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PRINCE2 Practitioner Exam

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Question # 1

Scenario:

Techniques, processes and procedures

1. Any threat that may result in a loss of MFH data must be escalated immediately.

Joint agreements

2. Work is to start at the beginning of week 2 (Stage 4).

3. The project will take two years to complete, at an estimated cost of £2.5m.

Tolerances

4. None.

Constraints

5. MFH staff must not be involved in any heavy lifting during the removal of existing IT equipment.

6. Installation work must take place during MFH normal working hours.

7. +£10,000 / -£25,000.

Reporting arrangements

8. Highlight Report every Monday by 10.00 am.

9. The report must contain a summary of all products worked on during the previous week.

10. Project Manager must be notified of any issues immediately by telephone.

Problem handling and escalation

11. Impact analysis of all issues must be completed within 24 hours.

Extracts or references

12. The Stage Plan for stage 4 is available from Project Support.

Approval method

13. Project Assurance will review the completed Work Package and confirm completion

Which 2 statements apply to either the Extracts or references or Approval method sections?

Options:

A.  

Delete entry 12 because this should be the Team Plan not the Stage Plan.

B.  

A suitable entry for Extracts or references would be 'Product Descriptions are available from Project Support'.

C.  

Move entry 13 to Reporting arrangements because this describes how completion will be advised to the

D.  

Project Manager.

E.  

Delete entry 13 because this is NOT a Project Assurance responsibility.

F.  

Add 'The Project Manager is to be advised of completion of the Work Package by email'.

Discussion 0
Question # 2

Which statement is TRUE with regard to technical stages?

Options:

A.  

Technical stages can only occur sequential

B.  

Technical stages define where management decisions are appropriate

C.  

Technical stages often overlap

D.  

Technical stages define the commitment of resources and authority to spend

Discussion 0
Question # 3

Scenario:

Techniques, processes and procedures

1. Any threat that may result in a loss of MFH data must be escalated immediately.

Joint agreements

2. Work is to start at the beginning of week 2 (Stage 4).

3. The project will take two years to complete, at an estimated cost of £2.5m.

Tolerances

4. None.

Constraints

5. MFH staff must not be involved in any heavy lifting during the removal of existing IT equipment.

6. Installation work must take place during MFH normal working hours.

7. +£10,000 / -£25,000.

Reporting arrangements

8. Highlight Report every Monday by 10.00 am.

9. The report must contain a summary of all products worked on during the previous week.

10. Project Manager must be notified of any issues immediately by telephone.

Problem handling and escalation

11. Impact analysis of all issues must be completed within 24 hours.

Extracts or references

12. The Stage Plan for stage 4 is available from Project Support.

Approval method

13. Project Assurance will review the completed Work Package and confirm completion

Column 1 is a list of actions that occur during the Controlling a Stage process. For each action in Column 1, select from Column 2 the PRINCE2 theme that is being applied. Each selection from Column 2 can be used once, more than once or not at all.

Drop down the answer from column 1 to column 2.

Question # 3

Options:

Discussion 0
Question # 4

Who is responsible for confirming stage and project progress against agreed tolerances?

Options:

A.  

Project Support

B.  

Executive

C.  

Project Assurance

D.  

Project Manager

Discussion 0
Question # 5

MANAGING PRODUCT DELIVERY

Stage 2 is in progress. While producing the team plan, the team manager responsible for the work package to develop the 'classroom-based training material' discovered that the representatives assigned to check the products were unsuitable.

Which action should the team manager take in response?

Options:

A.  

Discuss the situation with project assurance.

B.  

Advise the project manager of this risk.

C.  

Update the quality register with these concerns.

D.  

Raise an exception report to the project manager.

Discussion 0
Question # 6

Project Scenario – Health and Safety Training Project:

ABC Company is a well-established training company that uses a standard model to develop training materials and deliver courses to customers.

ABC Company has commissioned a project in response to recent changes in government legislation relating to health and safety on construction sites. The project will deliver “capability to provide health and safety training”, including the materials needed for classroom-based training and e-learning. The expected benefits for construction companies include a reduction in lost days and legal costs due to accidents.

The e-learning course will be developed by a specialist external consultancy. The materials for classroom-based training will be delivered by ABC Company’s development team. All course materials will be piloted before they are used. ABC Company will deliver training to its customers and also hopes to sell the course materials to other training companies as part of their operational business. ABC Company will use their own sales and marketing departments to promote the courses.

The legislation requires construction companies to comply with the new legislation within two years. The course materials and trainers have to be accredited by a government agency before courses can be delivered. ABC Company is planning to deliver pilot courses within five months of starting the project.

The ABC Company standard development model for new courses recommends the following stages:

Question # 6

End of the Project scenario.

Additional Information:

The Chief Executive Officer (CEO) founded the company five years ago. Under her leadership, ABC Company has grown quickly into a successful training company. It delivers a range of accredited professional training.

The Finance Director is also a founder member of ABC Company and is responsible for authorizing budgets for the Operations and Development Teams. She authorizes all large contracts personally.

The Purchasing Manager reports to the Finance Director and is responsible for managing and monitoring supplier contracts.

The Operations Director is responsible for the delivery off all training and for the training development budget. His department organizes courses, venues and trainers. They work with the Product and the Sales teams to provide a comprehensive training schedule. ABC Company’s IT manager reports to the Operations Director.

The Business Development Director has recently been appointed to identify new training needs and propose new products. She will work with the Operations. Director to ensure a cost-conscious approach and that appropriate development technologies are used for the health and safety course.

The Training Development Manager reports to the Business Development Director and is responsible for developing training materials and gaining accreditation, in accordance with the standard course development model. Course developers in his team have skills in a range of development technologies and are allocated to projects as needed.

The Training Delivery Manager, who reports to the Operations Director, is responsible for ensuring that internal and external trainers deliver ABC Company training courses to the required standard. He also checks course materials to ensure they are fit for purpose and of the required quality.

