Is 425 Chapter 4 Part 1

The estimated return on investment (ROI) can be calculated by subtracting the total discounted costs from the total discounted benefits and then dividing the result by the total discounted costs. In this case, the calculation would be: ($120,000 - $100,000) / $100,000 = 0.2 or 20%. This means that for every dollar invested in the project, there is an estimated return of 20 cents.

A project charter is a document that formally recognizes the existence of a project and provides direction on the project's objectives and management. It outlines the project's purpose, scope, deliverables, stakeholders, and high-level timeline. It serves as a foundation for the project, providing a clear understanding of the project's goals and how it will be managed. The project charter is typically created at the initiation phase of a project and is used to gain approval and support from key stakeholders. It sets the stage for the project and guides its execution throughout its lifecycle.

It is not a best practice to select projects based on their payback period alone. While it is important to consider the financial viability of a project, solely focusing on projects that provide payback within 2 years may limit the organization's ability to pursue long-term, innovative projects that may have a higher potential for growth and success. It is crucial to consider other factors such as market demand, customer needs, and alignment with the business strategy when selecting new product development projects.

The last step in the four-stage planning process for selecting information technology projects is resource allocation. After developing an information technology strategy plan, conducting a business area analysis, and using mind mapping techniques to brainstorm ideas, the final step is to allocate the necessary resources to implement the selected projects. This involves determining the budget, manpower, and other resources required to successfully execute the projects and achieve the desired outcomes.

A Gantt Chart is not normally included in a project charter. A project charter is a document that formally authorizes the existence of a project, outlines its objectives, scope, and stakeholders, and appoints a project manager. It also includes high-level information such as the project's purpose, deliverables, timeline, and budget. However, a Gantt Chart is a visual representation of the project schedule, showing the planned start and end dates of project activities. While it is a useful tool for project planning and tracking, it is not typically included in the project charter itself.

Developing the project business case is not part of project integration management. Project integration management involves coordinating and integrating all the processes and activities within a project. It includes developing the project charter, which formally authorizes the project and defines its objectives and stakeholders. It also includes developing the project management plan, which outlines how the project will be executed, monitored, and controlled. Finally, it includes closing the project or phase, which involves finalizing all activities and delivering the project's final product, service, or result. Developing the project business case, on the other hand, is typically part of project initiation or project selection processes.

The correct answer is "Directive" because a directive is a specific instruction or order given by an authority, such as a government, that must be followed. In this case, the new government law is requiring the organization to report data in a new way, which is an instruction or order that the organization must comply with. Therefore, a new information system project to provide this data would fall under the category of a directive, as it is a response to the instruction given by the government.

Configuration management ensures that the description of the project's products are correct and complete. It involves managing and controlling the project's configuration items, which are the products or components of the project. Configuration management ensures that the correct version of each configuration item is used, and that any changes to the configuration items are properly documented and controlled. It helps to ensure that the project's products meet the desired requirements and are of high quality.

The suggestion of "Minimize change" is not a recommendation for performing integrated change control because integrated change control involves systematically reviewing, evaluating, and approving or rejecting proposed changes to the project. Minimizing change would imply avoiding or reducing the number of changes, which is not in alignment with the purpose of integrated change control. Integrated change control aims to ensure that all changes are properly assessed and managed to prevent negative impacts on the project's scope, schedule, and budget.

Expert judgment is used for all of the other project integration management processes. Expert judgment involves seeking advice and guidance from individuals or groups who have specialized knowledge or experience in a particular area. In project integration management, expert judgment is used to make informed decisions, provide insights, and offer recommendations on various aspects of the project. It is a valuable tool and technique that helps project managers in integrating all the different processes and ensuring the successful execution of the project.