PMP- Q&A (60)

1. What is a project?

A.    Project is temporary endeavor undertaken to create unique product, service or result (has defined start and end date)

2. What is a program? 

A.    Program is group of related projects

3. What is a portfolio?

A. Portfolio is group of projects or programs (may or may not be dependent). They are grouped together for effective management.

4. Who are stakeholders?

A.    Stakeholders are persons or organizations whose interests may be positively or negatively affected by the performance or completion of the project. Stakeholders include project team as well. 

5. Define stakeholder characteristics?

A.    The stakeholders of a project typically have conflicting objectives. They have maximum influence during initial stages of the project.

6. What is contingency reserve?

A.    Contingency Reserve is to cover known unknowns (known risks)

7. What is management reserve?

A.    Management Reserve to cover unknown unknowns (unknown risks)

8. What is last step in project closing?

A.    Last step in project closing is gather lessons learned and archive project info (Organization Process Assets updates) for future use

9. How will you choose a project given NPV of many projects?

A.    Choose project with high NPV (i.e high net present value)

10. What is value engineering?

A.    Value engineering is less costly method to deliver same scope without performance degradation

11. Who issues project charter?

A. Project sponsor issues project charter

12. What type of contract is purchase order?

A.    Purchase order is fixed price type contract

13. Sensitivity analysis is a technique in which process?

A.    Sensitivity analysis is a technique in Quantitative Risk Analysis

14. Name some techniques in Perform Quality Assurance?

A.    Quality audits, process analysis (includes root cause analysis) are some techniques in Perform Quality Assurance

15. What Kaizen approach?

A. Kaizen approach is Continuous improvement

16. Quality is management problem is mentioned by?

A.    Quality is management problem is mentioned by Deming

17. Zero defects/Do it first time is mentioned by?

A.    Crosby

                                                          

18. Components of decision tree?

A.    Decision tree components are square - decision node, circle- chance node and triangle - end of branch.

19. What is critical chain?

A.    Resource constrained critical path is critical chain.

20. What is constructive change?

A.    Undocumented change to contract is constructive change.

21. What is code of accounts?

A.    Code of accounts is numbering system used to uniquely identify each component of the Work Breakdown Structure (WBS).

22. Difference between precision and accuracy?

A.    Precision is values of repeated measurements are clustered and have little cluster. Accuracy is measured value is close to true value.

23. Difference between quality and grade?

A.    Quality is degree to which a set of inherent characteristics fulfill requirements.                          

B.    Grade is category assigned to products or services that have the same functional use but different technical characteristics.

3. Low quality is not acceptable, but low grade may be acceptable.

24. Difference between agreement and contract?

A.    Agreement is not legally binding but a contract is legally binding

25. Difference between product scope and project scope?

A.    Product scope means the features and functions of the product or service being built. B. Project scope means the work that's needed to build the product. 

26. What is free float?

A.    Free float is time that an activity can be delayed from it's early start date without delaying early start of any immediately following schedule activities.

27. What is total float?

A.    Total float is time that an activity can be delayed from it's early start date without delaying the project finish date.

28. What is project scope statement?

A.    Project scope statement contains deliverables and also the work required to create those deliverables.

29. How to interpret control chart?

A.    Process is considered out of control when a data point in control chart exceeds control limit or if seven consecutive points in control chart are above or below (i.e on one side) of the mean.

30. What is staffing management plan?

A.    Staffing management plan adds time (schedule) component to Human Resource (HR) plan. It also includes rewards and recognitions, training requirements and release criteria.

31. What is resource histogram?

A.    Resource histogram is part of staffing management plan. It describes the type and quantity of resources needed over a period of time.

32. What is pareto chart?

A.    Pareto chart is type of histogram ordered by frequency of occurrence. It shows how many defects were generated by type of category of identified cause.

33. What is workaround?

A.    Workaround is response to negative risk event. Differs from contingency plan in that workaround is not planned in advance.

34. What is control account?

A.    Control account is management control point where scope, cost and schedule are integrated and compared to the earned value for performance measurement.

35. What are types of contracts?

A.    Different types of contracts are Fixed Price, Cost-Reimbursable, Time and material.

36. List some information gathering techniques used in identifying risk?

A.    Information gathering techniques used in identifying risk are Brainstorming, Interviewing, Delphi technique and root cause analysis. [BIRD]

37. Define Time and Material contracts?

A.    T&M contracts are hybrid type of contractual agreements that could contain aspects of both cost-reimbursable and fixed-price type arrangements.

38. What are seven basic tools of quality?

A.    Seven basic tools of quality are Cause and Effect (Fishbone or Ishikawa) Diagrams, Control Chart, Flowcharting, Histogram, Pareto Chart, Run chart and Scatter Diagram.

39. What are different types of conflict management techniques?

A.    Conflict management techniques are Withdrawing/Avoiding, Compromising, Smoothing, Forcing, Collaborating and Confronting/Problem Solving,

40. What are ways to handle negative risks?

A.    Ways to handle negative risks are Avoid, Transfer, Mitigate and Accept.(ATMA)

41. What are ways to handle positive risks?

A.    Ways to handle positive risks are Exploit, Share, Enhance and Accept. (E-SEA)

42. What are different stages of team development?

A.    Different stages of team development are Forming, Storming, Norming, Performing and Adjourning. (FS NPA)

43. What is Maslow's hierarchy of needs (from bottom to top)?

A.    Maslow's hierarchy of needs from bottom to top are Physiological needs, safety needs, social needs, self esteem needs and self actualization needs.(PS4)

44. List different types of power?

A.    Different types of power are Reward power, Coercive (penalty) power, legitimate power, Referent power and Expert power. (RCLRE)

45. Which power is very effective?

A.    Most effective power is Expert power.

46. Mention some sources of conflicts?

A.    Resources, schedules and priorities cause 50% of project problems and conflicts. Schedule is the biggest source of conflict.

47. What is procurement audit?

A.    Once you've closed out a procurement, it's important to conduct a procurement audit. This is where you go over everything that happened on the project to figure out the lessons learned, and look for anything that went right or wrong. 

48. What is gold plating?

A.    Gold plating is when the team adds more work to the project that was not requested by the sponsor or client. It is not scope creep.

49. What is point of total assumption?

A.    The point of total assumption is the point at which the seller assumes the costs. In a firm fixed price contract, this is the point where the costs have gotten so large that the seller basically runs out of money from the contract and has to start paying the costs.

50. What is war room?

A.    The room the co-located team meets in is called a war room.

51. What is the sequence of actions that should happen when an issue happens?

A.    When an issue happens, analyze impact of issue; submit change request; if approved, update schedule and scope baselines -> implement the change.

52. What is scope baseline?

A.    The scope baseline is made up of Project Scope Statement, WBS and the WBS Dictionary.

53. What is marginal analysis?

A.    Marginal analysis - The best level of the quality is reached at the point where the incremental revenue being gained from improvements equals the incremental cost being spent to secure it.

54. What is zero sum reward system?

A.    A Zero Sum reward system is a win-lose recognition Programme.

For example, with an employee of the month program their will only be one or two team members who will win the award each month. Reward programs should be more win-win

55. What is murder board?

A.    Murder board is a process where a committee asks questions from project representatives as part of the project selection process. 

56. What is oligopoly?

A.    Oligopoly - There are few sellers and action of one seller will have impact on other sellers prizes.

57. What is Ethnocentrism?

A.    Ethnocentrism refers to belief that ones culture is superior to other cultures.

58. What is force majeure?

A.    Force majeure is a powerful and unexpected event, such as hurricane or other disaster.

59. What is typical duration range for WBS activity?

A.    WBS activity should be between 8 and 80 hours.

60. What are responsibilities of risk owner?

A.    Every risk should have a risk owner listed in the register. That person is responsible for keeping the response plan up to date and make sure the right actions are taken if the risk does occur.