of organizational process assets? A. Government standards B. Organizational culture C. Employee capabilities D. Organizational knowledge bases CAPM 449 Correct Answer: D Section: Volume E Explanation Explanation/Reference: Reference: https://medium.com/@yasmine.trainings24x7/what-is-organizational-process-assets-in-pmbok-5th- edition-ea66a5db9779 QUESTION 849 Which is an example of an internal enterprise environmental factor? A. Market share brand recognition B. Factory location C. Local government regulation D. Industry research Correct Answer: C Section: Volume E Explanation Explanation/Reference: Reference: https://pmstudycircle.com/2012/01/enterprise-environmental-factors-organizational-process-assets/ QUESTION 850 Which document can help a project manager to leverage historical project information? A. Lessons learned register B. Schedule baseline C. Work performance data D. Deliverable acceptance forms Correct Answer: C Section: Volume E Explanation Explanation/Reference: Reference: https://www.workbreakdownstructure.com/work-breakdown-structure-according-to-pmbok.php QUESTION 851 In an agile and adaptive project, which scope management entity involves stakeholder engagement? A. Collect Requirements B. Create work breakdown structure (WBS) C. Plan Scope Management D. Scope Baseline Correct Answer: A Section: Volume E Explanation Explanation/Reference: QUESTION 852 According to the PMI Talent Triangle, leadership skills relate to the ability to: CAPM 450 A. understand the high-level overview of the organization B. tailor traditional and agile tools for the project C. work with stakeholders to develop an appropriate project delivery D. guide, motivate, and direct a team to reach project goals Correct Answer: D Section: Volume E Explanation Explanation/Reference: Reference: https://www.pmi.org/certifications/maintain/earn-pdus/plan-development-talent-triangle QUESTION 853 Which are required to create the schedule management plan? A. Scope baseline, work breakdown structure (WBS), estimated costs, and milestone list B. Resource management plan, organizational process assets, activity list, and business case C. Enterprise environmental factors, organizational process assets, project charter, and project management plan D. Activity list, project statement of work, project charter, and communications management plan Correct Answer: C Section: Volume E Explanation Explanation/Reference: Reference: https://www.projectengineer.net/project-schedule-management-according-to-the-pmbok/ QUESTION 854 Which of the following are outputs from the process of creating a work breakdown structure (WBS)? A. Project scope statement and accepted deliverables B. Scope baseline and project documents update C. Accepted deliverables and enterprise environmental factors D. Scope baseline and work performance information Correct Answer: B Section: Volume E Explanation Explanation/Reference: Reference: https://4squareviews.com/2018/04/13/6th-edition-pmbok-guide-process-5-4-create-wbs-outputs/ QUESTION 855 In Project Resource Management, which process uses recognition and rewards as a tool and technique? A. Control Resources B. Develop Team C. Manage Team D. Monitor Team Correct Answer: B Section: Volume E Explanation CAPM 451 Explanation/Reference: QUESTION 856 The project manager is distributing project communications, collecting and storing project information, and retrieving documents when required. In which process is the project manager involved? A. Monitor Communications B. Plan Communications Management C. Manage Communications D. Manage Stakeholder Engagement Correct Answer: C Section: Volume E Explanation Explanation/Reference: Reference: https://www.google.com/url? sa=t&rct=j&q=&esrc=s&source=web&cd=4&ved=2ahUKEwityYzPzNThAhUH6qQKHR77AboQFjADegQIARAC &url=https%3A%2F%2Fpeople.eecs.ku.edu%2F~hossein%2F811%2FLectures%2Fchapter- 10.pptx&usg=AOvVaw0B7ldXssetUgjbMWGxmkXp QUESTION 857 What can increase the complexity of the Manage Stakeholder Engagement process? A. The project must be of high quality B. The stakeholders are from different countries C. The project must comply with strict local government regulations D. The project has a tight budget and timeline Correct Answer: B Section: Volume E Explanation Explanation/Reference: QUESTION 858 A new project manager wishes to recommend creating a project management office to senior management. Which statement would the project manager use to describe the importance of creating the project management office? A. It will give the project manager independence to make decisions without other departmental input. B. It integrates organizational data and information to ensure that strategic objectives are fulfilled. C. The project management office can execute administrative tasks. D. The project management office can coordinate projects. Correct Answer: D Section: Volume E Explanation Explanation/Reference: Reference: https://www.theprojectgroup.com/blog/en/why-a-pmo-is-important/ QUESTION 859 CAPM 452 In which project cost management process is work performance data an output? A. Plan Cost Management B. Estimate Costs C. Determine Budget D. Control Costs Correct Answer: D Section: Volume E Explanation Explanation/Reference: Explanation: Work performance data is an output of the following processes: • Direct and Manage Project Work Work Performance Information Work performance information is used in the Monitoring and Controlling processes to analyze information such as the status of deliverables, the status of