Deck 2: Project Selection and Prioritization

Question 1

Scoring models are most useful when there are multiple projects and several criteria to be considered.

Answer 1

True

Question 2

Projects tend to be the primary method for implementing many objectives.

Answer 2

True

Question 3

Strategic objectives describe both short- and long-term results that are desired,along with measures to determine their achievement.

Answer 3

True

Question 4

The internal part of strategic analysis (elements within the project team's control)consists of asking what opportunities and threats are posed by competitors,suppliers,customers,regulatory agencies,technologies and so on.

Question 5

A project portfolio is a useful storage medium that enables the project manager to consolidate all project information in a single,convenient location.

Question 6

To accomplish portfolio management,executives need to identify,select,prioritize,resource and govern an appropriate portfolio of projects and other work.

Question 7

A portfolio is defined as "projects,programs,subportfolios,and operations managed as a group to achieve strategic business objectives" 

Question 8

None of the financial project selection models ensure alignment of the project with an organization's strategic goals.

Question 9

Because the specific projects within them are of limited duration,programs themselves are temporary.

Question 10

The organization's leadership should establish the flow-down objectives to set the stage for establishing the guiding principles such as the vision and mission.

Question 11

The degree of formality used in selecting projects varies widely across organizations.

Question 12

Strategic analysis is often called Strengths,Weaknesses,Opportunities and Threats (SWOT).

Question 13

Strategic objectives are the means of achieving the mission and vision,and should provide focus on decisions regarding which projects to select and how to prioritize them.

Question 14

Payback period models do not consider the amount of profit that may be generated after the costs are paid.

Question 15

Strategic analysis is often called SWOT - Start With Objectives Template (SWOT).

Question 16

The vision statement should present a positive,inspiring and vivid description of the organization as it currently exists.

Question 17

Once the SWOT analysis is complete,the organization's leadership should establish guiding principles such as the vision and mission before setting strategic objectives.

Question 18

If an organization does not have the right capabilities,a project that may otherwise support organizational goals may be too difficult to successfully complete.

Question 19

Strategic analysis is an important first step in setting strategic direction.

Question 20

A business case is a brief narrative description of products,services,or results to be supplied by the project.

Question 21

Project scoring models are very useful in providing performance data that can be used to terminate a project.

Question 22

When a contractor seeking external projects prepares to submit a proposal,it is really conducting a small project with the primary deliverable of the project being a compelling and complete proposal.

Question 23

This document summarizes why the project is important by describing the benefits of a selected component,and is used as a basis for authorizing further project management activities: 

A) program management plan 
B) business case 
C) SWOT analysis 
D) guiding principle

Question 24

Which of the following statements concerning strategic analysis is true? 

A) Strategic analysis focuses exclusively upon external analysis. 
B) External analysis focuses on the strengths and weaknesses of the organization. 
C) Internal analysis focuses on the threats and opportunities facing the organization. 
D) External analysis focuses on the threats and opportunities facing the organization.

Question 25

Portfolio management helps an organization achieve its strategic goals in all of the following ways EXCEPT:​ 

A) managing ongoing projects 
B) providing needed resources 
C) selecting the right projects 
D) prioritizing work to be done

Question 26

All of the following statements concerning project portfolios are true EXCEPT:​ 

A) The projects in a portfolio are managed as a group to achieve strategic business objectives. 
B) Portfolios cannot include operations and programs. 
C) Portfolios usually include a mix of some high-risk, high-reward projects and some low-risk projects. 
D) Each project in the portfolio should have a direct impact on the organization.

Question 27

Scoring models are very useful in providing input into the starting order of projects.

Question 28

Portfolios deal with all of an organization's projects,while programs deal with: 

A) ongoing operations 
B) a specific group of related projects, subprograms, and program activities 
C) resource availability 
D) tradeoffs between schedule, scope and quality

Question 29

A clear and compelling vision will have all the following characteristics EXCEPT:​ 

A) often requires extra effort to achieve. 
B) often requires several years to achieve. 
C) provides detailed roadmap for managing a project 
D) helps all stakeholders understand the direction of the organization

Question 30

Which of the following responses most accurately depicts the correct sequence of activities in the strategic planning process? 

