CPD CPD Project Governance & Compliance 1 — Questions and Answers
Question 1: What is the primary purpose of a project governance framework in a CPD-managed program?
- To eliminate all project risks
- To define decision-making authority, accountability, and oversight structures (Correct answer)
- To replace the project sponsor's role
- To automate project scheduling
Correct answer: To define decision-making authority, accountability, and oversight structures
A project governance framework establishes clear decision-making authority, accountability, and oversight to ensure the project aligns with organizational objectives.
Question 2: Which governance document formally authorizes a project and gives the project director authority to use organizational resources?
- Project Management Plan
- Project Charter (Correct answer)
- Scope Statement
- Risk Register
Correct answer: Project Charter
The Project Charter formally authorizes the project and grants the project director authority to apply organizational resources to project activities.
Question 3: A CPD candidate must ensure regulatory compliance across multiple jurisdictions. What is the BEST approach?
- Ignore regulations that conflict with project timelines
- Develop a compliance matrix mapping requirements to project deliverables (Correct answer)
- Delegate all compliance responsibility to legal counsel
- Apply only the most lenient jurisdiction's rules
Correct answer: Develop a compliance matrix mapping requirements to project deliverables
A compliance matrix systematically maps regulatory requirements to specific deliverables, ensuring no obligation is overlooked across jurisdictions.
Question 4: In project governance, what does the term 'separation of duties' primarily prevent?
- Scope creep
- Fraud and errors by ensuring no single person controls all aspects of a critical process (Correct answer)
- Resource over-allocation
- Schedule slippage
Correct answer: Fraud and errors by ensuring no single person controls all aspects of a critical process
Separation of duties is a control mechanism that reduces the risk of fraud and errors by requiring multiple individuals to complete critical processes.
Question 5: Which body is typically responsible for approving major project changes in a formal governance structure?
- Project team
- Change Control Board (CCB) (Correct answer)
- Project scheduler
- Quality assurance team
Correct answer: Change Control Board (CCB)
The Change Control Board (CCB) reviews, approves, or rejects major change requests to maintain project scope, schedule, and cost integrity.
Question 6: A project director discovers that a vendor is not complying with contractual data security requirements. What is the FIRST action?
- Immediately terminate the contract
- Document the non-compliance and formally notify the vendor per contract terms (Correct answer)
- Report directly to executive leadership without documentation
- Ignore it if the project is on schedule
Correct answer: Document the non-compliance and formally notify the vendor per contract terms
Documenting the non-compliance and issuing formal notification per contract terms protects legal standing and initiates the corrective action process.
CPD CPD Project Governance & Compliance 1
What is the primary purpose of a project governance framework in a CPD-managed program?