Prepare PRINCE2-Practitioner Question Answers Free Update With 100% Exam Passing Guarantee [Q44-Q67]

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Prepare PRINCE2-Practitioner Question Answers Free Update With 100% Exam Passing Guarantee [2024]

Dumps Real PRINCE2 PRINCE2-Practitioner Exam Questions [Updated 2024]

NEW QUESTION # 44
ABC Company has a standard course development model with four defined stages that the company manages
using PRINCE2. The project manager for the Health and Safety Training Project has recommended the stage
2 of the standard model be split into two separate stages. As a result, there will now be five management
stages in the project.
Is this an appropriate application of the 'tailor to suit the project' principle, and why?

  • A. Yes, because the standard course development structure should be tailored to suit the project.
  • B. Yes, because the project manager can adapt or combine PRINCE2 process to suit the project.
  • C. No, because a simple project should have no more than two management stages.
  • D. No, because the standard course development structure should be applied to the project.

Answer: A


NEW QUESTION # 45
While preparing the Quality Management Strategy, the Project Manager noticed that the corporate quality
management system does not specifically cover project management.
Which option provides an appropriate way for the Project Manager proceed?

  • A. Seek relevant organizational standards, then facilitate a workshop to discuss the Quality Management
    Strategy with Project Assurance.
  • B. Record the development of a corporate quality management system for project management as a
    prerequisite of the Project Plan.
  • C. Proceed with the project without a Quality Management Strategy and adopt the selected service provider's
    standards in stage 4.

Answer: A

Explanation:
Explanation/Reference:


NEW QUESTION # 46
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.
Which 2 statements should be recorded under the Expected benefits heading?

  • A. It will be similar to calendars sent out in previous years
  • B. The Marketing department believes that the benefits of a good company image, as portrayed by a successful calendar, will last into a second year and bring the same increase in orders.
  • C. The calendar will contain photos of both staff and company products.
  • D. Increase orders by at least 10% with a minimum of 10 further orders from the list of prospective customers within 12 months.
  • E. The Marketing department want a very high quality, glossy product as they believe this will be more appealing to customers.

Answer: B,D


NEW QUESTION # 47
Which of the following is NOT an objective of Initiating a Project?

  • A. Understanding the roles and responsibilities of the Project Management Team
  • B. Understand how quality required will be achieved
  • C. Understanding the scope of what is to be done and the products to be delivered
  • D. Understand how progress will be monitored and controlled

Answer: A


NEW QUESTION # 48
Which 2 statements explain why Central Records should be appointed as Project Support for this project?

  • A. They have knowledge of the organizational standards that will be applicable to the project.
  • B. They perform a quality assurance function across all projects.
  • C. They will ensure compliance with all company policies and procedures.
  • D. They control the receipt, identification, versions, storage and issue of all project products within the
    company's projects.
  • E. They already exist within the organization and have been with the company for many years.

Answer: A,D

Explanation:
Explanation/Reference:
Organization Theme
Testlet 2
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.


NEW QUESTION # 49
M1ich statement is an appropriate entry for the outline Business Case heading within the Project Brief?

  • A. External consultants were employed to conduct a feasibility study to identify the options, their likely costs and benefits.
  • B. The project will run for two years and the benefits will be realized over 1a years.
  • C. The project should be split into four management stages.
  • D. 10 year service contract should be agreed with the selected service provider.

Answer: B


NEW QUESTION # 50
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. No, because capturing lessons from previous projects identify lessons to be applied to this project.
  • B. No, because the project brief should be a statement which includes a fuller description of the project.
  • C. Yes, because the executive can initiate the project based on the project mandate by passing the 'starting
    up a project' process.
  • D. Yes, because the business outcomes are clear, the project brief can be a sample statement elaborating the
    mandate.

Answer: B


NEW QUESTION # 51
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 £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 £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.
Lines 1 to 6 in the table below consist of an assertion statement and a reason statement. For each line identify the appropriate option, from options A to E, that applies. Each option can be used once, more than once or not at all.

