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PRINCE2 PRINCE2Practitioner Actual Questions and Braindumps

To be eligible to take the PRINCE2 Practitioner exam, candidates must have passed the PRINCE2 Foundation exam, which provides an introduction to the PRINCE2 methodology. The Practitioner exam is a more advanced certification that tests candidates’ understanding of how to apply the PRINCE2 methodology to real-world projects. The exam consists of multiple-choice questions that require candidates to apply their knowledge of the methodology to a range of scenarios.

 

NEW QUESTION # 49
Using the Project Scenario and the Extract from Stage Plan for stage 3 provided as additional intonation for this question in the Scenario Booklet, answer the following 5 questions.
The Stage Plan for stage 3 has been produced.
The Engineering Manager insists that there are to be no interruptions to operations whilst photographs are being taken of the engineering staff performing their everyday duties and operating machinery. Two weeks ago the professional photographer produced the photo session schedule based on the operational staff schedule.
The operational staff schedule is produced weekly and maintained by the Engineering Manager.
None of the E500 change budget has been used to date and this is available for the stage.
Which 2 statements apply to the Monitoring and control section?

• A. Delete entry 11 because this relates to the monitoring and controlling of the Project Plan, not the Stage Plan.
• B. No change to entry 12 because this describes how the Project Board will control the stage.
• C. Delete entry 14 because the Product Status Account is NOT an ad-hoc report. It is produced at the end of each stage to identify any variations between planned status, reported status and actual status of the stage's products.
• D. Delete entry 13 because this is part of the Controlling a Stage process.
• E. Move entry 12 because the Highlight Reports are deliverables of this stage and should be shown under Product descriptions.

Answer: A,B

Explanation:
Explanation/Reference:
Plans Theme
Question Set 2

NEW QUESTION # 50
Which statement is TRUE with regard to technical stages?

• A. Technical stages define where management decisions are appropriate
• B. Technical stages can only occur sequential
• C. Technical stages define the commitment of resources and authority to spend
• D. Technical stages often overlap

Answer: D

NEW QUESTION # 51
The project is at the end of stage 4. The project manager has changed the benefits management approach. It now includes all the activities necessary to measure the increased revenue.
Who should approve this update?

• A. Project assurance
• B. Project board
• C. Project manager
• D. Corporate management

Answer: B

NEW QUESTION # 52
This question provides a number of changes which may or may not be required to the Extract from the Communication Management Strategy provided in the additional information.
Which statement applies to the Introduction section?

• A. Amend entry 1 to read 'This document contains the controls and reporting to be established for the project management team'.
• B. No change to entry 1 because this shows the purpose and content of this document.
• C. Amend entry 1 to read 'This document contains the means and frequency of communication between the project management team, the print company and other external parties.

Answer: B

NEW QUESTION # 53
Which of the following roles cannot be combined?

• A. Project Assurance and Team Manager
• B. Executive and Senior User
• C. Project Manager and Project Support
• D. Senior Suppler and Supplier Assurance

Answer: A

NEW QUESTION # 54
Project Scenario - Health and Safety Training Project:
ABC Company is a well-established training company that uses a standard model to develop training materials and deliver courses to customers.
ABC Company has commissioned a project in response to recent changes in government legislation relating to health and safety on construction sites. The project will deliver "capability to provide health and safety training", including the materials needed for classroom-based training and e-learning. The expected benefits for construction companies include a reduction in lost days and legal costs due to accidents.
The e-learning course will be developed by a specialist external consultancy. The materials for classroom-based training will be delivered by ABC Company's development team. All course materials will be piloted before they are used. ABC Company will deliver training to its customers and also hopes to sell the course materials to other training companies as part of their operational business. ABC Company will use their own sales and marketing departments to promote the courses.
The legislation requires construction companies to comply with the new legislation within two years. The course materials and trainers have to be accredited by a government agency before courses can be delivered.
ABC Company is planning to deliver pilot courses within five months of starting the project.
The ABC Company standard development model for new courses recommends the following stages:

End of the Project scenario.
Additional Information:
The Chief Executive Officer (CEO) founded the company five years ago. Under her leadership, ABC Company has grown quickly into a successful training company. It delivers a range of accredited professional training.
The Finance Director is also a founder member of ABC Company and is responsible for authorizing budgets for the Operations and Development Teams. She authorizes all large contracts personally.
The Purchasing Manager reports to the Finance Director and is responsible for managing and monitoring supplier contracts.
The Operations Director is responsible for the delivery off all training and for the training development budget. His department organizes courses, venues and trainers. They work with the Product and the Sales teams to provide a comprehensive training schedule. ABC Company's IT manager reports to the Operations Director.
The Business Development Director has recently been appointed to identify new training needs and propose new products. She will work with the Operations. Director to ensure a cost-conscious approach and that appropriate development technologies are used for the health and safety course.
The Training Development Manager reports to the Business Development Director and is responsible for developing training materials and gaining accreditation, in accordance with the standard course development model. Course developers in his team have skills in a range of development technologies and are allocated to projects as needed.
The Training Delivery Manager, who reports to the Operations Director, is responsible for ensuring that internal and external trainers deliver ABC Company training courses to the required standard. He also checks course materials to ensure they are fit for purpose and of the required quality.
The Central Services Director has responsibility for corporate communications, facilities management and configuration management. He recently led a project to consolidate all company quality systems into one quality management system and set up a corporate quality department, now managed by the Corporate Quality Manager.
The Corporate Document Manager reports to the Central Services Director. She helped establish the company's document management system and now operates it across the business. She manages a team of administrators and contracts staff when workload is high.
The Sales Director joined ABC Company two months ago and is keen to establish himself by suggesting new markets for the courses and material. All account managers and the marketing team report to him. They promote existing training courses to other training companies and existing customers.
End of the additional information.
An external consultant has signed a contract and agreed a work package to accredit the trainers. The Purchasing Manager will monitor the contract, which states the requirement to organize the accreditation with the Training Delivery Manager. The Training Delivery Manager has tried to contact the consultant but there has been no response. The project manager believes there is a risk that the consultant is prioritizing other clients' work.
The Purchasing Manager has been assigned as the risk owner. Is this an appropriate approach to managing this risk, and why?

• A. No, because the risk was transferred to the Training Delivery Manager when the work package was authorized.
• B. Yes, because the Purchasing Manager is monitoring the contract and therefore best suited to controlling the risk.
• C. Yes, because the Purchasing Manager should have identified the risk when the work package was agreed.
• D. No, because the team manager should be the risk owner to risks concerning the delivery of a work package.

Answer: B

NEW QUESTION # 55
Project Scenario - Health and Safety Training Project:
ABC Company is a well-established training company that uses a standard model to develop training materials and deliver courses to customers.
ABC Company has commissioned a project in response to recent changes in government legislation relating to health and safety on construction sites. The project will deliver "capability to provide health and safety training", including the materials needed for classroom-based training and e-learning. The expected benefits for construction companies include a reduction in lost days and legal costs due to accidents.
The e-learning course will be developed by a specialist external consultancy. The materials for classroom-based training will be delivered by ABC Company's development team. All course materials will be piloted before they are used. ABC Company will deliver training to its customers and also hopes to sell the course materials to other training companies as part of their operational business. ABC Company will use their own sales and marketing departments to promote the courses.
The legislation requires construction companies to comply with the new legislation within two years. The course materials and trainers have to be accredited by a government agency before courses can be delivered.
ABC Company is planning to deliver pilot courses within five months of starting the project.
The ABC Company standard development model for new courses recommends the following stages:

End of the Project scenario.
Additional Information:
The Chief Executive Officer (CEO) founded the company five years ago. Under her leadership, ABC Company has grown quickly into a successful training company. It delivers a range of accredited professional training.
The Finance Director is also a founder member of ABC Company and is responsible for authorizing budgets for the Operations and Development Teams. She authorizes all large contracts personally.
The Purchasing Manager reports to the Finance Director and is responsible for managing and monitoring supplier contracts.
The Operations Director is responsible for the delivery off all training and for the training development budget. His department organizes courses, venues and trainers. They work with the Product and the Sales teams to provide a comprehensive training schedule. ABC Company's IT manager reports to the Operations Director.
The Business Development Director has recently been appointed to identify new training needs and propose new products. She will work with the Operations. Director to ensure a cost-conscious approach and that appropriate development technologies are used for the health and safety course.
The Training Development Manager reports to the Business Development Director and is responsible for developing training materials and gaining accreditation, in accordance with the standard course development model. Course developers in his team have skills in a range of development technologies and are allocated to projects as needed.
The Training Delivery Manager, who reports to the Operations Director, is responsible for ensuring that internal and external trainers deliver ABC Company training courses to the required standard. He also checks course materials to ensure they are fit for purpose and of the required quality.
The Central Services Director has responsibility for corporate communications, facilities management and configuration management. He recently led a project to consolidate all company quality systems into one quality management system and set up a corporate quality department, now managed by the Corporate Quality Manager.
The Corporate Document Manager reports to the Central Services Director. She helped establish the company's document management system and now operates it across the business. She manages a team of administrators and contracts staff when workload is high.
The Sales Director joined ABC Company two months ago and is keen to establish himself by suggesting new markets for the courses and material. All account managers and the marketing team report to him. They promote existing training courses to other training companies and existing customers.
End of the additional information.
CHANGE
A request has been received from a user to add the function to pay by credit card to the 'amended course booking procedures' for the 'e-learning course'. The user has suggested that sales of the course will be reduced if this change is not implemented.
Here are three actions relating to this request for change.
Which role (A-E) should carry out each action?
Choose only one role for each action. Each role can be used once, more than once, or not at all.

Answer:

Explanation:
Explanation

NEW QUESTION # 56
Project Scenario
Calendar Project (Note: The companies and people within the scenario are fictional.) There has been a reduction in fie number of orders at the MNO Manufacturing Company due in part to the increased marketing activities of its competitors. To help counter this, the company has decided to create a promotional calendar for next year for all its current and prospective customers. The end product of this project will be a prepared calendar pack, ready for printing. The design of the calendar will be similar to one sent out previously, and must reflect the company image as described in the existing corporate branding standards. Another project is currently producing a new company logo when is to be printed on each page of the promotional calendar. The prepared calendar pack will consist of:
* Design for each month - correctly showing at public holidays and new company logo
* Selected photographs- 12 professionally-produced photographs, showing different members of staff
* Selected paper and selected envelope - for printing and mailing the calendar
* Chosen label design - a competition to design a label will be held as part of this project
* List of customers - names and addresses of customers to whom the calendar will be sent.
The project is currently in initiation and will have two further stages:
Stage 2 will include tie activities to:
* Create the customer fast using information from the Accounts and Marketing departments
* Confirm compliance with the Data Protection Legislation
* Create a design for each month - this will be done by the internal creative team
* Select and appoint a professional photographer
* Gather photograph design ideas from previous project and agree photographic session schedule
* Prepare a production cost forecast
* Select paper and envelope.
Stage 3 will include the activities to:
* Produce and select tie professionally-taken photographs
* Hold the label design competition and choose the label design
* Assemble the prepared calendar pack.
A production cost forecast, based on the options and costs for the paper, envelope, printing and marketing of the calendar is to be produced in stage 2. However, the actual production and distribution of the calendars is not within the scope of the project. The product cost forecast will be reviewed by the Project Board to determine whether tie project should continue.
It is now 05 October and the prepared calendar pack must be delivered to the print company by 30 November, to enable printing and distribution of the calendar in time for Christmas. The cost of the activities to develop the specialist products and the cost of the project management activities are estimated to be £20,000. There is a project time tolerance of +1 week /-2 weeks and a project cost tolerance of +£6,000 / -£6,000. A change budget of £500 has been allocated but there is no risk budget.
As the project approaches the end of stage 2, the Project Manager has requested a Product Status Account to ensure that all products are at their expected point of development. Although the list of customers has been quality reviewed, it has not been baselined because the Marketing department have not provided all of the prospective customers' details. What initial action should the Project Manager take?

• A. Update the product status to baselined and obtain a commitment from the Marketing department to finish this work within the next few days.
• B. Raise an Exception Report to the Project Board to highlight the issue.
• C. Delay producing the End Stage Report until the list of customers has been baselined.
• D. Check the target sign-off date for the list of customers.

Answer: D

NEW QUESTION # 57
Which of the following activities is NOT an action of preparing for planned closure?

