Project Management - TEST BANK...

Test Item File

Geoff Willis University of Central Oklahoma

Upper Saddle River, New Jersey 07458

Project Management Achieving Competitive Advantage

Jeffrey K. Pinto

Full file at http://testbank360.eu/test-bank-project-management-1st-edition-pinto

Contents Chapter 1 Introduction: Why Project Management? 1

Chapter 2 The Organizational Context: Strategy, Structure, and Culture 23

Chapter 3 Project Selection 49

Chapter 4 Leadership and the Project Manager 76

Chapter 5 Scope Management 106

Chapter 6 Project Team Building, Conflict, and Negotiation 133

Chapter 7 Risk Management 164

Chapter 8 Cost Estimation and Budgeting 196

Chapter 9 Project Scheduling: Networks, Duration Estimation, and Critical Path 227

Chapter 10 Project Scheduling: Lagging, Crashing, and Activity Networks 269

Chapter 11 Critical Chain Project Scheduling 318

Chapter 12 Resource Management 355

Chapter 13 Project Evaluation and Control 414

Chapter 14 Project Close-Out and Termination 455

Problem difficulty levels are represented as: Diff 1 - Easy

Diff 2 - Moderate Diff 3 - Difficult


Chapter 1Introduction: Why Project Management?

True/False

1) Projects, rather than repetitive tasks, are now the basis for most value-added in business.

Answer: TRUEDiff: 1Section: IntroductionKeywords: projects, tasks, value-added

2) Projects have a process orientation.

Answer: FALSEDiff: 2Section: What is a Project?Keywords: projects, tasks, value-added

3) A typical project stays within functional and organizational boundaries.

Answer: FALSEDiff: 1Section: General Project CharacteristicsKeywords: project, functional, organizational, boundaries

4) The special nature of projects relieves project managers from their routine of planning,organizing, motivating, directing and controlling.

Answer: FALSEDiff: 2Section: General Project CharacteristicsKeywords: project, planning, organizing, controlling, management

5) A project exists outside of the standard line organization.

Answer: TRUEDiff: 2Section: General Project CharacteristicsKeywords: project, line, organization, process

6) The initial goal and technical specifications of the project are developed during the planningstage.

Answer: FALSEDiff: 2Section: Project Life CyclesKeywords: project, life, cycle, stage, planning

1


Chapter 1 - Introduction: Why Project Management?

7) Client interest in a project is highest during the termination and conceptual phases.

Answer: TRUEDiff: 2Section: Project Life CyclesKeywords: project, life, cycle, stage, conceptual, termination, client

8) The classic triple constraint standard for project performance is composed of time, cost, andclient acceptance.

Answer: FALSEDiff: 2Section: Determinants of Project SuccessKeywords: project, time, cost, client acceptance

9) The business success dimension of project success determines whether the project achievedsignificant commercial success.

Answer: TRUEDiff: 2Section: Determinants of Project SuccessKeywords: business, success, dimensions

10) The Atkinson model for assessing project success gathers input from all of the projectʹsstakeholders.

Answer: TRUEDiff: 2Section: Determinants of Project SuccessKeywords: success, Atkinson, stakeholder

11) The use of benchmarking allows companies that are relatively immature at projectmanagement to achieve quantum leaps of improvement.

Answer: FALSEDiff: 2Section: Developing Project Management MaturityKeywords: management, maturity, benchmarking

12) Most effective project maturity models chart both a set of standards that are currently acceptedas state-of-the-art as well as a process for achieving significant movement towards thesebenchmarks.

Answer: TRUEDiff: 2Section: Developing Project Management MaturityKeywords: management, maturity, standards, process

2


Introduction: Why Project Management? - Chapter 1

13) Acme uses no recognizable project management processes and has entertaining projectmeetings because each member has a unique way of reporting progress or lack thereof. Acmeis most likely at the moderate level in the generic project management maturity model.

Answer: FALSEDiff: 1Section: Developing Project Management MaturityKeywords: management, maturity, model, moderate

14) Any organization, no matter how initially unskilled in project management, can begin to charta course toward the type of project organization they wish to become.

Answer: TRUEDiff: 2Section: Developing Project Management MaturityKeywords: management, maturity, model

15) A companyʹs culture has little impact on whether projects are successfully implemented.

