Use Real PRINCE2-Practitioner - 100% Cover Real Exam Questions [Oct-2021]
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NEW QUESTION 128
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.
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 Tools and techniques section?
- A. Delete entry 5 because the customers are not within the scope of this project.
- B. Move entry 4 to Reporting because this describes a report on the performance of the Communication procedures used.
- C. Delete entry 3 because the activities required to create the products should be documented in the relevant plan(s).
Answer: B
NEW QUESTION 129
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)
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).
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?
- A. No change to entry 12 because this describes how the Project Board will control the stage. ~
- B. Delete entry 11 because this relates to the monitoring and controlling of the Project Plan, not the Stage Plan.
- C. Delete entry 13 because this is part of the Controlling a Stage process.
- D. 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.
- E. Move entd12 because the Highlight Reports are deliverables of this stage and should be shown under Product descriptions.
Answer: A,B
NEW QUESTION 130
Which of the following statements is FALSE regarding the Continued Business Justification?
- A. The justification for the project should remain valid
- B. The justification for the project may change
- C. The justification for the project must remain the same throughout the project
- D. If the project is no longer justified it should be stopped
Answer: A
NEW QUESTION 131
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.
Which 2 statements should be recorded under the Roles and responsibilities heading?
- A. Each risk will be assigned a risk owner.
- B. Project Assurance will ensure that project risks are identified, assessed and controlled according to the agreed risk management procedure.
- C. Risk tolerances are allocated to each stage by the Project Manager.
- D. An external consultant is to facilitate a risk identification workshop.
- E. Risks exceeding the agreed project risk tolerance will be reported to the Project Board.
Answer: B,E
NEW QUESTION 132
The Health and Safety Training Project has been divided into four stages. The executive considers this project to be a compulsory project and has advised the project manager that it is not necessary to produce the project initiation documentation. This would mean that the project would consist of three delivery stages.
How well does this apply the 'manage by stages' principle?
- A. It applies it poorly, because the stages should be shorter to provide more control to the project board.
- B. It applies it well, because the project management method should be tailored to the project.
- C. It applies it poorly, because solid foundations should be established for every project.
- D. It applies it well, because the justification for delivering the project is already understood.
Answer: C
Explanation:
Explanation
NEW QUESTION 133
Which of the following activities could trigger the production of an exception plan?
- A. Review Stage status
- B. Escalating a project issue
- C. Giving ad hoc direction
- D. Report stage end
Answer: C
NEW QUESTION 134
During which of the following activities is the Project Product Description created?
- A. Design and appoint the Project Management Team
- B. Prepare the outline business case
- C. Plan the initiation stage
- D. Select the project approach and assemble the project brief
Answer: B
NEW QUESTION 135
HOTSPOT
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.
Hot Area:
Answer:
Explanation:
NEW QUESTION 136
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.
Which 2 statements should be recorded under the Proximity heading?
- A. Any risk with a proximity category of imminent will be estimated as having a very high impact.
- B. Imminent risks are those which may occur within two weeks.
- C. The risk of MFH having no outsourcing experience will be categorized as Stage 4 proximity.
- D. Proximity categories for this project are: Imminent; Within the stage; Within the project; Beyond the project.
- E. The risk of staff leaving the organization will be categorized as beyond the project proximity.
Answer: A,B
NEW QUESTION 137
HOTSPOT
The project has a cost tolerance of +5% I 5%, of which stage 2 has a tolerance of +£45k 1-£45k.
Lines 1 to 6 in the table below consist of an assertion statement and a reason statement. For each line identify the appropriate option, from options A to E, that applies. Each option can be used once, more than once or not at all.
Hot Area:
Answer:
Explanation:
NEW QUESTION 138
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:
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.
ABC Company uses a standard development model to develop courses and uses PRINCE2 to manage these projects. The objectives from the Health and Safety Training Project have been documented in the business plan of ABC Company. This business plan has triggered this project. As a result, to save time, the executive has decided to simplify the 'starting up a project' process. The project mandate will be adapted and becomes the project brief.
Is this appropriate, and why?
- A. No, because the project brief should be a statement which includes a fuller description of the project.
- B. Yes, because the business outcomes are clear, the project brief can be a sample statement elaborating the mandate.
- C. No, because capturing lessons from previous projects identify lessons to be applied to this project.
- D. Yes, because the executive can initiate the project based on the project mandate by passing the
'starting up a project' process.
Answer: A
NEW QUESTION 139
Which 2 statements apply to the Composition section?
- A. Delete entry 3 because this is NOT a major product to be delivered by this project.
- B. Amend entry 2 to 'Selected paper'.
- C. Add 'Calendars distributed to customers'.
- D. Delete entry 7 because these will be produced by the photographer.
- E. Move entry 6 to Derivation because this product already exists.
Answer: A,B
Explanation:
Explanation
NEW QUESTION 140
Additional Information Product Description
Quality notes from the Daily Log
The Director of Information Technology Division (DIT) has been asked to ensure that any changes to the outsourced staff employment contracts adhere to employment law. The DIT will review future job descriptions of the transferred staff before the final contract is signed with the selected service provider.
The service level agreement between MFH and the selected service provider will specify the type and quality of service required. The selected service provider must follow the industry standards for providing outsourced services.
MFH has a quality management system which contains a document control procedure for all its documentation, however this does not include change management.
All project documents will be subject to a quality review. Nominated products will require a formal approval record signed-off by the quality review chair.