The Central Services Director has responsibility for corporate communications, facilities management and configuration management. He recently led a project to consolidate all company quality systems into one quality management system and set up a corporate quality department, now managed by the Corporate Quality Manager.

The Corporate Document Manager reports to the Central Services Director. She helped establish the company’s document management system and now operates it across the business. She manages a team of administrators and contracts staff when workload is high.

The Sales Director joined ABC Company two months ago and is keen to establish himself by suggesting new markets for the courses and material. All account managers and the marketing team report to him. They promote existing training courses to other training companies and existing customers.

End of the additional information.

During stage 3, a work package was assigned to produce the 'planned pilot courses'. The product's quality criteria were defined and baselined before the work package was agreed.

Which principle is being applied, and why?

Options:

A.  

'Focus on products', because delivering a product's complete set of features is more important than delivering it on time or to cost.

B.  

'Focus on products', because a product should be agreed and defined to a reasonable extent before production begins.

C.  

'Continued business justification', because the business justification is partly defined in the product description of a specialist product.

D.  

'Continued business justification', because both work activities and products contribute to the success of the project.

Discussion 0
Question # 7

A change authority has been appointed for the project. During the development of the 'classroom-based training material', a large number of changes were proposed to the design of the 'e-learning course'. Therefore, the change authority has decided to use the Moscow technique to prioritize changes based on the impact they will have on completing each stage on time.

Is this an appropriate application of the Moscow technique, and why?

Options:

A.  

Yes, because it should be used to prioritize change based on the estimated impact on time.

B.  

Yes, because it is a prioritization technique that should be used to prioritize a product's quality criteria.

C.  

No, because it should define scope tolerances, supporting the management by exception principle.

D.  

No, because it should be used to prioritize change based on the project's business justification.

Discussion 0
Question # 8

As a result of experiences on previous projects, a change authority has been established for the Health and Safety Training Project. A key client for the training materials has a representative on the project board.

Should their interests be represented within the change authority for the project, and why?

Options:

A.  

Yes, because this will give them a better understanding of the training materials.

B.  

Yes, because a change authority should consider external stakeholder needs.

C.  

No, because the change authority should be internal to the ABC organization.

D.  

No, because their project board member will be able to agree any required changes.

Discussion 0
Question # 9

When updating the project plan as part of Managing a stage boundary, what else might be updated?

Options:

A.  

Exception Plan

B.  

Project Management team

C.  

Business Case

D.  

Project Initiation Documentation

Discussion 0
Question # 10

Which of the following activities is NOT an action of preparing for planned closure?

Options:

A.  

Update the project plan with actual

B.  

Update the Project Management Team

C.  

Request a product status account

D.  

Confirm project has delivered what is defined in Project Product Description

Discussion 0
Question # 11

Which of the following management products ARE updated as part of Managing a stage boundary?

1. Business Case

2. Benefits Review Plan

3. Configuration Item Records

4. Project Brief

Options:

A.  

1, 2, 3

B.  

1, 3, 4

C.  

1, 2, 4

D.  

2, 3, 4

Discussion 0
Question # 12

The Manage by Exception principle sets tolerances for six areas of the project, Time. Cost and Quality are three of them, what are the other three?

Options:

A.  

Scope, People & Resources, Benefit

B.  

Scope, Risk, Product

C.  

Risk, Benefit, Product

D.  

Scope, Risk, Benefit

Discussion 0
Question # 13

Project Scenario – Health and Safety Training Project:

ABC Company is a well-established training company that uses a standard model to develop training materials and deliver courses to customers.

ABC Company has commissioned a project in response to recent changes in government legislation relating to health and safety on construction sites. The project will deliver “capability to provide health and safety training”, including the materials needed for classroom-based training and e-learning. The expected benefits for construction companies include a reduction in lost days and legal costs due to accidents.

The e-learning course will be developed by a specialist external consultancy. The materials for classroom-based training will be delivered by ABC Company’s development team. All course materials will be piloted before they are used. ABC Company will deliver training to its customers and also hopes to sell the course materials to other training companies as part of their operational business. ABC Company will use their own sales and marketing departments to promote the courses.

The legislation requires construction companies to comply with the new legislation within two years. The course materials and trainers have to be accredited by a government agency before courses can be delivered. ABC Company is planning to deliver pilot courses within five months of starting the project.

The ABC Company standard development model for new courses recommends the following stages:

Question # 13

End of the Project scenario.

Additional Information:

The Chief Executive Officer (CEO) founded the company five years ago. Under her leadership, ABC Company has grown quickly into a successful training company. It delivers a range of accredited professional training.

The Finance Director is also a founder member of ABC Company and is responsible for authorizing budgets for the Operations and Development Teams. She authorizes all large contracts personally.

The Purchasing Manager reports to the Finance Director and is responsible for managing and monitoring supplier contracts.

The Operations Director is responsible for the delivery off all training and for the training development budget. His department organizes courses, venues and trainers. They work with the Product and the Sales teams to provide a comprehensive training schedule. ABC Company’s IT manager reports to the Operations Director.

The Business Development Director has recently been appointed to identify new training needs and propose new products. She will work with the Operations. Director to ensure a cost-conscious approach and that appropriate development technologies are used for the health and safety course.

The Training Development Manager reports to the Business Development Director and is responsible for developing training materials and gaining accreditation, in accordance with the standard course development model. Course developers in his team have skills in a range of development technologies and are allocated to projects as needed.

The Training Delivery Manager, who reports to the Operations Director, is responsible for ensuring that internal and external trainers deliver ABC Company training courses to the required standard. He also checks course materials to ensure they are fit for purpose and of the required quality.

The Central Services Director has responsibility for corporate communications, facilities management and configuration management. He recently led a project to consolidate all company quality systems into one quality management system and set up a corporate quality department, now managed by the Corporate Quality Manager.