Answer: FALSEDiff: 1Section: Project Elements and Text OrganizationKeywords: culture, implementation

Fill in the Blank

16) A(n) ________ refers to ongoing, day-to-day activities in which an organization engages whileproducing goods and services.

Answer: processDiff: 1Section: What is a Project?Keywords: process, ongoing

17) The goals of a project are sometimes called ________.

Answer: deliverablesDiff: 2Section: What is a Project?Keywords: project, goal, deliverable

18) Projects are ________ focused.

Answer: customerDiff: 1Section: What is a Project?Keywords: project, customer, focus

3



19) Project management entails crossing ________ boundaries.

Answer: functional and organizationalDiff: 2Section: What is a Project?Keywords: functional, organizational, boundaries

20) In general, product life cycles are becoming ________ and product launch windows arebecoming ________.

Answer: shorter, narrowerDiff: 1Section: Why Are Projects Important?Keywords: life, cycle, launch, product

21) ________ serves as an excellent training ground for future senior executives in mostorganizations.

Answer: Project managementDiff: 2Section: Why Are Projects Important?Keywords: project, management, senior, executives

22) The stages in a projectʹs development are known as a(n) ________.

Answer: project life cycleDiff: 1Section: Project Life CyclesKeywords: life, cycle, project

23) Detailed specifications, schematics, and schedules are all developed during the ________ stage.

Answer: planningDiff: 2Section: Project Life CyclesKeywords: life, cycle, project, planning, stage

24) Creativity is at its zenith during the ________ stage of the project life cycle.

Answer: executionDiff: 2Section: Project Life CyclesKeywords: life, cycle, project, execution

25) The degree of risk associated with the project is at it highest during the ________ stage.

Answer: conceptualizationDiff: 2Section: Project Life CyclesKeywords: life, cycle, project, conceptualization

4



26) The triple constraint of project success is ________.

Answer: time, cost, performanceDiff: 2Section: Determinants of Project SuccessKeywords: success, time, cost, performance, triple, constraint

27) Atkinson suggests that all groups that are affected by a project, otherwise known as ________,should have a hand assessing project success.

Answer: stakeholdersDiff: 2Section: Determinants of Project SuccessKeywords: stakeholders, success, Atkinson

28) ________ are used to allow organizations to benchmark the best practices of successful projectmanagement firms.

Answer: Project management maturity modelsDiff: 2Section: Determinants of Project SuccessKeywords: benchmarking, maturity, model

29) The Center for Business Practices maturity model stage that describes project management asan ad hoc process is ________.

Answer: Level 1 or Initial ProcessDiff: 2Section: Determinants of Project SuccessKeywords: maturity, model, ad hoc, initial, process

30) In general, all project management maturity models agree that an organization that hasinternalized all necessary project management principles and is actively seeking to movebeyond these in innovative ways is ________.

Answer: (project) matureDiff: 2Section: Determinants of Project SuccessKeywords: project, management, maturity, mature

5



Multiple Choice

31) Which of the following types of activities is more closely associated with projects rather thanprocesses?

A) an activity that is ongoing

B) an activity that is day-to-day

C) an activity that uses existing systems

D) an activity that establishes its own work rules

Answer: DDiff: 1Section: What is a Project?Keywords: project, process

32) Which of the following is accomplished through project management?

A) A cellular phone company activates a new customerʹs service.

B) An automotive manufacturer produces a dayʹs quota of vehicles.

C) A software developer creates a new crash-proof operating system.

D) A retailer restocks the shelves after a day of brisk sales.

Answer: CDiff: 2Section: What is a Project?Keywords: project, process

33) A project typically has:

A) a defined start and end date.

B) a defined start date but no defined end date.

C) no defined start but a defined end date.

D) no defined start or end date.

Answer: ADiff: 1Section: What is a Project?Keywords: project, start, end

6



34) The Project Management Body of Knowledge Guide definition of a project indicates that aproject is:

A) multifunctional.

B) temporary.

C) designed to consume human resources.

D) limited by a budget.

Answer: BDiff: 2Section: What is a Project?Keywords: PMI, PMBoK, project, definition

35) Project members may be from:

A) different departments.

B) other organizational units.

C) one functional area.

D) all of the above.

Answer: DDiff: 1Section: What is a Project?Keywords: team, member, department, functional area

36) There is no such thing as a project team:

A) with a deliverable.

B) with an ongoing, nonspecific purpose.

C) with a goal.

D) with a project manager.

Answer: BDiff: 2Section: What is a Project?Keywords: deliverable, goal, purpose

37) A project that results in ʺdoing the wrong things wellʺ has ignored the:

A) budgetary goal.

B) technical goal.

C) customer satisfaction goal.

D) scheduling goal.

Answer: CDiff: 2Section: What is a Project?Keywords: customer, satisfaction

7



38) Which of these is not characteristic of a project?

A) Projects are responsible for the newest and most improved products, services, andorganizational processes.

B) Projects are ad hoc endeavors with a clear life cycle.

C) Projects provide a philosophy and strategy for the management of change.

D) Traditional process management functions of planning, organizing, and controlling donot apply to project management.

Answer: DDiff: 2Section: What is a Project?Keywords: planning, organizing, controlling

39) Which of the following is not a project constraint?

A) the budget

B) the customer requirements

C) the schedule

D) the technical specifications

Answer: BDiff: 2Section: What is a Project?Keywords: constraint, customer, requirements

40) Projects differ from classic organizational processes because projects are:

A) discrete activities.

B) part of line organization.

C) well established systems in place to integrate efforts.

D) multi-objective.

Answer: ADiff: 2Section: What is a Project?Keywords: project, discrete

41) Process management features ________ with respect to project management.

A) greater heterogeneity

B) greater certainty of performance

C) greater numbers of goals and objectives

D) lower adherence to established practices

Answer: BDiff: 2Section: What is a Project?Keywords: process, certainty

8



42) Studies of IT projects reveal that:

A) initial cost estimates are overrun by an average of 15%.

B) over 66% of IT projects were delivered to customers but not used.

C) about 25% of all IT projects become runaways by overshooting budgets and timetables.

D) up to 75% of software projects are cancelled.

Answer: DDiff: 3Section: What is a Project?Keywords: success, IT, project, software

43) A business reality that makes effective project management critical is the fact that:

A) products are becoming increasingly simple.

B) inflation is rampant.

C) product life cycles are compressing.

D) product launch windows are widening.

Answer: CDiff: 1Section: Why Are Projects Important?Keywords: product, life, cycle

44) A product is introduced into a market, gains the acceptance of a fickle public, and finally issupplanted by a new and improved offering. This phenomenon is known as:

A) the product life cycle.

B) the rule of 80.

C) the Mendoza line.

D) the beta.

Answer: ADiff: 1Section: Why Are Projects Important?Keywords: product, life, cycle

45) Low inflation is a trigger for improved project management skills because:

A) rampant cost increases must be passed along to the consumer.

B) internal process improvement is accomplished via project management.

C) lower inflation means narrower product launch windows.

D) global markets are a prerequisite for low inflation.

Answer: BDiff: 1Section: Why Are Projects Important?Keywords: process, improvement, inflation

9



46) The technical side of project management emphasizes:

A) team building.

B) conflict management.

C) negotiation.

D) budgeting.

Answer: DDiff: 1Section: Why Are Projects Important?Keywords: technical, budget

47) The behavioral side of project management emphasizes:

A) scheduling.

B) leadership.

C) planning.

D) project selection.

Answer: BDiff: 1Section: Why Are Projects Important?Keywords: behavioral, leadership, people

48) Geoffcoʹs project manager names three individuals and requests a project budget of $3,000,000for the new 8-Pod, a backpack-sized personal music player for 8-track tapes capable ofholding up to 100 songs from the 60s and 70s. This important step takes place during ________of the project life cycle.

A) planning

B) conceptualization

C) execution

D) termination

Answer: BDiff: 2Section: Project Life CyclesKeywords: life, cycle, project, conceptualization

10



49) Individual activities and their durations are developed during the:

A) planning phase of the project life cycle.

B) conceptualization phase of the project life cycle.

C) execution phase of the project life cycle.

D) termination phase of the project life cycle.

Answer: ADiff: 2Section: Project Life CyclesKeywords: life, cycle, project, planning

50) Keith Monroe nails hundreds of pieces of culled lumber in the blazing July sun to form aparquet deck for his barn roof. He and his assistant are clearly in:

A) the termination stage of the project life cycle.

B) the planning stage of the project life cycle.

C) the execution stage of the project life cycle.

D) way over their heads.

Answer: CDiff: 1Section: Project Life CyclesKeywords: life, cycle, project, execution

51) The MBA redesign committee presents the results of their five-year project to their bemusedDean. They hope it is not just wishful thinking that they are in the:

A) planning phase.

B) conceptualization phase.

C) execution phase.

D) termination phase.

Answer: DDiff: 1Section: Project Life CyclesKeywords: life, cycle, project, termination

52) Client interest is typically at its lowest during the:

A) conceptualization phase.

B) planning phase.

C) execution phase.


Answer: CDiff: 3Section: Project Life CyclesKeywords: life, cycle, execution, client, interest

11



53) The degree of innovation and creativity is typically at its highest during the:


B) planning phase.

C) execution phase.


Answer: CDiff: 2Section: Project Life CyclesKeywords: life, cycle, execution, creativity

54) The amount of corporate investment is typically at its lowest in the:


B) planning phase.

C) execution phase.


Answer: ADiff: 1Section: Project Life CyclesKeywords: life, cycle, conceptualization, investment, stake

55) The amount of corporate investment is typically at its highest in the:


B) planning phase.

C) execution phase.


Answer: DDiff: 2Section: Project Life CyclesKeywords: life, cycle, termination, stake, investment

56) The degree of risk associated with the project is typically at its highest during the:


B) planning phase.

C) execution phase.


Answer: ADiff: 1Section: Project Life CyclesKeywords: life, cycle, risk, uncertainty,

12



57) The technical challenges that the project has to face are typically at their lowest during the:


B) planning phase.

C) execution phase.


Answer: DDiff: 1Section: Project Life CyclesKeywords: life, cycle, project, termination

58) The commitment of financial, human, and technical resources is highest during the:


B) planning phase.

C) execution phase.


Answer: CDiff: 2Section: Project Life CyclesKeywords: life, cycle, execution, resources

59) The most recent addition to the four criteria of project success is:

A) time.

B) cost.

C) performance.

D) client acceptance.

Answer: DDiff: 1Section: Determinants of Project SuccessKeywords: client, acceptance, success, criteria

60) Which of the following statements about project success criteria is best?

A) Project cost is an external performance measure.

B) Completion time is an internal performance measure.

C) Client acceptance is an internal performance measure.

D) Client acceptance is often referred to as conducting a ʺqualityʺ check.

Answer: BDiff: 2Section: Determinants of Project SuccessKeywords: client, acceptance, internal, external

13



61) A design project is completed on time, under budget, to the customerʹs satisfaction and inadherence to the technical specifications agreed. The new product takes the market by stormand everyone associated with the project receives a coveted gold star. Under the fourdimensions of project success model, the project still needs to show:

A) future potential.

B) business success.

C) impact on the customer.

D) efficiency.

Answer: ADiff: 2Section: Determinants of Project SuccessKeywords: success, dimension, future, potential

62) The dimension of project success that is realized first is:




D) efficiency.

Answer: DDiff: 2Section: Determinants of Project SuccessKeywords: success, dimension, efficiency

63) The dimension of project success that is realized last is:




D) efficiency.

Answer: ADiff: 2Section: Determinants of Project SuccessKeywords: success, dimension, future, potential

14



64) The dimension of project success that is measured by both an internal and external criterion is:




D) efficiency.

Answer: CDiff: 3Section: Determinants of Project SuccessKeywords: success, dimension, customer, impact

65) In the Atkinson model of project success, a projectʹs impact to the surrounding communitywould be classified as:

A) an element of the iron triangle.

B) a stakeholder benefit.

C) an organizational benefit.

D) a strategic goal.

Answer: BDiff: 3Section: Determinants of Project SuccessKeywords: success, Atkinson, stakeholder

66) ABC company compares the way they manage projects with the way rival NBC companymanages projects. ABC company is engaged in:

A) corporate espionage.

B) ring level 0.

C) competitive benchmarking.

D) cutting edge practices.

Answer: CDiff: 1Section: Developing Project Management MaturityKeywords: benchmarking, maturity

67) Project management maturity models are not used to:

A) compare practices against an industry standard.

B) define a systematic route for improving project management practices.

C) evaluate current project management practices.

D) ascertain all stakeholders relevant to a project in the conceptualization phase.

