CFM - Certified Facility Manager Project Management 1

Question 1

A facility manager is overseeing a HVAC replacement project that has fallen two weeks behind schedule. Which project management tool best helps identify which tasks must be accelerated to recover the overall timeline?

Accepted Answer

Critical path method (CPM) analysis

Answer

CPM analysis identifies the sequence of dependent tasks that determine the project's minimum duration. Accelerating tasks on the critical path directly compresses the schedule, whereas speeding up non-critical tasks has no effect on the end date.

Question 2

During a large facility renovation, the project manager tracks planned value (PV), earned value (EV), and actual cost (AC). If EV is less than AC, what does this indicate?

Accepted Answer

The project is over budget for the work completed

Answer

When actual cost exceeds earned value, cost variance (CV = EV − AC) is negative, meaning the project is spending more than the budgeted value of work accomplished — a cost overrun condition.

Question 3

A facility manager is planning a capital project and must present a document that defines scope, schedule, budget, and stakeholder roles before work begins. What is this document called?

Accepted Answer

Project charter

Answer

A project charter formally authorizes the project, establishes its objectives, defines major milestones, assigns the project manager authority, and identifies key stakeholders — serving as the foundational governance document before detailed planning begins.

Question 4

Which risk response strategy is being used when a facility manager purchases builder's risk insurance for a major construction project?

Accepted Answer

Risk transfer

Answer

Risk transfer shifts the financial consequences of a risk to a third party (the insurer) through a contractual mechanism such as insurance. The risk itself is not eliminated, but the organization's financial exposure is reduced by transferring it.

Question 5

A facility project has a total budget of $500,000 and is 40% complete, but has spent $230,000 to date. What is the cost performance index (CPI)?

Accepted Answer

0.87

Answer

CPI = EV ÷ AC. Earned value = 40% × $500,000 = $200,000. CPI = $200,000 ÷ $230,000 ≈ 0.87. A CPI below 1.0 confirms the project is over budget relative to work completed.

CFM - Certified Facility Manager Practice Test

CFM - Certified Facility Manager Practice Test

CFM - Certified Facility Manager Project Management 1