1. What are two potential consequences of a project manager
failing to properly initiate a project?
- Stakeholders might not agree on what
success looks like.
- Resources can be underestimated.
- New
dependencies can arise.
- External risks can affect project success.
Explanation: In the
first place, a lack of proper project commencement might result in goals and
objectives that are not defined. It is possible that members of the team may
wind up working on tasks that are not in line with the main aim of the project
if they do not have a clear knowledge of what needs to be accomplished. This
will result in the waste of both time and resources.
The second factor that might lead to a lack of involvement and
support from stakeholders is poorly executed project start. There is a
possibility that stakeholders would have a sense of disconnection from the
project and its objectives if they are not adequately identified and included
from the very beginning. The absence of sufficient resources and support, which
eventually results in the failure of the project, may be caused by this.
2. Fill in the blank: A cost-benefit
analysis weighs the potential value of a project against money, resources, and
_____ required.
- policies
- expectations
- competitors
- time
Explanation: A
cost-benefit analysis is a method of evaluating a project by comparing its
potential worth to the amount of money, resources, and risks that are
necessary.
3. Fill in the blank: _____ are the first
thing a project manager needs to consider during the initiation phase.
- Goals
- Resources
- Planning
- Success criteria
Explanation: During
the start phase of a project, the first thing that a project manager has to
think about is the goals and objectives of the project. On the project plan,
it's the same as deciding where the destination will be!
4. Imagine you’re the project manager of a new grocery delivery
service. You meet with the owners to discuss what outcomes they’d like to
ultimately achieve with the project. Which project initiation component are you
trying to determine?
- Goals
- Budget
- Scope
- Resources
Explanation: Within
the context of this situation, I would be attempting to ascertain the aims and
goals of the project. In order to assist define the course for the whole
project, it is helpful to have an understanding of what the owners eventually
intend to accomplish with the retail grocery delivery business.
5. Imagine that the main supplier for a construction project
runs out of steel girders and needs to obtain more to complete the order. Which
key component of project initiation does this scenario concern?
- Scope
- Resources
- Deliverables
- Goals
Explanation: Regarding
the availability of resources for the project, this circumstance is relevant.
When it comes to a building project, the availability of important materials,
such as steel girders, is absolutely necessary for the beginning of the
project. If a major supplier runs out of supplies, it may have an effect on the
timing and delivery of the project. This will need the project manager to
reevaluate the situation and maybe come up with other alternatives.
6. A project charter adds value to projects in what three ways?
- Includes a plan to mitigate potential risks
- Allows project managers to get
organized
- Sets up a framework for what project
work the team needs to do
- Helps project managers communicate
project details to others
7. When calculating a cost-benefit
analysis for a project, what do you call gains that are not quantifiable?
- Yearly profits
- Ongoing costs
- Quarterly income
- Intangible benefits
Explanation: In the
context of a cost-benefit analysis, the term "intangible benefits" is
often used to refer to advantageous outcomes that are difficult to quantify.
The absence of a clear and quantifiable financial worth makes it difficult to
convey these advantages in monetary terms. This is because they are not
directly measurable. There are many examples of intangible advantages that may
be gained from a project. Some examples include a better brand reputation,
higher customer satisfaction, and increased workforce morale. While it may be
difficult to quantify these advantages in terms of dollars and cents, it is
important to note that they nonetheless make a major contribution to the
overall performance and value of the project.
8. You expect that a project will bring in $25,000 USD in
revenue per year. You estimate it will cost $12,000 up front. You also estimate
costs of $200 per month for the first 12 months, which equals $2,400 per year.
Using the formula (G-C) ÷ C = ROI, how would you calculate the project’s return
on investment (ROI) after the first 12 months?
- (25,000 – 14,400) ÷ 12,000 = 88%
- (25,000 –
12,000) ÷ 14,400 = 90%
- (25,000 – 12,000) ÷ 12,000 = 108%
- (25,000 – 14,400) ÷ 14,400 = 74%
9. Why is it important to initiate a
project? Select all that apply.
- Determine if
the project’s benefits outweigh the costs
- Solidify the scope of a project
- Help the project manager establish a good
reputation
- Provide a strong foundation and set the stage for
success
10. What two questions can a project
manager ask to determine a project’s costs?
- What are the ongoing project costs?
- How much time will people have to spend
on the project?
- What value will
the project create?
- How will the user experience be improved?
11. Imagine you’re the project manager of
a new grocery delivery service. You meet with stakeholders to decide how to
measure project success. Which project initiation component are you trying to
determine?
