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Exam Tips Flashcards

1
Q

What is the difference between standards and regulations?

A

Standards: Not mandatory to follow, represents good practice.

Regulation: Mandatory to follow, comes from government.

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2
Q

What categories are contained in the PMI Code of Ethics and Professional Conduct?

A

Responsibility, respect, fairness, and honesty.

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3
Q

What is the difference between projects and operations?

A

Projects: Temporary (has a beginning & end), unique product, capability, or result, ends when objectives met or terminated, purpose is to meet objectives, then terminate.

Operations: Ongoing, standard products or repetitive service, generally repetitive process (follows existing procedures), purpose is to sustain business.

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4
Q

What is the difference between EEF and OPA?

A

EEF: internal/external environmental factors (org culture, marketplace conditions, stakeholder risk tolerances, PMIS, systems).

OPA: Plans, processes policies, procedures, knowledge bases (templates, guidelines, project files, historical info & lessons learned, dbase & knowledge bases containing org (not commercial) data).

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5
Q

What are the characteristics of customer/user stakeholders?

A

Will use the project’s product, result, or service

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6
Q

What are the characteristics of a sponsor stakeholder?

A

Provides money, champions the project, navigates political environment

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7
Q

What are the characteristics of a portfolio manager/review board stakeholder?

A

High level governance, organization executives, project selection committees

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8
Q

What are the characteristics of program manager stakeholders?

A

Manage a group of interrelated projects, provide benefits not achievable if projects are managed separately

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9
Q

What are the characteristics of PMO stakeholders?

A

Support and/or manage projects under the PMO’s domain

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10
Q

What are the characteristics of Project Manager stakeholder?

A

Responsible for achieving project objectives.

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11
Q

What are the characteristics of a Functional Manager stakeholder?

A

Provides management oversight to an administrative area.

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12
Q

What are the characteristics of Operational Management stakeholders?

A

Responsible for an area of the core business. Deals directly with the salable products or services.

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13
Q

What are the characteristics of Seller stakeholders?

A

External companies providing components or services.

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14
Q

What are the characteristics of Business partner stakeholders?

A

External companies that fill a specified role such as installation, customization, training, or support.

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15
Q

What are two types of project team composition?

A

Dedicated: most if not all members are full time, clear reporting, often more expensive, prevalent in projectized, but could also be in matrix (strong).

Part-time: most members part time, including program manager, spend time supporting other operations/projects, prevalent in functional orgs, also seen in matrix (weak) orgs.

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16
Q

What are the characteristics of Cost and Staffing levels in the project life cycle?

A

Low at the start, peak during intermediate phases, drop off quickly

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17
Q

What are the characteristics of Stakeholder influence, risk, and uncertainty in the project life cycle?

A

High at the start and gets progressively lower.

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18
Q

What are the characteristics of Cost of changes in the project life cycle?

A

Low at the start and gets progressively higher.

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19
Q

What are the characteristics of the Ability to influence product characteristics in the project life cycle?

A

High at the start and gets progressively lower.

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20
Q

What are the characteristics of a predictive project life cycle?

A
  • Fully plan-driven
  • Defined as early as possible
  • Phases are sequential or overlapping
  • Subset of activities and processes for each phase
  • Used when the product to be delivered is well understood, there is a substantial base of industry practice, and/or the product must be delivered in full to have value.
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21
Q

What are the characteristics of an iterative and incremental project life cycle?

A
  • Defined one iteration at a time
  • Iterations performed in a sequential or overlapping fashion
  • During each iteration activities from all process groups performed
  • Used when a need to manage changing objectives and scope, to reduce the complexity of scope, and/or partial delivery of a product is beneficial and provides value.
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22
Q

What are the characteristics of an adaptive project life cycle?

A
  • Change driven or agile
  • Will be decomposed into a list of requirements
  • Also considered iterative and incremental
  • Each iteration is rapid and fixed in time and cost
  • Several processes are performed in each iteration
  • Early iterations focus more on planning
  • Used in response to high level of change and stakeholder involvement.
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23
Q

Review Figure 3-1, Project Management Process Groups (p. 50)

A

Do it!

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24
Q

Review Figure 3-5, Project Data, Information, and Report Flow (p. 59)

A

Do it!