A) strategic objectives - strategic analysis - guiding principles - flow-down objectives 
B) guiding principles - strategic analysis - strategic objectives - flow-down objectives 
C) strategic analysis - guiding principles - strategic objectives - flow-down objectives 
D) guiding principles - strategic objectives - flow-down objectives - strategic analysis

Question 31

Many writers have stated that for strategic objectives to be effective,they should be:​ 

A) broad - to cover many dimensions of the business 
B) measurable - to track progress 
C) unachievable - to inspire maximum performance 
D) resource based - to focus on the inputs

Question 32

All of the following factors should be assessed to determine an organization's ability to perform projects EXCEPT:​ 

A) Do we have have a teamwork attitude, free and open communication, creativity, and empowered decision making? 
B) Do we have a clearly defined project management process? 
C) Do teams and individuals follow instructions well? 
D) Do we monitor and understand our external environment?

Question 33

Which of the following statements correctly describes a weakness associated with the financial project selection model?​ 

A) The benefit-to-cost models favor projects which generate the smallest absolute return over a specified period. 
B) Payback period models do not consider the profit to be realized after the costs are paid. 
C) The Net Present Value (NPV) method does not consider the time value of money. 
D) The Internal Rate of Return (IRR) method is difficult to use when a project has conventional cash flows.

Question 34

When a client company decides to engage an external contractor to perform project work,it must be prepared to submit a proposal and prepare a bid.

Question 35

Sometimes situations dictate that a project must be chosen regardless of any other considerations such as strategic fit,profitability or probability of success.

Question 36

Which of the following statements best describes the contemporary use of financial models and scoring models for project selection?​ 

A) These methods are often used together to ensure financial and non-financial factors are both considered. 
B) Financial methods are preferred because they ensure alignment with the organization's strategic goals. 
C) Scoring models are unreliable because they fail to consider financial factors. 
D) One of these techniques is typically used to the exclusion of the other, due to time demands.

Question 37

In addition to considering financial factors,organizations often identify project selection criteria to determine how well each potential project fits with the organization's strategic planning.

Question 38

All of the following represent appropriate sources to identify new potential projects EXCEPT:​ 

A) existing and potential customers 
B) the operations staff within the organization 
C) industry and trade journals 
D) lessons learned from previous projects

Question 39

Traditional financial models are most useful when there are multiple projects and several criteria to be considered.

Question 40

All of the following factors influence the opportunities and threats an organization must consider when performing a strategic analysis EXCEPT:​ 

A) competitors 
B) suppliers 
C) regulatory agencies 
D) employees

Question 41

Describe the relationship between the strategic planning process and portfolio management in an organization.

Question 42

Figure 2-1 Project Selection and Prioritization Matrix
Based on the information provided in Figure 2-1,which project is LEAST attractive based on new products?​ 

A) Project A 
B) Project B 
C) Project C 
D) Project D

Question 43

Figure 2-1 Project Selection and Prioritization Matrix
Based on the information provided in Figure 2-1,which project has the highest probability of success?​ 

A) Project A 
B) Project B 
C) Project C 
D) Project D

Question 44

Which of the following is NOT a typical source selection criterion that an organization would use to evaluate potential contractors? 

A) life cycle cost 
B) references 
C) personalities 
D) technical approach

Question 45

Describe the advantages and limitations of financial models in project selection.

Question 46

Once selected projects have been prioritized,it is time to assign resources to each.Resources could include all of the following EXCEPT: 

A) subject matter experts
B) equipment 
C) quality metrics
D) funds

Question 47

Describe the advantages and limitations of scoring models in project selection.

Question 48

All of the following criteria serve as a valid basis for identifying potential projects in most organizations EXCEPT:​ 

A) social need 
B) environmental consideration 
C) technological advance 
D) internal politics

Question 49

Figure 2-1 Project Selection and Prioritization Matrix
Consider the information provided in Figure 2-1.Based on the results in the project selection and prioritization matrix,which project would you select if you were limited to selecting only one project?​ 

A) Project A 
B) Project B 
C) Project C 
D) Project D

Question 50

Figure 2-1 Project Selection and Prioritization Matrix
Based on the information provided in Figure 2-1,which criterion is most important to the leadership team?​ 

A) new products 
B) customer relations 
C) supplier relations 
D) success probability

Question 51

All of the following may be negotiated between a client company and a contractor EXCEPT: 

A) the amount of money to be paid. 
B) quality standards 
C) selection criteria for scoring models 
D) personnel assignments

Question 52

________ between a client company and a contractor company should aim at a win-win solution,and the outcome must benefit both the parties involved.​ 

A) selections 
B) meetings 
C) conflicts 
D) negotiations