- Goals
- Resources
- Success criteria
- Scope
Explanation: Within
the context of this situation, I would be attempting to ascertain the success
criteria or goals of the project. At the beginning of the project, one of the
most important things to do is to determine how success will be measured. When
we align ourselves with the stakeholders to develop clear and quantifiable
criteria, such as on-time delivery, customer happiness, or cost efficiency, we
provide the groundwork for assessing the overall success of the project after
it has been completed.
12. Imagine that a university hires a construction company to
build a new library. Before starting, the project manager outlines the building
materials the project needs. They also outline the roles and amount of workers
to hire. Which key component of project initiation does this scenario concern?
- Deliverables
- Resources
- Success criteria
- Scope
Explanation: This
scenario pertains to the process of initiating the project, which is referred
to as "Project Scope." As part of the process of establishing the
scope of the project, the project manager is now specifying the construction
materials, positions, and the number of personnel that are required. It is the
responsibility of the project manager to establish the parameters and
expectations for the building of the new library by defining what aspects of
the project are included and what aspects are avoided.
13. What is the purpose of a project charter?
- Determines project roles and assign associated
tasks
- Establishes communication channels and record
preferred methods
- Defines the
project and its goals and outline what is needed to accomplish them
- Outlines how to mitigate potential risks
14. Fill in the blank: _____ are gains
that are not quantifiable.
- Ongoing costs
- Quarterly income
- Intangible benefits
- Yearly profits
15. You expect that a project will bring
in $12,000 USD in revenue per year. You estimate it will cost $5,000 up front.
You also estimate costs of $50 per month for the first 12 months, which equals
$600 per year. Using the formula (G-C) ÷ C = ROI, how would you calculate the
project’s return on investment (ROI) after the first 12 months?
- (5,600 – 5,000) ÷ 12,000 = 5%
- (12,000 – 5,600) ÷ 5,000 = 128%
- (12,000 – 5,600) ÷ 5,600 = 114%
- (12,000 – 5,000) ÷ 5,000 = 140%
16. Why is it important to perform a
cost-benefit analysis during the initiation phase? Select all that apply.
- To compare the project benefits to the
costs
- To add up the expected value, or
benefits, of a project
- To outline
project goals and how to accomplish them
- To set up a framework for what project work the
team needs to do
17. Fill in the blank: A _____ is a
document that defines project goals and outlines what is needed to accomplish
them.
- project charter
- risk analysis
- cost-benefit analysis
- project schedule
Explanation: An
explanation of the requirements that must be met in order to achieve the
project's objectives is included in a document known as a project charter.
18. Which of the following could be considered intangible
benefits? Select all that apply.
- Employee satisfaction
- Income earned
- Customer satisfaction
- Brand perception
19. Fill in the blank: Project initiation
includes determining resources, documenting key components, and _____.
- solidifying scope
- onboarding the team
- finalizing
budgets
- establishing a schedule
Explanation: During
the beginning stages of a project, it is necessary to identify the resources
available, record the essential components, and define the general framework or
baseline for the project. In order to do this, the project's scope, goals,
stakeholders, and initial plans must be defined. These plans will serve to
direct the project over its entire lifespan.
20. What are the key components of project initiation?
- Goals, scope, planning, documentation, success
criteria, and resources
- Goals, scope, deliverables, success
criteria, stakeholders, and resources
- Findings, scope, deliverables, monitoring progress,
stakeholders, and resources
- Findings, scope, planning, deliverables, success
criteria, and resources
21. Imagine you’re the project manager of
a new grocery delivery service. You meet with stakeholders to set an
overarching framework of what is and is not included in the project statement
of work and deliverables. Which project initiation component are you trying to
determine?
- Success criteria
- Project charter
- Resources
- Scope
Explanation: In
this particular instance, I would be attempting to ascertain the scope of the
project. During the start phase of the project, one of the most important
aspects of defining the project scope is holding a meeting with the
stakeholders to establish an overall framework and determine what is and is not
included in the project's statement of work and deliverables. The grocery
delivery service project benefits from this since it helps define clear limits
and expectations for the organization.
22. What term refers to the budget, people, materials, and other
items necessary to complete a project?
- Resources
- Scope
- Success criteria
- Deliverables
Explanation: The money, the people, the
materials, and any other things that are required to finish a project are all
referred to as "resources." In the context of project management, the
term "resources" refers to all of the components that are necessary
for the effective completion of a project. These components include financial
resources, human resources, various materials, and various pieces of equipment.