• A. Update the Project Management Team
• B. Request a product status account
• C. Update the project plan with actual
• D. Confirm project has delivered what is defined in Project Product Description

Answer: A

NEW QUESTION # 58
Project Scenario
Calendar Project (Note: The companies and people within the scenario are fictional.) There has been a reduction in fie number of orders at the MNO Manufacturing Company due in part to the increased marketing activities of its competitors. To help counter this, the company has decided to create a promotional calendar for next year for all its current and prospective customers. The end product of this project will be a prepared calendar pack, ready for printing. The design of the calendar will be similar to one sent out previously, and must reflect the company image as described in the existing corporate branding standards. Another project is currently producing a new company logo when is to be printed on each page of the promotional calendar. The prepared calendar pack will consist of:
* Design for each month - correctly showing at public holidays and new company logo
* Selected photographs- 12 professionally-produced photographs, showing different members of staff
* Selected paper and selected envelope - for printing and mailing the calendar
* Chosen label design - a competition to design a label will be held as part of this project
* List of customers - names and addresses of customers to whom the calendar will be sent.
The project is currently in initiation and will have two further stages:
Stage 2 will include tie activities to:
* Create the customer fast using information from the Accounts and Marketing departments
* Confirm compliance with the Data Protection Legislation
* Create a design for each month - this will be done by the internal creative team
* Select and appoint a professional photographer
* Gather photograph design ideas from previous project and agree photographic session schedule
* Prepare a production cost forecast
* Select paper and envelope.
Stage 3 will include the activities to:
* Produce and select tie professionally-taken photographs
* Hold the label design competition and choose the label design
* Assemble the prepared calendar pack.
A production cost forecast, based on the options and costs for the paper, envelope, printing and marketing of the calendar is to be produced in stage 2. However, the actual production and distribution of the calendars is not within the scope of the project. The product cost forecast will be reviewed by the Project Board to determine whether tie project should continue.
It is now 05 October and the prepared calendar pack must be delivered to the print company by 30 November, to enable printing and distribution of the calendar in time for Christmas. The cost of the activities to develop the specialist products and the cost of the project management activities are estimated to be £20,000. There is a project time tolerance of +1 week /-2 weeks and a project cost tolerance of +£6,000 / -£6,000. A change budget of £500 has been allocated but there is no risk budget.
At the end of initiation there is +1 week 1-2 weeks time tolerance for this project. Which statement is true?

• A. Additional time tolerance for the project could be found by adding extra resources without affecting other tolerances.
• B. There can be no time tolerances for any of the stages.
• C. All of the project level time tolerance can be allocated to stage 2.
• D. The Stage Plan for stage 2 could create some additional project time tolerance by allowing no time tolerance in Team Plans.

Answer: C

NEW QUESTION # 59
Project Scenario
Calendar Project (Note: The companies and people within the scenario are fictional.) There has been a reduction in fie number of orders at the MNO Manufacturing Company due in part to the increased marketing activities of its competitors. To help counter this, the company has decided to create a promotional calendar for next year for all its current and prospective customers. The end product of this project will be a prepared calendar pack, ready for printing. The design of the calendar will be similar to one sent out previously, and must reflect the company image as described in the existing corporate branding standards. Another project is currently producing a new company logo when is to be printed on each page of the promotional calendar. The prepared calendar pack will consist of:
Design for each month - correctly showing at public holidays and new company logo

Selected photographs- 12 professionally-produced photographs, showing different members of staff

Selected paper and selected envelope - for printing and mailing the calendar

Chosen label design - a competition to design a label will be held as part of this project

List of customers - names and addresses of customers to whom the calendar will be sent.

The project is currently in initiation and will have two further stages:
Stage 2 will include tie activities to:
Create the customer fast using information from the Accounts and Marketing departments

Confirm compliance with the Data Protection Legislation

Create a design for each month - this will be done by the internal creative team

Select and appoint a professional photographer

Gather photograph design ideas from previous project and agree photographic session schedule

Prepare a production cost forecast

Select paper and envelope.

Stage 3 will include the activities to:
Produce and select tie professionally-taken photographs

Hold the label design competition and choose the label design

Assemble the prepared calendar pack.

A production cost forecast, based on the options and costs for the paper, envelope, printing and marketing of the calendar is to be produced in stage 2. However, the actual production and distribution of the calendars is not within the scope of the project. The product cost forecast will be reviewed by the Project Board to determine whether tie project should continue.
It is now 05 October and the prepared calendar pack must be delivered to the print company by 30 November, to enable printing and distribution of the calendar in time for Christmas. The cost of the activities to develop the specialist products and the cost of the project management activities are estimated to be £20,000. There is a project time tolerance of +1 week /-2 weeks and a project cost tolerance of +
£6,000 / -£6,000. A change budget of £500 has been allocated but there is no risk budget.
The team member collating the list of customers has now forecast that it will NOT be complete by the end of this stage as originally planned, due to a number of new prospective customers' details not yet being available. What action should the team member take?

• A. Report the forecast delay in the next Checkpoint Report to the Executive.
• B. Add the product to the next Stage Plan in order to allocate additional resources and complete the work.
• C. Raise an issue to inform the Project Manager.
• D. Make an entry in the Risk Register so the Project Manager can decide on appropriate action.

Answer: C

NEW QUESTION # 60
During stage 2, an early review of the photo design ideas from the Marketing department has highlighted the
need for engineering machinery to be operating in the background during the photo sessions. This requires a
change to the baselined Product Description for the photos. What action should the Project Manager take?

• A. Log the change in the Issue Register as a request for change.
• B. Raise an Exception Report to the Project Board.
• C. Include this requirement on the next Checkpoint Report to the photographer.
• D. Revised the Product Description for the photos and issue it to the Engineering Manager to ensure that the
  machinery will be operating during the photo sessions.

Answer: A

NEW QUESTION # 61
Which 2 statements should be recorded under the Timescale heading?

• A. Additional 10% increase in orders in year two.
• B. The print company requires a 2 week notification period of the calendar pack delivery.
• C. The prepared calendar pack must be delivered by the first week in December.
• D. Benefits will be lost if the project is not completed on time.
• E. A recruitment campaign to fill the existing staff vacancies will need to take place in the next 12 months.

Answer: A,C

NEW QUESTION # 62
Scenario
Additional Information

Further information on some resources who could be involved in the project:
Outcome Account Manager: He represents Outcome which is a recruitment agency that provides specialist outsourcing resources. Outcome provided the consultants who carried out the feasibility study and the same consultants will be providing support and guidance to the Information Technology and Facilities teams during the project.
Director of Finance Division: She was transferred from the Information Technology Division 12 months ago. She is responsible for ensuring a cost-conscious approach is adopted in all operational and project activities across the Ministry of Food Hygiene.
Hardware Manager: Reports to the Director of Information Technology. He provides computer hardware to all business functions but has little awareness of the needs of his colleagues working in software.
Payroll Manager: Reports to the Director of Finance. He is a very experienced and efficient qualified accountant who has much of the responsibility of running the Finance Division on behalf of the Director of Finance. He has been involved in drafting the Ministry's business strategy and assisting in a full business risk assessment. He also drafted the corporate Business Case standards.
Which 2 alternative actions apply to the proposed Senior Supplier for this project?

• A. Add 'Hardware Manager' because he provides computer hardware to all business functions and will be impacted by the outcome.
• B. Add 'Director of Facilities' because he is responsible for the design of the future organization, processes, systems and operation models for Facilities.
• C. Replace with 'Director of Facilities' because he supports the initiative and has many ideas about how to improve the service.
• D. Remove because she only represents the Information Technology Division.
• E. Retain because she is responsible for the design of the future Information Technology organization and working practices.

Answer: B,E

NEW QUESTION # 63
HOTSPOT
Additional Information
A photographer from Portraits Ltd, a professional photographic company, has taken on the role of Team Manager after taking some time to understand the requirements of the project. A contract for their services has been set up and is being monitored by the Purchasing Manager and a Work Package has been agreed. This contract specifies that the photographer must arrange a meeting with the Engineering Manager to establish a schedule for the photo sessions to minimize the impact on the Engineering staff. This meeting should have occurred by now.
The Engineering Manager was made aware of this requirement but when asked he reported that he has received no communication from the photographer. The Project Manager has tried to call the photographer and has had no response. The Project Manager believes there is a risk that Portraits Ltd are overbooking work and prioritizing other clients' work. If Portraits ltd do not deliver on schedule the project will be delayed and the expected benefits will be reduced.
The contract is to be reviewed and Portraits Ltd reminded of their agreement.
The project is now in stage 2. The Project Manager has heard about the possibility of a competitor also producing a calendar to be delivered earlier than the target date for this project. There is a threat that the early release of a competitor's calendar may weaken the impact of the MNO Manufacturing Company calendar, thereby reducing the anticipated benefits of the Calendar project.
Column 1 contains a number of risk responses identified by the Project Manager following an assessment of this risk. Column 2 contains a list of threat response types. For each risk response in Column 1, select from Column 2 the type of response it represents. Each option from Column 2 can be used once, more than once or not at all.
Drop down the right answer.

Answer:

Explanation:

NEW QUESTION # 64
The development of the 'e-learning course' will be outsourced to an external supplier and their key members will join the project management team. The supplier wants to keep their work processes confidential and not share these with ABC Company. ABC Company has agreed.
Who should approve the external supplier's team plan?

• A. Supplier assurance
• B. Corporate, programme management or customer
• C. Senior supplier
• D. Project manager

Answer: B

Explanation:
Explanation

NEW QUESTION # 65
Additional Information Product Description

Quality notes from the Daily Log
The Director of Information Technology Division (DIT) has been asked to ensure that any changes to the outsourced staff employment contracts adhere to employment law. The DIT will review future job descriptions of the transferred staff before the final contract is signed with the selected service provider.
The service level agreement between MFH and the selected service provider will specify the type and quality of service required. The selected service provider must follow the industry standards for providing outsourced services.
MFH has a quality management system which contains a document control procedure for all its documentation, however this does not include change management.
All project documents will be subject to a quality review. Nominated products will require a formal approval record signed-off by the quality review chair.
Extract from the draft Quality Management Strategy (may contain errors) Introduction
1.This document defines the approach to be taken to achieve the required quality levels during the project.
2.The Project Board will have overall responsibility for the Quality Management Strategy.
3.Project Assurance will provide assurance on the implementation of the Quality Management Strategy.
Quality management procedure - Quality standards
4.The selected service provider will operate to industry standards for providing outsourced services.
5.MFH document standards will be used.
Records
6.A Quality Register will be maintained to record the planned quality events and the actual results from the quality activities.
7.Configuration Item Records will be maintained for each product to describe its status, version and variant.
8.Approval records for products that require them will be stored in the quality database. Roles and responsibilities
9.The DIT will check that the employment contracts for outsourced staff adhere to employment law.
10.
Team Managers will provide details of quality checks that have been carried out.
11.
Team Managers will ensure that the Quality Register is updated with the names of team members who are involved in the review process.
12.
The Senior User will review the Product Descriptions of the products to be produced by the selected service provider to ensure that they can be achieved.
Which is a correctly defined acceptance criterion for the transferred staff?

• A. Retained staff should be of reasonable competence to maintain the SLA.
• B. All legal requirements are adhered to for the transfer of staff.
• C. Staff should be transferred as soon as possible.
• D. No staff are to be left behind.

Answer: B

NEW QUESTION # 66
Scenario
A central government department, the Ministry of Food Hygiene (MFH), faces increasing pressure to cut costs, better manage suppliers' performance and reduce the confusion caused by inadequate internal controls, outdated standards and outdated technology. External consultants were employed to conduct a feasibility study to identify options to address the problems, and the likely costs and benefits. The following options were considered:
Do nothing.
Re-engineer selected business functions.
Outsource selected business functions.
The feasibility study concluded that there was a case for outsourcing the MFH Information Technology
Division and the Facilities Division (maintenance of buildings and grounds). The recommendations were:
One service provider should be contracted to provide the services currently provided by the
Information Technology Division and the Facilities Division.
A 10-year service contract should be agreed with the selected service provider.
The feasibility study developed high-level designs of the current organization, processes, systems and
operating models, plus an outline Business Case for the required project. The external consultants
also made the following recommendations for the management of the project:
Use PRINCE2.
Set up the project with 4 management stages:
Stage 1. Standard PRINCE2 initiation activities.
Stage 2. Create detailed designs (future organization, processes, systems and operating
models) and the service level agreement between MFH and the future service
provider.
Stage 3. Request and evaluate proposals, select service provider and agree contract.
Stage 4. Transfer equipment and staff, transfer responsibility for service provision and run
trial period.
Initial estimates indicated that the project would cost (GBP)2.5m and take two years to complete.
MFH senior management agreed that there was a case for outsourcing, and accepted the
recommendations as a basis for the project. There is an expected saving of (GBP)20m over 10 years.
The Outsourcing project has completed the Starting up a Project process and is now in the initiation stage. Because of the strategic importance of the project, the MFH Chief Executive Officer has taken the role of Executive. A PRINCE2-experienced Project Manager has been appointed from within MFH. Staff within the business functions being outsourced will work with the external consultants who conducted the feasibility study to define the detailed designs.
Which 2 statements should be recorded under the Business options heading?