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25
Q

Review Figure X1-1, Refined Data Model (p. 467)

A

Do it!

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26
Q

Reproduce Table A1-1, Project Management Process Group and Knowledge Area Mapping (p. 423)

A

Do it!

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27
Q

What is the difference between the project statement of work (PSOW) and the scope statement?

A

The project statement of work (PSOW) is often confused with the scope statement. The scope statement is developed by the project manager along with the members of the team to describe the work they are going to do on the project to deliver what is described in the PSOW.

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28
Q

What does every process in the process integration knowledge area have in common?

A

They all have expert judgment as a tool and technique.

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29
Q

Where does the work to develop the charter occur?

A

It is completed outside the boundaries of the project. The project does not exist until the charter is issued.

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30
Q

What is any project selection method ending in the word “programming”?

A

A constrained optimization method.

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31
Q

Which is better, a higher or lower B/C?

A

B/C = benefit/cost ratio.

The higher the better.

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32
Q

Which is better, a higher or lower IRR?

A

IRR = internal rate of return.

The higher the better.

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33
Q

Which is better, a shorter or a longer payback period?

A

A shorter.

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34
Q

Which is better, a higher or lower PV?

A

PV = present value.

The higher the better.

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35
Q

Which is better, a higher or lower NPV?

A

NPV = net present value.

The higher the better.

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36
Q

Review Table 4-1, Differentiation Between the Project Management Plan and Project Documents (p. 78)

A

Do it!

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37
Q

During which project group is most of the money spent?

A

Executing

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38
Q

Is the PMIS a tool and technique, or an input for processes?

A

The project management information system (PMIS) is a tool and technique of some processes and an input (as a subset of environmental factors) for other processes.

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39
Q

Is “monitor and control project work” the same as the “monitoring and controlling” process group?

A

No. The process “monitor and control project work” can easily be confused with the process group “monitoring and controlling”. Be very careful to read the questions when you see these terms to know if they are referring to just the one process or the entire process group.

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40
Q

What is the work authorization system?

A

The work authorization system is a subset of the PMIS. The work authorization system ensures that work is performed at the appropriate time, in the appropriate sequence and by the appropriate organization.

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41
Q

All monitoring and controlling processes have what as an output?

A

Change requests.

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42
Q

Many executing processes have what as an output?

A

Change requests.

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43
Q

You have received a change request. It will have no effect on the project schedule. What should you do next?

A

See if the change request will have an effect on any of the other project constraints (do this before you determine options).

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44
Q

Do corrective and preventative action affect the baselines?

A

No. Corrective and preventative action affect performance against the baselines, not the baselines themselves.

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45
Q

When closing the project, we must make sure of what?

A

1) Completion of the project is measured against the project management plan
2) Completing the work of the project is not enough. We must achieve acceptance from the customer.
3) Records must be managed and lessons learned collected.

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46
Q

What is the final “event” when closing a project?

A

Release the final resources

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47
Q

What is the difference between product scope and project scope?

A

Product scope: features and functions of the product, measured against the product requirements, defined before the project scope.

Project scope: work to deliver the product, measured against the project plan, defined after the product scope.

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48
Q

What are attributes of the scope management plan?

A
  • Provides guidance on how the project scope will be defined, validated, and controlled
  • Does NOT describe what is in or out of scope
  • Is NOT the scope baseline or part of the scope baseline
  • Is a subset plan of the project management plan
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49
Q

What are attributes of the requirements management plan?

A
  • Provides guidance on how the requirements will be analyzed, documented, and managed
  • Defines configuration management of the product
  • Defines traceability structure
  • Does NOT describe what is in or out of scope
  • Is NOT the scope baseline or part of the scope baseline
  • Is a subset plan of the project management plan
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50
Q

What two processes have two plans as outputs?

A

5.1 Plan Scope Management

??

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51
Q

What is a best practice when defining scope?

A
  • Be explicit about what is out of scope
  • Better to be proactive in letting stakeholders know what not to expect than to have them expect something and we not deliver.
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52
Q

What is a good assumption to make when you are in the scope knowledge area?

A

That the scope (not time, cost, etc.) management plan will be an input.

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53
Q

What is the difference between the charter and the scope statement?

A

Charter:

  • High level
  • Comes from sponsor
  • Describes project output
  • Output of develop project charter
  • KA: Integration
  • PG: Initiating

Scope Statement:

  • Detailed
  • Comes from project manager and key members of team
  • Describes work to achieve output
  • Output of define scope
  • KA: Scope
  • PG: Planning
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54
Q

When in the create WBS process, it is a good assumption that the _____ management plan will be an input.

A

scope.

Since we are in the scope knowledge area, it is a good assumption that the scope (not time, not cost etc.) management plan will be an input.

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55
Q

What should be listed in the WBS?

A

All project management deliverables.

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56
Q

Is the control account always at the second level?

A

No. The control account is not always the second level. The work package level is not always the third level, it is always the lowest level.

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57
Q

When at the create WBS process, do we always have all the information that goes into the WBS dictionary?

A

No. At this point we may not have all the information that goes into the WBS dictionary. As an example we bay not have estimated resource effort or costs. At this point it is important to have a description of the WBS element.

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58
Q

What is Validate scope about?

A

Validate scope is not about making sure the customer agrees with our plans for scope.

Validate scope is a process of monitoring and controlling.

It is about making sure the customer accepts the completed deliverables.

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59
Q

What three documents make up the scope baseline?

A

1) Scope statement
2) WBS
3) WBS dictionary

The scope management plan is not part of the scope baseline since there is no scope listed in the scope management plan. The scope management plan provides a description of the processes to define and manage scope.

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60
Q

Control Scope
Control Schedule
Control Cost

A

Control scope is only about scope.
Control schedule is only about schedule.
Control cost is only about costs.

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61
Q

What is the difference between the WBS and the activity list?

A

WBS:

  • Made up of deliverables (nouns)
  • Output of Create WBS

Activity List

  • Made up of activities
  • Output of define activities
62
Q

What does the scope baseline contain?

A

1) Scope statement
2) WBS
3) WBS dictionary

63
Q

What are characteristics of milestones?

A
  • Zero cost

- Zero duration

64
Q

What does hard and soft logic mean?

A

Hard logic;

  • A mandatory dependency
  • Required by the physical nature of work or by a contract.

Soft Logic:

  • Discretionary
  • Based on best practices but not mandatory
65
Q

What is the relationships of leads and lags to project schedule?

A

Leads:
- Only advance the project when the lead falls on the critical path.

Lags:
- Only delay a project schedule when the lag is on the critical path.

66
Q

What is the difference between the WBS and the activity list?

A

WBS:

  • Made up of deliverables (nouns)
  • Output of Create WBS

Activity List

  • Made up of activities
  • Output of define activities
67
Q

What does the scope baseline contain?

A

1) Scope statement
2) WBS
3) WBS dictionary

68
Q

What are characteristics of milestones?

A
  • Zero cost

- Zero duration

69
Q

What does hard and soft logic mean?

A

Hard logic;

  • A mandatory dependency
  • Required by the physical nature of work or by a contract.

Soft Logic:

  • Discretionary
  • Based on best practices but not mandatory
70
Q

What is the relationships of leads and lags to project schedule?

A

Leads:
- Only advance the project when the lead falls on the critical path.

Lags:
- Only delay a project schedule when the lag is on the critical path.

71
Q

What is the difference between analogous and parametric estimating?

A

Analogous estimating:

  • Based on one past project
  • Limited amount of data available
  • Less costly
  • Quicker
  • Less accurate

Parametric estimating:

  • Based on statistics
  • Enough data to create statistics
  • More costly
  • Slower- because we need to develop the statistics
  • More accurate
72
Q

What does PERT stand for?

A

Program Evaluation and Review Technique

73
Q

What is the difference between contingency and management reserves?

A

Contingency reserves:

  • Part of project baseline
  • Set up for known unknowns
  • can be a %, a fixed time, be developed using other methods
  • Requirement estimate improves as we move through project

Management reserves:

  • Set up for unforeseen work that is within the scope of the project (unknown-unknowns)
  • May include reserve but are not considered part of the overall project duration estimates
74
Q

What contains the constraints and assumptions for the project?

A

The scope statement

75
Q

What does the critical path method assume?

A

Unlimited resources

76
Q

What is the critical chain?

A

The resource-constrained critical path

77
Q

Review the tools and techniques between estimate activity durations (from the Time KA) and estimate costs (from the Cost KA) and note the simularities

A

Estimate activity durations:

  • Expert judgment*
  • Analogous estimating*
  • Parametric estimating*
  • Three-point estimating*
  • Group decision-making techniques*
  • Reserve analysis*

Estimate costs:

  • Expert judgment*
  • Analogous estimating*
  • Parametric estimating*
  • Bottom-up estimating
  • Three-point estimating*
  • Reserve analysis*
  • Cost of quality
  • Project management software
  • Vendor bid analysis
  • Group decision-making techniques*
  • = Common between processes
78
Q

What is the difference between analogous and parametric estimating?

A

Analogous Estimating:

  • Based on one past project
  • Limited amount of data available
  • Less costly
  • Quicker
  • Less accurate

Parametric Estimating:

  • Based on statistics
  • Enough data needed to create statistics
  • More costly
  • Slower
  • More accurate
79
Q

What is the PERT equation?

A

PERT estimate = (P+4ML+0)/6

80
Q

Review Figure 7-8, Project Budget Components (p. 213)

A

Do it!

81
Q

Review Figure 7-9, Cost baseline, expenditures, and funding requirements (p. 214)

A

Do it!

82
Q

When are the three baselines created (the output of)?

A

Scope baseline (scope statement, WBS, and WBS dictionary):

  • Created at Create WBS
  • Updated at Control scope

Schedule baseline:

  • Created at Develop schedule
  • Updated at Control schedule

Cost baseline:

  • Created at Determine budget
  • Updated at Control costs
83
Q

What if the question provides you with quantitative information (Your CPI is .98), and qualitative information (you are two weeks behind schedule)?

A

Focus on the quantitative information

84
Q

What is the rule of thumb for variances and indexes?

A

Variances:
- Negative bad, positive good, 0 = on schedule/budget

Indexes:
>1 good, <1 bad, 0 = on target

85
Q

What do the first two tools of the Plan quality management process have in common?

A
  • The first two tools and techniques have the work cost in their name
  • They belong in quality
  • There is a strong link between cost and quality
86
Q

Review figure 8-5, and make sure you recognize what costs fall in each of the categories of the COQ.

A

Do it!

87
Q

What are the differences between quality assurance and control quality?

A

Perform Quality Assurance:

  • Improving our processes
  • More managerial
  • More big picture
  • Input- quality control measurements (provide input on what processes need improvement)

Control Quality:

  • Measuring our products
  • More technical
  • More detailed
  • Output- quality control measurements
88
Q

What is the difference between audits and inspections?

A

Audits in general refer to processes while inspections in general refer to deliverables or products.

  • Audit a process (not a deliverable)
  • Inspect a deliverable (not a process)

Audits are related to processes. Inspections are related to deliverables and products

89
Q

What is important to remember about audits?

A

Audits are always tools and techniques and never inputs or outputs

90
Q

What is important to remember about change requests?

A

1) Change requests are always inputs or outputs and never tools and techniques

20 Change requests are only an input to perform integrated change control and no other process

91
Q

What is the difference between control quality and validate scope?

A

Control Quality:

  • Measuring deliverables (products)
  • Performed internally
  • Usually performed before validate scope
  • Product may fail control quality and the customer may accept it anyway as part of validate scope

Validate Scope:

  • Measuring deliverables (products)
  • Performed by the customer
  • Usually performed after control quality
  • Product may pass control quality and the customer may not accept it as part of validate scope
92
Q

Do we acquire all team members at the same time?

A

No. Do not assume we acquire all the team members at the same time. Some team members will join and others will leave over the life of the project.

93
Q

Does project team = project management team?

A

No. Do not confuse the phrase project team with the phrase project management team.

The project management team is a subset of the project management team.

94
Q

Does team performance assessment = project performance appraisal?

A

No. Do not confuse the phrase “team performance assessment” with the phrase “project performance appraisals”.

95
Q

What is the difference between the organizational chart (org chart) and the organizational breakdown structure (OBS)?

A

The organization chart shows reporting relationships on the team.

The organizational breakdown structure shows what work packages (or activities) each existing department is responsible for.

96
Q

How many people are allowed to be accountable for each activity?

A

One.

97
Q

What is the difference between the human resource plan and the staffing management plan?

A

Human resource plan:

  • Subset of the project management plan
  • Deals only with items affecting the project team (not the stakeholders as a whole)
  • Most likely will include:
    1) Roles and responsibilities by position
    2) Project org chart
    3) Staffing management plan

Staffing management plan:

  • Subset of the human resource plan
  • Defines how and when people are acquired
  • Defines how long they will be needed
  • Include training, rewards and recognition, compliance, and safety
98
Q

What area is the tool and technique called acquisition part of?

A

Human resources, NOT procurement.

99
Q

Who pays for training of a project team member?

A

1) Specific to project needs: project budget often covers

2) Useful on other projects: organization often will cover cost

100
Q

What are some characteristics of the five stage team development model?

A
  • Tuckman originated
  • Also called Tuckman ladder
  • Some teams get stuck
  • Some teams move backwards
101
Q

What is another name for colocation?

A
  • Tight matrix

- Nothing to do with weak or strong matrix

102
Q

What term is often associate with a projectized team?

A
  • Colocation

- However, a team may be projectized and not collocated

103
Q

What is the difference between team performance assessments and project performance appraisals

A

Team performance assessments: how the team is performing against project objectives.

Project performance appraisals: appraisals of individual team members against their performance goals.

104
Q

What are the top three sources of conflict, in order?

A

1) Schedules
2) Project priorities
3) Resources

105
Q

What are the five conflict resolution techniques and when would you use each?

A

Each technique has two names listed. If you see distractors with the names separate, both answers would be wrong.

1) Withdrawl (avoid): Use to calm down or be better prepared with facts. Only good if temporary.
2) Smooth (accomodate): Use if issue is more important to the other party.
3) Compromise (reconcile): Use if conflict not that important or if quick resolution necessary.
4) Force (direct): Use if emergency, especially if related to safety or security.
5) Collaborate (problem solving): Use to achieving a more beneficial result for both parties. Most likely to result in a win-win, but takes time. Not always the best method

106
Q

What are the five types of power available to a PM?

A

Position

1) Formal (positional)
2) Reward (power to give positive consequences)
3) Penalty (power to give negative consequences)

Knowledge and Relationships

4) Expert (recognized level of knowledge)
5) Referent (knowledge/relationship w/individual or group)

107
Q

What are some examples of leadership styles?

A

1) Autocratic: traditional view of management, boss makes decisions without asking for input. Valuable for quick decisions.
2) Laissez-faire: Hands off view of management, valuable when creativity is required.

3) Democratic: Involves team members in decisions.
- Participative: decisions made jointly
- Consultative: manager asks for input, but makes decisions alone

108
Q

Are logs ever tools and techniques?

A

No.

109
Q

Are reports ever tools and techniques?

A

No.

110
Q

What are examples of formal/informal, written/oral reports?

A

Written Oral
Formal Reports/memos Briefing/speeches
Informal Emails Ad-hoc conversations

111
Q

Where does much of the meaning of what is communicated come from?

A

A person’s body language (gestures, posture, etc.)

112
Q

Who is the plan communications process, and the entire communications knowledge area focused on?

A

Stakeholders, not just the team.

113
Q

What does # of communication channels equal?

A

(n(n-1))/2

Be careful if the exam question states that you are interacting with 9 other people. Don’t forget yourself!

If determining how many are added, compute before and after channels, then subtract.

114
Q

What is the difference between interactive, push, and pull communications?

A

Interactive:

  • Most efficient way to ensure a common understanding
  • Meetings, phone calls, video conferences

Push:

  • Sent to specific recipients, does not ensure receipt or understanding
  • Letters, memos, reports, emails, faxes, voicemails, press releases

Pull:

  • Used for large volumes of info and/or large audiences. People may decide to access or not access information
  • Intranet sites, e-learning, knowledge repositories
115
Q

Who is the human resource and communication plan associated with?

A

Human resource plan:
- Associated with the team

Communication plan:

  • Associated with the stakeholders
  • The team is a subset of the project stakeholders
116
Q

The project management plan is an input of all process that begin with the word _______.

A

Plan.

117
Q

If you get a question asking who you will be providing specific information to, what is the best answer?

A

Follow the communication plan.

118
Q

Every project should have _____ baselines.

A

Three.

1) Scope baseline
- Scope statement
- WBS
- WBS dictionary

2) Schedule baseline
3) Cost baseline

119
Q

What types of risks are there?

A

A risk has some amount of uncertainty, and has not occurred yet. Once a negative risk has occurred, it is called an issue.

Pure (insurable): effect can only be negative
Business: effect may be positive or negative

120
Q

What risks are listed in the risk management plan?

A

None. There are no risks listed in the risk management plan. The risk register is not an element of the risk management plan. The plan describes how to create the risk register, etc.

121
Q

What is the difference between brainstorming and using the Delphi technique?

A 
Brainstorming:
- Goal:  list of unprioritized risks
- Free form or nominal group technique
RBS (risk breakdown structure may be used
- Be careful of groupthink

Delphi technique:

  • Goal: reach a consensus includes reducing bias.
  • only experts involved
  • Anonymous
  • Questionnaire
  • Multiple rounds..
122
Q

What is the difference between qualitative risk and quantitative risk analysis?

A

Qualitative:

  • Goal: prioritize risks for quantitative analysis or developing responses
  • Quick
  • Cost effective
  • Uses words like low, moderate, high
  • Can use numbers relative to each other

Quantitative risk analysis:

  • Goal: understand overall risk for project
  • Slower
  • More expensive
  • Based on statistics
  • Uses numbers
123
Q

What should we associate sensitivity analysis with?

A

The word sensitivity makes us think of people. Be careful, make sure you associate sensitivity analysis with quantitative risk, not with the team or the stakeholders.

124
Q

When using a model…

A

…to simulate a cost risk we need cost estimates
…to simulate schedule risk we need activity durations as well as an activity network diagram
…most often we simulate using Monte Carlo

125
Q

How are the strategies for threats different from the strategies for opportunities?

A

Strategies for threats

  • Avoid: changing plan so that either the risk will not occur or the risk will not affect the project (changing schedule, reducing scope, canceling project)
  • Transfer: changing plan by moving ownership (partially or fully) to another party (insurance, subcontractor)
  • Mitigate: changing plan to reduce probability or impact or both (redundancy)
  • Accept: don’t change plan. Passive=do nothing Active=set up a contingency reserve

Strategies for opportunities

  • Exploit: change plan to ensure risk will occur and affect project (assigning most talented resources)
  • Share: changing plan by sharing ownership w/outside party (partnerships, teams, joint ventures)
  • Enhance: change plan to increase probability or impact or both (adding more resources)
  • Accept: don’t change plan (active acceptance= set up a contingency reserve)
126
Q

Contingency plans are associated with _____.

A

Contingency plans are associate with active acceptance, and only active acceptance.

127
Q

What is the difference between a risk reassessment and a risk audit?

A

Risk reassessment:

  • ID new risks
  • Reassesses current risks
  • Closes outdated risks

Risk audit:

  • Evaluates effectiveness of risk processes
  • Evaluates effectiveness of risk responses and root causes
128
Q

What are the various terms for contracts?

A

Terms for the word agreement:

  • Buyer = client
  • Seller = bidder

Terms for the word understanding:

  • Buyer = customer
  • Seller = Selected source: this term used after they have been selected

Terms for the word subcontract:

  • Buyer = contractor
  • Seller = Contracted supplier: this term used after contract award

Terms for the word purchase order:

  • Buyer = acquiring organization, service requester, purchaser
  • Seller = Contracted vendor: this term used after contract award
129
Q

What are the attributes of fixed price contracts?

A
  • Seller obligated to deliver
  • SOW very clear
  • Buyer risk lower, Seller risk higher
  • FFP most common & simple
  • FPIF more flexible, final price = performance in areas, price ceiling set, know PTA
  • FP-EPA used for contracts spanning multiple years, adjusted based on changing conditions, protects both buyer and seller
130
Q

What are the attributes of cost reimbursable contracts?