The Corporate Document Manager reports to the Central Services Director. She helped establish the company’s document management system and now operates it across the business. She manages a team of administrators and contracts staff when workload is high.

The Sales Director joined ABC Company two months ago and is keen to establish himself by suggesting new markets for the courses and material. All account managers and the marketing team report to him. They promote existing training courses to other training companies and existing customers.

End of the additional information.

INITIATING A PROJECT

Here are three statements that were considered by the project management team during the ‘initiating a project’ process.

As part of which activity (A-F) should they FIRST be considered?

Choose only one activity for each statement. Each activity can be used once, more than once, or not at all.

Question # 13

Options:

Discussion 0
Question # 14

Project Scenario – Health and Safety Training Project:

ABC Company is a well-established training company that uses a standard model to develop training materials and deliver courses to customers.

ABC Company has commissioned a project in response to recent changes in government legislation relating to health and safety on construction sites. The project will deliver “capability to provide health and safety training”, including the materials needed for classroom-based training and e-learning. The expected benefits for construction companies include a reduction in lost days and legal costs due to accidents.

The e-learning course will be developed by a specialist external consultancy. The materials for classroom-based training will be delivered by ABC Company’s development team. All course materials will be piloted before they are used. ABC Company will deliver training to its customers and also hopes to sell the course materials to other training companies as part of their operational business. ABC Company will use their own sales and marketing departments to promote the courses.

The legislation requires construction companies to comply with the new legislation within two years. The course materials and trainers have to be accredited by a government agency before courses can be delivered. ABC Company is planning to deliver pilot courses within five months of starting the project.

The ABC Company standard development model for new courses recommends the following stages:

Question # 14

End of the Project scenario.

Additional Information:

The Chief Executive Officer (CEO) founded the company five years ago. Under her leadership, ABC Company has grown quickly into a successful training company. It delivers a range of accredited professional training.

The Finance Director is also a founder member of ABC Company and is responsible for authorizing budgets for the Operations and Development Teams. She authorizes all large contracts personally.

The Purchasing Manager reports to the Finance Director and is responsible for managing and monitoring supplier contracts.

The Operations Director is responsible for the delivery off all training and for the training development budget. His department organizes courses, venues and trainers. They work with the Product and the Sales teams to provide a comprehensive training schedule. ABC Company’s IT manager reports to the Operations Director.

The Business Development Director has recently been appointed to identify new training needs and propose new products. She will work with the Operations. Director to ensure a cost-conscious approach and that appropriate development technologies are used for the health and safety course.

The Training Development Manager reports to the Business Development Director and is responsible for developing training materials and gaining accreditation, in accordance with the standard course development model. Course developers in his team have skills in a range of development technologies and are allocated to projects as needed.

The Training Delivery Manager, who reports to the Operations Director, is responsible for ensuring that internal and external trainers deliver ABC Company training courses to the required standard. He also checks course materials to ensure they are fit for purpose and of the required quality.

The Central Services Director has responsibility for corporate communications, facilities management and configuration management. He recently led a project to consolidate all company quality systems into one quality management system and set up a corporate quality department, now managed by the Corporate Quality Manager.

The Corporate Document Manager reports to the Central Services Director. She helped establish the company’s document management system and now operates it across the business. She manages a team of administrators and contracts staff when workload is high.

The Sales Director joined ABC Company two months ago and is keen to establish himself by suggesting new markets for the courses and material. All account managers and the marketing team report to him. They promote existing training courses to other training companies and existing customers.

End of the additional information.

DIRECTING A PROJECT

Here are three actions that are carried out as part of the ‘directing a project’ process.

During which activity (A-E) should they be carried out?

Choose only one activity for each action. Each activity can be used once, more than once, or not at all.

Question # 14

Options:

Discussion 0
Question # 15

Project Scenario – Health and Safety Training Project:

ABC Company is a well-established training company that uses a standard model to develop training materials and deliver courses to customers.

ABC Company has commissioned a project in response to recent changes in government legislation relating to health and safety on construction sites. The project will deliver “capability to provide health and safety training”, including the materials needed for classroom-based training and e-learning. The expected benefits for construction companies include a reduction in lost days and legal costs due to accidents.

The e-learning course will be developed by a specialist external consultancy. The materials for classroom-based training will be delivered by ABC Company’s development team. All course materials will be piloted before they are used. ABC Company will deliver training to its customers and also hopes to sell the course materials to other training companies as part of their operational business. ABC Company will use their own sales and marketing departments to promote the courses.

The legislation requires construction companies to comply with the new legislation within two years. The course materials and trainers have to be accredited by a government agency before courses can be delivered. ABC Company is planning to deliver pilot courses within five months of starting the project.

The ABC Company standard development model for new courses recommends the following stages:

Question # 15

End of the Project scenario.

Additional Information:

The Chief Executive Officer (CEO) founded the company five years ago. Under her leadership, ABC Company has grown quickly into a successful training company. It delivers a range of accredited professional training.

The Finance Director is also a founder member of ABC Company and is responsible for authorizing budgets for the Operations and Development Teams. She authorizes all large contracts personally.

The Purchasing Manager reports to the Finance Director and is responsible for managing and monitoring supplier contracts.

The Operations Director is responsible for the delivery off all training and for the training development budget. His department organizes courses, venues and trainers. They work with the Product and the Sales teams to provide a comprehensive training schedule. ABC Company’s IT manager reports to the Operations Director.

The Business Development Director has recently been appointed to identify new training needs and propose new products. She will work with the Operations. Director to ensure a cost-conscious approach and that appropriate development technologies are used for the health and safety course.

The Training Development Manager reports to the Business Development Director and is responsible for developing training materials and gaining accreditation, in accordance with the standard course development model. Course developers in his team have skills in a range of development technologies and are allocated to projects as needed.

