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To be eligible to take the PRINCE2 Practitioner certification exam, candidates must first pass the PRINCE2 Foundation exam. The Foundation exam covers the basic concepts of PRINCE2 methodology, while the Practitioner exam is more comprehensive and focuses on the practical application of the methodology in real-world scenarios. The exam is a rigorous test of project management knowledge and skills, with a pass rate of around 60%.
NEW QUESTION # 98
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.
The executive has set the following tolerances for stage 2:
Time (+/- 1 week)
Cost (+/- £20,000)
Scope (using MoSCoW prioritization technique)
Risk (based on the risk appetite defined in the risk management approach) These tolerances have been recorded in the stage plan. The project manager will report progress regularly via highlight reports to the project board and use exception reports to raise exceptions. In addition, the project assurance role will monitor the stage to provide confidence to the project board that exceptions are being reported.
How well does this apply the 'manage by exception' principle, and why?
- A. It applies the principle well, because tolerances should be set for the related aspects of project performance for each stage.
- B. It applies the principle well, because the project manager needs to control the project using discrete management stages.
- C. It applies the principle poorly, because it is the regular reporting of progress that should give the project board the required confidence.
- D. It applies the principle poorly, because tolerances should be set for each stage against each of the six aspects of project performance.
Answer: D
NEW QUESTION # 99
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.
None of the reviewers have proof-reading skills.
- A. No action required.
- B. Contact Project Assurance to find appropriate resources to come into the review.
- C. Record an action to request that Project Assurance identify a proof-reader who can, within the next 2 days, complete the check for typographical errors.
- D. Ask the reviewers present at the meeting to conduct a proof-reading exercise and pass any comments to the author within 2 days.
Answer: C
NEW QUESTION # 100
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 business assurance for this project?
- A. Remove because he will be impacted by the project and therefore represents a user.
- B. Add Outcome Consultants' because they carried out the feasibility study.
- C. Replace with 'Project Manager' because this is a simple project that does not require additional business assurance.
- D. Retain because he is familiar with the Ministry of Food Hygiene business strategy, the business level risk assessment and the Business Case standards.
- E. Add 'Director of Finance Division' because she is responsible for checking that any supplier and contractor payments are authorized.
Answer: D,E
NEW QUESTION # 101
The project's change control approach states that PRINCE2's recommended issue and change control
procedure will be used. The senior user has requested that a new set of marketing materials and marketing
channels be introduced to support the launch of the training course. The senior user has suggested that this
should be managed informally.
Where should the project manager record the issue, and why?
- A. In the issue register, because this is a request for change requiring a change to a baseline.
- B. In the daily log, because a change to a product at the default level can be handled informally.
- C. In the issue register, because issues should be recorded here first, before determining how to manage
them. - D. In the daily log, because the senior user has advised that this change should be informally.
Answer: C
NEW QUESTION # 102
Which 2 statements should be recorded under the Business options heading?
- A. Use external consultants to provide guidance on the detailed design of the outsourced services.
- B. Review a list of service providers to determine a short-list of possible service providers.
- C. Set up a PRINCE2 project to deliver the outsourced services.
- D. The re-engineering of selected business functions would not provide the required outcome.
- E. The lack of up-to-date technology in MFH means a re-engineering of existing services will not necessarily deliver the performance improvements required.
Answer: A,C
Explanation:
Explanation/Reference: http://www.whatisprince2.net/prince2-theme-business-case.php
NEW QUESTION # 103
Scenario:
Techniques, processes and procedures
1. Any threat that may result in a loss of MFH data must be escalated immediately.
Joint agreements
2.Work is to start at the beginning of week 2 (Stage 4).
3.The project will take two years to complete, at an estimated cost of (GBP)2.5m. Tolerances
4.None.
Constraints
5.MFH staff must not be involved in any heavy lifting during the removal of existing IT equipment.
6.Installation work must take place during MFH normal working hours.
7.+(GBP)10,000 / -(GBP)25,000.
Reporting arrangements
8.Highlight Report every Monday by 10.00 am.
9.The report must contain a summary of all products worked on during the previous week.
10.
Project Manager must be notified of any issues immediately by telephone.
Problem handling and escalation
11. Impact analysis of all issues must be completed within 24 hours.
Extracts or references
12. The Stage Plan for stage 4 is available from Project Support.
Approval method
13. Project Assurance will review the completed Work Package and confirm completion
Which 2 statements apply to either the Reporting arrangements or Problem handling and escalation sections?
- A. Move entry 10 to Problem handling and escalation because that section describes how issues are handled.
- B. Replace entry 8 with 'Checkpoint Report every Monday by 10.00 am' because Highlight Reports are intended for the Project Board.
- C. Delete entry 9 because this level of detail is unnecessary.
- D. Delete entry 11 because the impact analysis should be provided when the issue is notified.
- E. Add 'Any risks identified to be added to the Risk Register' to Reporting arrangements.
Answer: D,E
NEW QUESTION # 104
Which of the following is False?
A Successful project management team should.
