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Free PRINCE2 Project Management Practitioner (Version 7) PRINCE2-Practitioner Exam Questions

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Question 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.

The service level agreement looks like any other MFH document.

Correct Answer: D. No action required.

Question 2

Which of the following activities is NOT an action of preparing for planned closure?

Correct Answer: B. Update the Project Management Team

Question 3

Which principle is supported by the activity Evaluate the Project?

Correct Answer: C. Learn from experience

Question 4

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.

Towards the end of stage 2, the stage 3 plan is being prepared. This includes the work required to promote the new courses to other training companies. In addition to the current ways of marketing the courses, the Sales Director wants to advertise in trade magazines. The likely costs involved and the opportunities it may bring have been identified.

As part of the 'update the project plan' activity, what should the project manager be responsible for?

Correct Answer: A. Creating time and cost tolerances for the delivery of the magazine advertisements.

Question 5

Which activity is responsible for updating the stage plan with actual during Controlling a Stage?

Correct Answer: C. Report Highlights

Question 6

Scenario

Extract from the Project Product Description (with errors)

Which 2 statements apply to the Composition section?

Correct Answer: A. Amend entry 2 to 'Selected paper'.; B. Delete entry 3 because this is NOT a major product to be delivered by this project.

Question 7

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.

Which 2 statements should be recorded under the Business options heading?

Correct Answer: C. Use external consultants to provide guidance on the detailed design of the outsourced services.; D. Set up a PRINCE2 project to deliver the outsourced services.

Question 8

The Manage by Exception principle sets tolerances for six areas of the project, Time. Cost and Quality are three of them, what are the other three?

Correct Answer: D. Scope, Risk, Benefit
Explanation:

Topic 12, Mix questions


Question 9

Which of the following is not a factor to consider when determining the length of a stage?

Correct Answer: A. The amount of resources available h the short term

Question 10

Who is responsible for the initial creation of the Configuration Item records?

Correct Answer: D. Project Support

Question 11

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 Risk management procedure heading?

Correct Answer: B. Probability will be assessed against the scales defined in this Risk Management Strategy.; D. Every threat and opportunity identified must be clearly defined in terms of cause, event and effect.

Question 12

The shopping centre is now open. The Business Opportunities Director is concerned that the new shopping centre has not resulted in the expected increase in opportunities for businesses. The Director has asked for research to identify whether more opportunities exist and whether more new businesses have started in LouisTown as a direct result of the project.

Which principle is being applied by the Director, and why?

Correct Answer: A. Ensure continued business justification, because there should be checks to ensure that the benefits have been achieved after the project has closed
Explanation:

PRINCE2 requires that a project must have continued business justification throughout its life and beyond closure. The business case is not limited to delivery of outputs; it explicitly focuses on whether benefits are realized after the project is complete. PRINCE2 states that ''the business case is used to assess whether the project remains viable, desirable, and achievable'' and that benefits may be realized during or after the project.

The scenario describes the project as already closed (''the shopping centre is now open''), yet the Business Opportunities Director is commissioning research to determine whether the expected benefits have been achieved. This aligns precisely with PRINCE2 guidance that post-project reviews and benefits reviews are required to confirm whether the business case assumptions were correct.

Option A is correct because it reflects PRINCE2's requirement that benefits realization must be checked after project closure, typically through the Benefits Management Approach and post-project reviews. Option B is incorrect because benefit realization is not solely the responsibility of the project executive once the project has closed. Options C and D incorrectly apply the manage by exception principle, which relates to tolerances during delivery, not post-project benefit assessment.


Question 13

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.

A quality review of the 'marketing materials' has started. The team manager for the 'marketing materials' has been unhappy with the team's workload throughout the project and refuses to attend the review meeting to present the material. The team manager suggests that a new marketing team member make the presentation. However, the chair decides to represent the marketing team and makes a list of actions to resolve later.

Is this an appropriate approach to the quality review, and why?

Correct Answer: D. No, because the chair should be independent from the product being reviewed.

Question 14

Which statement is an appropriate entry for the Lessons Log?

Correct Answer: B. Based on feedback from other government departments, the Ministry of Trade and Industry has provided the names of two outsourcing companies that are unreliable and should not be included as potential service providers.

Question 15

Which of the following statements best describes what a risk owner is?

Correct Answer: C. Responsible for management, monitoring and control of all aspects of a risk