CRM Project Management Fundamentals 3 — Questions and Answers
Question 1: In project risk management, a risk response strategy where the records department transfers responsibility for a risk to a third party is called:
- Avoidance
- Mitigation
- Transfer (Correct answer)
- Acceptance
Correct answer: Transfer
Risk transfer shifts the negative impact of a risk to a third party, such as through insurance or outsourcing contracts.
Question 2: Which process group in project management is concerned with defining, planning, executing, monitoring, and closing project phases?
- Knowledge areas
- Process domains
- Project lifecycle phases
- Process groups (Correct answer)
Correct answer: Process groups
The five PMBOK process groups — Initiating, Planning, Executing, Monitoring & Controlling, and Closing — guide project management activities.
Question 3: A records management project has a Budget at Completion (BAC) of $200,000 and an Earned Value (EV) of $80,000 with Actual Cost (AC) of $100,000. What is the Cost Variance (CV)?
- -$20,000 (Correct answer)
- $20,000
- -$120,000
- $120,000
Correct answer: -$20,000
CV = EV − AC = $80,000 − $100,000 = −$20,000, indicating the project is over budget.
Question 4: During a records management system implementation, a key stakeholder requests a major feature addition late in the project. The project manager should first:
- Implement the request to maintain stakeholder satisfaction
- Assess the impact on scope, schedule, and cost before deciding (Correct answer)
- Refuse the request since the project is near completion
- Delegate the decision to the project sponsor without analysis
Correct answer: Assess the impact on scope, schedule, and cost before deciding
Any change request must be evaluated for its impact on the triple constraints before being approved or rejected.
Question 5: What is the critical path in a project network diagram?
- The path with the most expensive tasks
- The longest sequence of dependent tasks determining minimum project duration (Correct answer)
- The path with the highest number of risks
- The sequence of tasks with the most resources assigned
Correct answer: The longest sequence of dependent tasks determining minimum project duration
The critical path is the longest duration path through the project network, and any delay on it directly delays the project end date.
Question 6: Which project closure activity is most important for improving future records management projects?
- Releasing project team members
- Archiving project documents
- Documenting lessons learned (Correct answer)
- Issuing final invoices to vendors
Correct answer: Documenting lessons learned
Lessons learned capture what worked and what didn't, providing valuable knowledge for future project planning and execution.
Question 7: A project manager uses a probability and impact matrix during risk planning for a records migration project. This tool helps to:
- Assign team members to risk response actions
- Prioritize risks based on their likelihood and potential effect (Correct answer)
- Calculate the cost reserve needed for identified risks
- Determine which risks can be transferred to vendors
Correct answer: Prioritize risks based on their likelihood and potential effect
The probability and impact matrix scores and ranks risks so the team can focus attention on the most critical threats.
CRM Project Management Fundamentals 3
In project risk management, a risk response strategy where the records department transfers responsibility for a risk to a third party is called: