Week 3 VOCABULARY - MANAGEMENT II

Question 1

Acceptance criteria

Answer 1

Those criteria, usually stated in a contract and/or SOW that includes deliverables, performance requirements and essential conditions, which must be met to complete project deliverables and be accepted

Question 2

Agile

Answer 2

A project management methodology utilizing short-term sprints to react to changing scope requirements

Question 3

Baseline

Answer 3

The original plan (for a project, a work package, or an activity) plus or minus approved changes; usually used with a modifier (e.g. cost baseline, schedule baseline performance measurement baseline)

Question 4

Budget

Answer 4

When unqualified, refers to an estimate of funds planned to cover a project or specified period of future time; when approved, the estimate for the project or any work breakdown component or any scheduled activity

Question 5

Detailed contract analysis

Answer 5

A document listing the contractual obligations and requirements for the seller as well as for the buyer; the list contains the information extracted and provided in the form of a contract calendar which listed as every “seller will or shall” and its due date (if known) down to the task level

Question 6

Change control

Answer 6

The process of controlling, documenting, and storing the changes to control items; includes proposing the change, evaluating, approving or rejecting, scheduling and tracking

Question 7

Change Control Board (CCB)

Answer 7

A formally constituted group of stakeholders responsible for approving or rejecting changes to the project baselines

Question 8

Charter

Answer 8

A document issued by the initiator of the project, usually the project sponsor that formally authorizes the existence of the project, and provides the project manager with the authority to apply organizational resources to project activities

Question 9

Condition

Answer 9

In terms and conditions, a phrase that either activates (condition precedent) or suspends (condition subsequent) a term

Question 10

Constraint

Answer 10

The state, quality, or sense of being restricted to a given course of action or interaction; an applicable restriction or limitation, either internal or external, to the project that will affect the performance of the project or a process

Question 11

Contingency

Answer 11

• Somethin that may happen: an event that might occur in the future, especially a problem, emergency, or expense that might arise unexpectedly and therefore must be prepared for
• Provision made against future unforeseen events

Question 12

Deliverable

Answer 12

A tangible or intangible good or service delivered to fulfill all or part of a contract.

Question 13

Disposition

Answer 13

The process by which commodities move to final customers, including return of goods.

Question 14

Earned value

Answer 14

A method for measuring project performance that compares the amount of work that was planned with what was actually accomplished to determine if cost and schedule performance went as planned

Question 15

Inventory control

Answer 15

The management of inventories, including: decisions about which items to stock at each location; how much stock to keep on hand at various levels of operation; when to buy; how much to buy; controlling pilferage and damage; and managing shortages and back orders.

Question 16

Kraljic Matrix

Answer 16

A tool for portfolio analysis: a four-box matrix that reflects the segmentation of spend based on an assessment of the value of the spend relative to the market risk to acquire

Question 17

Logistics

Answer 17

The process of planning, implementing and controlling the efficient, cost-effective flow and storage of raw materials, in -process inventory, finished goods and related information from point of origin to point of consumption for the purpose of conforming to customer requirements

Question 18

Manufacturing

Answer 18

Planning, managing and performing the processing of materials into intermediate or final products, usually in large quantities

Question 19

Materials management

Answer 19

Involves the planning, acquisition, flow and distribution of production materials from the raw state to the finished product state

Question 20

Opportunity

Answer 20

The measure of the probability of a positive desired change occurring and the desired impact of that event

Question 21

Opportunity and risk management (ORM)

Answer 21

An iterative approach to managing opportunities and risks that may occur during the course of business that could affect the success or failure of the project, in which the probability of each event’s occurrence and its potential effect on the project are analyzed and prioritized or ranked from highest to lowest; beginning with the highest prioritized events and working down, the project management team determines what options and strategies are available and chooses the best strategy to maximize opportunities and reduce or prevent the identified risks from occurring

Question 22

Pareto analysis

Answer 22

Analysis (also known as ABC analysis or 80:20 rule) which can be used to categorize purchases according to the dollar value; for example, 20 percent of the total number of items bought may account for 80 percent of the total value of the purchasing

Question 23

Portfolio

Answer 23

Includes all of the programs and projects in an organization; may be for the organization as a whole, or for individual lines of business

Question 24

Product development

Answer 24

A series of integrated processes in new product development chronicling steps from idea conception to commercialization

Question 25

Program

Answer 25

A group of projects and subprojects that are interdependent for the program’s success, which happen in parallel, or in different states, phases, or sequences

Question 26

Project

Answer 26

A unique endeavor undertaken to produce a product, service, or an organizational change; projects are one-time occurrences that have a defined start and finish point

Question 27

Project management

Answer 27

The discipline of initiating, planning, executing, controlling, and closing the work of a team to achieve specific goals and meet specific success criteria

Question 28

Receiving

Answer 28

The business function that is responsible for verifying that the goods received are the goods that the organization ordered; involves inspecting and accepting incoming shipments

Question 29

Risk

Answer 29

The measure of the probability of an unwanted change occurring and the associated effect of that event; consists of three components; a risk event (an unwanted change), the probability of occurrence (uncertainty), and the significance of the impact (the amount at stake)

Question 30

Scope

Answer 30

All the work required to deliver the product or outcome of a project

Question 31

Scope creep

Answer 31

Continuous or uncontrolled growth in a project’s scope, resulting from changes after the project begins; can occur when the scope of a project is not properly defined, documented, or controlled

Question 32

Spend analysis

Answer 32

Analysis of the historical spending patterns in an organization, usually by commodity or category

Question 33

Sponsor

Answer 33

The individual or group that provides the financial resources, in cash or in kind, for the project

Question 34

Stakeholder

Answer 34

Individuals and organizations who are involved in or may be affected by project activities

Question 35

Strategic sourcing

Answer 35

The selection and management of suppliers with a focus on achieving the long-term goals of a business

Question 36

Start Date

Answer 36

The day and sometimes the time associated with a schedule activity’s start, usually qualified by one of the following: actual, planned, estimated, scheduled, early, late target, baseline, or current.

Question 37

Supply Chain Operations Reference (SCOR)

Answer 37

A model which shows the supply chain operation as three basic functions: “Source,” “Make”, and “Deliver,” using this model, these three basic functions of a company’s organization are linked to both the customer’s organization and the company’s suppliers

Question 38

Supply management

Answer 38

The identification, acquisition, access, positioning and management of resources and related capabilities the organization needs or potentially needs in the attainment of its strategic objectives

Question 39

Term

Answer 39

In terms and conditions, a part of the contract that addresses a specific subject; in most contracts, terms address payment, delivery, product quality, warranty of goods or services, termination of the agreement, resolution of disputes, and other subjects

Question 40

Traffic management

Answer 40

The management of activities associated with buying and controlling transportation services for a shipper or consignee or both

Question 41

Warehousing

Answer 41

The storage and movement of internal materials and finished products