The Training Delivery Manager, who reports to the Operations Director, is responsible for ensuring that internal and external trainers deliver ABC Company training courses to the required standard. He also checks course materials to ensure they are fit for purpose and of the required quality.

The Central Services Director has responsibility for corporate communications, facilities management and configuration management. He recently led a project to consolidate all company quality systems into one quality management system and set up a corporate quality department, now managed by the Corporate Quality Manager.

The Corporate Document Manager reports to the Central Services Director. She helped establish the company’s document management system and now operates it across the business. She manages a team of administrators and contracts staff when workload is high.

The Sales Director joined ABC Company two months ago and is keen to establish himself by suggesting new markets for the courses and material. All account managers and the marketing team report to him. They promote existing training courses to other training companies and existing customers.

End of the additional information.

ORGANIZATION

The communication management approach is being developed. ABC Company’s corporate management has agreed the information about proposed courses can be shared externally, provided that a non-disclosure agreement is signed and corporate management is informed.

Here are three items of information relating to the sharing of course materials.

Under which heading of the communication management approach (A-F) should they be included?

Choose only one heading for each item of information. Each heading can be used once, more than once, or not at all.

Question # 15

Options:

Discussion 0
Question # 16

Project Scenario – Health and Safety Training Project:

ABC Company is a well-established training company that uses a standard model to develop training materials and deliver courses to customers.

ABC Company has commissioned a project in response to recent changes in government legislation relating to health and safety on construction sites. The project will deliver “capability to provide health and safety training”, including the materials needed for classroom-based training and e-learning. The expected benefits for construction companies include a reduction in lost days and legal costs due to accidents.

The e-learning course will be developed by a specialist external consultancy. The materials for classroom-based training will be delivered by ABC Company’s development team. All course materials will be piloted before they are used. ABC Company will deliver training to its customers and also hopes to sell the course materials to other training companies as part of their operational business. ABC Company will use their own sales and marketing departments to promote the courses.

The legislation requires construction companies to comply with the new legislation within two years. The course materials and trainers have to be accredited by a government agency before courses can be delivered. ABC Company is planning to deliver pilot courses within five months of starting the project.

The ABC Company standard development model for new courses recommends the following stages:

Question # 16

End of the Project scenario.

Additional Information:

The Chief Executive Officer (CEO) founded the company five years ago. Under her leadership, ABC Company has grown quickly into a successful training company. It delivers a range of accredited professional training.

The Finance Director is also a founder member of ABC Company and is responsible for authorizing budgets for the Operations and Development Teams. She authorizes all large contracts personally.

The Purchasing Manager reports to the Finance Director and is responsible for managing and monitoring supplier contracts.

The Operations Director is responsible for the delivery off all training and for the training development budget. His department organizes courses, venues and trainers. They work with the Product and the Sales teams to provide a comprehensive training schedule. ABC Company’s IT manager reports to the Operations Director.

The Business Development Director has recently been appointed to identify new training needs and propose new products. She will work with the Operations. Director to ensure a cost-conscious approach and that appropriate development technologies are used for the health and safety course.

The Training Development Manager reports to the Business Development Director and is responsible for developing training materials and gaining accreditation, in accordance with the standard course development model. Course developers in his team have skills in a range of development technologies and are allocated to projects as needed.

The Training Delivery Manager, who reports to the Operations Director, is responsible for ensuring that internal and external trainers deliver ABC Company training courses to the required standard. He also checks course materials to ensure they are fit for purpose and of the required quality.

The Central Services Director has responsibility for corporate communications, facilities management and configuration management. He recently led a project to consolidate all company quality systems into one quality management system and set up a corporate quality department, now managed by the Corporate Quality Manager.

The Corporate Document Manager reports to the Central Services Director. She helped establish the company’s document management system and now operates it across the business. She manages a team of administrators and contracts staff when workload is high.

The Sales Director joined ABC Company two months ago and is keen to establish himself by suggesting new markets for the courses and material. All account managers and the marketing team report to him. They promote existing training courses to other training companies and existing customers.

End of the additional information.

Towards the end of stage 2, the stage 3 plan is being prepared. This includes the work required to promote the new courses to other training companies. In addition to the current ways of marketing the courses, the Sales Director wants to advertise in trade magazines. The likely costs involved and the opportunities it may bring have been identified.

As part of the ‘update the project plan’ activity, what should the project manager be responsible for?

Options:

A.  

Creating time and cost tolerances for the delivery of the magazine advertisements.

B.  

Creating the product description, with detailed quality criteria, for the magazine advertisements.

C.  

Recording the effect of implementing the magazine advertisements on the overall time and cost of the project.

D.  

Recording changes to ABC Company risk appetite as a result of using the magazine advertisements.

Discussion 0
Question # 17

In the PRINCE2 Quality review technique, who would most likely carry out the role of administrator:

Options:

A.  

Project manager

B.  

Project support

C.  

Team Manager

D.  

Project Assurance

Discussion 0
Question # 18

Scenario

Extract from the Project Product Description (with errors)

Question # 18

Which 2 statements apply to the Customer's quality expectations section?

Options:

A.  

Delete entry 16 because this should be shown on the Product Description for the photos.

B.  

Delete entry 17 because this is beyond the scope of this project.

C.  

Delete entry 18 because standards should NOT be shown here.

D.  

Delete entry 19 because this should appear in the Product Description for the calendar and not the Project Product Description.

E.  

Delete entry 20 because this is an expected benefit and should be recorded in the Business Case.

Discussion 0
Question # 19

Scenario

Extract from the Project Product Description (with errors)

Question # 19

Which 2 statements apply to the Acceptance criteria section?

Options:

A.  

Amend entry 21 to 'Appearance - 12 photos each showing different members of staff.

B.  

Move entry 21 to Composition because the photos are part of the final product.

C.  

Delete entry 22 because the development of the new company logo is not within the scope of the Calendar project.

D.  

Move entry 23 to Derivation because the Data Protection Act already exists.

E.  

Delete entry 24 because this is NOT a suitable acceptance criteria for this project.

Discussion 0
Question # 20

Which of the following statements would NOT be included in the Project Product Description?

Options:

A.  

Purpose of the product

B.  

Composition

C.  

Project level tolerances

D.  

Quality criteria

Discussion 0
Question # 21

Product based planning focuses on which of the following:

1. Creating product descriptions

2. Identifying activities

3. Creating a Product hierarchy

4. Creating a Product sequence

Options:

A.  

1, 2, 3

B.  

2, 3, 4

C.  

1, 3, 4

D.  

1, 2, 4

Discussion 0
Question # 22

Scenario

Product Summary

A list of customers will be collated. This will use existing information from the Accounts department about current customers, and existing information from the Marketing department about prospective customers.

Using the tariff of mailing costs available from the Post Office, a production cost forecast will be produced to allow the CEO and the Marketing Director to decide whether to continue with the project. If they decide to continue, they will give the approval to launch the internal label design competition. Competition rules will be required to communicate details of the competition to the staff. The chosen label design will then be selected from the competition entries.

The photos for the calendar must be based on existing photo design ideas available from the Marketing department. The selected photos will be chosen from these. Monthly calendar displays will be created to show the required layout of each page.

Product Breakdown Structure (contains errors)

Question # 22

Extract from Stage Plan for stage 3.

(All entries are true statements but may not be shown under the correct heading or in the correct document).

Question # 22

Using the Project Scenario and the Extract from Stage Plan for stage 3 provided as additional intonation for this question in the Scenario Booklet, answer the following 5 questions.

The Stage Plan for stage 3 has been produced.

The Engineering Manager insists that there are to be no interruptions to operations whilst photographs are being taken of the engineering staff performing their everyday duties and operating machinery. Two weeks ago the professional photographer produced the photo session schedule based on the operational staff schedule. The operational staff schedule is produced weekly and maintained by the Engineering Manager.

None of the £500 change budget has been used to date and this is available for the stage.

Which 2 statements apply to the Monitoring and control section?

Options:

A.  

Delete entry 11 because this relates to the monitoring and controlling of the Project Plan, not the Stage Plan.

B.  

No change to entry 12 because this describes how the Project Board will control the stage.

C.  

Move entry 12 because the Highlight Reports are deliverables of this stage and should be shown under Product descriptions.

D.  

Delete entry 13 because this is part of the Controlling a Stage process.

E.  

Delete entry 14 because the Product Status Account is NOT an ad-hoc report. It is produced at the end of each stage to identify any variations between planned status, reported status and actual status of the stage's products.

Discussion 0
Question # 23

PRINCE2 proposes 3 levels of Plan, which are they?

Options:

A.  

Initiation, Project and Stage Plans

B.  

Project, Stage and Exception Plans

C.  

Initiation, Project and Benefit Review Plans

D.  

Project, Stage and Team Plans

Discussion 0
Question # 24

Product Summary

A list of customers will be collated. This will use existing information from the Accounts department about current customers, and existing information from the Marketing department about prospective customers.

Using the tariff of mailing costs available from the Post Office, a production cost forecast will be produced to allow the CEO and the Marketing Director to decide whether to continue with the project. If they decide to continue, they will give the approval to launch the internal label design competition. Competition rules will be required to communicate details of the competition to the staff. The chosen label design will then be selected from the competition entries.

The photos for the calendar must be based on existing photo design ideas available from the Marketing department. The selected photos will be chosen from these. Monthly calendar displays will be created to show the required layout of each page.

Product Breakdown Structure (contains errors)

Question # 24

Extract from Stage Plan for stage 3.

(All entries are true statements but may not be shown under the correct heading or in the correct document).

Question # 24

Using the Product Summary and Product Breakdown Structure provided as additional Information for this question In the Scenario Booklet, answer the following question.

Column 1 is a list of some of the entries in the product breakdown structure. Determine whether each entry in Column 1 has been correctly shown in the product breakdown structure. Select from Column 2 the appropriate statement that correctly describes that entry. Each selection from Column 2 can be used once, more than once or not at all.

Question # 24

Options:

Discussion 0
Question # 25

Which of the following risk responses can be used for either an opportunity or a threat?

Options:

A.  

Reduce

B.  

Share

C.  

Reject

D.  

Enhance

Discussion 0
Question # 26

Scenario

A photographer from Portraits Ltd, a professional photographic company, has taken on the role of Team Manager after taking some time to understand the requirements of the project. A contract for their services has been set up and is being monitored by the Purchasing Manager and a Work Package has been agreed. This contract specifies that the photographer must arrange a meeting with the Engineering Manager to establish a schedule for the photo sessions to minimize the impact on the Engineering staff. This meeting should have occurred by now.

The Engineering Manager was made aware of this requirement but when asked he reported that he has received no communication from the photographer. The Project Manager has tried to call the photographer and has had no response. The Project Manager believes there is a risk that Portraits Ltd are overbooking work and prioritizing other clients' work. If Portraits ltd do not deliver on schedule the project will be delayed and the expected benefits will be reduced.

The contract is to be reviewed and Portraits Ltd reminded of their agreement.

The project is now in stage 2. The Project Manager has heard about the possibility of a competitor also producing a calendar to be delivered earlier than the target date for this project. There is a threat that the early release of a competitor's calendar may weaken the impact of the MNO Manufacturing Company calendar, thereby reducing the anticipated benefits of the Calendar project.

Column 1 contains a number of risk responses identified by the Project Manager following an assessment of this risk. Column 2 contains a list of threat response types. For each risk response in Column 1, select from Column 2 the type of response it represents. Each option from Column 2 can be used once, more than once or not at all.