Answer: DDiff: 2Section: Developing Project Management MaturityKeywords: benchmarking, maturity, project, management

15



68) A spider web diagram is useful for:

A) showing company performance on a number of criteria simultaneously.

B) collecting data on how a competitor manages projects.

C) identifying industry standards for project management maturity.

D) coaching, evaluating, and auditing projects.

Answer: ADiff: 2Section: Developing Project Management MaturityKeywords: spider, web, diagram

69) The project maturity model developed by the Center for Business Practices would have________ rings if a spider web diagram were used.

A) three

B) four

C) five

D) six

Answer: CDiff: 2Section: Developing Project Management MaturityKeywords: spider, web, diagram, maturity

70) The most basic level in Kerznerʹs project management maturity model is:

A) common language.

B) common processes.

C) initial process.

D) ad hoc.

Answer: ADiff: 3Section: Developing Project Management MaturityKeywords: Kerzner, project, management, maturity

71) Carnegie Mellonʹs SEI model, ESI Internationalʹs project framework and the Center forBusiness Practices all call their highest level of maturity:

A) continuous improvement.

B) optimizing.

C) ganbei.

D) comprehensive.

Answer: BDiff: 3Section: Developing Project Management MaturityKeywords: project, management, maturity, optimizing

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72) The authorʹs synthesis of all well-known maturity models states that moderate projectmanagement maturity is characterized by:

A) ad hoc processes.

B) little support from upper management.

C) project management training programs.

D) active exploration of ways to improve project management.

Answer: CDiff: 2Section: Developing Project Management MaturityKeywords: management, maturity, training, moderate

73) Which statement regarding the Project Management Instituteʹs Project Management Body ofKnowledge (PMBoK) is best?

A) The PMBoK consists of seven knowledge areas of project management skills andactivities.

B) Each element of the iron triangle is represented by its own area.

C) Project risk management is part of the integration section.

D) The instituteʹs position that a properly planned project will not require any changesprecludes the need for change control in the model.

Answer: BDiff: 2Section: Project Elements and Text OrganizationKeywords: management, body, knowledge, institute, project

Short Answer

74) What is a project?

Answer: The author offers a number of definitions, including the Project Management Instituteʹsstatement ʺa temporary endeavor undertaken to create a unique product or service.ʺ Asynthesis of the definitions offered might be that projects are customer-focused,complex, one-time processes limited by budget, schedule and resources that aredeveloped to resolve a clear goal or set of goals.

Diff: 1Section: What is a Project?Keywords: project

17



75) What are key differences between projects and processes?

Answer: A process refers to ongoing, day-to-day activities in which an organization engageswhile producing goods and services. Processes use existing systems, properties, andcapabilities in a continuous, fairly repetitive manner. Projects take place outside thenormal, process-oriented world of the firm and project management activities remainunique and separate from the manner in which process-oriented work is performed.Differences are listed in the table reproduced below.

Process ProjectRepeat process of product New process or productSeveral objectives One objectiveOngoing One shot limited lifePeople are homogeneous More heterogeneousWell established systems in place tointegrate efforts

Systems must be created to integrateefforts

Greater certainty of performance, cost,schedule

Greater uncertainty of performance,cost, schedule

Part of line organization Outside of line organizationBastions of established practice Violates established practice

Diff: 1Section: What is a Project?Keywords: project, process

76) What roles do traditional process management duties of planning, organizing, and controllingplay in project management, if any?

Answer: The traditional managerial duties of planning, organizing, and controlling all apply toproject management. Project managers must be technically well versed, proficient atadministrative functions, willing and able to assume leadership roles, and above-all,goal oriented. The project manager is the person most responsible for keeping track ofthe big picture.

Diff: 2Section: What is a Project?Keywords: project, planning, organizing, controlling

77) Why is project management challenging?

Answer: Projects present challenges for a number of reasons; by their nature they are oftendramatic departures from the routine process-oriented work that employees areaccustomed to. Projects face budget, time, and resource constraints and these resourcesmust often be marshaled from across the organization.

Diff: 2Section: What is a Project?Keywords: project, management, characteristics

18



78) Why are projects important?

Answer: Todayʹs business face a set of pressures that make projects crucial in helping anorganization achieve its strategic goals. These pressures include shortened product lifecycles, narrow product launch windows, increasingly complex and technical products,the emergence of global markets, and an economic period marked by low inflation.

