Project Management Study Quiz

1. Good information technology project managers must have strong technical and communication skills.

True

False

Good information technology project managers must have strong technical skills in order to understand and oversee the technical aspects of the project. Additionally, they need strong communication skills to effectively communicate with team members, stakeholders, and clients, ensuring that everyone is on the same page and the project is progressing smoothly. Without these skills, it would be difficult for project managers to effectively lead and manage IT projects. Therefore, the statement that good IT project managers must have strong technical and communication skills is true.

Explanation

Good information technology project managers must have strong technical skills in order to understand and oversee the technical aspects of the project. Additionally, they need strong communication skills to effectively communicate with team members, stakeholders, and clients, ensuring that everyone is on the same page and the project is progressing smoothly. Without these skills, it would be difficult for project managers to effectively lead and manage IT projects. Therefore, the statement that good IT project managers must have strong technical and communication skills is true.

2. The project team must take corrective action if stakeholders with _____ are categorized as resistant or unaware.

High interest/low power

High interest and high power

Low interest/ low power

When stakeholders have both high interest and high power, it means that they are highly influential and have a strong interest in the project's outcome. If these stakeholders are categorized as resistant or unaware, it indicates that they may not be fully supportive or informed about the project. In such cases, the project team must take corrective action to engage and communicate with these stakeholders effectively, address their concerns, and ensure their active involvement in the project to minimize any potential negative impact on its success.

Explanation

When stakeholders have both high interest and high power, it means that they are highly influential and have a strong interest in the project's outcome. If these stakeholders are categorized as resistant or unaware, it indicates that they may not be fully supportive or informed about the project. In such cases, the project team must take corrective action to engage and communicate with these stakeholders effectively, address their concerns, and ensure their active involvement in the project to minimize any potential negative impact on its success.

3. ____ involves shifting the consequence of a risk and responsibility for its management to a third party.

Risk avoidance

Risk acceptance

Risk transference

Risk mitigation

Risk transference involves shifting the consequence of a risk and responsibility for its management to a third party. This means that instead of dealing with the risk directly, an organization transfers the risk to another party, such as an insurance company or a subcontractor. By doing so, the organization reduces its own exposure to the risk and shifts the financial burden and accountability to the third party.

Explanation

Risk transference involves shifting the consequence of a risk and responsibility for its management to a third party. This means that instead of dealing with the risk directly, an organization transfers the risk to another party, such as an insurance company or a subcontractor. By doing so, the organization reduces its own exposure to the risk and shifts the financial burden and accountability to the third party.

4. Groups representing consumer, environmental, or other interests can be identified as project stakeholders.

True

False

Consumer, environmental, and other interest groups can be considered project stakeholders because they have a vested interest in the outcome of the project. These groups may be directly affected by the project or have concerns related to its impact on their interests. As stakeholders, they have the potential to influence the project's objectives, decisions, and outcomes. Therefore, it is important for project managers to identify and engage with these groups to ensure their perspectives are considered and addressed throughout the project lifecycle.

Explanation

Consumer, environmental, and other interest groups can be considered project stakeholders because they have a vested interest in the outcome of the project. These groups may be directly affected by the project or have concerns related to its impact on their interests. As stakeholders, they have the potential to influence the project's objectives, decisions, and outcomes. Therefore, it is important for project managers to identify and engage with these groups to ensure their perspectives are considered and addressed throughout the project lifecycle.

5. A team has 10 communication channels between its various members. Using the formula number of communication channels = n (n-1)/2, where n is the number of people in the team, the team has _____ members

5

3

2

10

The formula n (n-1)/2 calculates the number of communication channels between n number of people in a team. In this case, the team has 10 communication channels, which means that n (n-1)/2 = 10. By solving this equation, we find that n = 5. Therefore, the team has 5 members.

Explanation

The formula n (n-1)/2 calculates the number of communication channels between n number of people in a team. In this case, the team has 10 communication channels, which means that n (n-1)/2 = 10. By solving this equation, we find that n = 5. Therefore, the team has 5 members.

6. Which of the following communication methods would be most appropriate for assessing the commitment of project stakeholders?

Wikis

E-mail

Web Sites

Meetings

Meetings would be the most appropriate communication method for assessing the commitment of project stakeholders because they provide a direct and interactive platform for stakeholders to express their opinions, ask questions, and provide feedback. In meetings, stakeholders can engage in face-to-face discussions, which allows for better understanding and clarification of their level of commitment to the project. It also enables project managers to observe non-verbal cues and gauge the stakeholders' level of interest and engagement. Additionally, meetings allow for real-time decision-making and problem-solving, which are essential for assessing and enhancing stakeholder commitment.

Explanation

Meetings would be the most appropriate communication method for assessing the commitment of project stakeholders because they provide a direct and interactive platform for stakeholders to express their opinions, ask questions, and provide feedback. In meetings, stakeholders can engage in face-to-face discussions, which allows for better understanding and clarification of their level of commitment to the project. It also enables project managers to observe non-verbal cues and gauge the stakeholders' level of interest and engagement. Additionally, meetings allow for real-time decision-making and problem-solving, which are essential for assessing and enhancing stakeholder commitment.

7. The risk register can be created with a simple Microsoft Word or Excel file.

True

False

The explanation for the given correct answer is that a risk register can indeed be created using a simple Microsoft Word or Excel file. These software programs provide the necessary tools and features to create a structured document or spreadsheet that can effectively capture and track risks. Users can customize the file to include relevant information such as risk descriptions, likelihood, impact, mitigation strategies, and responsible parties. Additionally, these files can be easily shared and updated, making them a convenient and accessible option for creating a risk register.

Explanation

The explanation for the given correct answer is that a risk register can indeed be created using a simple Microsoft Word or Excel file. These software programs provide the necessary tools and features to create a structured document or spreadsheet that can effectively capture and track risks. Users can customize the file to include relevant information such as risk descriptions, likelihood, impact, mitigation strategies, and responsible parties. Additionally, these files can be easily shared and updated, making them a convenient and accessible option for creating a risk register.

8. _____ involves deciding how to approach and plan the risk management activities for the project.

Identifying risks

Planning risk management

Performing qualitative risk analysis

Performing quantitative risk analysis

Planning risk management involves deciding how to approach and plan the risk management activities for the project. This includes determining the overall strategy for managing risks, establishing the risk management process, defining roles and responsibilities, and developing risk management plans and procedures. It is an essential step in the risk management process as it sets the foundation for effectively identifying, analyzing, and responding to risks throughout the project lifecycle.

Explanation

Planning risk management involves deciding how to approach and plan the risk management activities for the project. This includes determining the overall strategy for managing risks, establishing the risk management process, defining roles and responsibilities, and developing risk management plans and procedures. It is an essential step in the risk management process as it sets the foundation for effectively identifying, analyzing, and responding to risks throughout the project lifecycle.

9. The _____ line for any e-mail messages you write should clearly state the intention of the e-mail.

To

From

Subject

Cc

The subject line for any e-mail messages you write should clearly state the intention of the e-mail. This is because the subject line provides a brief summary or headline of the content of the e-mail, allowing the recipient to quickly understand the purpose or topic of the message. It helps in organizing and prioritizing incoming emails, making it easier for recipients to search for and refer back to specific messages in the future.

Explanation

The subject line for any e-mail messages you write should clearly state the intention of the e-mail. This is because the subject line provides a brief summary or headline of the content of the e-mail, allowing the recipient to quickly understand the purpose or topic of the message. It helps in organizing and prioritizing incoming emails, making it easier for recipients to search for and refer back to specific messages in the future.

10. Which of the following processes of project procurement management involves managing relationships with sellers, monitoring contract performance, and making changes as needed?

Closing procurements

Settling contracts

Deciding on the service to procure

Controlling procurements

Controlling procurements is the correct answer because it involves managing relationships with sellers, monitoring contract performance, and making changes as needed. This process ensures that the procurement activities are being carried out according to the contract terms and conditions, and any necessary adjustments or corrective actions are taken to ensure successful project delivery. It also involves tracking and evaluating the performance of sellers, resolving any issues or conflicts that may arise, and ensuring that the project's procurement objectives are met.

Explanation

Controlling procurements is the correct answer because it involves managing relationships with sellers, monitoring contract performance, and making changes as needed. This process ensures that the procurement activities are being carried out according to the contract terms and conditions, and any necessary adjustments or corrective actions are taken to ensure successful project delivery. It also involves tracking and evaluating the performance of sellers, resolving any issues or conflicts that may arise, and ensuring that the project's procurement objectives are met.

11. Issue logs can be used to address issues related to other knowledge areas like project scope management or project quality management.

True

False

Issue logs are used to document and track issues that arise during a project. These issues can be related to various knowledge areas, including project scope management and project quality management. By using an issue log, project managers can effectively address and resolve these issues, ensuring that the project stays on track and meets its objectives. Therefore, the statement is true.

Explanation

Issue logs are used to document and track issues that arise during a project. These issues can be related to various knowledge areas, including project scope management and project quality management. By using an issue log, project managers can effectively address and resolve these issues, ensuring that the project stays on track and meets its objectives. Therefore, the statement is true.

12. One possible response to managing negative risk it to accept the potential effects from the risk.

True

False

One possible response to managing negative risk is to accept the potential effects from the risk. This means that instead of trying to avoid or mitigate the risk, the organization acknowledges that the risk is present and prepares to deal with any negative consequences that may arise. This approach can be useful when the potential impact of the risk is low or when the cost of avoiding or mitigating the risk outweighs the potential benefits. By accepting the risk, the organization can focus on developing contingency plans and strategies to minimize the impact and ensure business continuity.

Explanation

One possible response to managing negative risk is to accept the potential effects from the risk. This means that instead of trying to avoid or mitigate the risk, the organization acknowledges that the risk is present and prepares to deal with any negative consequences that may arise. This approach can be useful when the potential impact of the risk is low or when the cost of avoiding or mitigating the risk outweighs the potential benefits. By accepting the risk, the organization can focus on developing contingency plans and strategies to minimize the impact and ensure business continuity.

13. Is [your statement here] true or false?

True

False

not-available-via-ai

Explanation

not-available-via-ai

14. Which of the following methods of communication is likely to be most effective for conveying sensitive or important information?

Short face-to-face meetings

E-mails

Telephone conversations

Reading reports from other team members

Short face-to-face meetings are likely to be the most effective method of communication for conveying sensitive or important information. This is because face-to-face meetings allow for immediate feedback, clarification, and the ability to gauge the recipient's reactions and emotions. It also provides an opportunity for non-verbal communication, such as body language and facial expressions, which can enhance understanding and trust. In contrast, emails, telephone conversations, and reading reports from other team members may lack the personal touch and real-time interaction that are crucial for sensitive or important information.

Explanation

Short face-to-face meetings are likely to be the most effective method of communication for conveying sensitive or important information. This is because face-to-face meetings allow for immediate feedback, clarification, and the ability to gauge the recipient's reactions and emotions. It also provides an opportunity for non-verbal communication, such as body language and facial expressions, which can enhance understanding and trust. In contrast, emails, telephone conversations, and reading reports from other team members may lack the personal touch and real-time interaction that are crucial for sensitive or important information.

15. In a project, communicating badly exponentially increases the possibility of making mistakes.

True

False

When communication is poor in a project, it becomes difficult for team members to understand each other's requirements, expectations, and tasks. This lack of clarity can lead to misunderstandings, confusion, and ultimately mistakes. As a result, the more poorly the team communicates, the higher the chances of errors occurring. Therefore, it can be concluded that communicating badly indeed exponentially increases the possibility of making mistakes in a project.

Explanation

When communication is poor in a project, it becomes difficult for team members to understand each other's requirements, expectations, and tasks. This lack of clarity can lead to misunderstandings, confusion, and ultimately mistakes. As a result, the more poorly the team communicates, the higher the chances of errors occurring. Therefore, it can be concluded that communicating badly indeed exponentially increases the possibility of making mistakes in a project.

16. Projects often do not cause any changes in an organization.

True

False

Projects often cause changes in an organization. When a project is undertaken, it usually involves implementing new processes, technologies, or strategies, which can lead to changes in the way the organization operates. Projects may require reorganizing teams, reallocating resources, or introducing new roles and responsibilities. Therefore, it is incorrect to say that projects do not cause any changes in an organization.

