Chapter 1 - Introduction to Project Management

TRUE/FALSE

	1.	A project is a temporary endeavor undertaken to create a unique product, service or result.

ANS:	T	DIF:	Easy	REF:	P. 4	OBJ:	CPMT.KLOP.15.01.01
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Knowledge	

	2.	A project is a lasting endeavor undertaken to maintain a reliable product or service.

ANS:	F	DIF:	Easy	REF:	P. 4	OBJ:	CPMT.KLOP.15.01.01
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Comprehension

	3.	Most projects are conducted with constraints on the amount of time and funding available to the project manager.

ANS:	T	DIF:	Moderate	REF:	P. 10	OBJ:	CPMT.KLOP.15.01.01
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Comprehension

	4.	Project plans and goals usually become more specific as early work is completed.

ANS:	T	DIF:	Easy	REF:	P. 4	OBJ:	CPMT.KLOP.15.01.02
NAT:	BUSPROG.CPMT.KLOP.15.06	KEY:	Bloom's: Knowledge	

	5.	Operations consist of the ongoing work needed to ensure the organization continues to function effectively.

ANS:	T	DIF:	Easy	REF:	P. 5	OBJ:	CPMT.KLOP.15.01.01
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Knowledge	

	6.	Customers may need to sacrifice expectations related to cost or schedule in order to realize their expectations for scope or quality.

ANS:	T	DIF:	Challenging	REF:	P. 10	OBJ:	CPMT.KLOP.15.01.01
NAT:	BUSPROG.CPMT.KLOP.15.06	KEY:	Bloom's: Analysis	

	7.	An important factor used to determine the phases in a project life cycle are the control needs of the organization(s) involved in the project.

ANS:	T	DIF:	Moderate	REF:	P. 6	OBJ:	CPMT.KLOP.15.01.02
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Comprehension

	8.	Generally, project life cycle stages are designed so that the amount of money spent in each of the stages is nearly equivalent.

ANS:	F	DIF:	Moderate	REF:	P. 6	OBJ:	CPMT.KLOP.15.01.02
NAT:	BUSPROG.CPMT.KLOP.15.06	KEY:	Bloom's: Comprehension

	9.	Project customers can be either internal or external to the organization.

ANS:	T	DIF:	Easy	REF:	P. 6	OBJ:	CPMT.KLOP.15.01.02
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Knowledge	

	10.	Different project life cycle models are used for different types of projects.

ANS:	T	DIF:	Easy	REF:	P. 6	OBJ:	CPMT.KLOP.15.01.02
NAT:	BUSPROG.CPMT.KLOP.15.06	KEY:	Bloom's: Knowledge	

	11.	All projects go through a common project life cycle that includes four stages: concept, development, production and close-out.

ANS:	F	DIF:	Challenging	REF:	P. 6	OBJ:	CPMT.KLOP.15.01.02
NAT:	BUSPROG.CPMT.KLOP.15.06	KEY:	Bloom's: Analysis	

	12.	The name and number of phases in a project life cycle are determined by the organization(s) involved in the project.

ANS:	T	DIF:	Moderate	REF:	P. 6	OBJ:	CPMT.KLOP.15.01.02
NAT:	BUSPROG.CPMT.KLOP.15.06	KEY:	Bloom's: Application	

	13.	Integration management represents the processes and activities to identify, define, combine, unify and coordinate the various processes and project management activities.

ANS:	T	DIF:	Easy	REF:	P. 9	OBJ:	CPMT.KLOP.15.01.03
NAT:	BUSPROG.CPMT.KLOP.15.06	KEY:	Bloom's: Knowledge	

	14.	Scope management includes the processes to manage timely completion of the project.

ANS:	F	DIF:	Moderate	REF:	P. 9	OBJ:	CPMT.KLOP.15.01.03
NAT:	BUSPROG.CPMT.KLOP.15.06	KEY:	Bloom's: Application	

	15.	Communications management generally entails the processes that organize, manage, and lead the project team.

ANS:	F	DIF:	Moderate	REF:	P. 9	OBJ:	CPMT.KLOP.15.01.03
NAT:	BUSPROG.CPMT.KLOP.15.06	KEY:	Bloom's: Application	

	16.	Stakeholder management is comprised of the processes to identify the people, groups, or organizations that could impact or be impacted by the project, analyze their expectations and impact, and developing strategies for engaging them and managing conflicting interests.

ANS:	T	DIF:	Easy	REF:	P. 9	OBJ:	CPMT.KLOP.15.01.03
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Knowledge	

	17.	Cost management processes are involved in planning, estimating, budgeting,m financing, funding, managing and controlling costs so that the project can be completed within the approved budget.