change requests, and forecasts such as estimate to complete (i.e., the work performance data). Work performance information is an input of the following processes: • Monitor and Control Project Work Work performance information is an output of the following processes: • Validate Scope • Control Scope • Control Schedule • Control Costs • Control Quality • Control Communications • Control Risks • Control Procurements • Control Stakeholder Engagement QUESTION 860 Perform Quantitative Risk Analysis focuses on: A. compiling a list of known risks and preparing responses to them B. assessing the probability of occurrence and impact for every risk in the risk register C. evaluating the contingency and management reserves required for the project D. analyzing numerically the impact of individual risks on the overall project’s time and cost objectives Correct Answer: D Section: Volume E Explanation Explanation/Reference:
Action Point PS: If you would like to have an online course on any of the courses that you found on this blog, I will be glad to do that on an individual and corporate level, I will be very glad to do that I have trained several individuals and groups and they are doing well in their various fields of endeavour. Some of those that I have trained include staffs of Dangote Refinery, FCMB, Zenith Bank, New Horizons Nigeria among others. Please come on Whatsapp and let’s talk about your training. You can reach me on Whatsapp HERE. Please note that I will be using Microsoft Team to facilitate the training.
I know you might agree with some of the points that I have raised in this article. You might not agree with some of the issues raised. Let me know your views about the topic discussed. We will appreciate it if you can drop your comment. Thanks in anticipation.
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Here are some of the facts that you need to know about Advanced Targeting in Online Campaign. Observation is an optional feature recommended for advanced advertisers.
Use observations to get reports on certain criteria without restricting the reach of your ad group. This means that observations won’t change who can see your ads, or where they can show, but they do allow you to monitor how ads are performing on your selected placements, topics, or audiences while your campaign is running.
As well as this, observations show you how additional criteria perform when they fall within the scope of your existing targeting. You can then use this data help you optimize your campaigns, such as making bid adjustments or to create new ad groups with targeting criteria based on your observations.
Use observations when you don’t want to narrow your targeting any further but you want to see how certain targeting might perform within the criteria already set.
You can add observations by using the “Edit all targeting” page. You can also add an observation as you would add a targeting method except you will select to add it as an observation as opposed to a targeting method.
To apply targeting options, follow the below steps in your AdWords account:
In the page menu on the left, click on a targeting method (Keywords, Audiences, Topics, or Placements).
Click the plus (if you have no targeting yet) or pencil button (if you already have targeting) to edit.
Click ‘Select an ad group’, then choose an ad group from the list that appears.
For observations, click the ‘Add observations’ dropdown.
Select a method from the dropdown.
Select the criteria you’d like to add and click Done.
At the bottom of the page, click Save.
You can exclude specific demographics, audiences, remarketing lists, keywords, topics or placements from your campaign targeting to further refine where your ads show. You can manage targeting exclusions within AdWords by:
Navigating to which targeting method you wish to exclude and apply exclusions at the campaign or adgroup level, per targeting method.
To exclude by Demographics:
Click the Demographics tab.
Click Gender, Age, or Parental status to select a demographic targeting method.
Click + Targeting.
Under “Campaign exclusions,” click the Add campaign exclusions dropdown menu, and then click Demographics.
Under “Demographics,” select the checkboxes of the specific demographics you want to exclude:
Gender
Age
Parental status
To exclude by Keywords:
Add negative keywords at the ad group or campaign level by clicking the +Keywords button above either table.
Use the drop-down to select the ad group or campaign to that you’d like to add negative keywords to.
Add one negative keyword per line in the text field.
To add broad match negative keywords, you’ll need to add the synonyms, singular version, plural version, and other variations such as cup, glass and glasses
To add a negative phrase match keyword, surround the term with quotation marks—for example, “wine bottle”
To add a negative exact match keyword, surround the term with brackets—for example, [bottle opener]
To exclude Topics:
Click either the “Add ad group exclusions” or “Add campaign exclusions” drop-down menu and select “Topics.”
Type a term or phrase in the search box to find a topic to exclude or click each topic to see the sub-topics you can select. Click add » next to the topics and sub-topics you’d like to exclude.
To exclude Placements:
Click either the “Add ad group exclusions” or “Add campaign exclusions” drop-down menu and select “Placements”
Type a placement in the box, entering just one placement per line. You can exclude up to 10,000 placements per campaign.