Explanation

Projects often cause changes in an organization. When a project is undertaken, it usually involves implementing new processes, technologies, or strategies, which can lead to changes in the way the organization operates. Projects may require reorganizing teams, reallocating resources, or introducing new roles and responsibilities. Therefore, it is incorrect to say that projects do not cause any changes in an organization.

17. E-mail communication is most suited for:

Assessing commitment to a project.

Building consensus among disputing parties.

Mediating a conflict between multiple parties.

Communicating routine information.

E-mail communication is most suited for communicating routine information because it is a quick and efficient way to convey simple and straightforward messages. E-mails are commonly used for sharing updates, providing instructions, or requesting basic information. They are not as effective for assessing commitment to a project, building consensus among disputing parties, or mediating conflicts between multiple parties, as these situations often require more interactive and nuanced communication methods such as face-to-face meetings or video conferences.

Explanation

E-mail communication is most suited for communicating routine information because it is a quick and efficient way to convey simple and straightforward messages. E-mails are commonly used for sharing updates, providing instructions, or requesting basic information. They are not as effective for assessing commitment to a project, building consensus among disputing parties, or mediating conflicts between multiple parties, as these situations often require more interactive and nuanced communication methods such as face-to-face meetings or video conferences.

18. The project team must take corrective action if stakeholders with _____ are categorized as resistant or unaware.

High interest/low power

High interest and high power

Low interest/ low power

Low interest/high power

If stakeholders have both high interest and high power, it means that they are highly influential and have a significant impact on the project. If these stakeholders are categorized as resistant or unaware, it suggests that they are not actively engaged or supportive of the project. In order to ensure the success of the project, the project team must take corrective action to address their concerns, gain their support, and involve them in the decision-making process.

Explanation

If stakeholders have both high interest and high power, it means that they are highly influential and have a significant impact on the project. If these stakeholders are categorized as resistant or unaware, it suggests that they are not actively engaged or supportive of the project. In order to ensure the success of the project, the project team must take corrective action to address their concerns, gain their support, and involve them in the decision-making process.

19. As a manager, you want to praise a team member, Phil, for doing a good job on a particular project. However, you know that Phil tends to be an introvert. Which of the following communication methods would Phil be most comfortable with?

Call Phil in for a private meeting to appreciate his work

Call a team meeting to praise Phil for his work on the project

Announce Phil’s accomplishment on the company Web site

Have top management and the other teams in the company award Phil

Phil, being an introvert, would likely feel most comfortable with a private meeting to receive praise for his work. This method allows for one-on-one interaction, which can help alleviate any potential discomfort or anxiety that Phil may have in receiving public recognition. Additionally, a private meeting provides a more intimate and personal setting, allowing Phil to fully appreciate and absorb the praise without feeling overwhelmed or self-conscious.

Explanation

Phil, being an introvert, would likely feel most comfortable with a private meeting to receive praise for his work. This method allows for one-on-one interaction, which can help alleviate any potential discomfort or anxiety that Phil may have in receiving public recognition. Additionally, a private meeting provides a more intimate and personal setting, allowing Phil to fully appreciate and absorb the praise without feeling overwhelmed or self-conscious.

20. Which of the following is true of push communication?

Information is sent only to recipients who request the information.

This method ensures that the information is understood by recipients.

Information is sent to recipients without their request.

This method ensures that the information is received by the recipients.

Push communication refers to the method of sending information to recipients without their request. In this form of communication, the sender takes the initiative to transmit information to the recipients, without waiting for them to ask for it. This approach is commonly used in various forms of mass communication, such as broadcasting, advertising, or notifications. It does not guarantee that the information will be understood or received by the recipients, as it solely focuses on the act of sending the information without any specific request from the recipients.

Explanation

Push communication refers to the method of sending information to recipients without their request. In this form of communication, the sender takes the initiative to transmit information to the recipients, without waiting for them to ask for it. This approach is commonly used in various forms of mass communication, such as broadcasting, advertising, or notifications. It does not guarantee that the information will be understood or received by the recipients, as it solely focuses on the act of sending the information without any specific request from the recipients.

21. Contingency plans are predefined actions that the project team will take if an identified risk event occurs.

True

False

Contingency plans are indeed predefined actions that a project team will take if an identified risk event occurs. These plans are put in place to mitigate the potential negative impact of the risk event on the project. By having contingency plans, the project team can respond quickly and effectively to any unexpected events, minimizing disruption and ensuring the project stays on track. Therefore, the statement "Contingency plans are predefined actions that the project team will take if an identified risk event occurs" is true.

Explanation

Contingency plans are indeed predefined actions that a project team will take if an identified risk event occurs. These plans are put in place to mitigate the potential negative impact of the risk event on the project. By having contingency plans, the project team can respond quickly and effectively to any unexpected events, minimizing disruption and ensuring the project stays on track. Therefore, the statement "Contingency plans are predefined actions that the project team will take if an identified risk event occurs" is true.

22. The Monte Carlo analysis can predict the probability of finishing by a certain date or the probability that the cost will be equal to or less than a certain value.

True

False

Monte Carlo analysis is a simulation technique that uses random sampling to model and predict the outcomes of complex systems or processes. In project management, it can be used to estimate the probability of completing a project by a certain date or the likelihood of the project's cost being equal to or less than a specific value. Therefore, the statement that the Monte Carlo analysis can predict these probabilities is true.

Explanation

Monte Carlo analysis is a simulation technique that uses random sampling to model and predict the outcomes of complex systems or processes. In project management, it can be used to estimate the probability of completing a project by a certain date or the likelihood of the project's cost being equal to or less than a specific value. Therefore, the statement that the Monte Carlo analysis can predict these probabilities is true.

23. The first step in project procurement management is:

Closing procurement management.

Controlling procurement's.

Conducting procurement's.

Planning procurement management.

The first step in project procurement management is planning procurement management. This involves developing a procurement management plan that outlines how the project's procurement processes will be carried out. This plan includes determining what needs to be procured, identifying potential suppliers, establishing procurement methods, and defining the criteria for selecting suppliers. By planning procurement management, the project team can ensure that the procurement processes are aligned with the project's goals and objectives, and that the necessary resources and strategies are in place to successfully procure the required goods and services.

Explanation

The first step in project procurement management is planning procurement management. This involves developing a procurement management plan that outlines how the project's procurement processes will be carried out. This plan includes determining what needs to be procured, identifying potential suppliers, establishing procurement methods, and defining the criteria for selecting suppliers. By planning procurement management, the project team can ensure that the procurement processes are aligned with the project's goals and objectives, and that the necessary resources and strategies are in place to successfully procure the required goods and services.

24. As the number of people involved in a project _____, the complexity of communications _____.

Increases, decreases

Decrease, increase

Increase, stays constant

Increases, increases

As the number of people involved in a project increases, the complexity of communications also increases. This is because with more people involved, there are more individuals to communicate with and coordinate with, leading to a greater need for communication and potentially more complex communication channels. Additionally, as the number of people increases, there may be more diverse perspectives and ideas, further adding to the complexity of communication. Therefore, both the number of people involved and the complexity of communications increase together.

Explanation

As the number of people involved in a project increases, the complexity of communications also increases. This is because with more people involved, there are more individuals to communicate with and coordinate with, leading to a greater need for communication and potentially more complex communication channels. Additionally, as the number of people increases, there may be more diverse perspectives and ideas, further adding to the complexity of communication. Therefore, both the number of people involved and the complexity of communications increase together.

25. _____ involves determining which risks are likely to affect a project and documenting the characteristics of each.

Identifying risks

Planning risk management

Performing qualitative risk analysis

Performing quantitative risk analysis

Identifying risks involves the process of recognizing and understanding potential risks that may impact a project. It includes systematically identifying and documenting the characteristics of each risk, such as its likelihood, potential impact, and potential response strategies. This step is crucial in order to effectively manage and mitigate risks throughout the project lifecycle.

Explanation

Identifying risks involves the process of recognizing and understanding potential risks that may impact a project. It includes systematically identifying and documenting the characteristics of each risk, such as its likelihood, potential impact, and potential response strategies. This step is crucial in order to effectively manage and mitigate risks throughout the project lifecycle.

26. In project procurement management, which of the following processes involve completion and settlement of each contract, including resolution of any open items?

Planning procurement management

Controlling procurements

Closing procurements

Conducting procurements

Closing procurements is the correct answer because this process involves completing and settling each contract, including resolving any open items. It includes verifying that the work has been completed satisfactorily, obtaining final acceptance from the buyer, and closing out the contract. This process ensures that all contractual obligations have been met and any remaining issues or disputes are resolved before formally closing the procurement.

Explanation

Closing procurements is the correct answer because this process involves completing and settling each contract, including resolving any open items. It includes verifying that the work has been completed satisfactorily, obtaining final acceptance from the buyer, and closing out the contract. This process ensures that all contractual obligations have been met and any remaining issues or disputes are resolved before formally closing the procurement.

27. A leading stakeholder is one who is aware of the project and is neither supportive nor resistant to it.

True

False

A leading stakeholder is someone who is actively involved and supportive of a project, rather than being neutral or indifferent. They play a crucial role in driving the project forward and ensuring its success. Therefore, the statement that a leading stakeholder is neither supportive nor resistant to the project is incorrect.

Explanation

A leading stakeholder is someone who is actively involved and supportive of a project, rather than being neutral or indifferent. They play a crucial role in driving the project forward and ensuring its success. Therefore, the statement that a leading stakeholder is neither supportive nor resistant to the project is incorrect.

28. Unknown risks can be managed proactively.

True

False

This statement is false because unknown risks, by definition, cannot be managed proactively. Proactive management requires identifying and assessing risks beforehand, which is not possible for risks that are unknown. Therefore, it is not possible to manage unknown risks proactively.

Explanation

This statement is false because unknown risks, by definition, cannot be managed proactively. Proactive management requires identifying and assessing risks beforehand, which is not possible for risks that are unknown. Therefore, it is not possible to manage unknown risks proactively.

29. Those who are _____ have a higher tolerance for risk, and their satisfaction increases when more payoff is at stake.

Risk-averse

Risk-seeking

Risk-neutral

Risk-indifferent

Risk-seeking individuals are more likely to take risks and are willing to accept higher levels of uncertainty in order to potentially gain higher rewards. They find satisfaction in situations where there is a greater payoff at stake, as they are motivated by the potential for greater gains.

Explanation

Risk-seeking individuals are more likely to take risks and are willing to accept higher levels of uncertainty in order to potentially gain higher rewards. They find satisfaction in situations where there is a greater payoff at stake, as they are motivated by the potential for greater gains.

30. The formula to determine the number of communication channels is _____, where n is the number of people involved.

N (n-1)/2

N(n+1)/2

N(n+1)/n(n-1)

N(n-1)/n(n+1)

The formula to determine the number of communication channels is n (n-1)/2, where n is the number of people involved. This formula is derived from the concept that each person can communicate with every other person in the group, except themselves. Therefore, for n people, each person can communicate with n-1 other people. However, this counts each communication channel twice (e.g., person A to person B and person B to person A), so we divide by 2 to get the total number of unique communication channels.

Explanation

The formula to determine the number of communication channels is n (n-1)/2, where n is the number of people involved. This formula is derived from the concept that each person can communicate with every other person in the group, except themselves. Therefore, for n people, each person can communicate with n-1 other people. However, this counts each communication channel twice (e.g., person A to person B and person B to person A), so we divide by 2 to get the total number of unique communication channels.

31. _____ are a complete set of organized project records that provide an accurate history of the project.

Project archives

Forecasts

Project plans

Project notes

Project archives are a complete set of organized project records that provide an accurate history of the project. These archives include all relevant documents, reports, correspondence, and other materials related to the project. They serve as a valuable resource for future reference, evaluation, and learning from past experiences. Project archives help maintain transparency, accountability, and ensure that accurate information is available for decision-making and analysis. They also facilitate knowledge transfer and continuity in case of personnel changes or future projects.