Column 1 contains a number of possible risk responses to the above risk. For each risk response, select from Column 2 the appropriate risk threat response type that it represents. Each selection from Column 2 can be used once, more than once or not at all.

Question # 26

Options:

Discussion 0
Question # 27

Additional Information

A photographer from Portraits Ltd, a professional photographic company, has taken on the role of Team Manager after taking some time to understand the requirements of the project. A contract for their services has been set up and is being monitored by the Purchasing Manager and a Work Package has been agreed. This contract specifies that the photographer must arrange a meeting with the Engineering Manager to establish a schedule for the photo sessions to minimize the impact on the Engineering staff. This meeting should have occurred by now.

The Engineering Manager was made aware of this requirement but when asked he reported that he has received no communication from the photographer. The Project Manager has tried to call the photographer and has had no response. The Project Manager believes there is a risk that Portraits Ltd are overbooking work and prioritizing other clients' work. If Portraits ltd do not deliver on schedule the project will be delayed and the expected benefits will be reduced.

The contract is to be reviewed and Portraits Ltd reminded of their agreement.

Question # 27

Options:

Discussion 0
Question # 28

Scenario

A photographer from Portraits Ltd, a professional photographic company, has taken on the role of Team Manager after taking some time to understand the requirements of the project. A contract for their services has been set up and is being monitored by the Purchasing Manager and a Work Package has been agreed. This contract specifies that the photographer must arrange a meeting with the Engineering Manager to establish a schedule for the photo sessions to minimize the impact on the Engineering staff. This meeting should have occurred by now.

The Engineering Manager was made aware of this requirement but when asked he reported that he has received no communication from the photographer. The Project Manager has tried to call the photographer and has had no response. The Project Manager believes there is a risk that Portraits Ltd are overbooking work and prioritizing other clients' work. If Portraits ltd do not deliver on schedule the project will be delayed and the expected benefits will be reduced.

The contract is to be reviewed and Portraits Ltd reminded of their agreement.

The project is now in stage 2. The Project Manager has heard about the possibility of a competitor also producing a calendar to be delivered earlier than the target date for this project. There is a threat that the early release of a competitor's calendar may weaken the impact of the MNO Manufacturing Company calendar, thereby reducing the anticipated benefits of the Calendar project.

Using the Project Scenario answer the following question. The Plan for stage 3 has been approved and work has commenced.

Column 1 contains a number of issues for this project. Select from Column 2 the appropriate category for each issue. Each selection from Column 2 can be used once, more than once or not at all.

Drop down the right answer from column 1 to column 2.

Question # 28

Options:

Discussion 0
Question # 29

Which of the following is False?

A Successful project management team should.

Options:

A.  

Have business, user and supplier stakeholder representation

B.  

Never be reviewed as members should stay with the team for the duration

C.  

Ensure appropriate governance by defining responsibilities for directing, managing and delivering the project and clearly defining accountability at all levels

D.  

Have an effective strategy to manage communication flows to and from stakeholders

Discussion 0
Question # 30

Scenario

Additional Information

Chief Executive Officer (CEO): He started the company 25 years ago and knows his job very well. He injured his leg two years ago which has restricted his visits to the engineering area. As CEO he has an overall perspective of the business strategic requirements and the authority to commit resources as required.

Marketing Director: She has been with the company for three years, following a successful career with a publicity company. She has the ability to represent the needs of the business, particularly as this is a marketing project. She has the authority to commit the annual business marketing budget, from which the project will be funded, as she sees appropriate. She will be responsible for monitoring the expected benefits of the calendar, in particular the improvement of the company's image.

Engineering Manager: He has been responsible for many engineering innovations in the company and is still as keen and energetic as the day he started. VVhilst he will not be part of the project team, his staff will feature in the photos for the promotional calendar.

Central Records: This group of five staff looks after all company records and document control. They now maintain all project files.

Bright Lights: This is the local office supplies company. It supplies all the stationery and office equipment needs of the company and will supply the stationery for this project.

Portraits ltd: This is a professional photographic company with a number of excellent photographers and a history of successful work. This company has been selected to take the photos for the company calendar. It has yet to be decided which of the photographers to use.

Which 2 statements explain why Central Records should be appointed as Project Support for this project?

Options:

A.  

They control the receipt, identification, versions, storage and issue of all project products within the company's projects.

B.  

They already exist within the organization and have been with the company for many years.

C.  

They will ensure compliance with all company policies and procedures.

D.  

They perform a quality assurance function across all projects.

E.  

They have knowledge of the organizational standards that will be applicable to the project.

Discussion 0
Question # 31

Scenario

Additional Information

Chief Executive Officer (CEO): He started the company 25 years ago and knows his job very well. He injured his leg two years ago which has restricted his visits to the engineering area. As CEO he has an overall perspective of the business strategic requirements and the authority to commit resources as required.

Marketing Director: She has been with the company for three years, following a successful career with a publicity company. She has the ability to represent the needs of the business, particularly as this is a marketing project. She has the authority to commit the annual business marketing budget, from which the project will be funded, as she sees appropriate. She will be responsible for monitoring the expected benefits of the calendar, in particular the improvement of the company's image.

Engineering Manager: He has been responsible for many engineering innovations in the company and is still as keen and energetic as the day he started. VVhilst he will not be part of the project team, his staff will feature in the photos for the promotional calendar.

Central Records: This group of five staff looks after all company records and document control. They now maintain all project files.

Bright Lights: This is the local office supplies company. It supplies all the stationery and office equipment needs of the company and will supply the stationery for this project.

Portraits ltd: This is a professional photographic company with a number of excellent photographers and a history of successful work. This company has been selected to take the photos for the company calendar. It has yet to be decided which of the photographers to use.

Which 2 statements explain why the Sales Manager should be appointed as a Senior User for this project?

Options:

A.  

He joined the company last year with huge enthusiasm.

B.  