You can control the categories of content on which you show and the audiences which that content is suitable for, within the campaign settings in Google Ads:
Click the Settings tab.
Under “Campaign settings,” click “Content exclusions”.
In the new window, select the content exclusion that you want to apply to your ads. Note: Mature and unlabelled content is excluded from all campaigns by default.
Click Save.
Action Point
PS: I know you might agree with some of the points that I have raised in this article. You might not agree with some of the issues raised. Let me know your views about the topic discussed. We will appreciate it if you could drop your comment. Thanks in anticipation.
Fact Check Policy
CRMNuggets is committed to fact-checking in a fair, transparent and non-partisan manner. Therefore, if you’ve found an error in any of our reports, be it factual, editorial, or an outdated post, please contact us to tell us about it.
There are two distinct forms of targeting; Audience and Contextual. Think of it as the Who and the Where.
1. Audience: Who do you want to show your ad to?
Contextual: Where do you want your ad to be shown?
Audience targeting allows you to be more accurate when choosing who sees your ads. In marketing and advertising, your audience is a particular group of consumers within the predetermined target market, identified as the targets or recipients for a particular advertisement or message. Using audience targeting in AdWords is a way of segmenting your website’s users and reaching users around the web based on their behaviour online and the signal these actions send about their likes, interests and purchase patterns.
Audience targeting takes a number of forms:
Demographic targeting: Allows you to reach people who are likely to be within the age, gender, parental status and income that you choose.
Affinity Audiences: Lifestyle and interest profiles based on a user’s browsing behaviour.
In-Market audiences: Users who are more likely to be in-market to purchase a specific product or service based on their browsing behaviour.
Re-marketing: Target users who have previously visited your site, or provided their email address to you.
Similar Audiences: Create mirror audiences based on your remarketing lists or customer email lists.
Demographic targeting
You can set and adjust demographic targeting for age, gender, parental status and household income (if info is known).
“Unknown” in AdWords refers to people whose age, gender, parental status, or household income have not been identified.
You should not exclude “Unknown” age and genders from targeting as they often represent a large number of users. It is important to note that the system can only target if this information is known. It can know this if, for example, someone is using Chrome and is logged into their Google account while browsing, or if they’re signed into a YouTube account, where they have given this information. Otherwise, the system will do a “best guess” based on browsing behaviour. To exclude this segment is to significantly restrict your reach.
People mostly fall into the “unknown category” for display, however, this is much more accurate for YouTube, and as such, it is not advised for Display campaigns. Change the default settings which is to target all demographics.
Affinity Audiences
If you’re familiar with TV audiences, you’re already familiar with the concept of an affinity audience.
Affinity audiences are good for brand awareness. It is the broadest audience target available and reaches people at the beginning of their buying journey.
When using affinity audience targeting, you are targeting people who have shown an affinity for your product or service in their internet behaviour – based on the content they interact with, past purchases and websites they frequently visit. You have options such as Beauty Junkies or Outdoor Enthusiasts for example.
You can also create Custom Affinity audiences by blending interests together for a specific cross-section of users, such as Travel Buffs who are also interested in Health & Fitness, to advertise Hiking Holidays too.
In-market audiences
When user transitions from being interested in a subject to actively beginning their buying journey, they become in-market.
In-market audiences are good for reaching people who are in the middle to end of their buying cycle.
A user is counted as part of an in-market audience for 7-days, up to the point they make a purchase or stop showing any signals of purchase intent.
As a result of targeting people who are already actively shopping or searching for your product or service in such a short period of time, it means that the reach can be smaller compared to an affinity audience, however, it is far more targeted and dynamic in how users are constantly joining and leaving this audience.Action Point
PS: I know you might agree with some of the points that I have raised in this article. You might not agree with some of the issues raised. Let me know your views about the topic discussed. We will appreciate it if you could drop your comment. Thanks in anticipation.
Fact Check Policy
CRMNuggets is committed to fact-checking in a fair, transparent and non-partisan manner. Therefore, if you’ve found an error in any of our reports, be it factual, editorial, or an outdated post, please contact us to tell us about it.
In this article, I want to look at how to do Audience Targeting in Video Ads. I will be looking at targeting and bidding options and how we can use them to run the most efficient campaigns possible. In particular, we will look at:
1. On-Point Targeting 2. Right Person with Audience Targeting 3. Right Place with Contextual Targeting 4. Introducing Advanced Targeting 5. Refine further with Targeting Exclusions 6. Set up and Start Remarketing 7. Brilliant Bidding
Put very simply, targeting allows you to place your ad in front of the right people and on the right websites. Targeting increases audience engagement by ensuring ads are displayed to the right users as often as possible. Accomplishing this reduces wasted spending on impressions or clicks and increases the likelihood campaigns will deliver a positive ROI.