Explanation

Project archives are a complete set of organized project records that provide an accurate history of the project. These archives include all relevant documents, reports, correspondence, and other materials related to the project. They serve as a valuable resource for future reference, evaluation, and learning from past experiences. Project archives help maintain transparency, accountability, and ensure that accurate information is available for decision-making and analysis. They also facilitate knowledge transfer and continuity in case of personnel changes or future projects.

32. Using the formula for calculating the number of communication channels, how many channels would five people require

9

10

11

14

The formula for calculating the number of communication channels is n(n-1)/2, where n is the number of people. In this case, there are five people, so plugging that into the formula we get 5(5-1)/2 = 10. Therefore, five people would require 10 communication channels.

Explanation

The formula for calculating the number of communication channels is n(n-1)/2, where n is the number of people. In this case, there are five people, so plugging that into the formula we get 5(5-1)/2 = 10. Therefore, five people would require 10 communication channels.

33. Which one do you like?

Option 1

Option 2

Option 3

Option 4

The question asks for a personal preference, so the correct answer would be the option that the individual likes the most. In this case, the correct answer is Option 1, without any further context or information provided.

Explanation

The question asks for a personal preference, so the correct answer would be the option that the individual likes the most. In this case, the correct answer is Option 1, without any further context or information provided.

34. A document used to solicit quotes or bids from prospective suppliers is known as a(n) _____.

RFQ

RFP

WBS

SOW

An RFQ, or Request for Quote, is a document used to solicit quotes or bids from prospective suppliers. It is a formal request made by a buyer to potential suppliers, asking for detailed pricing information and terms for the products or services they offer. The RFQ helps the buyer compare different suppliers and their offerings before making a purchasing decision.

Explanation

An RFQ, or Request for Quote, is a document used to solicit quotes or bids from prospective suppliers. It is a formal request made by a buyer to potential suppliers, asking for detailed pricing information and terms for the products or services they offer. The RFQ helps the buyer compare different suppliers and their offerings before making a purchasing decision.

35. A _____ person achieves a balance between risk and payoff.

Risk-seeking

Risk-averse

Risk-fearing

Risk-neutral

A risk-neutral person achieves a balance between risk and payoff. This means that they neither actively seek out risky situations nor actively avoid them. They are able to assess the potential risks and rewards of a situation objectively and make decisions based on rational analysis rather than being driven by fear or a desire for high rewards.

Explanation

A risk-neutral person achieves a balance between risk and payoff. This means that they neither actively seek out risky situations nor actively avoid them. They are able to assess the potential risks and rewards of a situation objectively and make decisions based on rational analysis rather than being driven by fear or a desire for high rewards.

36. In project procurement management, the process of _____ involves determining what to procure, when, and how.

Closing procurements

Controlling procurements

Conducting procurements

Planning procurement management

The correct answer is planning procurement management. In project procurement management, the process of planning procurement management involves determining what to procure, when, and how. This includes identifying the necessary goods or services to be procured, establishing the procurement timeline, and developing a strategy for procuring the required items or services. It is an essential step in ensuring that the project acquires the necessary resources in a timely and efficient manner.

Explanation

The correct answer is planning procurement management. In project procurement management, the process of planning procurement management involves determining what to procure, when, and how. This includes identifying the necessary goods or services to be procured, establishing the procurement timeline, and developing a strategy for procuring the required items or services. It is an essential step in ensuring that the project acquires the necessary resources in a timely and efficient manner.

37. In project procurement management, the process of _____ involves obtaining seller responses, selecting sellers, and awarding contracts.

Conducting procurements

Closing procurements

Settling contracts

Planning procurement management

The correct answer is conducting procurements. In project procurement management, conducting procurements refers to the process of obtaining seller responses, selecting sellers, and awarding contracts. This involves soliciting bids or proposals from potential sellers, evaluating their responses, and ultimately choosing the most suitable sellers to enter into contracts with. This step is crucial in ensuring that the project obtains the necessary goods or services from reliable and capable sellers.

Explanation

The correct answer is conducting procurements. In project procurement management, conducting procurements refers to the process of obtaining seller responses, selecting sellers, and awarding contracts. This involves soliciting bids or proposals from potential sellers, evaluating their responses, and ultimately choosing the most suitable sellers to enter into contracts with. This step is crucial in ensuring that the project obtains the necessary goods or services from reliable and capable sellers.

38. In project procurement management, the process of conducting procurement's is part of the _____ process.

Planiing

Executing

Monitoring and controlling

Closing

The process of conducting procurements is part of the executing process in project procurement management. This process involves obtaining the necessary goods or services from external suppliers to support the project's objectives. During the executing process, the project team identifies potential suppliers, solicits bids or proposals, selects a supplier, and negotiates contracts. This phase focuses on the actual implementation of the procurement plan and ensuring that the project's procurement needs are met. The executing process is crucial for successful project delivery as it involves the actual execution and coordination of project activities.

Explanation

The process of conducting procurements is part of the executing process in project procurement management. This process involves obtaining the necessary goods or services from external suppliers to support the project's objectives. During the executing process, the project team identifies potential suppliers, solicits bids or proposals, selects a supplier, and negotiates contracts. This phase focuses on the actual implementation of the procurement plan and ensuring that the project's procurement needs are met. The executing process is crucial for successful project delivery as it involves the actual execution and coordination of project activities.

39. _____ involves reducing the impact of a risk event by reducing the probability of its occurrence.

Risk avoidance

Risk acceptance

Risk transference

Risk mitigation

Risk mitigation involves reducing the impact of a risk event by reducing the probability of its occurrence. This can be achieved through various strategies such as implementing preventive measures, creating backup plans, and implementing controls and safeguards. By actively addressing potential risks and taking proactive measures, organizations can minimize the likelihood of risks materializing and mitigate their potential impact.

Explanation

Risk mitigation involves reducing the impact of a risk event by reducing the probability of its occurrence. This can be achieved through various strategies such as implementing preventive measures, creating backup plans, and implementing controls and safeguards. By actively addressing potential risks and taking proactive measures, organizations can minimize the likelihood of risks materializing and mitigate their potential impact.

40. ____ involves changing the size of the opportunity by identifying and maximizing key drivers of the positive risk.

Risk exploitation

Risk sharing

Risk enhancement

Risk acceptance

Risk enhancement involves changing the size of the opportunity by identifying and maximizing key drivers of the positive risk. This means that instead of simply accepting or sharing the risk, the organization actively seeks to enhance the potential benefits and outcomes associated with the risk. By identifying and maximizing the key drivers, the organization can increase the likelihood of achieving positive outcomes and potentially increase the overall value of the opportunity.

Explanation

Risk enhancement involves changing the size of the opportunity by identifying and maximizing key drivers of the positive risk. This means that instead of simply accepting or sharing the risk, the organization actively seeks to enhance the potential benefits and outcomes associated with the risk. By identifying and maximizing the key drivers, the organization can increase the likelihood of achieving positive outcomes and potentially increase the overall value of the opportunity.

41. A drawback of outsourcing is that:

It does not provide access to specific skills or technologies.

It invariably results in an increase in both fixed and recurrent costs

It can make an organization become overly dependent on particular suppliers.

It cannot increase accountability of suppliers through a written contract.

Outsourcing can make an organization overly dependent on particular suppliers. When a company outsources certain tasks or functions to external suppliers, it relies on them to deliver the required goods or services. This reliance can lead to a lack of control and flexibility for the organization. If the supplier fails to meet expectations or faces financial difficulties, it can negatively impact the organization's operations. Additionally, if the organization becomes too dependent on a single supplier, it may face difficulties in finding alternative options or negotiating favorable terms in the future.

Explanation

Outsourcing can make an organization overly dependent on particular suppliers. When a company outsources certain tasks or functions to external suppliers, it relies on them to deliver the required goods or services. This reliance can lead to a lack of control and flexibility for the organization. If the supplier fails to meet expectations or faces financial difficulties, it can negatively impact the organization's operations. Additionally, if the organization becomes too dependent on a single supplier, it may face difficulties in finding alternative options or negotiating favorable terms in the future.

42. Adding more people to a project that is falling behind schedule often causes more setbacks because of the increased complexity of communications.

True

False

Adding more people to a project that is falling behind schedule often causes more setbacks because of the increased complexity of communications. When a project is already behind schedule, introducing more people can lead to confusion and miscommunication. More people means more interactions and coordination, which can slow down the progress even further. It takes time for the new team members to understand the project, its goals, and the existing work. Additionally, communication channels may become overloaded, resulting in delays and inefficiencies. Therefore, adding more people to a project that is already behind schedule can indeed lead to more setbacks.

Explanation

Adding more people to a project that is falling behind schedule often causes more setbacks because of the increased complexity of communications. When a project is already behind schedule, introducing more people can lead to confusion and miscommunication. More people means more interactions and coordination, which can slow down the progress even further. It takes time for the new team members to understand the project, its goals, and the existing work. Additionally, communication channels may become overloaded, resulting in delays and inefficiencies. Therefore, adding more people to a project that is already behind schedule can indeed lead to more setbacks.

43. Performing qualitative and quantitative risk analyses are subprocesses of the _____ process of project risk management.

Sensitivity

Systems

Monte Carlo

NPV

Performing qualitative and quantitative risk analyses are subprocesses of the Monte Carlo process of project risk management. The Monte Carlo process involves using statistical techniques to simulate different scenarios and assess the impact of uncertainties on project outcomes. By performing qualitative risk analysis, the project team identifies and evaluates risks based on their impact and likelihood. Quantitative risk analysis involves assigning numerical values to risks and calculating their potential impact on project objectives. Both these analyses help in understanding and managing project risks effectively, making Monte Carlo the correct answer.

Explanation

Performing qualitative and quantitative risk analyses are subprocesses of the Monte Carlo process of project risk management. The Monte Carlo process involves using statistical techniques to simulate different scenarios and assess the impact of uncertainties on project outcomes. By performing qualitative risk analysis, the project team identifies and evaluates risks based on their impact and likelihood. Quantitative risk analysis involves assigning numerical values to risks and calculating their potential impact on project objectives. Both these analyses help in understanding and managing project risks effectively, making Monte Carlo the correct answer.

44. The items discussed in a(n) _____ include reflections on whether project goals were met, whether the project was successful or not, the causes of variances on the project, the reasoning behind corrective actions chosen, the use of different project management tools and techniques, and personal words of wisdom based on team members' experiences.

Final project report

Design document

Audit report

Lessons-learned report

A lessons-learned report is a document that includes reflections on project goals, success or failure of the project, causes of variances, reasoning behind corrective actions, use of project management tools, and personal experiences of team members. This report is meant to capture the knowledge gained from the project and provide insights and recommendations for future projects. It serves as a valuable resource for improving project management practices and avoiding similar mistakes in the future.

Explanation

A lessons-learned report is a document that includes reflections on project goals, success or failure of the project, causes of variances, reasoning behind corrective actions, use of project management tools, and personal experiences of team members. This report is meant to capture the knowledge gained from the project and provide insights and recommendations for future projects. It serves as a valuable resource for improving project management practices and avoiding similar mistakes in the future.

45. The process of choosing suppliers or sellers is known as _____.

Source selection

A bid

WBS

A change order

The process of choosing suppliers or sellers is known as source selection. This involves evaluating potential suppliers based on criteria such as price, quality, reliability, and delivery time. Source selection is an important step in procurement as it ensures that the organization selects the most suitable suppliers to meet its needs and achieve its goals.

Explanation

The process of choosing suppliers or sellers is known as source selection. This involves evaluating potential suppliers based on criteria such as price, quality, reliability, and delivery time. Source selection is an important step in procurement as it ensures that the organization selects the most suitable suppliers to meet its needs and achieve its goals.

46. _____ are predefined actions that the project team will take if an identified risk event occurs.

Secondary risks

Workarounds

Contingency plans

Management reserves

Contingency plans are predefined actions that the project team will take if an identified risk event occurs. These plans are put in place to mitigate the impact of the risk and ensure that the project can continue without major disruptions. Contingency plans are typically developed during the risk management process and are specific to each identified risk event. They outline the steps to be taken, the resources required, and the timeline for implementation. By having contingency plans in place, the project team can effectively respond to risk events and minimize their negative consequences.