Diff: 2Section: Why Are Projects Important?Keywords: project, importance, global, inflation

79) What changes in the business environment have necessitated a greater use of projectmanagement skills?

Answer: Todayʹs business face a set of pressures that make projects crucial in helping anorganization achieve its strategic goals. These pressures include shortened product lifecycles, narrow product launch windows, increasingly complex and technical products,the emergence of global markets, and an economic period marked by low inflation.

Diff: 2Section: Why Are Projects Important?Keywords: project, importance, global, inflation

80) Why is project management considered an excellent training ground for future seniorexecutives in many organizations?

Answer: One of the unique aspects of projects is their unique blend of technical and behavioralchallenges. The technical side of project management requires managers to becomeskilled in project selection, budgeting and resource management, planning andscheduling, and tracking their projects. The behavioral side of project managementrequires project managers to bring together individuals from across the organization,mold them into a team, manage conflict, provide leadership, and engage in negotiationand appropriate political behavior.

Diff: 2Section: Why Are Projects Important?Keywords: project, training, technical, behavioral, executives

81) Describe the activities that occur at each stage of a project.

Answer: Stages in a projectʹs development are referred to as the project life cycle, which consistsof conceptualization, planning, execution, and termination. In the conceptualizationstage the scope of the work is determined, necessary resources are identified, andimportant organizational stakeholders signed on. In the planning stage all detailedspecifications, schematics, schedules, and other plans are developed. Individual piecesof the project are broken down, individual assignments are made, and the process forcompletion is delineated. During the execution phase the system is developed or theproduct is created and fabricated. Termination occurs when the completed project istransferred to the customer, the projectʹs resources are reassigned, and the project isformally closed out.

Diff: 2Section: Project Life CyclesKeywords: life cycle, conceptualization, planning, execution, termination

19



82) Where in the project life cycle are the intensity level of resources and client interest at theirhighest? Why is this the case?

Answer: The intensity level of resources peaks during the execution phase of the project lifecycle. The actual work is performed during this phase, so the commitment of financial,human, and technical resources peaks at this time. The level of enthusiasm or concernexpressed by the projectʹs intended customer peaks in both the conceptualization andtermination phases. The client is initially very interested because they provide input onthe goal and specifications of the project. Project work moves out of the conceptualphase to a more internal mode and the clientʹs interest wanes until the project nearsdelivery. At this point the clientʹs interest peaks again as they prepare to receive thecompleted project and all the associated benefits.

Diff: 2Section: Project Life CyclesKeywords: life cycle, intensity, client, interest, resources

83) Rank the determinants of project success from most important to least important and justifyyour rankings.

Answer: Answers with regards to ranking may vary since, for example, circumstances maydictate that time is an overriding concern at the expense of quality and cost. Thedeterminants of project success are conformance to budget, schedule, performancespecifications, and client acceptance.Time Projects are constrained by a specified timeframe during which they must becompleted; they are not supposed to continue indefinitely.Cost Projects must meet budgeted allowances in order to use resources as efficientlyas possible.Performance Projects are developed in order to adhere to some initially determinedtechnical specifications. Performance measurement means determining whether thefinished product operates according to specifications.Client acceptance Projects are developed with customers in mind; their purpose is tosatisfy customersʹ needs. If the completed project meets all internal criteria but does notsatisfy the customer, then the project has not been a complete success.

Diff: 2Section: Determinants of Project SuccessKeywords: project, success, time, cost, performance, client, acceptance

20



84) Discuss the internal and external measures of project success?

Answer: The determinants of project success are the internal measures of time, cost, andperformance and the external measure of client acceptance.Time Projects are constrained by a specified timeframe during which they must becompleted; they are not supposed to continue indefinitely.Cost Projects must meet budgeted allowances in order to use resources as efficientlyas possible.Performance Projects are developed in order to adhere to some initially determinedtechnical specifications. Performance measurement means determining whether thefinished product operates according to specifications.Client acceptance Projects are developed with customers in mind; their purpose is tosatisfy customersʹ needs. If the completed project meets all internal criteria but does notsatisfy the customer, then the project has not been a complete success.

Diff: 2Section: Determinants of Project SuccessKeywords: project, success, time, cost, performance, client, acceptance

85) Describe the elements of the Atkinson model of project success?