- A. Ensure appropriate governance by defining responsibilities for directing, managing and delivering the
project and clearly defining accountability at all levels - B. Have an effective strategy to manage communication flows to and from stakeholders
- C. Have business, user and supplier stakeholder representation
- D. Never be reviewed as members should stay with the team for the duration
Answer: D
NEW QUESTION # 105
Scenario
Additional Information
Chief Executive Officer (CEO): He started the company 25 years ago and knows his job very well. He injured his leg two years ago which has restricted his visits to the engineering area. As CEO he has an overall perspective of the business strategic requirements and the authority to commit resources as required.
Marketing Director: She has been with the company for three years, following a successful career with a publicity company. She has the ability to represent the needs of the business, particularly as this is a marketing project. She has the authority to commit the annual business marketing budget, from which the project will be funded, as she sees appropriate. She will be responsible for monitoring the expected benefits of the calendar, in particular the improvement of the company's image.
Engineering Manager: He has been responsible for many engineering innovations in the company and is still as keen and energetic as the day he started. VVhilst he will not be part of the project team, his staff will feature in the photos for the promotional calendar.
Central Records: This group of five staff looks after all company records and document control. They now maintain all project files.
Bright Lights: This is the local office supplies company. It supplies all the stationery and office equipment needs of the company and will supply the stationery for this project.
Portraits ltd: This is a professional photographic company with a number of excellent photographers and a history of successful work. This company has been selected to take the photos for the company calendar.
It has yet to be decided which of the photographers to use.
Which 2 statements explain why the Sales Manager should be appointed as User Assurance for this project?
- A. He can resolve any conflict in requirements between the Sales department and the Marketing department.
- B. He can provide an evaluation of the potential impact the calendar will have on sales.
- C. He would like to move into the Marketing department in the future and sees this as an opportunity to work closely with the Marketing Director.
- D. He joined the company last year with huge enthusiasm and is keen to increase sales.
- E. He is able to advise on suitable stakeholder engagement of current and prospective customers.
Answer: B,E
NEW QUESTION # 106
It is now late October and the project is in stage 3. The label design competition has been held and the photos of the staff have been taken. The CEO and Marketing Director still need to choose the winning label design and the 12 photos for the calendar. However, the Executive has learned that two competitors are issuing calendars to MNO's customers by the middle of November. After analyzing the impact of this Issue, one of the options the Project Manager has presented to the Project Board is to close the project prematurely.
There are a number of key facts relating to this project that would need to be recorded if the project Y-e to be closed now.
Which product should register that the risk of a competitor producing a calendar at the same time was identified at the beginning of the project but the assessment of this risk appears to have been poor?
- A. Follow-on action recommendations
- B. Lessons Report
- C. Risk Register
- D. Issue Register
Answer: B
NEW QUESTION # 107
Which 2 statements should be recorded under the Reasons heading?
- A. Relocating staff to the selected service provider's premises will mean that no property transfer is required.
- B. The inadequate controls, outdated standards and outdated technology must be addressed.
- C. Providing re-engineered services in-house will remove the need to transfer staff to a service provider.
- D. The Ministry of Food Hygiene (MFH) needs to deal with the increasing pressure to cut costs and better
manage supplier's performance. - E. The lack of up-to-date technology in MFH means a re-engineering of existing services will not necessarily
deliver the performance improvements required.
Answer: A,D
Explanation:
Explanation/Reference:
http://www.whatisprince2.net/prince2-theme-business-case.php
NEW QUESTION # 108
The delivery of the pilot courses has been split into two separate products: 'planned pilot courses' and
'delivered pilot courses'. 'Planned pilot courses' will be produced during stage 3, and the 'delivered pilot courses' will take place during stage 4. This will allow the project board to approve the plan for the pilot courses before the resources are committed to delivering the pilot courses.
Why is this an appropriate application of the plans theme to control the project?
- A. Because a PRINCE2 project should focus on the quality of the products being delivered.
- B. Because the project board should ensure that lessons from one stage are applied to the next stage.
- C. Because the pilot courses have been broken down into two separate products.
- D. Because the delivery steps to create the pilot courses have been aligned to the management stages.
Answer: D
NEW QUESTION # 109
Scenario
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.
Which 2 statements should be recorded under the Proximity heading?
- A. Imminent risks are those which may occur within two weeks.
- B. The risk of staff leaving the organization will be categorized as beyond the project proximity.
- C. Any risk with a proximity category of imminent will be estimated as having a very high impact.
- D. The risk of MFH having no outsourcing experience will be categorized as Stage 4 proximity.
- E. Proximity categories for this project are: Imminent; Within the stage; Within the project; Beyond the project.
Answer: A,C
NEW QUESTION # 110
Which 2 statements should be recorded under the Expected dis-benefits heading?
- A. Staff may lose the opportunity to work in Information Technology.
- B. Staff morale will be negatively affected.
- C. An investment of E2.5m is required.
- D. MFH will lose direct control over the outsourced business functions.
- E. The project will take two years to deliver.
Answer: D,E
Explanation:
Explanation/Reference: http://www.whatisprince2.net/prince2-theme-business-case.php
NEW QUESTION # 111
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.