Explanation

Contingency plans are predefined actions that the project team will take if an identified risk event occurs. These plans are put in place to mitigate the impact of the risk and ensure that the project can continue without major disruptions. Contingency plans are typically developed during the risk management process and are specific to each identified risk event. They outline the steps to be taken, the resources required, and the timeline for implementation. By having contingency plans in place, the project team can effectively respond to risk events and minimize their negative consequences.

47. Rarely does the receiver interpret a message exactly as the sender intended.

True

False

The statement suggests that the receiver of a message often does not interpret it in the exact way that the sender intended. This is because communication involves various factors such as personal biases, cultural differences, and individual interpretations. People may have different perspectives, experiences, and understandings, which can influence how they interpret and understand messages. Therefore, it is likely that the receiver will not always interpret a message in the same way as the sender intended.

Explanation

The statement suggests that the receiver of a message often does not interpret it in the exact way that the sender intended. This is because communication involves various factors such as personal biases, cultural differences, and individual interpretations. People may have different perspectives, experiences, and understandings, which can influence how they interpret and understand messages. Therefore, it is likely that the receiver will not always interpret a message in the same way as the sender intended.

48. _____ involves determining the information and communications needs of the stakeholders.

Strategic planning

Systems management

Identifying stakeholders

Planning communications

Planning communications involves determining the information and communications needs of the stakeholders. This process involves identifying the key stakeholders and understanding their specific requirements and expectations regarding communication. By planning communications effectively, organizations can ensure that the right information is delivered to the right stakeholders at the right time and through the most appropriate channels. This helps in building and maintaining strong relationships with stakeholders and ensuring that their needs are met, ultimately contributing to the success of the organization.

Explanation

Planning communications involves determining the information and communications needs of the stakeholders. This process involves identifying the key stakeholders and understanding their specific requirements and expectations regarding communication. By planning communications effectively, organizations can ensure that the right information is delivered to the right stakeholders at the right time and through the most appropriate channels. This helps in building and maintaining strong relationships with stakeholders and ensuring that their needs are met, ultimately contributing to the success of the organization.

49. An example of push communication is _____.

Meetings

Video conferencing

Voice mails

Blogs

An example of push communication is voice mails. Push communication refers to the act of delivering information or messages directly to the recipient without their active request or participation. Voice mails are a form of communication where a message is recorded and sent to the recipient's voicemail box, without requiring them to answer the call. This exemplifies push communication as the message is being pushed to the recipient without their immediate involvement or interaction.

Explanation

An example of push communication is voice mails. Push communication refers to the act of delivering information or messages directly to the recipient without their active request or participation. Voice mails are a form of communication where a message is recorded and sent to the recipient's voicemail box, without requiring them to answer the call. This exemplifies push communication as the message is being pushed to the recipient without their immediate involvement or interaction.

50. ____ describe where the project stands at a specific point in time.

Progress reports

Status reports

Forecasts

Lessons-learned reports

Status reports are used to describe where a project stands at a specific point in time. These reports provide an overview of the project's current status, including its progress, achievements, challenges, and any issues or risks that need to be addressed. They help stakeholders and team members stay informed about the project's progress and make informed decisions. Unlike progress reports, which focus on the project's overall progress, status reports provide a snapshot of the project's current state. Forecasts, lessons-learned reports, and progress reports may provide additional information, but they do not specifically describe the project's status at a given point in time.

Explanation

Status reports are used to describe where a project stands at a specific point in time. These reports provide an overview of the project's current status, including its progress, achievements, challenges, and any issues or risks that need to be addressed. They help stakeholders and team members stay informed about the project's progress and make informed decisions. Unlike progress reports, which focus on the project's overall progress, status reports provide a snapshot of the project's current state. Forecasts, lessons-learned reports, and progress reports may provide additional information, but they do not specifically describe the project's status at a given point in time.

51. Which of the following questions is typically addressed by a project forecast?

How much more money will be needed to complete the project?

Does the quality of output match our goals?

Are our clients satisfied with the speed and quality of work on this project?

How comfortable are employees with the software and technology being used on the project?

A project forecast typically addresses the question of how much more money will be needed to complete the project. A project forecast involves estimating the future financial requirements of a project, taking into account factors such as costs, resources, and timelines. By analyzing the current status of the project and projecting its future financial needs, the forecast can provide insights into the additional funding that may be required to successfully complete the project.

Explanation

A project forecast typically addresses the question of how much more money will be needed to complete the project. A project forecast involves estimating the future financial requirements of a project, taking into account factors such as costs, resources, and timelines. By analyzing the current status of the project and projecting its future financial needs, the forecast can provide insights into the additional funding that may be required to successfully complete the project.

52. Performing qualitative and quantitative risk analyses are subprocesses of the _____ process of project risk management.

Planning

Executing

Monitoring and controlling

Closing

Performing qualitative and quantitative risk analyses are subprocesses of the planning process of project risk management. During the planning process, the project team identifies potential risks and analyzes them to determine their likelihood and impact on the project. Qualitative risk analysis involves assessing the risks based on their characteristics and assigning a priority ranking, while quantitative risk analysis involves numerical analysis to estimate the probability and impact of each risk. These analyses help the project team develop strategies to mitigate or manage the identified risks. Therefore, performing risk analyses is an essential part of the planning process in project risk management.

Explanation

Performing qualitative and quantitative risk analyses are subprocesses of the planning process of project risk management. During the planning process, the project team identifies potential risks and analyzes them to determine their likelihood and impact on the project. Qualitative risk analysis involves assessing the risks based on their characteristics and assigning a priority ranking, while quantitative risk analysis involves numerical analysis to estimate the probability and impact of each risk. These analyses help the project team develop strategies to mitigate or manage the identified risks. Therefore, performing risk analyses is an essential part of the planning process in project risk management.

53. "Most organizations are not in business to provide information technology services, yet many have spent valuable time and resources on information technology functions when they should have instead worked on important competencies such as marketing, customer service, and new product design. Outsourcing helps tackle this problem." Which of the following benefits does outsourcing primarily provide in such a scenario?

Reduces fixed and recurrent costs

Protects strategic information from being accessible to external suppliers

Increases accountability even without a written contract

Helps focus on an organization’s core business

Outsourcing primarily provides the benefit of helping organizations focus on their core business. By outsourcing non-core functions such as information technology services, organizations can allocate their time and resources towards important competencies like marketing, customer service, and new product design. This allows them to prioritize their main business objectives and improve overall efficiency and productivity.

Explanation

Outsourcing primarily provides the benefit of helping organizations focus on their core business. By outsourcing non-core functions such as information technology services, organizations can allocate their time and resources towards important competencies like marketing, customer service, and new product design. This allows them to prioritize their main business objectives and improve overall efficiency and productivity.

54. The project team must take corrective action if stakeholders with high interest and high power are categorized as _____.

Resistant

Neutral

Supportive

Leading

If stakeholders with high interest and high power are categorized as resistant, it means that they are not supportive of the project and may actively oppose or hinder its progress. This can be a significant risk to the project's success, as these stakeholders have the ability to exert influence and impact its outcomes. Taking corrective action in this situation would involve identifying the reasons for their resistance and implementing strategies to address their concerns or mitigate their opposition.

Explanation

If stakeholders with high interest and high power are categorized as resistant, it means that they are not supportive of the project and may actively oppose or hinder its progress. This can be a significant risk to the project's success, as these stakeholders have the ability to exert influence and impact its outcomes. Taking corrective action in this situation would involve identifying the reasons for their resistance and implementing strategies to address their concerns or mitigate their opposition.

55. The project summary report is a summary of all the lessons-learned reports.

True

False

The project summary report is not a summary of all the lessons-learned reports. It is a concise document that provides an overview of the project, including its objectives, scope, achievements, and key metrics. The lessons-learned reports, on the other hand, focus on documenting the insights and experiences gained throughout the project, highlighting what worked well and what could be improved for future projects. Therefore, the statement is false.

Explanation

The project summary report is not a summary of all the lessons-learned reports. It is a concise document that provides an overview of the project, including its objectives, scope, achievements, and key metrics. The lessons-learned reports, on the other hand, focus on documenting the insights and experiences gained throughout the project, highlighting what worked well and what could be improved for future projects. Therefore, the statement is false.

56. _____ are/is a qualitative risk analysis tool that maintains an awareness of risks throughout the life of a project in addition to identifying risks.

SharePoint portal

Probability/impact matrices or charts

Expectations management matrix

Top Ten Risk Item Tracking

Top Ten Risk Item Tracking is a qualitative risk analysis tool that not only identifies risks but also maintains an awareness of risks throughout the life of a project. This tool helps in prioritizing the top ten risks based on their potential impact and probability, allowing the project team to focus on managing and mitigating these high-priority risks effectively. It provides a systematic approach to track and monitor risks, ensuring that they are continuously assessed and addressed throughout the project's duration. SharePoint portal, Probability/impact matrices or charts, and Expectations management matrix do not specifically fulfill the criteria of maintaining an awareness of risks throughout the project.

Explanation

Top Ten Risk Item Tracking is a qualitative risk analysis tool that not only identifies risks but also maintains an awareness of risks throughout the life of a project. This tool helps in prioritizing the top ten risks based on their potential impact and probability, allowing the project team to focus on managing and mitigating these high-priority risks effectively. It provides a systematic approach to track and monitor risks, ensuring that they are continuously assessed and addressed throughout the project's duration. SharePoint portal, Probability/impact matrices or charts, and Expectations management matrix do not specifically fulfill the criteria of maintaining an awareness of risks throughout the project.

57. In project procurement management, which of the following is one of the main outputs of the conducting procurement process?

A selected seller

A procurement management plan

A procurement statement of work

A closed procurement

The main output of the conducting procurement process in project procurement management is the selection of a seller. This means that after evaluating and selecting potential vendors, a specific seller is chosen to provide the required goods or services for the project. This selection is based on various factors such as price, quality, and the vendor's ability to meet the project's requirements. The selected seller then enters into a contract with the project team to fulfill the procurement needs.

Explanation

The main output of the conducting procurement process in project procurement management is the selection of a seller. This means that after evaluating and selecting potential vendors, a specific seller is chosen to provide the required goods or services for the project. This selection is based on various factors such as price, quality, and the vendor's ability to meet the project's requirements. The selected seller then enters into a contract with the project team to fulfill the procurement needs.

58. "A shortage of qualified personnel is one of the main reason that companies outsource. A project may require experts in a particular field for several months and planning for this procurement ensures that the needed services will be available for the project." Which of the following benefits does this characteristic of outsourcing provide an organization?

Reduces focus on its core business

Increases control over all aspects of projects that suppliers carry out

Provides access to specific skills

Reduces dependency on suppliers

The characteristic of outsourcing that involves a shortage of qualified personnel allows organizations to access specific skills. By outsourcing certain tasks or projects to external suppliers who have the necessary expertise, the organization can ensure that they have access to the specific skills required for the project. This helps the organization to overcome any limitations in their own workforce and ensures that the needed services are available for the project.

Explanation

The characteristic of outsourcing that involves a shortage of qualified personnel allows organizations to access specific skills. By outsourcing certain tasks or projects to external suppliers who have the necessary expertise, the organization can ensure that they have access to the specific skills required for the project. This helps the organization to overcome any limitations in their own workforce and ensures that the needed services are available for the project.

59. The output of the _____ process is a communications management plan.

Managing communications

Reporting performance

Controlling communications

Planning communications

The output of the planning communications process is a communications management plan. This plan outlines how communication will be managed throughout the project, including the stakeholders involved, the methods of communication, the frequency of communication, and any specific requirements or constraints. It helps ensure that the right information is communicated to the right people at the right time, and it serves as a guide for effective communication throughout the project lifecycle.

Explanation

The output of the planning communications process is a communications management plan. This plan outlines how communication will be managed throughout the project, including the stakeholders involved, the methods of communication, the frequency of communication, and any specific requirements or constraints. It helps ensure that the right information is communicated to the right people at the right time, and it serves as a guide for effective communication throughout the project lifecycle.

60. _____ involves prioritizing risks based on their probability and impact of occurrence.