He would like to move into the Marketing department in the future and sees this as an opportunity to work closely with the Marketing Director.

C.  

The launch of a company calendar will impact the Sales department.

D.  

He reports directly to the Marketing Director.

E.  

He is able to represent current and prospective customer interests.

Discussion 0
Question # 32

Scenario

Additional Information

Question # 32

Further information on some resources who could be involved in the project:

Outcome Account Manager: He represents Outcome which is a recruitment agency that provides specialist outsourcing resources. Outcome provided the consultants who carried out the feasibility study and the same consultants will be providing support and guidance to the Information Technology and Facilities teams during the project.

Director of Finance Division: She was transferred from the Information Technology Division 12 months ago. She is responsible for ensuring a cost-conscious approach is adopted in all operational and project activities across the Ministry of Food Hygiene.

Hardware Manager: Reports to the Director of Information Technology. He provides computer hardware to all business functions but has little awareness of the needs of his colleagues working in software.

Payroll Manager: Reports to the Director of Finance. He is a very experienced and efficient qualified accountant who has much of the responsibility of running the Finance Division on behalf of the Director of Finance. He has been involved in drafting the Ministry's business strategy and assisting in a full business risk assessment. He also drafted the corporate Business Case standards.

Which 2 alternative actions apply to the proposed Executive for this project?

Options:

A.  

Retain because he accepts that outsourcing is the best solution.

B.  

Replace with 'Director of Finance Division' because she can ensure a cost-conscious approach to the project that gives value for money.

C.  

Retain because he has the right level of authority to be able to control the strategic nature of the Outsourcing project.

D.  

Add 'Director of Finance' because she understands the operation of the Information Technology Division and the Facilities Division.

E.  

Replace with 'Payroll Manager' because he is a very experienced and efficient qualified accountant.

Discussion 0
Question # 33

Column 1 is a list of entries from the Daily Log that occurred during stage 4 in the Controlling a Stage process. For each entry in Column 1, select the first management product from Column 2 that should have been updated, or created, as a result of the entry. Each selection from Column 2 can be used once, more than once or not at all.

Drop down the right answer from column 1 to column 2.

Question # 33

Options:

Discussion 0
Question # 34

Which management product do the Project Board use to decide whether to authorize initiation?

Options:

A.  

Project Brief

B.  

Business Case

C.  

Project Initiation Documentation

D.  

Project Product Description

Discussion 0
Question # 35

It is now late October and the project is in stage 3. The label design competition has been held and the photos of the staff have been taken. The CEO and Marketing Director still need to choose the winning label design and the 12 photos for the calendar. However, the Executive has learned that two competitors are issuing calendars to MNO's customers by the middle of November. After analyzing the impact of this Issue, one of the options the Project Manager has presented to the Project Board is to close the project prematurely.

There are a number of key facts relating to this project that would need to be recorded if the project Y-e to be closed now.

Which product should show that without the calendar the company is going to experience difficulties recovering its decline in orders, and alternative solutions are required if the company is going to recover its position?

Options:

A.  

Benefits Review Plan

B.  

Exception Report

C.  

End Project Report

D.  

Risk Register

Discussion 0
Question # 36

It is now late October and the project is in stage 3. The label design competition has been held and the photos of the staff have been taken. The CEO and Marketing Director still need to choose the winning label design and the 12 photos for the calendar. However, the Executive has learned that two competitors are issuing calendars to MNO's customers by the middle of November. After analyzing the impact of this Issue, one of the options the Project Manager has presented to the Project Board is to close the project prematurely.

There are a number of key facts relating to this project that would need to be recorded if the project Y-e to be closed now.

Which product should register that the risk of a competitor producing a calendar at the same time was identified at the beginning of the project but the assessment of this risk appears to have been poor?

Options:

A.  

Issue Register

B.  

Follow-on action recommendations

C.  

Lessons Report

D.  

Risk Register

Discussion 0
Question # 37

Scenario

A central government department, the Ministry of Food Hygiene (MFH), faces increasing pressure to cut costs, better manage suppliers’ performance and reduce the confusion caused by inadequate internal controls, outdated standards and outdated technology. External consultants were employed to conduct a feasibility study to identify options to address the problems, and the likely costs and benefits. The following options were considered:

● Do nothing.

● Re-engineer selected business functions.

● Outsource selected business functions.

The feasibility study concluded that there was a case for outsourcing the MFH Information Technology

Division and the Facilities Division (maintenance of buildings and grounds). The recommendations were:

● One service provider should be contracted to provide the services currently provided by the Information Technology Division and the Facilities Division.

● A 10-year service contract should be agreed with the selected service provider.

The feasibility study developed high-level designs of the current organization, processes, systems and operating models, plus an outline Business Case for the required project. The external consultants also made the following recommendations for the management of the project:

● Use PRINCE2.

● Set up the project with 4 management stages:

Stage 1. Standard PRINCE2 initiation activities.

Stage 2. Create detailed designs (future organization, processes, systems and operating models) and the service level agreement between MFH and the future service provider.

Stage 3. Request and evaluate proposals, select service provider and agree contract.

Stage 4. Transfer equipment and staff, transfer responsibility for service provision and run trial period.

Initial estimates indicated that the project would cost £2.5m and take two years to complete.

MFH senior management agreed that there was a case for outsourcing, and accepted the

recommendations as a basis for the project. There is an expected saving of £20m over 10 years.

The Outsourcing project has completed the Starting up a Project process and is now in the initiation stage. Because of the strategic importance of the project, the MFH Chief Executive Officer has taken the role of Executive. A PRINCE2-experienced Project Manager has been appointed from within MFH. Staff within the business functions being outsourced will work with the external consultants who conducted the feasibility study to define the detailed designs.

Which 2 statements should be recorded under the Business options heading?

Options:

A.  

The re-engineering of selected business functions would not provide the required outcome.

B.  