Extract from the draft Quality Management Strategy (may contain errors) Introduction
1.This document defines the approach to be taken to achieve the required quality levels during the project.
2.The Project Board will have overall responsibility for the Quality Management Strategy.
3.Project Assurance will provide assurance on the implementation of the Quality Management Strategy.
Quality management procedure - Quality standards
4.The selected service provider will operate to industry standards for providing outsourced services.
5.MFH document standards will be used.
Records
6.A Quality Register will be maintained to record the planned quality events and the actual results from the quality activities.
7.Configuration Item Records will be maintained for each product to describe its status, version and variant.
8.Approval records for products that require them will be stored in the quality database. Roles and responsibilities
9.The DIT will check that the employment contracts for outsourced staff adhere to employment law.
10.
Team Managers will provide details of quality checks that have been carried out.
11.
Team Managers will ensure that the Quality Register is updated with the names of team members who are involved in the review process.
12.
The Senior User will review the Product Descriptions of the products to be produced by the selected service provider to ensure that they can be achieved.
Although it is not specified in the current corporate branding standards, the MFH corporate logo should be shown on the front page of the service level agreement.
- A. Obtain agreement from the Director of Facilities Division to amend this within the remaining +2 days tolerance.
- B. Raise an issue (request for change).
- C. Raise an issue (off-specification).
- D. Accept this error as a concession.
Answer: B
NEW QUESTION 141
Who would be responsible for maintaining the Configuration Item Records?
- A. Team Manager
- B. Project Support
- C. Project Assurance
- D. Project Manager
Answer: B
NEW QUESTION 142
While preparing the Configuration Management Strategy, the Project Manager considered the options for change control. He decided to recommend a change budget of (GBP)250k, but
was undecided on the Change Authority to recommend.
Which option is an appropriate Change Authority for the Outsourcing project?
- A. The Director of Facilities and the Director of Information Technology to approve all changes.
- B. The selected service provider to approve and implement all changes.
- C. Senior User(s) and Project Assurance representatives, within the limits of the recommended change budget.
Answer: C
NEW QUESTION 143
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:
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.
Use the 'Additional Information' in the Scenario Booklet to answer this question.
The Operations Director is the executive for the project and has proposed that a senior course developer be appointed as project manager. The course developer works in the Training Development Manager's team and has a good understanding of the standard course development model. The course developer was a team manager on a previous project for which the Operations Director was the executive.
Is this proposed appointment appropriate, and why?
- A. No, because there is a conflict of interest as the Training Development Manager is responsible for gaining accreditation.
- B. No, because the course developer's team reports to the Business Development Director, not the Operations Director.
- C. Yes, because the course developer is likely to have the project management and specialist knowledge required.
- D. Yes, because the course developer is responsible for ensuring that trainers deliver courses to the required standard.
Answer: D
NEW QUESTION 144
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.
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 Tools and techniques section?
- A. Delete entry 5 because the customers are not within the scope of this project.
- B. Move entry 4 to Reporting because this describes a report on the performance of the Communication procedures used.
- C. Delete entry 3 because the activities required to create the products should be documented in the relevant plan(s).
Answer: B
NEW QUESTION 145
The project is approaching the end of stage 3, and stage 4 is being planned as part of the 'managing a stage boundary' process.
Which action should the project manager carry out as part of the 'update the project plan' activity?
- A. Include the tolerances for the work package 'delivered pilot courses' in the project plan.
- B. Ensure that the team manager for the work package 'delivered pilot courses' is included as a resource.
- C. Include the actual time and cost of the work to prepare the 'marketing materials' in the project plan.
- D. Update the project's business case to show any new key risks that have been identified.
Answer: C
Explanation:
Explanation/Reference: https://www.prince2primer.com/prince2-2017-update-project-plan-business-case/
NEW QUESTION 146
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 (GBP)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 (GBP)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 Expected benefits heading?
- A. The confirmed cost of the Outsourcing project is (GBP)2.5m, but with considerable savings over 10 years.
- B. The total expected savings over 10 years, at current prices, is (GBP)20m.
- C. The 10-year outsourcing contract, at current prices, will be worth (GBP)80m.
- D. Outsourcing would allow MFH to take advantage of the best services the outsourcing industry has to offer.
- E. The 10-year outsourcing contract will enable MFH to stabilize costs at agreed levels.
Answer: B,E
Explanation:
Reference: http://www.whatisprince2.net/prince2-theme-business-case.php
NEW QUESTION 147
A quality review of the 'marketing materials' has started. The team manager for the 'marketing materials' has been unhappy with the team's workload throughout the project and refuses to attend the review meeting to present the material. The team manager suggests that a new marketing team member make the presentation. However, the chair decides to represent the marketing team and makes a list of actions to resolve later.
Is this an appropriate approach to the quality review, and why?
- A. No, because the chair should be independent from the product being reviewed.
- B. Yes, because the role of presenter should not be performed by a junior member of the team.
- C. Yes, because the roles of chair, presenter and administrator may be combined.
- D. No, because the role of presenter should be performed by the team manager.
Answer: A
NEW QUESTION 148
Which of the following activities is NOT an action of preparing for planned closure?
- A. Update the Project Management Team
- B. Request a product status account
- C. Update the project plan with actual
- D. Confirm project has delivered what is defined in Project Product Description
Answer: A
NEW QUESTION 149
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