Performing qualitative risk analysis

Identifying risks

Planning risk responses

Performing quantitative risk analysis

Performing qualitative risk analysis involves prioritizing risks based on their probability and impact of occurrence. This process helps in identifying and assessing the potential risks to a project or organization. By analyzing the qualitative aspects of the risks, such as their likelihood and potential consequences, decision-makers can prioritize and focus on the most critical risks that require attention and mitigation strategies. This analysis helps in determining the level of risk associated with each identified risk, enabling effective planning and response strategies to minimize the impact of these risks.

Explanation

Performing qualitative risk analysis involves prioritizing risks based on their probability and impact of occurrence. This process helps in identifying and assessing the potential risks to a project or organization. By analyzing the qualitative aspects of the risks, such as their likelihood and potential consequences, decision-makers can prioritize and focus on the most critical risks that require attention and mitigation strategies. This analysis helps in determining the level of risk associated with each identified risk, enabling effective planning and response strategies to minimize the impact of these risks.

61. Project management software tools normally do not promote the use of Facebook as a forum to promote project activities.

True

False

Project management software tools typically do not promote the use of Facebook as a forum to promote project activities because Facebook is a social media platform primarily designed for personal use and does not offer the necessary features and functionalities required for effective project management. Project management software tools are specifically designed to provide a centralized platform for collaboration, task management, document sharing, and communication among team members, making them more suitable for project activities.

Explanation

Project management software tools typically do not promote the use of Facebook as a forum to promote project activities because Facebook is a social media platform primarily designed for personal use and does not offer the necessary features and functionalities required for effective project management. Project management software tools are specifically designed to provide a centralized platform for collaboration, task management, document sharing, and communication among team members, making them more suitable for project activities.

62. _____ is the new knowledge area identified by the Project Management Institute.

Project stakeholder management

Project communication management

Project risk management

Project procurement management

Project stakeholder management is the new knowledge area identified by the Project Management Institute. This knowledge area focuses on identifying and engaging stakeholders throughout the project lifecycle to ensure their needs and expectations are met. It involves analyzing stakeholders, developing strategies to effectively communicate and engage with them, and managing their involvement in the project. This knowledge area recognizes the importance of stakeholders in project success and emphasizes the need for effective stakeholder management.

Explanation

Project stakeholder management is the new knowledge area identified by the Project Management Institute. This knowledge area focuses on identifying and engaging stakeholders throughout the project lifecycle to ensure their needs and expectations are met. It involves analyzing stakeholders, developing strategies to effectively communicate and engage with them, and managing their involvement in the project. This knowledge area recognizes the importance of stakeholders in project success and emphasizes the need for effective stakeholder management.

63. In project procurement management, an output of the _____ monitoring and controlling process.

Change requests

Selected sellers

Resource calendars

Make-or-buy decisions

In project procurement management, change requests are an output of the monitoring and controlling process. This means that during the monitoring and controlling phase, any changes that need to be made to the procurement process or contracts are identified and documented as change requests. These change requests may include modifications to the scope, schedule, or budget of the project, and they are typically reviewed and approved by the appropriate stakeholders before any changes are implemented.

Explanation

In project procurement management, change requests are an output of the monitoring and controlling process. This means that during the monitoring and controlling phase, any changes that need to be made to the procurement process or contracts are identified and documented as change requests. These change requests may include modifications to the scope, schedule, or budget of the project, and they are typically reviewed and approved by the appropriate stakeholders before any changes are implemented.

64. _____ address where the project stands in terms of meeting scope, time, and cost goals.

Technical reports

Status reports

Progress reports

Lessons-learned reports

Status reports provide information on the current status of a project in terms of meeting scope, time, and cost goals. These reports typically include updates on project progress, milestones achieved, any issues or risks encountered, and the overall health of the project. By regularly reviewing status reports, project stakeholders can assess the project's performance and take necessary actions to keep it on track.

Explanation

Status reports provide information on the current status of a project in terms of meeting scope, time, and cost goals. These reports typically include updates on project progress, milestones achieved, any issues or risks encountered, and the overall health of the project. By regularly reviewing status reports, project stakeholders can assess the project's performance and take necessary actions to keep it on track.

65. The main output of the _____ process is the stakeholder register.

Planning stakeholder management

Identifying stakeholders

Managing stakeholder engagement

Controlling stakeholder engagement

The main output of the Identifying stakeholders process is the stakeholder register. This process involves identifying all individuals or groups who may have an impact on or be impacted by the project. By creating a stakeholder register, the project team can keep track of all stakeholders, their interests, and their level of influence. This information is crucial for effectively managing stakeholder engagement throughout the project lifecycle.

Explanation

The main output of the Identifying stakeholders process is the stakeholder register. This process involves identifying all individuals or groups who may have an impact on or be impacted by the project. By creating a stakeholder register, the project team can keep track of all stakeholders, their interests, and their level of influence. This information is crucial for effectively managing stakeholder engagement throughout the project lifecycle.

66. Outsourcing suppliers can often provide economies of scale, especially for hardware and software, that may not be available to the client alone. Which of the following benefits does this offer an organization?

Reduction in fixed and recurrent costs

Increased flexibility

Increased accountability

Access to specific skills

Outsourcing suppliers can provide economies of scale, allowing organizations to benefit from reduced fixed and recurrent costs. By leveraging the resources and capabilities of the supplier, the organization can avoid the need to invest heavily in hardware and software infrastructure, resulting in cost savings. This can free up financial resources that can be allocated to other areas of the organization. Therefore, the correct answer is reduction in fixed and recurrent costs.

Explanation

Outsourcing suppliers can provide economies of scale, allowing organizations to benefit from reduced fixed and recurrent costs. By leveraging the resources and capabilities of the supplier, the organization can avoid the need to invest heavily in hardware and software infrastructure, resulting in cost savings. This can free up financial resources that can be allocated to other areas of the organization. Therefore, the correct answer is reduction in fixed and recurrent costs.

67. A(n) _____ represents decision problems by displaying essential elements, including decisions, uncertainties, causality, and objectives, and how they influence each other.

Risk breakdown structure

Influence diagram

Process flow chart

Work breakdown structure

An influence diagram is a visual representation that displays essential elements of decision problems, including decisions, uncertainties, causality, and objectives, and how they influence each other. It helps in understanding the relationships between different factors and their impact on the decision-making process. It provides a clear and concise way to analyze and communicate complex decision problems.

Explanation

An influence diagram is a visual representation that displays essential elements of decision problems, including decisions, uncertainties, causality, and objectives, and how they influence each other. It helps in understanding the relationships between different factors and their impact on the decision-making process. It provides a clear and concise way to analyze and communicate complex decision problems.

68. ____ analysis simulates a model's outcome many times to provide a statistical distribution of the calculated results.

Sensitivity

Systems

Monte Carlo

NPV

Monte Carlo analysis is a technique that uses random sampling to simulate a model's outcome multiple times. By doing so, it provides a statistical distribution of the calculated results. This analysis is commonly used in various fields, including finance, engineering, and physics, to assess the uncertainty and risk associated with a particular model or decision. It helps decision-makers understand the range of potential outcomes and make more informed choices based on the probabilities derived from the simulation.

Explanation

Monte Carlo analysis is a technique that uses random sampling to simulate a model's outcome multiple times. By doing so, it provides a statistical distribution of the calculated results. This analysis is commonly used in various fields, including finance, engineering, and physics, to assess the uncertainty and risk associated with a particular model or decision. It helps decision-makers understand the range of potential outcomes and make more informed choices based on the probabilities derived from the simulation.

69. Which of the following is true of lump-sum contracts?

They incur a high degree of risk for the buyer.

They involve a fixed total price for a well-defined product or service.

They consist of a fee based on the satisfaction of subjective performance criteria.

They are also known as cost-reimbursable contracts.

Lump-sum contracts involve a fixed total price for a well-defined product or service. This means that the buyer and the seller agree on a specific price for the entire project, regardless of the actual costs incurred by the seller. This type of contract transfers the risk of cost overruns and unexpected expenses from the buyer to the seller, making it a low-risk option for the buyer. The price is determined based on the scope and requirements of the project, providing clarity and predictability in terms of cost for both parties involved.

Explanation

Lump-sum contracts involve a fixed total price for a well-defined product or service. This means that the buyer and the seller agree on a specific price for the entire project, regardless of the actual costs incurred by the seller. This type of contract transfers the risk of cost overruns and unexpected expenses from the buyer to the seller, making it a low-risk option for the buyer. The price is determined based on the scope and requirements of the project, providing clarity and predictability in terms of cost for both parties involved.

70. In which of the following contracts does the buyer pay the supplier for allowable performance costs along with a predetermined percentage based on total costs?

FPIF

CPIF

CPPC

CPAF

CPPC stands for Cost Plus Percentage of Cost. In this type of contract, the buyer pays the supplier for allowable performance costs, such as materials and labor, along with a predetermined percentage based on the total costs. This means that the supplier is reimbursed for their actual costs incurred in performing the contract, plus an additional percentage as profit. This type of contract is often used when the buyer wants to incentivize the supplier to control costs and maximize efficiency, as the supplier's profit is directly tied to the total costs.

Explanation

CPPC stands for Cost Plus Percentage of Cost. In this type of contract, the buyer pays the supplier for allowable performance costs, such as materials and labor, along with a predetermined percentage based on the total costs. This means that the supplier is reimbursed for their actual costs incurred in performing the contract, plus an additional percentage as profit. This type of contract is often used when the buyer wants to incentivize the supplier to control costs and maximize efficiency, as the supplier's profit is directly tied to the total costs.

71. After identifying and analyzing stakeholders, the project manager and team should develop a(n) ______ to help them effectively engage stakeholders and make sure that good decisions are made throughout the life of the project.

Stakeholder management plan

Stakeholder register

Issue log

Power/interest grid

The correct answer is stakeholder management plan. After identifying and analyzing stakeholders, it is important for the project manager and team to develop a stakeholder management plan. This plan will outline strategies and actions to effectively engage stakeholders and ensure that their needs and expectations are met. It will also help in making informed decisions throughout the project's duration by considering the interests, power, and influence of each stakeholder. The stakeholder management plan is a crucial tool for maintaining positive stakeholder relationships and achieving project success.

Explanation

The correct answer is stakeholder management plan. After identifying and analyzing stakeholders, it is important for the project manager and team to develop a stakeholder management plan. This plan will outline strategies and actions to effectively engage stakeholders and ensure that their needs and expectations are met. It will also help in making informed decisions throughout the project's duration by considering the interests, power, and influence of each stakeholder. The stakeholder management plan is a crucial tool for maintaining positive stakeholder relationships and achieving project success.

72. Outputs of the _____ process consist of selected sellers and resource calendars.

Closing procurements

Conducting procurements

Planning procurement management

Controlling procurements

The outputs of the conducting procurements process consist of selected sellers and resource calendars. This process involves obtaining seller responses, selecting sellers, and negotiating and awarding contracts. The selected sellers are the ones who have been chosen to provide the required goods or services. The resource calendars, on the other hand, provide information on the availability and allocation of resources for the procurement activities.

Explanation

The outputs of the conducting procurements process consist of selected sellers and resource calendars. This process involves obtaining seller responses, selecting sellers, and negotiating and awarding contracts. The selected sellers are the ones who have been chosen to provide the required goods or services. The resource calendars, on the other hand, provide information on the availability and allocation of resources for the procurement activities.

73. A company is considering whether to purchase or lease a piece of equipment for an upcoming project. The cost to purchase is $10,000 plus $100 per day to operate or $500 per day to lease (including operating costs). If the company anticipates using the equipment for a total of 20 days, they will be indifferent as to whether or lease or purchase it.

True

False

The statement is false because if the company anticipates using the equipment for a total of 20 days, they will actually be better off purchasing it rather than leasing it. The cost to purchase is $10,000 plus $100 per day to operate, which would amount to $12,000 for 20 days. On the other hand, the cost to lease is $500 per day, which would amount to $10,000 for 20 days. Therefore, purchasing the equipment would be more cost-effective in this scenario.

Explanation

The statement is false because if the company anticipates using the equipment for a total of 20 days, they will actually be better off purchasing it rather than leasing it. The cost to purchase is $10,000 plus $100 per day to operate, which would amount to $12,000 for 20 days. On the other hand, the cost to lease is $500 per day, which would amount to $10,000 for 20 days. Therefore, purchasing the equipment would be more cost-effective in this scenario.