The lack of up-to-date technology in MFH means a re-engineering of existing services will not necessarily deliver the performance improvements required.

C.  

Use external consultants to provide guidance on the detailed design of the outsourced services.

D.  

Set up a PRINCE2 project to deliver the outsourced services.

E.  

Review a list of service providers to determine a short-list of possible service providers.

Discussion 0
Question # 38

Which of the following statements is TRUE with regard to expected benefits?

Options:

A.  

They cannot be assigned

B.  

They don't need to follow corporate objectives

C.  

They should be measurable

D.  

Tolerances cannot be set against expected benefits

Discussion 0
Question # 39

Which of the following activities is the Executive responsible for?

Options:

A.  

Ensure the desired outcome of the project is specified

B.  

Responsible for the benefits review plan

C.  

Assess and update the Business Case at the end of each stage

D.  

Responsible for the Benefits Review Plan post project

Discussion 0
Question # 40

Scenario

Additional Information

During the initiation stage the Project Manager met with the Marketing Director to find out more about the requirements of the promotional calendar and recorded the following notes:

There has been a reduction in the order numbers at the MNO Manufacturing due in part to the increased marketing activities of its competitors. 10% of customers have not re-ordered in this financial year and staff morale is poor. A number of skilled staff have left as a result and replacement staff have not been recruited due to the reduced operation. If the project is successful, a recruitment campaign will be required to fill the existing staff vacancies and there may be a requirement for additional staff. Operational costs are likely to increase because skilled staff are expensive and difficult to find.

In financial terms, there were a total of 1,500 orders in the last financial year, each with an average profit of £2k. The Marketing department believes that sending a promotional calendar to our current and prospective customers would increase orders by at least 10% with a minimum of 10 further orders from the list of prospective customers within 12 months from the date of distribution.

The Marketing Director will be funding the project from the business marketing budget. She believes that the effect of a good company image portrayed by a successful calendar would last into a second year. She has forecast the same increase in orders for a second year and predicts that the annual employee satisfaction survey will show a measurable improvement in staff morale.

A number of alternatives were explored, including:

  • 20% discount for all repeat customers - not cost-effective and very short term
  • A promotional calendar as a free Christmas gift - would target current and prospective customers and the benefits would last into a second year
  • A series of television and press advertisements was too expensive
  • A direct mail shot to all customers - benefit would be short term
  • Creation of an internet website - would not suit all customers

The calendar is seen as the favored option, as long as the company's competitors do not increase their marketing activity. Whilst the Marketing department wants a very high quality, glossy product, the project management team must be aware of the cost this will incur.

Using the Project Scenario and the additional Information provided for this question In the Scenario Booklet, answer the following question.

Which 2 statements should be recorded under the Business options heading?

Options:

A.  

Produce a promotional calendar as a free Christmas gift to current and prospective customers.

B.  

Use a professional photographer to create the photographs for the calendar.

C.  

Create the photographs for the calendar internally.

D.  

Outsource the creation of the calendar to a professional marketing company.

E.  

Do nothing.

Discussion 0
Question # 41

Scenario

Additional Information

Extract from the Communication Management Strategy.

The project information in the table below is true, but it may not be recorded under the correct heading or be in the correct document.

Question # 41

Using the Project Scenario, select the appropriate response to each of the following 5 questions which have been raised by the Project Board.

The project is now at the end of the initiation stage. Having decided that the Calendar project is a relatively simple project, the Project Manager combined the Starting Up a Project process and the Initiating a Project process. No Project Brief has been produced. Instead the Project Manager used the project mandate to produce a simple Project Initiation Documentation (PlO). The PlO includes the Business Case, a product checklist and several Product Descriptions, Including the Project Product Description. Short sections are also included for each of the strategies and the controls to be applied. The Project Manager has elected to use the Daily Log to record all risks, issues, lessons and quality - results.

After the initiation stage there will be two further stages during which a small number of Work Packages will be authorized. While these are being managed, the Project Manager will hold regular checkpoints, which will support the production of weekly Highlight Reports to the Project Board.

This question provides a number of changes which may or may not be required to the Extract from the Communication Management Strategy provided in the additional information.

Which statement applies to the Communication procedure section?

Options:

A.  

No change to entry 2 because this is a sufficient description of the process required.

B.  

Amend entry 2 to include MNO Manufacturing Company standards for both internal and external company communications.

C.  

Delete entry 2 because only variations from the MNO Manufacturing Company standards should be recorded here.

Discussion 0
Question # 42

Scenario

Additional Information

Extract from the Communication Management Strategy.

The project information in the table below is true, but it may not be recorded under the correct heading or be in the correct document.

Question # 42

Using the Project Scenario, select the appropriate response to each of the following 5 questions which have been raised by the Project Board.

The project is now at the end of the initiation stage. Having decided that the Calendar project is a relatively simple project, the Project Manager combined the Starting Up a Project process and the Initiating a Project process. No Project Brief has been produced. Instead the Project Manager used the project mandate to produce a simple Project Initiation Documentation (PlO). The PlO includes the Business Case, a product checklist and several Product Descriptions, Including the Project Product Description. Short sections are also included for each of the strategies and the controls to be applied. The Project Manager has elected to use the Daily Log to record all risks, issues, lessons and quality - results.

After the initiation stage there will be two further stages during which a small number of Work Packages will be authorized. While these are being managed, the Project Manager will hold regular checkpoints, which will support the production of weekly Highlight Reports to the Project Board.

This question provides a number of changes which may or may not be required to the Extract from the Communication Management Strategy provided in the additional information.

What statement applies to the Records section?

Options:

A.  

Move entry 6 to the Configuration Management Strategy because it defines the identification scheme for the project's products.

B.  

Move entry 7 to Communication procedure because it refers to the method to be used for communication to external parties.

C.  

Move entry 8 to Tools and techniques because it refers to a filing technique.

Discussion 0
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