CBP CBP Project Management and Operations 2 — Questions and Answers
Question 1: What is the purpose of a Risk Register in project management?
- To document project milestones and deliverables
- To record identified risks, their likelihood, impact, and response strategies (Correct answer)
- To track team member performance
- To log changes approved through the change control process
Correct answer: To record identified risks, their likelihood, impact, and response strategies
A risk register is a project management document that records all identified risks, their probability and impact ratings, assigned owners, and planned response strategies.
Question 2: In operations management, what does 'Just-In-Time (JIT)' inventory mean?
- Ordering large quantities to take advantage of bulk discounts
- Receiving goods only as they are needed in the production process (Correct answer)
- Storing excess inventory to prevent stockouts
- Automating the reorder process when stock reaches a set level
Correct answer: Receiving goods only as they are needed in the production process
JIT is an inventory strategy where materials are ordered and received just as they are needed, reducing storage costs and minimizing waste.
Question 3: What does a RACI matrix define in project management?
- Project risks, assumptions, constraints, and issues
- Roles and responsibilities: Responsible, Accountable, Consulted, Informed (Correct answer)
- Revenue, assets, costs, and investments for a project
- The project schedule with resource and cost information
Correct answer: Roles and responsibilities: Responsible, Accountable, Consulted, Informed
A RACI matrix clarifies roles by assigning each task a designation: Responsible (does the work), Accountable (owns the outcome), Consulted (provides input), and Informed (kept updated).
Question 4: What is the 'triple constraint' in project management?
- Quality, Risk, and Communication
- Scope, Time, and Cost (Correct answer)
- People, Process, and Technology
- Planning, Execution, and Monitoring
Correct answer: Scope, Time, and Cost
The triple constraint (also called the iron triangle) represents the three competing demands in every project: scope, time, and cost — changing one affects the others.
Question 5: What is the key difference between a project and an ongoing operation?
- Projects have a larger budget than operations
- Projects are temporary with a defined start and end, while operations are continuous (Correct answer)
- Operations require more skilled workers than projects
- Projects are always managed by external consultants
Correct answer: Projects are temporary with a defined start and end, while operations are continuous
A project is a temporary endeavor with specific objectives, defined start and end dates, and a unique deliverable, while operations are repetitive, ongoing business activities.
Question 6: What is 'Earned Value Management (EVM)' used for in project management?
- Calculating employee bonuses based on performance
- Measuring project performance and progress against the baseline plan (Correct answer)
- Determining the market value of completed deliverables
- Assessing the return on investment of a project
Correct answer: Measuring project performance and progress against the baseline plan
EVM integrates scope, schedule, and cost data to measure project performance and forecast future performance against the original project plan.
CBP CBP Project Management and Operations 2
What is the purpose of a Risk Register in project management?