74. "Outsourcing to provide extra workers during periods of peak workloads can be much more economical than trying to fill entire projects with internal resources." Which of the following advantages does this characteristic of outsourcing provide organizations?

Offers control over all aspects of projects that suppliers carry out

Provides a company flexibility in staffing

Shifts accountability from external suppliers to internal staff

Outsourcing to provide extra workers during periods of peak workloads allows organizations to have flexibility in staffing. This means that they can easily adjust their workforce based on the demand of the projects without having to hire and train new employees internally. This flexibility helps organizations to efficiently manage their resources and costs, as they can scale up or down their workforce as needed.

Explanation

Outsourcing to provide extra workers during periods of peak workloads allows organizations to have flexibility in staffing. This means that they can easily adjust their workforce based on the demand of the projects without having to hire and train new employees internally. This flexibility helps organizations to efficiently manage their resources and costs, as they can scale up or down their workforce as needed.

75. Risk utility rises at a decreasing rate for a _____ person.

Risk-seeking

Risk-averse

Risk-neutral

Risk-indifferent

A risk-averse person is someone who prefers to avoid or minimize risks. They are more likely to be cautious and conservative when making decisions, especially when it comes to taking risks. As a result, their risk utility, or the satisfaction or benefit they derive from taking risks, will rise at a decreasing rate. This means that the more risks they take, the less additional satisfaction or benefit they will gain from each additional risk.

Explanation

A risk-averse person is someone who prefers to avoid or minimize risks. They are more likely to be cautious and conservative when making decisions, especially when it comes to taking risks. As a result, their risk utility, or the satisfaction or benefit they derive from taking risks, will rise at a decreasing rate. This means that the more risks they take, the less additional satisfaction or benefit they will gain from each additional risk.

76. According to research by Albert Mehrabian, which of the following is NOT a way that information is communicated in a face-to-face interaction?

Body language

Facial expressions

Spoken content

Tone of voice

Facial expressions are actually a way that information is communicated in a face-to-face interaction, according to Albert Mehrabian's research. Facial expressions can convey emotions, attitudes, and intentions, providing important nonverbal cues to the receiver. Other forms of communication mentioned in the question, such as body language, spoken content, and tone of voice, are also recognized by Mehrabian as important components of communication.

Explanation

Facial expressions are actually a way that information is communicated in a face-to-face interaction, according to Albert Mehrabian's research. Facial expressions can convey emotions, attitudes, and intentions, providing important nonverbal cues to the receiver. Other forms of communication mentioned in the question, such as body language, spoken content, and tone of voice, are also recognized by Mehrabian as important components of communication.

77. ____ involves monitoring stakeholder relationships and adjusting plans and strategies for engaging stakeholders as needed.

Planning stakeholder management

Identifying stakeholders

Managing stakeholder engagement

Controlling stakeholder engagement

Controlling stakeholder engagement involves monitoring stakeholder relationships and adjusting plans and strategies for engaging stakeholders as needed. This process ensures that stakeholders are effectively engaged throughout the project and their needs and expectations are met. It involves monitoring stakeholder communication, resolving conflicts, and making necessary adjustments to the stakeholder engagement plan. By controlling stakeholder engagement, project managers can maintain positive relationships with stakeholders and ensure their continued support and involvement in the project.

Explanation

Controlling stakeholder engagement involves monitoring stakeholder relationships and adjusting plans and strategies for engaging stakeholders as needed. This process ensures that stakeholders are effectively engaged throughout the project and their needs and expectations are met. It involves monitoring stakeholder communication, resolving conflicts, and making necessary adjustments to the stakeholder engagement plan. By controlling stakeholder engagement, project managers can maintain positive relationships with stakeholders and ensure their continued support and involvement in the project.

78. Which of the following is a guideline that project managers should follow when communicating with their teams through e-mail?

Always reply to all the people to whom the initial message was sent

If the entire message can fit in the subject line, put it there

Minimize the total number of e-mails by including as many subjects as possible in a single e-mail

Continue replying to e-mail messages without changing the subject line to maintain continuity

The guideline that project managers should follow when communicating with their teams through e-mail is to put the entire message in the subject line if it can fit. This ensures that the main message is easily visible and accessible to the recipients without having to open the email. It also allows for quick scanning and organization of emails, making it easier for team members to prioritize and respond to important information efficiently.

Explanation

The guideline that project managers should follow when communicating with their teams through e-mail is to put the entire message in the subject line if it can fit. This ensures that the main message is easily visible and accessible to the recipients without having to open the email. It also allows for quick scanning and organization of emails, making it easier for team members to prioritize and respond to important information efficiently.

79. The stakeholder management plan should not be accessible to all stakeholders.

True

False

The stakeholder management plan should not be accessible to all stakeholders because it contains sensitive information that may affect the project's success. It is important to carefully control who has access to this plan to ensure that only those who need to know and have a direct impact on the project are involved. Allowing unrestricted access to the plan may lead to confusion, conflicts, and potential misuse of information by stakeholders who do not have a direct role in the project.

Explanation

The stakeholder management plan should not be accessible to all stakeholders because it contains sensitive information that may affect the project's success. It is important to carefully control who has access to this plan to ensure that only those who need to know and have a direct impact on the project are involved. Allowing unrestricted access to the plan may lead to confusion, conflicts, and potential misuse of information by stakeholders who do not have a direct role in the project.

80. _____ contracts involve payment to the supplier for direct and indirect actual costs and often include fees.

Firm-fixed-price

Lump sum

Cost-reimbursable contracts

Fixed-price incentive fee

Cost-reimbursable contracts involve payment to the supplier for both direct and indirect actual costs, and they often include fees. In this type of contract, the buyer agrees to reimburse the supplier for the actual costs incurred in performing the work, such as labor, materials, and overhead expenses. Additionally, cost-reimbursable contracts may include a fee, which is a predetermined amount that the supplier will receive as profit. This type of contract is commonly used when the scope of work is uncertain or when the buyer wants to have more control and visibility over the costs involved.

Explanation

Cost-reimbursable contracts involve payment to the supplier for both direct and indirect actual costs, and they often include fees. In this type of contract, the buyer agrees to reimburse the supplier for the actual costs incurred in performing the work, such as labor, materials, and overhead expenses. Additionally, cost-reimbursable contracts may include a fee, which is a predetermined amount that the supplier will receive as profit. This type of contract is commonly used when the scope of work is uncertain or when the buyer wants to have more control and visibility over the costs involved.

81. A(n) _____ is a Web site that enables anyone who accesses it to contribute or modify Web page content.

Intranet

Blog

Forum

Wiki

A wiki is a website that allows anyone who visits it to contribute or edit the content of web pages. Unlike other options such as an intranet, blog, or forum, a wiki specifically focuses on collaborative content creation and modification. It provides a platform for users to share information, collaborate on projects, and collectively build knowledge on various topics.

Explanation

A wiki is a website that allows anyone who visits it to contribute or edit the content of web pages. Unlike other options such as an intranet, blog, or forum, a wiki specifically focuses on collaborative content creation and modification. It provides a platform for users to share information, collaborate on projects, and collectively build knowledge on various topics.

82. A(n) _____ is a tool used to document, monitor, and track problems that need resolution.

Requirements traceability matrix

Gantt chart

Power/interest grid

Issue log

An issue log is a tool used to document, monitor, and track problems that need resolution. It helps in keeping a record of all the issues that arise during a project or task, along with their status, priority, and assigned resolution actions. By maintaining an issue log, teams can effectively track and manage problems, ensuring that they are addressed and resolved in a timely manner. This tool is particularly useful in project management, as it helps in identifying recurring issues, analyzing patterns, and implementing corrective actions to improve overall project performance.

Explanation

An issue log is a tool used to document, monitor, and track problems that need resolution. It helps in keeping a record of all the issues that arise during a project or task, along with their status, priority, and assigned resolution actions. By maintaining an issue log, teams can effectively track and manage problems, ensuring that they are addressed and resolved in a timely manner. This tool is particularly useful in project management, as it helps in identifying recurring issues, analyzing patterns, and implementing corrective actions to improve overall project performance.

83. The stakeholder register is the output of the _____ process of project stakeholder management.

Initiating

Planning

Executing

Monitoring and controlling

The stakeholder register is the output of the initiating process of project stakeholder management because during the initiating process, the project manager identifies and documents the stakeholders who may have an impact on or be impacted by the project. The stakeholder register includes information such as their names, roles, interests, and level of influence. This helps the project manager to effectively engage and manage the stakeholders throughout the project lifecycle.

Explanation

The stakeholder register is the output of the initiating process of project stakeholder management because during the initiating process, the project manager identifies and documents the stakeholders who may have an impact on or be impacted by the project. The stakeholder register includes information such as their names, roles, interests, and level of influence. This helps the project manager to effectively engage and manage the stakeholders throughout the project lifecycle.

84. The degree of uncertainty an entity is willing to take on in anticipation of a reward is

Risk appetite

Risk tolerence

Risk utility

Unknown risk

Risk appetite refers to the level of uncertainty or risk that an entity is willing to accept or tolerate in order to achieve a potential reward. It reflects the organization's willingness to take on risks and make decisions that involve uncertain outcomes. Risk appetite is a key factor in determining the organization's risk management strategies and helps in balancing the potential benefits and drawbacks of different opportunities. It is different from risk tolerance, which refers to the organization's ability to withstand or absorb the impact of risks. Risk utility refers to the satisfaction or benefit derived from taking on risks, while unknown risk refers to risks that are not yet identified or understood.

Explanation

Risk appetite refers to the level of uncertainty or risk that an entity is willing to accept or tolerate in order to achieve a potential reward. It reflects the organization's willingness to take on risks and make decisions that involve uncertain outcomes. Risk appetite is a key factor in determining the organization's risk management strategies and helps in balancing the potential benefits and drawbacks of different opportunities. It is different from risk tolerance, which refers to the organization's ability to withstand or absorb the impact of risks. Risk utility refers to the satisfaction or benefit derived from taking on risks, while unknown risk refers to risks that are not yet identified or understood.

85. Using the formula for calculating the number of communication channels, how many channels would two people require?

1

2

3

4

Based on the formula for calculating the number of communication channels, two people would require only 1 channel. This is because the formula states that the number of channels is equal to the number of people multiplied by the number of people minus 1, divided by 2. In this case, when there are only two people, the formula simplifies to (2 * (2-1)) / 2, which equals 1. Therefore, two people would only require 1 channel for communication.

Explanation

Based on the formula for calculating the number of communication channels, two people would require only 1 channel. This is because the formula states that the number of channels is equal to the number of people multiplied by the number of people minus 1, divided by 2. In this case, when there are only two people, the formula simplifies to (2 * (2-1)) / 2, which equals 1. Therefore, two people would only require 1 channel for communication.

86. The procurement statements of work are an output of the _____ process of project procurement management.

Planning

Executing

Monitoring and controlling

Closing

The procurement statements of work are an output of the planning process of project procurement management. This process involves defining the procurement requirements and identifying potential suppliers. The statements of work outline the specific deliverables and requirements for the procurement, helping to guide the procurement process and ensure that the desired outcomes are achieved.

Explanation

The procurement statements of work are an output of the planning process of project procurement management. This process involves defining the procurement requirements and identifying potential suppliers. The statements of work outline the specific deliverables and requirements for the procurement, helping to guide the procurement process and ensure that the desired outcomes are achieved.

87. In a(n) _____ contract, the buyer pays the supplier for allowable performance costs along with a predetermined fee and an incentive bonus.

FFP

CPIF

CPPC

FPIF

In a CPIF (Cost Plus Incentive Fee) contract, the buyer agrees to pay the supplier for the allowable performance costs, which includes the costs incurred by the supplier in delivering the product or service. In addition to the performance costs, the buyer also pays a predetermined fee to the supplier. The contract also includes an incentive bonus, which is an additional payment that the supplier receives if certain predetermined performance targets are met or exceeded. This type of contract provides an incentive for the supplier to perform well and deliver the desired results.