A
  • Seller obligated to put forth best effort
  • SOW flexible
  • Seller reimbursed for legit costs + fee
  • Buyer risk higher, seller risk lower
  • CPFF- legit costs + % of estimated (not actual) costs
  • CPIF more flexible, final price paid on seller’s performance, no price ceiling set
131
Q

What are the attributes of time and materials contracts?

A
  • Seller paid fixed price by hour/day for cost (or cost + handling fee)
  • Buyer has more risk (not paying for deliverables)
  • Seller has less risk (paid for time)
  • Considered hybrid
  • Fixed price on labor
  • Cost reimbursable
  • Key words: services, emergency, short term, staff augmentation
  • SOW is not clear or well defined
  • Can be set up quickly
132
Q

When looking at contract types, make sure you know:

A

1) Is seller paid on delivery, effort, or time?
2) Who has more risk on the contract
3) Details on SOW

133
Q

What is the difference between the project SOW and the procurement SOW?

A

Project SOW:
Comes from our customer or sponsor describing the item they want to purchase (obtain) from us.

Procurement SOW:
From us to our potential bidder describing the item we want to purchase (obtain) from them.

134
Q

When is an RFI used?

A

When we want information from our potential bidder byt do not want them to make an offer to sell at this time. Often used prior to IFB, RFQ, Tender notice, or RFP.

135
Q

When is IFB, RFQ, and tender notice used?

A

When the decision is likely to be made to the low price acceptable offer. Some orgs use the phrase low price technically acceptable (LPTA) offer.

136
Q

When is RFP used?

A

When the decision will be based on more than just low price (tech approach, reputation and past performance)

137
Q

Which is the only planning process with change requests as an output?

A

Plan procurements.

No initiating or closing processes have change requests as an output.

138
Q

What are the differences between a contract and a legal plan?

A

1) A contract is a legal document

2) A project plan is not a legal document

139
Q

When would we be most likely to want an independent estimate, when we receive a few proposals or many?

A

A few proposals. The fewer the number of proposals, the less likely we are to really know a fair price.

140
Q

What is the difference between centralized and decentralized contracting?

A

Centralized contracting:

  • The procurement group is a corporate group
  • Advantages: volume discounts, better able to specialize

Decentralized contracting

  • There is a procurement person sitting on your project team
  • Advantages: more loyalty to team/project, quicker response to project requests
141
Q

What should the contract reflect?

A

The contract should reflect what both parties are doing and what both parties are doing should match the contract:

  • If something is in the contract then it needs to be accomplished (or the contract adjusted)
  • If something is not in the contract, then it should not be accomplished (or the contract should be adjusted)
142
Q

What is the difference between an inspection and audits?

A
  • We inspect deliverables (or products)

- We audit processes

143
Q

What are the three types of early termination?

A

1) For default: The contract ends because one party believes the other party is not living up to its obligations.
2) For mutual agreement: Both parties agree it is in their mutual best interest to end the contract even though there are still open obligations.
3) For convenience: The contract may stipulate that the buyer has the right to terminate the contract at any time without reason other than “it is convenient.” In some countries the government of the country sets up all thee purchases this way. In reality the seller could also have this right stipulated in the contract though the focus here is on the buyer having the right.

144
Q

Remember the word audit is associated with _______.

A

Processes not deliverables. We are auditing the procurement process, not inspecting the deliverables from the supplier.

145
Q

What can lead to more (and more expensive) change requests than usual?

A

Not engaging the stakeholders, or the right stakeholders, early and often on a project may lead to more change requests then usual and more expensive change requests. Ignoring negative stakeholders is often found after the fact as a key reason of project failure.

146
Q

Work performance information is only an output of _______ processes.

A

Control

147
Q

What are the three factors of the salience model?

A

1) Power
2) Urgency
3) Legitimacy

148
Q

If work performance data is an input of a process, then what would one of the outputs be?

A

Work performance information.

149
Q

_____ are an output of most monitoring and controlling processes.

A

Change requests

150
Q

If work performance information is an output of a process, what is one of the inputs?

A

Work performance data

151
Q

What are two types of project team compositions?

A

There are several types of team compositions. Two examples:

1) Dedicated
2) Part-time

PMP (11 decks)

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