Answer: The Atkinson model incorporates the input of all stakeholders in assessing projectsuccess. Stakeholders are all groups that are affected by a project, for example,employees, customers, end users, the community, suppliers, etc. The Atkinson modelbegins with the traditional iron triangle of time, cost, and performance and addsconsiderations of the benefits accrued by organizational and external stakeholders.

Diff: 2Section: Determinants of Project SuccessKeywords: project, success, time, cost, performance, client, Atkinson

86) What are project management maturity models used for?

Answer: Project management maturity models are used to allow organizations to benchmark thebest practices of successful project management firms. Project maturity modelsrecognize that different organizations are currently at different levels of sophisticationin their best practices for managing projects.

Diff: 2Section: Developing Project Management MaturityKeywords: project, management, maturity

87) Describe the spider-web methodology for displaying project management maturity andpresent any five components of project management practice that can be displayed using thistechnique.

Answer: A spider-web diagram (or radar chart) derives its name from its visual similarity to aspider-web, consisting of some number of spokes connected by concentric rings. Thespokes represent the components of project management practice that the organizationchooses to measure. The rings represent levels of achievement for each of thecomponents.

Diff: 2Section: Developing Project Management MaturityKeywords: project, management, maturity, spider-web

21



88) Describe the project management characteristics of firms that reside at the lowest levels of theESI, SEI, Center for Business Practice, and Kerzner maturity models and characteristics offirms that reside at the highest levels of these models.

Answer: The lowest level of each model is occupied by companies that have no clear sense ofproject management. There is no common project management language within thesecompanies and management processes, if any exist, are ad hoc. Firms occupying thehighest level of project management maturity are project savvy; having progressedbeyond simply applying project management to processes. These firms actively exploreways to continuously improve project management techniques and procedures.

Diff: 3Section: Developing Project Management MaturityKeywords: project, management, maturity, level, Kerzner, ESI, SEI

22


Chapter 2The Organizational Context:

Strategy, Structure, and Culture

True/False

1) The same project managed in the same fashion may succeed in one organization but fail inanother.

Answer: TRUEDiff: 2Section: IntroductionKeywords: organization, project

2) Most companies are well suited to allow for successful completion of projects in conjunctionwith other ongoing corporate activities.

Answer: FALSEDiff: 2Section: IntroductionKeywords: organization, project

3) Developing vision and mission statements is an important tactical step in project management.

Answer: FALSEDiff: 2Section: Projects and Organizational StrategyKeywords: vision, mission

4) One element of strategic management is cross-functional decision-making.

Answer: TRUEDiff: 2Section: Projects and Organizational StrategyKeywords: strategic, management, functional

5) Strategy, goals and programs support the organizational mission.

Answer: TRUEDiff: 2Section: Projects and Organizational StrategyKeywords: strategy, goal, program, mission

6) Stakeholder analysis looks at a projectʹs customers and determines whether their needs arebeing met.

Answer: FALSEDiff: 2Section: Stakeholder ManagementKeywords: stakeholder, analysis

23


Chapter 2 - The Organizational Context: Strategy, Structure, and Culture

7) Suppliers and competitors are possible intervenor groups in a project.

Answer: TRUEDiff: 2Section: Stakeholder ManagementKeywords: intervenor, stakeholder

8) An important step in stakeholder management is the assessment of your own capabilities.

Answer: TRUEDiff: 2Section: Stakeholder ManagementKeywords: capability, assessment, stakeholder, management

9) Policies and procedures are examples of an organizationʹs external environment.

Answer: FALSEDiff: 2Section: Forms of Organization StructureKeywords: external, environment, policy, procedure

10) A project organization does not have functional departments.

Answer: FALSEDiff: 2Section: Forms of Organization StructureKeywords: project, organization, functional

11) A Project Management Office is designed to oversee or improve the management of projectswithout stripping responsibility from the project manager.

Answer: TRUEDiff: 2Section: Project Management OfficesKeywords: project, management, office, PMO

12) Organizational culture can be influenced in a variety of ways, including by reward systemsand key organizational members.

Answer: TRUEDiff: 2Section: Organizational CultureKeywords: organization, culture, reward

Fill in the Blank

13) ________ designates formal reporting relationships, including the number of levels in thehierarchy and the span of control of managers and supervisors.