During stage 3, project costs are increasing but there will still be a positive return on investment, as documented in the business case. However, corporate management has recently revised its targets for return on investment and has decided to stop the project as it will not meet the new targets.
Is this an appropriate application of the 'continued business justification' principle?
- A. No, because changes in corporate strategy should not impact a project once authorized.
- B. Yes, because changes in corporate strategy may impact a project's justification.
- C. Yes, because a change in a project's justification should trigger premature closure.
- D. No, because the project business case still justifies a project.
Answer: D
NEW QUESTION # 112
The project is in stage 3. Zero time tolerance has been given for this stage. When checking progress, the project manager noticed that the checkpoint report from the external supplier of the 'e-learning course' is late.
As work package progress information is missing, the project manager has decided to raise an exception report.
Is this an appropriate action, and why?
- A. Yes, because there is zero time tolerance for this stage the checkpoint report must be delivered on time.
- B. Yes, because an exception report should be used to request guidance on how this situation should be handled.
- C. No, because the team plan should be discussed with the supplier to check whether work will be completed on time.
- D. No, because the project manager should check the operations and maintenance interfaces in the work package first.
Answer: B
NEW QUESTION # 113
Which of the following statements would NOT be included in the Project Product Description?
- A. Composition
- B. Purpose of the product
- C. Quality criteria
- D. Project level tolerances
Answer: C
Explanation:
Explanation/Reference:
NEW QUESTION # 114
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.
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. Senior supplier
- B. Project manager
- C. Supplier assurance
- D. Corporate, programme management or customer
Answer: D
NEW QUESTION # 115
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.
The service level agreement contains a number of technical terms that are missing from its glossary of terms.
- A. Raise an issue (off-specification).
- B. No action required.
- C. Obtain agreement from the Director of Facilities Division to add these into the glossary of terms within the remaining +2 days tolerance.
- D. Raise an issue (request for change).
Answer: C
NEW QUESTION # 116
Scenario
Additional Information
During the initiation stage the Project Manager met with the Marketing Director to find out more about the requirements of the promotional calendar and recorded the following notes:
There has been a reduction in the order numbers at the MNO Manufacturing due in part to the increased marketing activities of its competitors. 10% of customers have not re-ordered in this financial year and staff morale is poor. A number of skilled staff have left as a result and replacement staff have not been recruited due to the reduced operation. If the project is successful, a recruitment campaign will be required to fill the existing staff vacancies and there may be a requirement for additional staff. Operational costs are likely to increase because skilled staff are expensive and difficult to find.
In financial terms, there were a total of 1,500 orders in the last financial year, each with an average profit of
£2k. The Marketing department believes that sending a promotional calendar to our current and prospective customers would increase orders by at least 10% with a minimum of 10 further orders from the list of prospective customers within 12 months from the date of distribution.
The Marketing Director will be funding the project from the business marketing budget. She believes that the effect of a good company image portrayed by a successful calendar would last into a second year. She has forecast the same increase in orders for a second year and predicts that the annual employee satisfaction survey will show a measurable improvement in staff morale.
A number of alternatives were explored, including:
* 20% discount for all repeat customers - not cost-effective and very short term
* A promotional calendar as a free Christmas gift - would target current and prospective customers and the benefits would last into a second year
* A series of television and press advertisements was too expensive
* A direct mail shot to all customers - benefit would be short term
* Creation of an internet website - would not suit all customers
The calendar is seen as the favored option, as long as the company's competitors do not increase their marketing activity. Whilst the Marketing department wants a very high quality, glossy product, the project management team must be aware of the cost this will incur.
Using the Project Scenario and the additional Information provided for this question In the Scenario Booklet, answer the following question.
Which 2 statements should be recorded under the Business options heading?
- A. Do nothing.
- B. Produce a promotional calendar as a free Christmas gift to current and prospective customers.
- C. Create the photographs for the calendar internally.
- D. Outsource the creation of the calendar to a professional marketing company.
- E. Use a professional photographer to create the photographs for the calendar.
Answer: A,B
NEW QUESTION # 117
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.
Using the Project Scenario and the additional information provided for this question in the Scenario Booklet, answer the following question about roles on the Outsourcing project.
Answer:
Explanation:
Explanation
NEW QUESTION # 118
Who is responsible for ensuring that the value-for-money solution is constantly reassessed?
- A. Corporate or Programme Management
- B. Reject Support
- C. Senior User
- D. Business Assurance
Answer: D
NEW QUESTION # 119
Which 2 alternative actions apply to the proposed Senior User for this project?
- A. Replace with 'Director of Research and Development' because she deals with both the Information
Technology and the Facilities Divisions and can make sure her division's needs are specified. - B. Retain because he will be providing support to the Information Technology and Facilities teams during the
project. - C. Retain because he provides the outsourcing resources required to support the project.
- D. Add 'Hardware Manager' because he provides computer hardware to all business functions and will be
impacted by the outcome. - E. Remove because he has no authority to commit user resources.
Answer: A,E
NEW QUESTION # 120
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