Answer:

Explanation:
Explanation


NEW QUESTION # 52
Which is a correctly defined acceptance criterion for the running cost of the outsourced service?

  • A. Must be kept to a level acceptable to the Ministry of Food Hygiene.
  • B. The annual increase to be less than half the rate of inflation.
  • C. Subject to market conditions.
  • D. Must be kept to a minimum.

Answer: B


NEW QUESTION # 53
While preparing the Quality Management Strategy, the Project Manager noticed that the corporate quality management system does not specifically cover project management.
Which option provides an appropriate way for the Project Manager proceed?

  • A. Proceed with the project without a Quality Management Strategy and adopt the selected service provider's standards in stage 4.
  • B. Record the development of a corporate quality management system for project management as a prerequisite of the Project Plan.
  • C. Seek relevant organizational standards, then facilitate a workshop to discuss the Quality Management Strategy with Project Assurance.

Answer: C


NEW QUESTION # 54
Which of the following roles cannot be combined?

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

Answer: C


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.
In order for ABC Company to achieve the expected sales of the health and safety training course, the senior user will need to ensure that all staff understand the objectives and target audience for the course. In addition, these sales will need to be added to each individual's sales targets. These activities have been included in the benefits management approach.
Is this appropriate, and why?

  • A. No, because actions to deliver the outputs should be recorded in the stage plan.
  • B. No, because the expected sales increase should be recorded in the business case.
  • C. Yes, because how the benefits will be measured needs to be documented.
  • D. Yes, because the actions required to achieve the outcomes need to be documented.

Answer: C


NEW QUESTION # 56
Which management product defines the detailed nature, purpose and function of a product?

  • A. Project Product Description
  • B. Quality Register
  • C. Product Description
  • D. Plan

Answer: C

Explanation:
Explanation/Reference:
Testlet 1
Product Summary
A list of customers will be collated. This will use existing information from the Accounts department about current customers, and existing information from the Marketing department about prospective customers.
Using the tariff of mailing costs available from the Post Office, a production cost forecast will be produced to allow the CEO and the Marketing Director to decide whether to continue with the project. If they decide to continue, they will give the approval to launch the internal label design competition. Competition rules will be required to communicate details of the competition to the staff. The chosen label design will then be selected from the competition entries.
The photos for the calendar must be based on existing photo design ideas available from the Marketing department. The selected photos will be chosen from these. Monthly calendar displays will be created to show the required layout of each page.
Product Breakdown Structure (contains errors)

Extract from Stage Plan for stage 3.
(All entries are true statements but may not be shown under the correct heading or in the correct document).


NEW QUESTION # 57
The project is in stage 2. The project manager is reviewing stage status and has collected the checkpoint
reports from the team managers. These show that the products are being completed on schedule. However,
project support has raised issues that quality reviews have not been completed as agreed. The project
manager reports in the highlight report that the stage is progressing well.
Is this appropriate, and why?

  • A. No, because the issues raised by project support are a cause for concern and should be reflected in the
    highlight report.
  • B. Yes, because the highlight report is used to provide the project board with stage and project progress.
  • C. Yes, because the highlight report is a summary of the information in the checkpoint reports.
  • D. No, because the project manager should have recorded the cause of the delay to the quality reviews in the
    lessons log.

Answer: A


NEW QUESTION # 58
Which of the following principles describes this statement?" xxx defines tolerances for each project objective to establish limits of delegated authority"

  • A. Manage by stages
  • B. Focus on products
  • C. Learn from experience
  • D. Manage by exception

Answer: D


NEW QUESTION # 59
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 £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. +£10,000 / -£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 Extracts or references or Approval method sections?

  • A. Project Manager.
  • B. Add 'The Project Manager is to be advised of completion of the Work Package by email'.
  • C. Delete entry 12 because this should be the Team Plan not the Stage Plan.
  • D. Delete entry 13 because this is NOT a Project Assurance responsibility.
  • E. Move entry 13 to Reporting arrangements because this describes how completion will be advised to the
  • F. A suitable entry for Extracts or references would be 'Product Descriptions are available from Project Support'.

Answer: C,F


NEW QUESTION # 60
While capturing previous lessons, the Project Manager discovered several interesting facts about outsourcing.
Which fact is an appropriate lesson for the Outsourcing project?

  • A. Four other government departments are also considering outsourcing some of their business functions next year.
  • B. Contracts with service providers should include the timescale within which readiness for service is expected following the transfer of equipment and staff.
  • C. Outsourcing is a growth industry and is being implemented by many private sector organizations.

Answer: B


NEW QUESTION # 61
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 show that the photos could be used for other promotional material for the company?

  • A. Benefits Review Plan
  • B. Lessons Log
  • C. End Project Report
  • D. Exception Report

Answer: C


NEW QUESTION # 62
The Calendar project was delivered as originally planned, and Is now preparing for planned closure.
Lines 1 to 6 in the table below consist of an assertion statement and a reason statement. For each line identify the appropriate option, from options A to E, that applies. Each option can be used once, more than once or not at all.

Answer:

Explanation:

Explanation


NEW QUESTION # 63
Scenario
Product Summary
A list of customers will be collated. This will use existing information from the Accounts department about current customers, and existing information from the Marketing department about prospective customers.
Using the tariff of mailing costs available from the Post Office, a production cost forecast will be produced to allow the CEO and the Marketing Director to decide whether to continue with the project. If they decide to continue, they will give the approval to launch the internal label design competition. Competition rules will be required to communicate details of the competition to the staff. The chosen label design will then be selected from the competition entries.
The photos for the calendar must be based on existing photo design ideas available from the Marketing department. The selected photos will be chosen from these. Monthly calendar displays will be created to show the required layout of each page.
Product Breakdown Structure (contains errors)

Extract from Stage Plan for stage 3.
(All entries are true statements but may not be shown under the correct heading or in the correct document).

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 £500 change budget has been used to date and this is available for the stage.
Which 2 statements apply to the Budgets section?

  • A. Add 'Cost tolerance - +£6k 1-£6k
  • B. Delete entry 16 because timescales should NOT be shown under the heading of budgets.
  • C. Delete entry 17 because the risk budget should be shown in the Risk Management Strategy.
  • D. Add 'Change budget - £500'.
  • E. Amend entry 15 because it should also include the cost of management activities.

Answer: D,E


NEW QUESTION # 64
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 £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. +£10,000 / -£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 Techniques, processes and procedures or Constraints sections?

  • A. Add 'There must be minimum disruption to current services' to Constraints.
  • B. Delete entry 6 because this applies to Office Moves Limited and is therefore outside the Work Package.
  • C. Delete entry 7 because this should be contained in the Quality skills required section of the Product Description.
  • D. Move entry 5 to Techniques, processes and procedures because this is a technique which staff should be aware of.
  • E. Delete entry 1 because this section should contain the techniques, processes and procedures required for specialist product development.

Answer: B,C


NEW QUESTION # 65
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 been decided which of the photographers to use.
Which 2 statements explain why the Marketing Director should be appointed as a Senior User for this project?

  • A. The Marketing department will help to deliver the benefits of this project.
  • B. She can represent the Marketing department.
  • C. The project will be funded from the business marketing budget.
  • D. She previously had a successful career in publicity.
  • E. A number of the products will be produced by the Sales department and the Marketing department.

Answer: A,B


NEW QUESTION # 66
Which of the following statements is TRUE with regard to expected benefits?

  • A. They cannot be assigned
  • B. They should be measurable
  • C. Tolerances cannot be set against expected benefits
  • D. They don't need to follow corporate objectives

Answer: B


NEW QUESTION # 67
......

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