Deck 1: The World of Project Management

Question 1

The project manager depends on legitimate authority to gain the cooperation of the many departments in the organization that may be asked to supply technology, information, resources and personnel to the project.

Answer 1

False

Question 2

The difference between a project and a nonproject is always crystal clear.

Answer 2

False

Question 3

Projects are subdivisions of programs.

Answer 3

True

Question 4

Many recent developments in project management are being driven by changes in the nature of the American workforce.

Question 5

A similarity between project management and general management is the tendency to "manage by exception."

Question 6

A primary purpose of forming projects is to assign the responsibility for accomplishing some organizational task to a specific person or small group.

Question 7

One reason for the emphasis on project management is that tasks fit neatly into business-as-usual.

Question 8

One of the few similarities between project management and general management is that both exist in the well-defined organizational structure of superior/subordinates in the overall organization.

Question 9

In project management, superior-subordinate relationships are known and lines of authority are clear.

Question 10

Project budgeting differs from standard budgeting in regards to accounting techniques.

Question 11

Projects are characterized by conflict.

Question 12

Programs are subdivisions of projects.

Question 13

The group of 17 developed a list of 12 Agile Principles that support the values articulated in the Agile Manifesto. The following is one of those twelve principles: On-time delivery is the primary measure of progress.

Question 14

Projects are usually large.

Question 15

Having responsibility for the outcome of a project without the authority of rank or position is common in project management.

Question 16

Project budgets are primarily modifications of budgets for the same activity in the previous period.

Question 17

There has been a growing use of projects to achieve an organization's strategic goals

Question 18

Negotiating the purchase of a new car would typically be characterized as win-win negotiation.

Question 19

The group of 17 developed a list of 12 Agile Principles that support the values articulated in the Agile Manifesto. The following is one of those twelve principles: Avoiding changing requirements so that the project can be completed on time and within budget.

Question 20

While general managers have their authority limited to specific areas in the overall organization, project managers have authority over any activity required by the project.

Question 21

Projects are complex and include interfaces, interdependencies, and many assumptions, any or all of which may turn out to be wrong.

Question 22

A disadvantage of using scoring models rather than financial models for selecting projects is that they cannot include the project's profitability.

Question 23

In project management, it is often necessary to trade-off one objective for another.

Question 24

A disadvantage of using the discounted cash flow method (or net present value. for selecting projects is that it ignores all non-monetary factors associated with the project except risk.

Question 25

One can trade-off time and cost when managing a project, but the project's technical specifications must be maintained exactly as the client initially specifies.

Question 26

The comparative benefits method is considered a nonnumeric project selection method.

Question 27

When using financial methods for selecting projects, the payback period is the simplest and best method to use.

Question 28

Nonnumeric project selection methods are only suitable if numeric methods are not available.

Question 29

A project that is selected because it is necessary for continued operations exemplifies a sacred cow.

Question 30

There are three different life cycles along which projects progress from start to completion.

Question 31

As the project goes further into the execution stage, the PM's job becomes that of keeping the project on budget and schedule.

Question 32

The first duty of the project owner and project manager after project approval is to prepare a business case.

Question 33

The group of 17 developed a list of 12 Agile Principles that support the values articulated in the Agile Manifesto. The following is one of those twelve principles: Simplicity--the art of maximizing the amount of work not done--is essential.

Question 34

The first step in managing risk is to identify these potentially uncertain events and the likelihood that any or all may occur. This is called statistical analysis.

Question 35

Scrum is the most popular Agile approach.

Question 36

A project manager does not need to understand why a project is selected for funding because he did not initiate the process.

Question 37

A disadvantage of using the payback period method for selecting projects is that it cannot reflect the time-value of money.

Question 38

Projects are always carried out under conditions of uncertainty.

Question 39

Six Sigma process improvement project usually follow a specific set of phases.

Question 40

Rank ordering a large number of projects can be done with a Q-sort.

Question 41

In the early years of a project, the outflows usually exceed the inflows.

Question 42

Which of the following is an example of win-win negotiation?

A) Buying a car from a second-hand car dealership at the asking price
B) Forcibly using resources allocated to another department
C) Keeping resources that could be used by another team busy in unnecessary tasks
D) Agreeing to share resources for the benefit of all involved in different projects
E) Carrying on an argument over a petty issue that can be easily resolved

Question 43

Searching for the third alternative is most closely associated with

A) win-win negotiation
B) project planning
C) project budgeting
D) the three goals of a project
E) the weighted scoring model

Question 44

Projects success is not determined by the portfolio of projects in an organization.

Question 45

Which of the following is not a characteristic of a project?

A) They are unique
B) They are routine
C) They have specific due date
D) They have a specific deliverable
E) They have a purpose

Question 46

Projects with deliverables that are incrementally different from existing offerings are classified as platform projects.

Question 47

In the early years of a project when outflows usually exceed inflows, the NPV of the project for those years will be positive.

Question 48

As a rule of thumb, the number of factors included in a scoring model should be at least 10.

Question 49

When using the weighted scoring model, the categories for each scale must be in equal intervals.

Question 50

The main distinction between platform and derivative projects is that the latter depend on existing technology.

Question 51

The discounted cash flow methods of calculation are fairly complex.

Question 52

R&D projects are oriented toward using newly developed technologies or existing technologies in a new manner.

Question 53

The main distinction between platform and breakthrough projects is that the former usually depend on existing technology.

Question 54

Recent research has found that the most effective support from top management during the project front end is adding resources to the project.

Question 55

For a project, the lower the NPV, the better.

Question 56

Which of the following is an example of lose-lose negotiation?

A) Buying a car from a second-hand car dealership at the asking price
B) Taking time off from a project to help another team
C) Disagreeing with a project idea while not providing an alternative
D) Agreeing to share resources for the benefit of all involved in a project
E) Discussing a problem with all parties concerned and finding a middle ground

Question 57

Which of the following is not a trend in project management?

A) Achieving strategic goals
B) Improving project effectiveness
C) Quasi projects
D) Reductive projects
E) Achieving routine goals

Question 58

Which of the following is an example of win-lose negotiation?

A) Buying a car from a second-hand car dealership at the asking price.
B) Discussing a problem with all parties concerned and finding a middle ground
C) Carrying on an argument over a petty issue that can be easily resolved
D) Agreeing to share resources for the benefit of all involved in different projects
E) Disagreeing with a project idea while not providing an alternative

Question 59

Scoring methods were developed to overcome some of the disadvantages of simple financial profitability methods.

Question 60

One limitation of scoring methods is that they can only incorporate quantitative data.

Question 61

If the initial investment is a project is $100,000 and the expected annual net profit for the project is $20,000, the payback period is:

A) One fifth of a year
B) 4 years
C) 5 years
D) 10 years
E) Insufficient information to determine the payback period

Question 62

Which of the following is not related to the three goals of a project?

A) Time
B) Data
C) Schedule
D) Cost
E) Performance

Question 63

In addition to the Agile Manifesto, the group of 17 also developed a list of 12 Agile Principles that support the values articulated in the Agile Manifesto. Which of the following is not one of those 12 principles?

A) Continuous attention to technical excellence and good design enhances agility.
B) Simplicity--the art of maximizing the amount of work not done--is essential.
C) The best architectures, requirements, and designs emerge from self-organizing teams.
D) At regular intervals, the team reflects on how to become more effective.
E) Complex problems require complex solutions.

Question 64

Which of the following is not one of the values from the Manifesto for Agile Software Development?

A) Individuals and interactions over processes and tools
B) Working software over comprehensive documentation
C) Customer collaboration over contract negotiation
D) Finishing on time over keeping within the budget
E) Responding to change over following a plan

Question 65

Which of the following is a numeric project selection method?

A) Comparative benefits
B) Payback period
C) Q-sort method
D) Operating/competitive necessity
E) Sacred cow

Question 66

While there are a number of different Agile approaches, they are all based on the Agile Manifesto and the 12 Principles and they all share the following general characteristics except for which one?

A) Time-to-completion is the most important aspect of managing the project.
B) The project is divided into iterations most commonly called sprints.
C) Based on its roots in lean management, there is an emphasis on simplicity.
D) Project teams are self-managing.
E) Progress on the project is measured in terms of working product functionality.

Question 67

In addition to the Agile Manifesto, the group of 17 also developed a list of 12 Agile Principles that support the values articulated in the Agile Manifesto. Which of the following is not one of those 12 principles?

A) Our highest priority is to satisfy the customer through early and continuous delivery of valuable software.
B) The budget is our highest priority.
C) Welcome changing requirements, even late in development.
D) Deliver working software frequently.
E) Business people and developers must work together daily throughout the project.

Question 68

Alchemax Inc. is looking to undertake a project that has an initial fixed investment of $200,000. It is expected to return a net cash inflow of $50,000 each year. The payback period for this project will be _____ years.

A) 2
B) 7
C) 4
D) 9
E) 5

Question 69

With scrum, the project work is completed in sprints that typically last how long?

A) Three to five days
B) One week
C) One to two weeks
D) Exactly two weeks
E) Three to four weeks

Question 70

The ________________________ attempts to link the organization's projects directly to the goals and strategy of the organization.

A) The product-process matrix
B) The balanced scorecard
C) The action plan
D) Project portfolio process
E) The work breakdown structure

Question 71

Ouroboros Construction started the construction of a house for a client. The initial planning of the project took longer than expected. Once plans were finalized, it did not take long to erect the structure, and it was done much before schedule. However, it took a lot of time to give the finishing touches to the house, and it was a long time before the house was completed. The project in this scenario has a(n) _____.

A) J-shaped life cycle
B) X-shaped life cycle
C) S-shaped life cycle
D) L-shaped life cycle
E) O-shaped life cycle

Question 72

Which of the following criteria can be included in scoring models for selecting projects?

A) Potential profitability of the project
B) Potential impact on the firm's competitive position
C) The organization's ability to market the output of a project
D) All of the above can be included

Question 73

The performance of a project is assessed based on three criteria known as the "triple constraints." Which of the following is not one of those constraints?

A) Time
B) Budget
C) Efficiency
D) Scope

Question 74

Omicore Softworks, a software development firm, undertook a project that involved developing a bespoke accounting software for a firm. The project initiated with the project manager spending some time to identify the correct resources. Once this was done, the process of writing the program began. Most of the time was spent on debugging and ensuring that the software worked to the client's specification. The project in this scenario has a(n) _____.

A) J-shaped life cycle
B) X-shaped life cycle
C) S-shaped life cycle
D) L-shaped life cycle
E) O-shaped life cycle

Question 75

A matrix that illustrates the magnitude of both product and process changes resulting from a project is called…

A) the aggregate project plan
B) the product-process matrix
C) the aggregate master production schedule
D) the balanced scorecard
E) the R&D project portfolio

Question 76

In addition to the Agile Manifesto, the group of 17 also developed a list of 12 Agile Principles that support the values articulated in the Agile Manifesto. Which of the following is not one of those 12 principles?

A) Build projects around motivated individuals.
B) The most efficient and effective method of conveying information to and within a development team is a detailed email.
C) Working software is the primary measure of progress.
D) Agile processes promote sustainable development.
E) Business people and developers must work together daily throughout the project.

Question 77

When you negotiate the purchase of a new car, you are usually engaged in what type of negotiation?

A) Win-win negotiation
B) Win-lose negotiation
C) Lose-lose negotiation
D) Minimize-loss negotiation

Question 78

"Blue Sky" projects are…

A) R & D projects
B) Platform projects
C) Breakthrough projects
D) Derivative projects
E) High risk projects

Question 79

Baketolife, a small bakery that specializes in wedding cakes, undertook a project that required the creation of a large five-tier cake. While the mixture for the cake was easy to make and took less than half a day to prepare, the size of the cake meant that a lot of time was spent ensuring that each cake was cooked all the way through. The project in this scenario has a(n) _____.

A) L-shaped life cycle
B) X-shaped life cycle
C) S-shaped life cycle
D) J-shaped life cycle
E) O-shaped life cycle

Question 80

Projects that begin with a slow start, have quick momentum in the middle, and then have a slow finish are said to follow which type of lifecycle?

A) J-shaped lifecycle
B) L-shaped lifecycle
C) An exponential growth lifecycle
D) An S-shaped lifecycle
E) An X-shaped lifecycle