Answer: Organization structureDiff: 2Section: Organizational StructureKeywords: organization, structure, span, hierarchy

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The Organizational Context: Strategy, Structure, and Culture - Chapter 2

14) ________ is the term for the tendency for employees to become fixated on their concerns andwork assignments to the exclusion of the needs of other departments.

Answer: Functional siloingDiff: 2Section: Forms of Organization StructureKeywords: organization, project

15) Functional departments maintain control over their resources and are responsible formanaging their components of the project in a(n) ________.

Answer: weak matrixDiff: 2Section: Forms of Organization StructureKeywords: organization, functional, department

16) The ________ form of the project management office has the goal of maintaining andproviding trained and skilled project professionals as they are needed.

Answer: resource poolDiff: 2Section: Project Management OfficesKeywords: organization, project, management, office, PMO, resource, pool

Multiple Choice

17) Which of the following is not an element of strategic management?

A) formulating cross-functional decisions

B) implementing cross-functional decisions

C) evaluating cross-functional decisions

D) eliminating cross-functional decisions

Answer: DDiff: 1Section: Projects and Organizational StrategyKeywords: strategic, management, cross-functional

18) The highest priority among strategic choice elements is:

A) objective.

B) strategy.

C) mission.

D) goal.

Answer: CDiff: 2Section: Projects and Organizational StrategyKeywords: strategic, management, mission

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19) Which of these strategic elements exists at a higher level than the others?

A) Programs

B) Objectives

C) Goals

D) Strategies

Answer: BDiff: 2Section: Projects and Organizational StrategyKeywords: strategic, management, elements, objectives

20) A strategic element consisting of statements such as ʺa 5% increase in freshman to sophomoreretention,ʺ and ʺa 10% increase in the six-year graduation rate,ʺ is best described as a:

A) goal.

B) program

C) strategy.

D) mission.

Answer: ADiff: 3Section: Projects and Organizational StrategyKeywords: strategic, element, goal

21) A strategic element that contains formally titled initiatives such as the Customer SurveyProject, the Small Business Alliance Project, and the Employee Relations Project is most likelya:

A) mission.

B) strategy.

C) goal.

D) program.

Answer: DDiff: 2Section: Projects and Organizational StrategyKeywords: strategic, element, program

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The Organizational Context: Strategy, Structure, and Culture - Chapter 2

22) The management department at the university decides to add a new program in restaurant,hotel, and institutional management. As part of the development process they hold focusgroups consisting of area business leaders, current and former students, and restaurant andhotel owners. These groups can be described as:

A) project leaders.

B) project workers.

C) stakeholders.

D) clients.

Answer: CDiff: 2Section: Stakeholder ManagementKeywords: stakeholder

23) Which statement about stakeholders is best?

A) Stakeholders wield considerable power.

B) Stakeholders can potentially impact project development.

C) Stakeholders are external to a company.

D) By definition, clients are not stakeholders, they are customers.

Answer: BDiff: 2Section: Stakeholder ManagementKeywords: stakeholder

24) External stakeholders that are external to a project but possess the power to effectively disruptthe projectʹs development are:

A) intervenor groups.

B) environmental groups.

C) stressor groups.

D) special-interest groups.

Answer: ADiff: 2Section: Stakeholder ManagementKeywords: stakeholder, intervenor, group

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25) Which of the following statements about clients is best?

A) Client refers to the entire customer organization.

B) Clients are concerned with receiving the project as quickly as they can possibly get it.

C) Client groups tend to have similar agendas.

D) A single presentation is best when dealing with all client groups in an organization sothat everyone hears exactly the same message.

Answer: BDiff: 2Section: Stakeholder ManagementKeywords: client, group

26) Which of the following is an internal project stakeholder group?

A) clients

B) suppliers

C) functional managers

D) competitors

Answer: CDiff: 2Section: Stakeholder ManagementKeywords: stakeholder, internal

27) Which of the following is an external stakeholder group?

A) project team members

B) top management

C) accountant

D) environmental groups

Answer: DDiff: 1Section: Stakeholder ManagementKeywords: stakeholder, external

28) The group that provides raw materials or resources that the project team needs to complete theproject is:

A) suppliers.

B) intervenor groups.

C) top management.

D) functional managers.

Answer: ADiff: 1Section: Stakeholder ManagementKeywords: stakeholder, suppliers, materials

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Project Management - TEST BANK...

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