ANS:	T	DIF:	Easy	REF:	P. 9	OBJ:	CPMT.KLOP.15.01.03
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Knowledge	

	18.	The most critical measures of project success are completing the project on schedule and on budget.

ANS:	F	DIF:	Challenging	REF:	P. 11	OBJ:	CPMT.KLOP.15.01.04
NAT:	BUSPROG.CPMT.KLOP.15.06	KEY:	Bloom's: Analysis	

	19.	Some projects are considered successful if they reap business benefits like increased profitability, even if completed late or over budget.

ANS:	T	DIF:	Challenging	REF:	P. 11	OBJ:	CPMT.KLOP.15.01.04
NAT:	BUSPROG.CPMT.KLOP.15.06	KEY:	Bloom's: Analysis	

	20.	In reality, many projects are fully successful in some ways, but less successful in others.

ANS:	T	DIF:	Challenging	REF:	P. 11	OBJ:	CPMT.KLOP.15.01.04
NAT:	BUSPROG.CPMT.KLOP.15.06	KEY:	Bloom's: Analysis	

	21.	In agile projects, the customer representative role is passive, and their involvement is typically limited to the early stages of the project.

ANS:	F	DIF:	Moderate	REF:	P. 14	OBJ:	CPMT.KLOP.15.01.05
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Application	

	22.	The project manager is normally directly accountable for the project results, schedule and budget.

ANS:	T	DIF:	Easy	REF:	P. 14	OBJ:	CPMT.KLOP.15.01.06
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Comprehension

	23.	The project management office (PMO) is typically the person or group that provides the financial resources and support for the project, and is accountable for enabling success.

ANS:	F	DIF:	Moderate	REF:	P. 14	OBJ:	CPMT.KLOP.15.01.06
NAT:	BUSPROG.CPMT.KLOP.15.06	KEY:	Bloom's: Application	

MULTIPLE CHOICE

	1.	Which of the following examples is NOT a typical or appropriate situation to employ project management?

a.	improving an existing work process	
b.	installing a new computer system	
c.	conducting a routine, standard customer service operation	
d.	developing a new product	

ANS:	C	DIF:	Moderate	REF:	P. 5	OBJ:	CPMT.KLOP.15.01.01
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Application	

	2.	Which of the following examples is NOT a typical or appropriate situation to employ project management?

a.	improving a soldering process in an assembly line	
b.	processing deposits and withdrawals in a bank	
c.	installing a new accounting application on to a server	
d.	developing a new medical device for use by clinics	

ANS:	B	DIF:	Moderate	REF:	P. 5	OBJ:	CPMT.KLOP.15.01.01
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Application	

	3.	All of the following factors have influenced the increased reliance upon project management in recent years EXCEPT:

a.	rapid growth and changes in the information technology and telecommunications industries	
b.	realization that methods for large projects can be modified and used for small projects	
c.	increased international competition and its influence on consumer demands	
d.	the decreased demands of ongoing operational work	

ANS:	D	DIF:	Easy	REF:	P. 5	OBJ:	CPMT.KLOP.15.01.01
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Comprehension

	4.	Projects often require tradeoffs among all of the following EXCEPT:

a.	scope 	
b.	cost	
c.	schedule	
d.	programs	

ANS:	D	DIF:	Easy	REF:	P. 10	OBJ:	CPMT.KLOP.15.01.01
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Comprehension

	5.	Once projects are completed, they will typically yield all of the following results EXCEPT:

a.	a unique product, service or result	
b.	make or buy decisions	
c.	stakeholders whose interests are affected by the outcome	
d.	a primary deliverable along with supporting deliverables	

ANS:	B	DIF:	Moderate	REF:	P. 4	OBJ:	CPMT.KLOP.15.01.01
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Application	

	6.	In an adaptive or change - driven project life cycle: 
a.	the product or deliverable is well understood.	
b.	planning precedes all executing.	
c.	early results lead into planning later work.	
d.	the waterfall approach is commonly used.	

ANS:	C	DIF:	Moderate	REF:	P. 7	OBJ:	CPMT.KLOP.15.01.05
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Application	

	7.	Which of the following statements correctly describes project management?

a.	Project management applies knowledge, skills, tools and techniques to project activities.	
b.	Project management should not involve tradeoffs between scope, schedule and cost.	
c.	Project management only relies upon checklists to plan and execute the work.	
d.	Project management’s goal is to maintain efficiency of ongoing operations.	

ANS:	A	DIF:	Moderate	REF:	P. 4	OBJ:	CPMT.KLOP.15.01.01
NAT:	BUSPROG.CPMT.KLOP.15.06	KEY:	Bloom's: Comprehension

	8.	Which of the following statements regarding project life cycles is most accurate?

a.	All research and development organizations rely upon a four-stage project life cycle that includes initiating, planning, executing and closing.	
b.	The project life cycle is the same regardless of the type of projects managed by an organization.	
c.	Many different project life cycle models are used, for different types of projects.	
d.	All project life cycles are the same across every industry	

ANS:	C	DIF:	Moderate	REF:	P. 6	OBJ:	CPMT.KLOP.15.01.02
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Comprehension

	9.	In the PMBOK, the five logical groupings of the project management inputs, tools and techniques, and outputs are called the:
a.	project management knowledge areas	
b.	project management process groups 	
c.	life cycle stages	
d.	phases and gates	

ANS:	B	DIF:	Challenging	REF:	P. 9	OBJ:	CPMT.KLOP.15.01.03
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Analysis	

	10.	When applied to project management, the human resource management knowledge area typically involves which of the following activities?

a.	determining the work necessary for project completion	
b.	estimating, budgeting and controlling project costs	
c.	identifying, analyzing and controlling project risks	
d.	organizing, managing and leading the project team	

ANS:	D	DIF:	Easy	REF:	P. 9	OBJ:	CPMT.KLOP.15.01.03
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Knowledge	

	11.	Which of the ten knowledge areas defined in the Project Management Body of Knowledge includes the processes required to ensure that the project includes all the work required, and only the work required, to complete the project successfully?
a.	Project scope management	
b.	Project quality management	
c.	Project communications management	
d.	Project stakeholder management	

ANS:	A	DIF:	Easy	REF:	P. 9	OBJ:	CPMT.KLOP.15.01.03
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Knowledge	

	12.	Which of the ten knowledge areas defined in the Project Management Body of Knowledge includes the activities of purchasing or acquiring products, services or results from outside the project team?

a.	Scope management	
b.	Quality management	
c.	Communications management	
d.	Procurement management	

ANS:	D	DIF:	Easy	REF:	P. 9	OBJ:	CPMT.KLOP.15.01.03
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Knowledge	

	13.	Achieving project success is determined by all of the following EXCEPT:

a.	creating deliverables that include all required features	
b.	involving only important key stakeholders	
c.	completing the project on schedule and on budget	
d.	providing outputs that please the project’s customers	

ANS:	B	DIF:	Challenging	REF:	P. 9	OBJ:	CPMT.KLOP.15.01.04
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Analysis	

	14.	Projects are considered successful for all of the reasons below EXCEPT:..

a.	members of the team learn new skills working on the project.	
b.	the organization captures lessons learned for future projects.	
c.	the team has demonstrated heroics to meet project objectives	
d.	the organization reaps business level benefits.	

ANS:	C	DIF:	Moderate	REF:	P. 11	OBJ:	CPMT.KLOP.15.01.04
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Application	

	15.	Which of the following actions will likely cause a project to fail?

a.	dedicating valuable team member time to identify risk events	
b.	spending project funding to procure needed tools and spare parts	
c.	unclear or conflicting stakeholder expectations	
d.	conducting a project audit to evaluate performance	

ANS:	C	DIF:	Moderate	REF:	P. 12	OBJ:	CPMT.KLOP.15.01.04
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Application	

	16.	Project failure can result from all of the following causes EXCEPT:

a.	support of senior management	
b.	changes in scope are not agreed upon by all parties involved.	
c.	too little time is allowed for project completion.	
d.	planning is not adequate.	

ANS:	A	DIF:	Moderate	REF:	P. 12	OBJ:	CPMT.KLOP.15.01.04
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Comprehension

	17.	A project manager in agile projects who serves and leads in a collaborative, facilitation manner is called a:

a.	program manager	
b.	scrum master	
c.	sponsor	
d.	functional manager	

ANS:	B	DIF:	Easy	REF:	P. 15	OBJ:	CPMT.KLOP.15.01.06
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Knowledge	

	18.	Typically, a steering team or leadership team is responsible for all of the following project related roles EXCEPT:

a.	selecting, prioritizing and resourcing projects	
b.	providing rigid policies, procedures, standards and guidelines 	
c.	ensuring accurate progress is reported and adjustments made	
d.	aligning projects with the organization’s strategic plans	

ANS:	B	DIF:	Moderate	REF:	P. 14	OBJ:	CPMT.KLOP.15.01.06
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's:Comprehension

	19.	Which of the following roles is typically associated with the project manager?

a.	the person assigned by the performing organization to lead the team that is responsible for achieving the project objectives	
b.	the person with management authority over a unit within a functional organization	
c.	the person responsible for project methods, standards and training	
d.	the person responsible for providing the financial resources and support for the project and is accountable for enabling success.	