Explanation

In a CPIF (Cost Plus Incentive Fee) contract, the buyer agrees to pay the supplier for the allowable performance costs, which includes the costs incurred by the supplier in delivering the product or service. In addition to the performance costs, the buyer also pays a predetermined fee to the supplier. The contract also includes an incentive bonus, which is an additional payment that the supplier receives if certain predetermined performance targets are met or exceeded. This type of contract provides an incentive for the supplier to perform well and deliver the desired results.

88. _____ involves taking steps to enhance opportunities and reduce threats to meeting project objectives.

Performing quantitative risk analysis

Planning risk responses

Controlling risk

Performing qualitative risk analysis

Planning risk responses involves taking steps to enhance opportunities and reduce threats to meeting project objectives. This process involves identifying and evaluating risks, determining appropriate strategies to address them, and developing a plan to implement those strategies. By proactively planning for potential risks, the project team can minimize their impact and increase the chances of successfully achieving project objectives.

Explanation

Planning risk responses involves taking steps to enhance opportunities and reduce threats to meeting project objectives. This process involves identifying and evaluating risks, determining appropriate strategies to address them, and developing a plan to implement those strategies. By proactively planning for potential risks, the project team can minimize their impact and increase the chances of successfully achieving project objectives.

89. After planning for procurement management, which of the following does the next process involve?

Determining the evaluation criteria for the contract award

Developing procurement statements of work

Using expert judgement in planningpurchases and acquisitions

Sending appropriate documentation to potential sellers

The next process after planning for procurement management involves sending appropriate documentation to potential sellers. This step is crucial in the procurement process as it allows potential sellers to understand the requirements and expectations of the buyer. By providing the necessary documentation, such as request for proposals or invitation to bid, the buyer can effectively communicate their needs and specifications to potential sellers. This helps ensure that the sellers have all the information they need to submit their proposals or bids accurately and in line with the buyer's requirements.

Explanation

The next process after planning for procurement management involves sending appropriate documentation to potential sellers. This step is crucial in the procurement process as it allows potential sellers to understand the requirements and expectations of the buyer. By providing the necessary documentation, such as request for proposals or invitation to bid, the buyer can effectively communicate their needs and specifications to potential sellers. This helps ensure that the sellers have all the information they need to submit their proposals or bids accurately and in line with the buyer's requirements.

90. _____ can be perceived as enemies or allies by stakeholders depending on the outcomes of a project.

Project managers can be perceived as enemies or allies by stakeholders depending on the outcomes of a project. This is because project managers are responsible for the overall success of a project, including meeting deadlines, budget constraints, and delivering the desired results. If project managers are able to effectively communicate, collaborate, and deliver successful outcomes, stakeholders are more likely to perceive them as allies. However, if project managers fail to meet expectations or face challenges in managing the project, stakeholders may perceive them as enemies.

Explanation

Project managers can be perceived as enemies or allies by stakeholders depending on the outcomes of a project. This is because project managers are responsible for the overall success of a project, including meeting deadlines, budget constraints, and delivering the desired results. If project managers are able to effectively communicate, collaborate, and deliver successful outcomes, stakeholders are more likely to perceive them as allies. However, if project managers fail to meet expectations or face challenges in managing the project, stakeholders may perceive them as enemies.

Submit

91. _____ risks refer to those that are direct results of implementing risk responses.

Architectual

Primary

Residual

Secondary

Secondary risks refer to those risks that arise as a result of implementing risk responses. These risks are not initially identified in the risk assessment but emerge due to the actions taken to mitigate or avoid primary risks. They can be seen as unintended consequences or new risks that arise from the implementation of risk management strategies. Therefore, secondary risks are directly linked to the risk response process and are a direct result of taking actions to address primary risks.

Explanation

Secondary risks refer to those risks that arise as a result of implementing risk responses. These risks are not initially identified in the risk assessment but emerge due to the actions taken to mitigate or avoid primary risks. They can be seen as unintended consequences or new risks that arise from the implementation of risk management strategies. Therefore, secondary risks are directly linked to the risk response process and are a direct result of taking actions to address primary risks.

92. Which of the following is true about identifying stakeholder?

The project manager’s family is not a potential stakeholder.

It is not very difficult to identify stakeholders.

Stakeholders with indirect ties to the project need not be engaged with.

Stakeholders do not change during a project

Stakeholders with indirect ties to the project need not be engaged with. This means that individuals or groups who have a minimal or indirect impact on the project's outcomes do not need to be actively involved or consulted. The focus should be on engaging and involving stakeholders who have a direct and significant influence on the project's success.

Explanation

Stakeholders with indirect ties to the project need not be engaged with. This means that individuals or groups who have a minimal or indirect impact on the project's outcomes do not need to be actively involved or consulted. The focus should be on engaging and involving stakeholders who have a direct and significant influence on the project's success.

93. In project procurement management, which of the following is an output of the executing process?

Make-or-buy decisions

Statements of work

Source selection criteria

Resource calendars

Resource calendars are an output of the executing process in project procurement management. These calendars provide information about the availability and allocation of resources throughout the project. They help in coordinating and scheduling activities, ensuring that the necessary resources are available when needed. By having a clear understanding of resource availability, project managers can effectively plan and execute project activities, minimizing conflicts and delays.

Explanation

Resource calendars are an output of the executing process in project procurement management. These calendars provide information about the availability and allocation of resources throughout the project. They help in coordinating and scheduling activities, ensuring that the necessary resources are available when needed. By having a clear understanding of resource availability, project managers can effectively plan and execute project activities, minimizing conflicts and delays.

94. With a(n) _____ contract, the buyer pays the supplier for allowable performance costs plus a fixed fee payment usually based on a percentage of estimated costs.

CPFF

FPIF

CPAF

CPIF

A Cost-Plus-Fixed-Fee (CPFF) contract is a type of contract where the buyer pays the supplier for allowable performance costs, such as labor and materials, plus a fixed fee payment. This fixed fee is usually based on a percentage of the estimated costs. In other words, the buyer reimburses the supplier for the actual costs incurred in performing the contract, and the fixed fee provides the supplier with additional profit. This type of contract is commonly used when the scope of work is difficult to determine or when there is a high level of uncertainty in the project.

Explanation

A Cost-Plus-Fixed-Fee (CPFF) contract is a type of contract where the buyer pays the supplier for allowable performance costs, such as labor and materials, plus a fixed fee payment. This fixed fee is usually based on a percentage of the estimated costs. In other words, the buyer reimburses the supplier for the actual costs incurred in performing the contract, and the fixed fee provides the supplier with additional profit. This type of contract is commonly used when the scope of work is difficult to determine or when there is a high level of uncertainty in the project.

95. From the buyer's perspective, the _____ is the least desirable among all contracts because the supplier has no incentive to decrease costs.

CPIF

CPFF

CPAF

CPPC

The CPPC contract is the least desirable among all contracts from the buyer's perspective because the supplier has no incentive to decrease costs. This is because the CPPC (Cost Plus Percentage of Cost) contract reimburses the supplier for all costs incurred, plus a percentage of those costs as profit. Therefore, the supplier has no motivation to minimize costs since their profit is directly tied to the amount spent. This can result in higher costs for the buyer and less control over the project budget.

Explanation

The CPPC contract is the least desirable among all contracts from the buyer's perspective because the supplier has no incentive to decrease costs. This is because the CPPC (Cost Plus Percentage of Cost) contract reimburses the supplier for all costs incurred, plus a percentage of those costs as profit. Therefore, the supplier has no motivation to minimize costs since their profit is directly tied to the amount spent. This can result in higher costs for the buyer and less control over the project budget.

96. A(n) _____ contract carries the least risk for suppliers.

CPPC

FFP

CPAF

FP-EPA

CPPC stands for Cost Plus Percentage of Cost contract. In this type of contract, the supplier is reimbursed for the actual costs incurred in performing the contract, plus a predetermined percentage of those costs as profit. This contract carries the least risk for suppliers because they are guaranteed to be reimbursed for their costs and also earn a profit. The risk is shifted to the buyer, who agrees to pay the supplier's costs regardless of the final outcome or performance of the project.

Explanation

CPPC stands for Cost Plus Percentage of Cost contract. In this type of contract, the supplier is reimbursed for the actual costs incurred in performing the contract, plus a predetermined percentage of those costs as profit. This contract carries the least risk for suppliers because they are guaranteed to be reimbursed for their costs and also earn a profit. The risk is shifted to the buyer, who agrees to pay the supplier's costs regardless of the final outcome or performance of the project.

97. The _____ is a description of the work required for a procurement.

RFQ

WBS

RFP

SOW

The Statement of Work (SOW) is a detailed description of the work that needs to be done for a procurement. It outlines the specific tasks, deliverables, and expectations for the project. The SOW serves as a guide for both the buyer and the seller, ensuring that there is a clear understanding of the scope of work and the requirements. It helps to minimize misunderstandings and ensures that the procurement is carried out effectively and efficiently.

Explanation

The Statement of Work (SOW) is a detailed description of the work that needs to be done for a procurement. It outlines the specific tasks, deliverables, and expectations for the project. The SOW serves as a guide for both the buyer and the seller, ensuring that there is a clear understanding of the scope of work and the requirements. It helps to minimize misunderstandings and ensures that the procurement is carried out effectively and efficiently.

98. A(n) _____ is a document used to solicit proposals from prospective suppliers.

RFQ

WBS

RFP

SOW

An RFP (Request for Proposal) is a document used to solicit proposals from prospective suppliers. It is a formal invitation for suppliers to submit their proposals for a specific project or requirement. The RFP outlines the project details, requirements, and evaluation criteria, allowing suppliers to understand what is expected from them and submit their best proposal to win the contract. It is a crucial step in the procurement process as it helps the buyer compare and evaluate different proposals to make an informed decision.

Explanation

An RFP (Request for Proposal) is a document used to solicit proposals from prospective suppliers. It is a formal invitation for suppliers to submit their proposals for a specific project or requirement. The RFP outlines the project details, requirements, and evaluation criteria, allowing suppliers to understand what is expected from them and submit their best proposal to win the contract. It is a crucial step in the procurement process as it helps the buyer compare and evaluate different proposals to make an informed decision.

99. A(n) _____ is a technique for analyzing information to determine which stakeholders' interests to focus on and how to increase stakeholder support throughout the project.

Stakeholder analysis is a technique used to analyze information in order to identify and prioritize the interests of stakeholders and devise strategies to gain their support. By understanding the needs, expectations, and concerns of stakeholders, project managers can effectively engage and communicate with them, ensuring their involvement and support throughout the project. This analysis helps in identifying key stakeholders, assessing their influence and impact on the project, and developing appropriate strategies to manage their expectations and concerns.

Explanation

Stakeholder analysis is a technique used to analyze information in order to identify and prioritize the interests of stakeholders and devise strategies to gain their support. By understanding the needs, expectations, and concerns of stakeholders, project managers can effectively engage and communicate with them, ensuring their involvement and support throughout the project. This analysis helps in identifying key stakeholders, assessing their influence and impact on the project, and developing appropriate strategies to manage their expectations and concerns.

Submit

100. The psychology literature shows that individuals, working alone, produce fewer ideas than the same individuals produce through brainstorming in small, face-to-face groups.

True

False

The statement is false because the psychology literature actually suggests that individuals working alone tend to produce more ideas than they do in small, face-to-face groups during brainstorming sessions. This is because working alone allows individuals to have more freedom and independence in their thinking, without the potential influence or pressure from others in a group setting. Additionally, working alone allows individuals to fully explore their own ideas without interruption or distraction from others.

Explanation

The statement is false because the psychology literature actually suggests that individuals working alone tend to produce more ideas than they do in small, face-to-face groups during brainstorming sessions. This is because working alone allows individuals to have more freedom and independence in their thinking, without the potential influence or pressure from others in a group setting. Additionally, working alone allows individuals to fully explore their own ideas without interruption or distraction from others.

101. Unenforceable conditions or contract clauses and adversarial relations are risk conditions associated with the project _____ management knowledge area.

