2 | Initiating the Project

Question 1

Strategic Relevance?

Answer 1

Strategic relevance of a project determines whether the project should be done, in other words, does it align with the company’s strategic goals. Strategic relevance serves as a checkpoint and requires that the project objectives and the strategic priorities are clearly defined and communicated by senior leadership.

Question 2

Operational Relevance?

Answer 2

Is a responsibility that requires the project objectives and operational priorities be clearly defined and communicated by tactical management and decides if the project should be taken up

Question 3

Strong Matrix Organization Authority?

Answer 3

The project manager has more authority than the functional manager.

Question 4

Weak Matrix Organization Authority?

Answer 4

The functional manager has more authority than the project manager.

Question 5

The Projects business, functional and technical goals should be attuned with the?

Answer 5

Organizations strategic, tactical and operational goals.

Question 6

The Organizations strategic goals are set by the?

Answer 6

Executive Management

Question 7

The Organization strategic goals needs to be reconciled to the?

Answer 7

Projects business requirements.

Question 8

The functional requirements must be reconciled to both the?

Answer 8

Projects business goals and the organizations tactical goals, which are set by project and functional managers.

Question 9

The projects technical requirements must be reconciled to both the?

Answer 9

Organizations operational goals and the functional and business requirements.

Question 10

What is the process of reconciling a project to the organizations strategic, tactical and operational goals?

Answer 10

1. Organizations Strategic Goals
2. Reconcile projects business requirements
3. Organizations Tactical Goals
4. Reconcile projects functional requirements
5. Organizations Operational Goals
6. Reconcile projects technical requirements

Question 11

Project Requirements?

Answer 11

Is a statement that defines the functionality that a project is designed to accommodate and how the functionality will be achieved and satisfied by the solution.

Question 12

Project requirements can be classified as?

Answer 12

Business, functional or technical.

Question 13

Business requirement?

Answer 13

Defines why the project is being conducted, and every project must satisfy a business need or it should not be pursued.

Question 14

Functional requirement?

Answer 14

Refer to what the project will accomplish. These requirements detail the desired functionality, capacity, or capability expected from the project.

Question 15

Technical requirement?

Answer 15

Detail how the project will meet the business and functional requirements, including technical needs that are crucial for a project.

Question 16

Project Selection?

Answer 16

is the act of choosing a project from among competing proposals.

Question 17

Project Selection Criteria?

Answer 17

are the standards and measurements an organization uses to select and prioritize projects.

Question 18

Qualitative Project Selection Criteria?

Answer 18

deals with the projects suitability with the organizations capabilities.

Question 19

Quantitative Project Selection Criteria?

Answer 19

May specify financial targets that the project must meet.

Question 20

Project Selection Methods?

Answer 20

Are systematic approaches that decision makers use to analyze the value of a proposed project.

Question 21

Project selection decision model?

Answer 21

Provides a framework for comparing competing project proposals by helping decision makers compare the benefit of one project with another.

Question 22

What are the two types of project selection decision models?

Answer 22

1. Benefit measurement models

2. Mathematical models

Question 23

Benefit measurement decision model type?

Answer 23

Analyze the predicted value of the completed projects in different ways. The may present the value in terms of forecasted revenue, ROI, predicted consumer demand in the marketplace, or the Internal Rate of Return (IRR).

Question 24

Mathematical decision model type?

Answer 24

Use different types of mathematical formulas and algorithm to determine the optimal course of action. Variables such as business constraints, the highest possible profit that could be made on a project, and the laws and safety regulations that govern business operations may be considered.

Question 25

Capital Budgeting?

Answer 25

Helps senior executives make decisions about when and whether to make significant investments in capital expenditures such as new equipment, machinery, and facilities. Capital Budgeting is often used if a project is large or if it is likely to involve the purchase of fixed assets. In these, cases the decision makers may use formal methods such as payback period, Discounted Cash Flow (DCF), and Net Present Value (NPV).

Question 26

Scoring and Rating Systems?

Answer 26

Used to find the best available solution or outcome.

Question 27

What are the five scoring/rating systems?

Answer 27

1. Decision Tree
2. Criteria Profiling
3. Weighted Factor
4. Q-sorting
5. Delphi Technique

Question 28

Decision Tree scoring/rating system?

Answer 28

Selection criteria are arranged along the branches of a tree flowchart. The project is evaluated against criterion #1 on branch #1. If the project meets the criterion, it travels down to branch #2, where it is evaluated against criterion #2, and so on. If the project fails to meet any criterion, it is removed from consideration.

Question 29

Criteria Profiling scoring/rating system?

Answer 29

Similar to the decision tree in that the project is evaluated using one criterion at a time. However, in this model the project continues to be considered even if it fails to meet some of the criteria. At the end of the consideration, the project is scored on the number of criteria met. The score is then compared to other projects also under consideration.

Question 30

Weighted Factor scoring/rating system?

Answer 30

Similar to the criteria profiling, but different criteria may be weighted and factored into the scoring. For example, a project may get one point for meeting a low-priority criterion and three-points for meeting a high-priority criterion.

Question 31

Q-sorting scoring/rating system?

Answer 31

Groups of people rate the relative priority of a number of projects. Each group member is given a deck of cards with a different project listed on each card. Each group member sorts the deck into high, medium, and low priority, based on the predetermined criteria. The high-priority projects are further sorted to identify very high priority projects. The group compares their high priority project selections. Any projects they decide to pursue will be chosen from among the consensus of high-priority projects.

Question 32

Delphi Technique scoring/rating system?

Answer 32

This technique allows experts to be located remotely and remain
anonymous, yet still participate in group decision making. People
participating in a Delphi process are given criteria, asked to rate a
project on a zero-to-ten scale, and provide reasons for their ratings. The
resulting statistics are fed back to the participants along with a summary
of the group’s reasoning. Participants can then revise their ratings based
on the group findings. The process repeats until some predetermined
stop criterion (number of rounds, achievement of consensus, etc.) is
reached.

Question 33

Feasibility Analysis?

Answer 33

is an evaluation method for proposed projects to determine if they are feasible
to the organization in terms of financial, technical, and business aspects. It gives management the technical and operational data needed to make a decision about project selection.

Question 34

f the feasibility analysis is a formal study, it should include:

Answer 34

• The description of the problem that the project is expected to solve.
• The summary of relevant historical data about previous project phases.
• The summary and evaluation of available technologies that could be used to solve the problem, including the potential output quality of each.
• The evaluation based on current assessment of the organization’s technical capability and readiness to use each technology.
• The estimate of costs and time to implement each alternative.
• The statement of assumptions or constraints used to derive the previous evaluations and estimates.
• Recommendation as to the best alternative to pursue, based on projected cost, time, and quality.
• The statement of project goals and major development milestones

Question 35

Cultural feasibility?

Answer 35

is an organizational characteristic that measures the extent an organization’s shared values support the project’s goals. The proposed solution must be accepted and implemented for the organization to derive any real benefits. In order to determine the feasibility of a project, the cultural issues that may prevent the absorption of the proposed change must be detected. This can be achieved by looking at the relationship among people, processes, and platforms involved in the implementation of the solution.

Question 36

In order to thoroughly examine cultural feasibility, you should consider what questions:

Answer 36

• What key business processes are involved in the proposed change?
• What is the essence or nature of those business processes?
• Who within the organization supports those key business processes?
• What is the technical proficiency of the staff and can they handle the proposed change?
• What is the technical proficiency of the intended audience or customers and can they handle the
proposed change?
• Does the intended audience believe that the proposed project solution can help or benefit them?

Question 37

Technical Feasibility?

Answer 37

Is a study to analyze the technical considerations of a proposed project. The
technical feasibility of a project cannot be determined until the impact to existing systems is fully qualified. A Subject Matter Expert (SME) should be brought in to assist in the quantification of the systems impact when you encounter the following situations:
• The proposed project has never been attempted before.
• The proposed project will interact with any key business process or mission-critical systems.
• The project team for the proposed project does not contain personnel sufficiently knowledgeable
or certified in key aspects of the technology in question.
• The systems impact cannot be accurately re-created and tested in a simulation environment

Question 38

First-Time/First-Use Penalty?

Answer 38

Means that a
particular type of project has never been done before and nobody within the organization has any experience with the operation of this new capability. One of the more serious first-time/first-use penalties is the proper quantification of the impact that the change will make to existing systems.
Because nobody within the organization has experience with the situation at hand, SMEs will be needed to provide a detailed look at the system’s expected impact. It is exceedingly difficult to
determine the technical achievability of any IT project until the effect on existing systems is fully
quantified.

Question 39

Cost-Benefit Analysis?

Answer 39

Presents a project’s estimated costs alongside its predicted benefits to help
decision makers make informed decisions about project selection.

The costs include current operating costs and expected project costs related to the function under
analysis. The benefits include quantifiable benefits, such as increased sales or reduced costs expected
as a result of the project, and intangible benefits such as enhanced image or brand awareness that
can only be described subjectively.

Question 40

Workflow Analysis?

Answer 40

Is a technique that formally documents the manner in which work gets done and displays that work in a flowchart. This type of analysis can be helpful in breaking down large or complex jobs into discrete tasks and decisions, but it requires that you already know how to do the work.

Question 41

What are use cases, prototypes, and scenarios?

Answer 41

Are tools that are used to create or refine functional requirements by providing a perspective or point of interaction that did not previously exist. This
newly created point of interaction allows for more detailed input to the design process

Question 42

Use case analysis?

Answer 42

A method for designing systems by breaking down requirements into user
functions. Each use case is an event or sequence of actions performed by
the user.

Question 43

Prototype?

Answer 43

A simulated version of a new system; essential for clarifying information
elements.

Question 44

Scenarios?

Answer 44

A method for developing potential or likely eventualities for different
situations

Question 45

Project Statement of Work (SOW)?

Answer 45

It is generally a narrative description of the work that the project is going to perform, and it is the
starting point from which many other project documents will be written.

The Project SOW describes the products, services, or results that the project will deliver. It either contains or references the following:

• Business need. There are several business-related reasons that an organization might undertake
a project. These include:
• Market demand
• Technological advance
• Legal requirement
• Government regulation
• Environmental consideration

• High-level scope definition. This includes the
characteristics of the product, service, or result. It is generally brief, because it is too early in the project to have much detail available. This
information also includes any high-level project risks that are known at this time.

• Strategic plan. This contains the organization’s strategic vision, goals, and objectives, and
possibly a high-level mission statement. Every project should be aligned with the organization’s
strategic plan.

Question 46

Statement of Work (SOW)?

Answer 46

Is a document that describes the products or services that the project
will supply, defines the business need that it is designed to meet, and specifies the work that will be done during the project. A SOW can be internal or external.

Question 47

An internal SOW is supplied by the?

Answer 47

Project’s sponsor in response to an organizational need.

Question 48

Business Case?

Answer 48

Is a document that justifies the investments made for a project and describes how a particular investment is in accordance with the organization’s policy. It outlines the technical, investment, and regulatory factors that influence the project. The business case provides a framework to link an investment proposal to the achievement of an organizational objective

Question 49

Business Case Components?

Answer 49

1. Business need: Substantiates the business reason for conducting the project.
2. Project contribution: Determines the project’s contribution toward the organization’s objectives.
3. Stakeholders Lists: the project stakeholders, their expectations, and contributions toward the project.
4. Constraints: Compiles the limitations of the project.
5. Strategic risks: Lists the risks that the project may face and the possible risk management measures.
6. Benefits evaluation: Analyzes and outlines the key benefits to be obtained

Question 50

Project Charter?

Answer 50

Is a document that formally launches and authorizes a new project, or authorizes an existing project to continue with its next phase. A project receives authorization when the initiator signs the project charter.

Question 51

The project

charter may be developed by?

Answer 51

An initiator, such as a sponsor, or it may be delegated to the project manager. If the project charter is created by the sponsor, it is advisable that the project manager also be involved in the development process.

Question 52

Project Charter Components?

Answer 52

1. Project purpose: A clear description of the reason for undertaking the project.
2. Problem statement: A description of the problem or opportunity that the project must address.
3. Project authorization: A list of individuals who are authorized to control and manage the project with the respective authority statement.
4. Scope definition: A description of the scope of work that the project must include. It can also specify what the project will and will not include.
5. Project objectives: A description of the business benefit that an organization achieves by performing the project.
6. Project description: A high-level list of what needs to be accomplished in order to achieve the project objectives. This section should also specify when it is deemed that the specified objectives must be met.
7. Project deliverables: A list of deliverables that must be produced at the end of each phase of the project.
8. Project milestones and cost estimates: A list of project milestones and the cost estimates.
9. General project approach: A short description of the project approach, which includes project deliverables, process stages, quality objectives, and project organization.
10. Constraints and assumptions: A description of the constraints and assumptions that are made when initiating the project, and their impact on scope, time, cost, and quality.
11. Risks: A list of high-level risks involved in undertaking the project.
12. Project stakeholders: A list of key project stakeholders.
13. Related documents: A list of references to the documents that are used to make assumptions.
14. Project organizational structure: A list of key roles and responsibilities, including signatories.
15. Issuing authority: Name of the sponsor and signature or formal acknowledgement of the charter contents

Question 53

Stakeholder Analysis?

Answer 53

Is the formal process of gathering and analyzing quantitative and qualitative
information to identify all the stakeholders of a project. It also involves building coalitions at the
onset of a project by identifying stakeholder needs, objectives, goals, issues, and impact.

Question 54

Stakeholder analysis is performed through a series of what steps?

Answer 54

1. Identify all potential stakeholders of the project.
2. Classify stakeholders based on their potential impact or support on the project.
3. Plan for likely stakeholder reaction or response and plan how to enhance stakeholders’ support
   and mitigate potential negative impact on the project

Question 55

Stakeholder Register?

Answer 55

Is a document that identifies stakeholders of a project. Typical stakeholder
register entries may include the stakeholder’s name, organizational position, location, role in the project, contact information, requirements, expectations, influence on the project, specific interest in the project or a phase, and whether the stakeholder is internal, external, for, against, or neutral to the
project.

Question 56

Stakeholder Management Strategy?

Answer 56

Is created to ensure maximum support and minimize the negative impacts of stakeholders throughout the project life cycle. The stakeholder management
strategy is created by the project manager when identifying stakeholders.

Question 57

Components of a Stakeholder Management Strategy?

Answer 57

A typical stakeholder management strategy could include:

• Stakeholder identification: A list of the identified stakeholders along with their identification related information.
• The stakeholder map: a chart showing the interest of different stakeholders and levels of participation required from each identified stakeholder.
• The stakeholder analysis influence and importance matrix: a matrix that describes the stakeholders based on their influence and importance to the project.
• The stakeholder list: a list of various stakeholder groups involved in the project and their management.
• Stakeholder communication: a description of how the project will engage various stakeholders, the communication routes, and the frequency of communication for each stakeholder or group of stakeholders.
• Communication efficiency: specifies how the efficiency of the communication process will be measured.

Question 58

The Stakeholder Analysis Matrix?

Answer 58

Is a document that lists the project stakeholders and describes their interests and the ways in which they influence the project.