ANS:	A	DIF:	Moderate	REF:	P. 14?	OBJ:	CPMT.KLOP.15.01.06
NAT:	BUSPROG.CPMT.KLOP.15.06	KEY:	Bloom's: Application	

	20.	Typically, the senior customer representative is responsible for which of the following project roles?

a.	develops the project schedule and budget	
b.	determines how the project work will be accomplished	
c.	ensures the needs of the customer’s organization are identified and prioritized	
d.	helps the project manager with running meetings and providing status reports	

ANS:	C	DIF:	Easy	REF:	P. 14?	OBJ:	CPMT.KLOP.15.01.06
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Knowledge	

	21.	From an agile project management perspective, which of these constraints are considered to be fixed?
a.	Quality and value	c.	Scope and time	
b.	Resources and schedule	d.	Customer satisfaction	

ANS:	B	DIF:	Moderate	REF:	P. 11	OBJ:	CPMT.KLOP.15.01.05
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Comprehension

ESSAY

	1.	Contrast project management with operations management.  How do these differences impact the approach required to manage a project successfully?

ANS:	
Key concepts to be covered in the response include:

Operations - Ongoing; continuous; repetitive process- Management approach can include using checklists to guide operational work.

Project - Temporary; unique - management of a project entails gathering requirements and creating a project plan.  Using a checklist is not sufficient due to the unique nature of the project.

DIF:	Moderate	REF:	P. 5	OBJ:	CPMT.KLOP.15.01.01
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Comprehension

	2.	Project managers frequently face competing constraints.  Identify these common constraints and describe approaches that project managers can use to make the trade-offs required to succeed.

ANS:	
Key concepts to be covered in the response include:

Project constraints are: scope, schedule, cost, quality, resources, and risks.

During management of a project, tradeoffs must be made between these factors.

From a client perspective, projects typically have time and cost constraints, so a project manager needs to be concerned with achieving desired scope and quality, subject to the constraints of time and cost.

As a project is conducted, many opportunities and challenges may occur.  The project manager will need to understand which of these four constraints must take precedence, and which may be sacrificed. Understanding the customer’s desires will help the project manager to make a good decision.

DIF:	Challenging	REF:	P. 4, pp. 10 - 11		OBJ:	CPMT.KLOP.15.01.01
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Analysis	

	3.	The Project Management Body of Knowledge (PMBOK® Guide) published by the Project Management Institute identifies five process groups.  Briefly identify and describe each of these five process groups.

ANS:	
Key concepts to be covered in the response include:

A project management process group is a “logical grouping of the project management inputs, tools and techniques, and outputs.”  The five process groups defined in the PMBOK Guide are:

Initiating: Define the project or new phase and obtain authorization

Planning: Establish scope, refine objectives and define actions to attain objectives.

Executing: Complete the work defined to satisfy project specifications.

Monitoring and controlling: Track, review and regulate progress and performance, identify changes required, and initiate changes.

Closing: Finalize all activities to formally close a project or phase.

DIF:	Moderate	REF:	P. 9	OBJ:	CPMT.KLOP.15.01.01
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Comprehension

	4.	Compare and contrast predictive, or plan-driven project life cycles with agile, or change-driven life cycles.  When might each type of life cycle be appropriate?

ANS:	
Key concepts to be covered in the response include: 

In a predictive or plan-driven life cycle, the product is well understood. There is a single detailed planning phase that is completed prior to project execution.

In an adaptive or change-driven project life cycle, a single detailed project plan is not completed prior to project execution.  The plan is developed iteratively and incrementally.  Iterations are very rapid and are fixed in time and cost.  Early results lead into planning later work.

DIF:	Moderate	REF:	P. 7	OBJ:	CPMT.KLOP.15.01.05
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Comprehension

	5.	The leadership of top management is often cited as a factor that is critical to project success.  Describe the key project related activities of the steering team, chief projects officer and sponsor.

ANS:	
Key concepts to be covered in the response include: 

Steering Team - Often comprised of the CEO and direct reports.  Responsible for selecting, prioritizing, and resourcing projects in accordance with the organization’s strategic planning.  As the project progresses, they also ensure that accurate progress is reported and adjustments made as necessary.

Chief Projects Officer - This role is sometimes called a project management office (PMO), which is “an organizational structure that standardizes the project related governance processes and facilitates the sharing of resources, methodologies, tools and techniques.” The role of the PMO can range from supporting project managers, to controlling them by managing projects directly.

Sponsor - PMI’s definition is that a sponsor is “the person or group that provides resources and support for the project and is accountable for enabling success.”  This person takes an active role in chartering the project, reviewing progress, mentoring, and assisting the project manager throughout the project.

DIF:	Moderate	REF:	P. 14	OBJ:	CPMT.KLOP.15.01.06
NAT:	BUSPROG.CPMT.KLOP.15.03	KEY:	Bloom's: Comprehension