Integration

Quality

Procurement

Human resources

Unenforceable conditions or contract clauses and adversarial relations are risk conditions associated with the project procurement management knowledge area. This is because procurement management involves the process of acquiring goods and services from external suppliers. During this process, there is a risk of encountering unenforceable conditions or contract clauses that may hinder the successful completion of the project. Additionally, adversarial relations with suppliers can also pose a risk to the procurement management process. Therefore, these risk conditions are specifically associated with the procurement management knowledge area.

Explanation

Unenforceable conditions or contract clauses and adversarial relations are risk conditions associated with the project procurement management knowledge area. This is because procurement management involves the process of acquiring goods and services from external suppliers. During this process, there is a risk of encountering unenforceable conditions or contract clauses that may hinder the successful completion of the project. Additionally, adversarial relations with suppliers can also pose a risk to the procurement management process. Therefore, these risk conditions are specifically associated with the procurement management knowledge area.

102. Top Ten Risk Item Tracking is a quantitative risk analysis tool.

True

False

Top Ten Risk Item Tracking is not a quantitative risk analysis tool. The statement implies that it is, but the correct answer is false. Therefore, it can be inferred that Top Ten Risk Item Tracking is not a quantitative risk analysis tool.

Explanation

Top Ten Risk Item Tracking is not a quantitative risk analysis tool. The statement implies that it is, but the correct answer is false. Therefore, it can be inferred that Top Ten Risk Item Tracking is not a quantitative risk analysis tool.

103. Quantitative risk analysis need not be done for projects that are large and complex.

True

False

Quantitative risk analysis is a process used to assess and quantify the potential risks and their impact on a project. It involves analyzing data and using mathematical models to determine the probability and severity of risks. While it is generally recommended to perform quantitative risk analysis for large and complex projects, it is not always necessary. Smaller and less complex projects may have fewer risks or risks that can be easily identified and managed without the need for quantitative analysis. Therefore, it is true that quantitative risk analysis need not be done for projects that are large and complex.

Explanation

Quantitative risk analysis is a process used to assess and quantify the potential risks and their impact on a project. It involves analyzing data and using mathematical models to determine the probability and severity of risks. While it is generally recommended to perform quantitative risk analysis for large and complex projects, it is not always necessary. Smaller and less complex projects may have fewer risks or risks that can be easily identified and managed without the need for quantitative analysis. Therefore, it is true that quantitative risk analysis need not be done for projects that are large and complex.

104. Which of the following is an output of the contract closure process?

Procurement statements of work

Updates to organizational process assets

Resource calendars

Work performance information

The contract closure process involves updating the organizational process assets. This is because during the contract closure, lessons learned, contract documentation, and other relevant information are collected and documented. These updates to the organizational process assets are valuable for future projects and can help improve the organization's overall processes and procedures. This output ensures that the organization can learn from its past experiences and make necessary improvements for future contracts.

Explanation

The contract closure process involves updating the organizational process assets. This is because during the contract closure, lessons learned, contract documentation, and other relevant information are collected and documented. These updates to the organizational process assets are valuable for future projects and can help improve the organization's overall processes and procedures. This output ensures that the organization can learn from its past experiences and make necessary improvements for future contracts.

105. The purpose of _____ is to identify all people or organizations affected by a project, to analyze their expectations, and to effectively engage them in project decisions throughout the life of a project.

Project stakeholder management is the process of identifying and analyzing all individuals or organizations that may be affected by a project. This includes stakeholders such as customers, employees, suppliers, and the community. The purpose of project stakeholder management is to understand their expectations, concerns, and needs, and to engage them in project decisions. By effectively managing stakeholders throughout the project's lifecycle, the project team can ensure their support and involvement, which is crucial for the project's success.

Explanation

Project stakeholder management is the process of identifying and analyzing all individuals or organizations that may be affected by a project. This includes stakeholders such as customers, employees, suppliers, and the community. The purpose of project stakeholder management is to understand their expectations, concerns, and needs, and to engage them in project decisions. By effectively managing stakeholders throughout the project's lifecycle, the project team can ensure their support and involvement, which is crucial for the project's success.

Submit

106. _____ involves determining everyone involved in the project or affected by it, and determining the best ways to manage relationships with them.

Identifying stakeholders

Planning stakeholder management

Managing stakeholder engagement

Controlling stakeholder engagement

The correct answer is "Identifying stakeholders." This involves determining everyone involved in the project or affected by it and determining the best ways to manage relationships with them. This step is crucial in project management as it helps to ensure that all relevant parties are identified and their needs and expectations are understood. By identifying stakeholders, project managers can effectively communicate and engage with them throughout the project lifecycle, which ultimately contributes to the success of the project.

Explanation

The correct answer is "Identifying stakeholders." This involves determining everyone involved in the project or affected by it and determining the best ways to manage relationships with them. This step is crucial in project management as it helps to ensure that all relevant parties are identified and their needs and expectations are understood. By identifying stakeholders, project managers can effectively communicate and engage with them throughout the project lifecycle, which ultimately contributes to the success of the project.

107. Risk events refer to specific, certain events that may occur to the detriment or enhancement of the project.

True

False

The statement is incorrect. Risk events do not refer to specific, certain events. Rather, they refer to uncertain events that may have a positive or negative impact on a project. Risk events are events that have not yet occurred and their outcomes are uncertain. Therefore, the correct answer is False.

Explanation

The statement is incorrect. Risk events do not refer to specific, certain events. Rather, they refer to uncertain events that may have a positive or negative impact on a project. Risk events are events that have not yet occurred and their outcomes are uncertain. Therefore, the correct answer is False.

108. Scope, time and cost goals in order of importance can be ranked on a(n) _____.

Requirements traceability matrix

Expectations management matrix

Responsibility assignment matrix

Probability matrix

The expectations management matrix is used to rank and prioritize scope, time, and cost goals in order of importance. This matrix helps in aligning the stakeholders' expectations and managing them effectively. It provides a framework to assess and prioritize the goals based on their impact and importance to the project. By using the expectations management matrix, project managers can ensure that the most critical goals are given the highest priority and are effectively managed throughout the project lifecycle.

Explanation

The expectations management matrix is used to rank and prioritize scope, time, and cost goals in order of importance. This matrix helps in aligning the stakeholders' expectations and managing them effectively. It provides a framework to assess and prioritize the goals based on their impact and importance to the project. By using the expectations management matrix, project managers can ensure that the most critical goals are given the highest priority and are effectively managed throughout the project lifecycle.

109. A(n) _____ is a tool used to group stakeholders based on their level of authority and their level of concern for project outcomes.

A power/interest grid is a tool used to group stakeholders based on their level of authority and their level of concern for project outcomes. This grid helps in identifying and prioritizing stakeholders based on their influence and interest in the project. It allows project managers to effectively engage and communicate with stakeholders by tailoring their strategies according to each group's needs and expectations. This tool helps in managing stakeholder relationships and ensuring that their interests are appropriately addressed throughout the project lifecycle.

Explanation

A power/interest grid is a tool used to group stakeholders based on their level of authority and their level of concern for project outcomes. This grid helps in identifying and prioritizing stakeholders based on their influence and interest in the project. It allows project managers to effectively engage and communicate with stakeholders by tailoring their strategies according to each group's needs and expectations. This tool helps in managing stakeholder relationships and ensuring that their interests are appropriately addressed throughout the project lifecycle.

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110. Doctors who have been co-opted to actively participate in a project related to using information technology for chronic health problems would be examples of _____ stakeholders.

Supportive

Leading

Resistant

Neutral

Doctors who have been co-opted to actively participate in a project related to using information technology for chronic health problems would be examples of leading stakeholders. This is because they are actively involved and taking a leading role in the project, using their expertise and knowledge to contribute to its success. They are likely to have a strong influence on the project's direction and outcomes, making them key stakeholders in its implementation.

Explanation

Doctors who have been co-opted to actively participate in a project related to using information technology for chronic health problems would be examples of leading stakeholders. This is because they are actively involved and taking a leading role in the project, using their expertise and knowledge to contribute to its success. They are likely to have a strong influence on the project's direction and outcomes, making them key stakeholders in its implementation.

111. Managing communications is part of the _____ process of the project communication management.

Closing

Executing

Planning

Monitoring and controlling

Managing communications is part of the executing process of the project communication management. During the executing process, the project team carries out the planned activities, including managing and distributing project information to stakeholders. This involves ensuring effective communication channels are established, messages are delivered, and feedback is received. The executing process is where the project work is performed, and managing communications is an essential aspect of this phase to ensure effective communication throughout the project.

Explanation

Managing communications is part of the executing process of the project communication management. During the executing process, the project team carries out the planned activities, including managing and distributing project information to stakeholders. This involves ensuring effective communication channels are established, messages are delivered, and feedback is received. The executing process is where the project work is performed, and managing communications is an essential aspect of this phase to ensure effective communication throughout the project.

112. According to the guidelines provided by Practical Communications, Inc., a(n) _____ is the most inappropriate medium for addressing negative behavior.

Voice mail

E-mail

Meeting

Web site

A meeting is the most inappropriate medium for addressing negative behavior because it can create a confrontational atmosphere and may lead to emotional reactions. Negative behavior should be addressed privately and in a non-confrontational manner, allowing for open communication and the opportunity for the individual to reflect on their actions. A meeting may not provide the privacy or the calm environment necessary for a constructive conversation about negative behavior.

Explanation

A meeting is the most inappropriate medium for addressing negative behavior because it can create a confrontational atmosphere and may lead to emotional reactions. Negative behavior should be addressed privately and in a non-confrontational manner, allowing for open communication and the opportunity for the individual to reflect on their actions. A meeting may not provide the privacy or the calm environment necessary for a constructive conversation about negative behavior.

113. A _____ is a technique used to show the effects of changing one or more variables on an outcome.

Sensitivity analysis

Decision tree

Monte Carlo analysis

Systems analysis

Sensitivity analysis is a technique used to show the effects of changing one or more variables on an outcome. It helps in understanding how changes in input variables impact the results or outcomes of a model or system. By varying the values of these variables, sensitivity analysis allows for the identification of the most influential factors and their impact on the overall outcome. This analysis is particularly useful in decision-making processes, as it provides insights into the sensitivity of the results to different scenarios and helps in making informed decisions.

Explanation

Sensitivity analysis is a technique used to show the effects of changing one or more variables on an outcome. It helps in understanding how changes in input variables impact the results or outcomes of a model or system. By varying the values of these variables, sensitivity analysis allows for the identification of the most influential factors and their impact on the overall outcome. This analysis is particularly useful in decision-making processes, as it provides insights into the sensitivity of the results to different scenarios and helps in making informed decisions.

114. One of the main outputs of the _____ process are the issue logs.

Planning stakeholder management

Identifying stakeholders

Managing stakeholder engagement

Controlling stakeholder engagement

The managing stakeholder engagement process involves actively engaging stakeholders throughout the project to ensure their needs and expectations are met. This process includes activities such as communication, negotiation, and relationship building. Issue logs are one of the main outputs of this process because they document and track any issues or concerns raised by stakeholders during the project. These logs help the project team address and resolve these issues in a timely manner, ensuring stakeholder satisfaction and project success.

Explanation

The managing stakeholder engagement process involves actively engaging stakeholders throughout the project to ensure their needs and expectations are met. This process includes activities such as communication, negotiation, and relationship building. Issue logs are one of the main outputs of this process because they document and track any issues or concerns raised by stakeholders during the project. These logs help the project team address and resolve these issues in a timely manner, ensuring stakeholder satisfaction and project success.

115. A simple way to document basic information on project stakeholders is by creating a(n) _____.

Managers register

Depositor register

Stakeholder register

None of the above

A stakeholder register is a document used to record and document basic information about project stakeholders. It includes details such as their names, roles, contact information, and level of influence or interest in the project. The term "managers register" does not accurately describe this document, as it implies a focus solely on managers rather than all stakeholders involved in the project. The term "depositor register" is unrelated to project stakeholders and does not apply in this context. Therefore, the correct answer is "stakeholder register."

Explanation

A stakeholder register is a document used to record and document basic information about project stakeholders. It includes details such as their names, roles, contact information, and level of influence or interest in the project. The term "managers register" does not accurately describe this document, as it implies a focus solely on managers rather than all stakeholders involved in the project. The term "depositor register" is unrelated to project stakeholders and does not apply in this context. Therefore, the correct answer is "stakeholder register."