• A. The lack of up-to-date technology in MFH means a re-engineering of existing services will not necessarily deliver the performance improvements required.
• B. Use external consultants to provide guidance on the detailed design of the outsourced services.
• C. Review a list of service providers to determine a short-list of possible service providers.
• D. The re-engineering of selected business functions would not provide the required outcome.
• E. Set up a PRINCE2 project to deliver the outsourced services.

Answer: B,E

Explanation:
Reference: http://www.whatisprince2.net/prince2-theme-business-case.php

NEW QUESTION # 67
Which of the following roles cannot be combined?

• A. Project Assurance and Team Manager
• B. Executive and Senior User
• C. Project Manager and Project Support
• D. Senior Suppler and Supplier Assurance

Answer: A

Explanation:
Explanation/Reference:
Testlet 1
Scenario
Additional Information
Product Description

Quality notes from the Daily Log
The Director of Information Technology Division (DIT) has been asked to ensure that any changes to the outsourced staff employment contracts adhere to employment law. The DIT will review future job descriptions of the transferred staff before the final contract is signed with the selected service provider.
The service level agreement between MFH and the selected service provider will specify the type and quality of service required. The selected service provider must follow the industry standards for providing outsourced services.
MFH has a quality management system which contains a document control procedure for all its documentation, however this does not include change management.
All project documents will be subject to a quality review. Nominated products will require a formal approval record signed-off by the quality review chair.
Extract from the draft Quality Management Strategy (may contain errors) Introduction
1. This document defines the approach to be taken to achieve the required quality levels during the project.
2. The Project Board will have overall responsibility for the Quality Management Strategy.
3. Project Assurance will provide assurance on the implementation of the Quality Management Strategy.
Quality management procedure - Quality standards
4. The selected service provider will operate to industry standards for providing outsourced services.
5. MFH document standards will be used.
Records
6. A Quality Register will be maintained to record the planned quality events and the actual results from the quality activities.
7. Configuration Item Records will be maintained for each product to describe its status, version and variant.
8. Approval records for products that require them will be stored in the quality database.
Roles and responsibilities
9. The DIT will check that the employment contracts for outsourced staff adhere to employment law.
10. Team Managers will provide details of quality checks that have been carried out.
11. Team Managers will ensure that the Quality Register is updated with the names of team members who are involved in the review process.
12. The Senior User will review the Product Descriptions of the products to be produced by the selected service provider to ensure that they can be achieved.

NEW QUESTION # 68
Project Scenario - Health and Safety Training Project:
ABC Company is a well-established training company that uses a standard model to develop training materials and deliver courses to customers.
ABC Company has commissioned a project in response to recent changes in government legislation relating to health and safety on construction sites. The project will deliver "capability to provide health and safety training", including the materials needed for classroom-based training and e-learning. The expected benefits for construction companies include a reduction in lost days and legal costs due to accidents.
The e-learning course will be developed by a specialist external consultancy. The materials for classroom-based training will be delivered by ABC Company's development team. All course materials will be piloted before they are used. ABC Company will deliver training to its customers and also hopes to sell the course materials to other training companies as part of their operational business. ABC Company will use their own sales and marketing departments to promote the courses.
The legislation requires construction companies to comply with the new legislation within two years. The course materials and trainers have to be accredited by a government agency before courses can be delivered.
ABC Company is planning to deliver pilot courses within five months of starting the project.
The ABC Company standard development model for new courses recommends the following stages:

End of the Project scenario.
Additional Information:
The Chief Executive Officer (CEO) founded the company five years ago. Under her leadership, ABC Company has grown quickly into a successful training company. It delivers a range of accredited professional training.
The Finance Director is also a founder member of ABC Company and is responsible for authorizing budgets for the Operations and Development Teams. She authorizes all large contracts personally.
The Purchasing Manager reports to the Finance Director and is responsible for managing and monitoring supplier contracts.
The Operations Director is responsible for the delivery off all training and for the training development budget. His department organizes courses, venues and trainers. They work with the Product and the Sales teams to provide a comprehensive training schedule. ABC Company's IT manager reports to the Operations Director.
The Business Development Director has recently been appointed to identify new training needs and propose new products. She will work with the Operations. Director to ensure a cost-conscious approach and that appropriate development technologies are used for the health and safety course.
The Training Development Manager reports to the Business Development Director and is responsible for developing training materials and gaining accreditation, in accordance with the standard course development model. Course developers in his team have skills in a range of development technologies and are allocated to projects as needed.
The Training Delivery Manager, who reports to the Operations Director, is responsible for ensuring that internal and external trainers deliver ABC Company training courses to the required standard. He also checks course materials to ensure they are fit for purpose and of the required quality.
The Central Services Director has responsibility for corporate communications, facilities management and configuration management. He recently led a project to consolidate all company quality systems into one quality management system and set up a corporate quality department, now managed by the Corporate Quality Manager.
The Corporate Document Manager reports to the Central Services Director. She helped establish the company's document management system and now operates it across the business. She manages a team of administrators and contracts staff when workload is high.
The Sales Director joined ABC Company two months ago and is keen to establish himself by suggesting new markets for the courses and material. All account managers and the marketing team report to him. They promote existing training courses to other training companies and existing customers.
End of the additional information.
ABC Company uses a standard development model to develop courses and uses PRINCE2 to manage these projects. The objectives from the Health and Safety Training Project have been documented in the business plan of ABC Company. This business plan has triggered this project. As a result, to save time, the executive has decided to simplify the 'starting up a project' process. The project mandate will be adapted and becomes the project brief.
Is this appropriate, and why?

• A. Yes, because the business outcomes are clear, the project brief can be a sample statement elaborating the mandate.
• B. No, because capturing lessons from previous projects identify lessons to be applied to this project.
• C. Yes, because the executive can initiate the project based on the project mandate by passing the 'starting up a project' process.
• D. No, because the project brief should be a statement which includes a fuller description of the project.

Answer: D

NEW QUESTION # 69
Scenario
Additional Information
Product Description

Quality notes from the Daily Log
The Director of Information Technology Division (DIT) has been asked to ensure that any changes to the outsourced staff employment contracts adhere to employment law. The DIT will review future job descriptions of the transferred staff before the final contract is signed with the selected service provider.
The service level agreement between MFH and the selected service provider will specify the type and quality of service required. The selected service provider must follow the industry standards for providing outsourced services.
MFH has a quality management system which contains a document control procedure for all its documentation, however this does not include change management.
All project documents will be subject to a quality review. Nominated products will require a formal approval record signed-off by the quality review chair.
Extract from the draft Quality Management Strategy (may contain errors) Introduction
1. This document defines the approach to be taken to achieve the required quality levels during the project.
2. The Project Board will have overall responsibility for the Quality Management Strategy.
3. Project Assurance will provide assurance on the implementation of the Quality Management Strategy.
Quality management procedure - Quality standards
4. The selected service provider will operate to industry standards for providing outsourced services.
5. MFH document standards will be used.
Records
6. A Quality Register will be maintained to record the planned quality events and the actual results from the quality activities.
7. Configuration Item Records will be maintained for each product to describe its status, version and variant.
8. Approval records for products that require them will be stored in the quality database.
Roles and responsibilities
9. The DIT will check that the employment contracts for outsourced staff adhere to employment law.
10. Team Managers will provide details of quality checks that have been carried out.
11. Team Managers will ensure that the Quality Register is updated with the names of team members who are involved in the review process.
12. The Senior User will review the Product Descriptions of the products to be produced by the selected service provider to ensure that they can be achieved.
Which is a correctly defined acceptance criterion for the transferred staff?

• A. Retained staff should be of reasonable competence to maintain the SLA.
• B. All legal requirements are adhered to for the transfer of staff.
• C. Staff should be transferred as soon as possible.
• D. No staff are to be left behind.

Answer: B

NEW QUESTION # 70
A construction company that is one of ABC Company's key clients has agreed to provide a member of the staff to review and comment on the 'e-learning course'.
Which stakeholder interest should the member of staff represent, and why?

• A. Supplier, because this stakeholder is an external supplier.
• B. User, because this stakeholder may train its staff using the 'e-learning course'.
• C. User, because this stakeholder ensures that the project provides value for money.
• D. Supplier, because this stakeholder provides the expertise required by the project.

Answer: C

NEW QUESTION # 71
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