You may choose to start your targeting strategy by using the Display Planner tool. This shows you the potential reach and cost of targeting ideas to help you plan your display and video campaigns. It can be a good place to start when you begin running campaigns for the first time. You must be logged into Google Ads in order to use the Display Planner. See the link in the references below. 1. Navigate to the Display planner either via the link below or by clicking the wrench icon in Google Ads. Under ‘Planning’ click ‘Keyword Planner. 2. Here you have a number of options:
Search for targeting ideas using a website, phrase or category: This is the most widely used, as it gives you a multitude of targeting options based on the input of a broad sense of what type of targeting you are interested in.
Find top placements by location: This allows you to look at the top partner websites, YouTube channels, and videos by country.
Get inventory details for your targeting: This is useful if you know what targeting options you are going to go after, you can enter your targeting here and get a rough estimate of what volumes of impressions you have the opportunity to show for.
There are two distinct forms of targeting; Audience and Contextual. Think of it as the Who and the Where.
1. Audience: Who do you want to show your ad to?
Contextual: Where do you want your ad to be shown?
Audience targeting allows you to be more accurate when choosing who sees your ads. In marketing and advertising, your audience is a particular group of consumers within the predetermined target market, identified as the targets or recipients for a particular advertisement or message.
Using audience targeting in AdWords is a way of segmenting your website’s users and reaching users around the web-based on their behaviour online and the signal these actions send about their likes, interests and purchase patterns.
Audience targeting takes a number of forms:
Demographic targeting: Allows you to reach people who are likely to be within the age, gender, parental status and income that you choose.
Affinity Audiences: Lifestyle and interest profiles based on a user’s browsing behaviour.
In-Market audiences: Users who are more likely to be in-market to purchase a specific product or service based on their browsing behaviour.
Re-marketing: Target users who have previously visited your site, or provided their email address to you.
Similar Audiences: Create mirror audiences based on your remarketing lists or customer email lists.
Demographic targeting
You can set and adjust demographic targeting for age, gender, parental status and household income (if info is known).
“Unknown” in AdWords refers to people whose age, gender, parental status, or household income have not been identified.
You should not exclude “Unknown” age and genders from targeting as they often represent a large number of users. It is important to note that the system can only target if this information is known. It can know this if, for example, someone is using Chrome and is logged into their Google account while browsing, or if they’re signed into a YouTube account, where they have given this information. Otherwise, the system will do a “best guess” based on browsing behaviour. To exclude this segment is to significantly restrict your reach.
People mostly fall into the “unknown category” for display, however, this is much more accurate for YouTube, and as such, it is not advised for Display campaigns. Change the default settings which is to target all demographics.
Affinity Audiences
If you’re familiar with TV audiences, you’re already familiar with the concept of an affinity audience.
Affinity audiences are good for brand awareness. It is the broadest audience targeting available and reaches people in the beginning of their buying journey.
When using affinity audience targeting, you are targeting people who have shown an affinity for your product or service in their internet behaviour – based on the content they interact with, past purchases and websites they frequently visit. You have options such as Beauty Junkies or Outdoor Enthusiasts for example.
You can also create Custom Affinity audiences by blending interests together for a specific cross-section of users, such as Travel Buffs who are also interested in Health & Fitness, to advertise Hiking Holidays too.
In-market audiences
When a user transitions from being interested in a subject to actively beginning their buying journey, they become in-market.
In-market audiences are good for reaching people who are in the middle to end of their buying cycle.
A user is counted as part of an in-market audience for 7-days, up to the point they make a purchase or stop showing any signals of purchase intent.
As a result of targeting people who are already actively shopping or searching for your product or service in such a short period of time, it means that the reach can be smaller compared to an affinity audience, however, it is far more targeted and dynamic in how users are constantly joining and leaving this audience.Action Point
PS: I know you might agree with some of the points that I have raised in this article. You might not agree with some of the issues raised. Let me know your views about the topic discussed. We will appreciate it if you could drop your comment. Thanks in anticipation.
Fact Check Policy
CRMNuggets is committed to fact-checking in a fair, transparent and non-partisan manner. Therefore, if you’ve found an error in any of our reports, be it factual, editorial, or an outdated post, please contact us to tell us about it.
