Question 1

Present value calculation takes inflation and time into account.

Accepted Answer

Present value calculation involves discounting future cash flows, taking into account time and inflation.

Question 2

Determining whether the new system will be compatible with the existing technology that already exists in the organization is part of the organizational feasibility study.

Accepted Answer

Determining compatibility with existing technology is part of the technical feasibility study, not the organizational feasibility study.

Question 3

The work plan records and keeps track of all of the tasks that need to be accomplished over the life of the project, listing each task, along with important information about it, such as when it needs to be completed, the person assigned to do the work, and any deliverables that will result.

Accepted Answer

The statement accurately describes the purpose and contents of a work plan.

Question 4

One of the greatest weaknesses of systems consulting firms is that they try to apply estimates and methodologies that they have developed over time and applied to other projects, most of which are very different from the current project.

Accepted Answer

The answer of One of the greatest weaknesses of systems...

Question 5

System users are stakeholders who perform hands-on activities related to the project.

Accepted Answer

System users are stakeholders who are directly involved in the project activities, such as testing, implementation, and training, among others. Therefore, they can be considered hands-on stakeholders.

Question 6

Calculating the break-even point helps in understanding how long it will take before the system creates real value for the organization.

Accepted Answer

By calculating the break-even point, an organization can determine how many units of a product or service it needs to sell in order to cover its costs and start generating profits. This gives insight into how long it will take for the organization to see a return on its investment and create real value.

Question 7

When planning a systems project, overly optimistic timetables are the cause of project completion delays.

Accepted Answer

Overly optimistic timetables can lead to setting unrealistic expectations and goals for the project, which can cause delays in project completion due to unexpected issues and challenges that arise during the process.

Question 8

Kelly Smith, the vice president of marketing, has provided resources and political support for the new production management information system. She has acted as the project manager for the project.

Accepted Answer

While Kelly Smith has provided resources and political support, acting as the project manager would involve direct management and oversight of the project's execution, which is not indicated by simply providing resources and support.

Question 9

The organizational management of a business is involved in hands-on activities related to the project.

Accepted Answer

The organizational management of a business is mainly involved in strategic planning, decision-making, resource management, and setting policies and goals for the company. They are not directly involved in hands-on activities related to the project. That responsibility falls on the project managers and other operational staff.

Question 10

Project management is the second major component of the planning phase of the systems development life cycle (SDLC), and it includes three steps: creating the work plan, staffing the project, and controlling and directing the project.

Accepted Answer

Project management is indeed the second major component of the planning phase of the SDLC, and it includes creating the work plan, staffing the project, and controlling and directing the project.

Question 11

It is not wise to identify tasks for a current project using existing methodology, because methodologies that have been used by an organization for other projects probably will not work for this project without extensive changes.

Accepted Answer

Existing methodologies can provide a valuable starting point for identifying tasks in a current project, as they encapsulate best practices and lessons learned from previous projects, although adaptations may be necessary to fit the specific context of the new project.

Question 12

Creating a work plan requires three steps: identify the tasks that need to be accomplished, estimate the time that it will take to complete the tasks, and record the task completion time in a Gantt Chart.

Accepted Answer

Creating a work plan involves more steps than those mentioned, including setting goals, prioritizing tasks, assigning responsibilities, and monitoring progress, not just identifying tasks, estimating time, and recording in a Gantt Chart.

Question 13

Adding staff to a project to shorten the project's length is usually a wise move, because adding staff normally translates into increased productivity.

Accepted Answer

Adding staff to a project can actually lead to increased communication and coordination challenges, which can slow down productivity. Additionally, adding staff may require additional time and resources for training and onboarding, which can also delay progress. Therefore, adding staff to a project does not necessarily guarantee a shorter project length.

Question 14

To complete a 20 person-month project in 10 months, a team should have 4 full-time staff members assigned to the project.

Accepted Answer

If a 20 person-month project needs to be completed in 10 months, this means that the team needs to deliver an average of 2 person-months of work per month. To achieve this, the team would need to have 2 full-time staff members assigned to the project, assuming each person can deliver 1 person-month of work per month. Therefore, four full-time staff would exceed the necessary amount and may cause unneeded costs for the project.

Question 15

When estimating project time schedules using industry standards for a systems project, the following values are acceptable: 15% for planning, 25% for analysis, 50% for design, and 10% for implementation.

Accepted Answer

The distribution of time across different phases of a project can vary significantly depending on the project's nature, methodology used (e.g., waterfall vs. agile), and specific industry standards. However, the allocation given (15% for planning, 25% for analysis, 50% for design, and 10% for implementation) seems unbalanced, especially with only 10% allocated for implementation, which is typically one of the most time-consuming phases.

Question 16

The person or group that funds a project and enthusiastically promotes the project throughout the organization is the project champion.

Accepted Answer

A project champion is someone who provides financial support for a project and is also an advocate for the project within the organization.

Question 17

Using typical industry standards for estimating project time schedules, the estimated analysis phase would be 10 person-months for a systems project where the planning phase was completed in 7.5 person-months.

Accepted Answer

This statement provides industry standards for estimating project time schedules and indicates that the estimated analysis phase for a systems project would be 10 person-months, assuming the planning phase has already been completed in 7.5 person-months.

Question 18

The formula for net present value (NPV) is the ratio of (Total benefits - Total Costs) to Total Costs.

Accepted Answer

The formula for net present value (NPV) is the sum of the present value of cash inflows minus the sum of the present value of cash outflows. It is not a ratio of benefits to costs.

Question 19

Project management is the process of planning and controlling the development of a system within a specified time frame at a minimum cost with the right functionality.

Accepted Answer

This statement accurately defines project management as a process that involves planning, controlling, and developing a system within a specific timeframe while minimizing costs and ensuring that the desired functionality is achieved.

Question 20

During organizational feasibility analysis the system users are the stakeholders that are responsible for providing enough budget and promoting the project.

Accepted Answer

During organizational feasibility analysis, the stakeholders responsible for providing enough budget and promoting the project are usually top management or executives, not necessarily system users. System users may provide input on their needs and requirements, but they are not always responsible for financial support or promotion of the project.

Quiz 2: Project Management