Principles of Project Management Flashcards

A project manager calculates an Estimate at Completion (EAC) using the formula EAC = BAC / CPI. Under what assumption is this formula most appropriate?

Answer: Future cost performance will mirror the current CPI

EAC = BAC / CPI assumes current spending efficiency will continue throughout the remainder of the project.

Which document formally authorizes a project and names the project manager, granting authority to apply organizational resources?

Answer: Project charter

The project charter is issued by a sponsor and officially authorizes the project and the project manager's role.

A project manager uses a probability-impact matrix. Which risk quadrant demands the MOST immediate attention?

Answer: High probability, high impact

Risks with both high probability and high impact represent the greatest threat and require priority response planning.

What is 'scope creep' in project management?

Answer: Uncontrolled expansion of project scope without proper approval

Scope creep occurs when new features or work are added to a project without following the change control process.

In earned value management, what does a negative Schedule Variance (SV) indicate?

Answer: The project is behind schedule

SV = EV − PV; a negative result means less work has been completed (earned) than was planned at that point in time.

Which stakeholder engagement level is represented when a stakeholder actively participates and supports the project?

Answer: Champion

A champion actively promotes the project and uses their influence to ensure its success beyond mere support.

A work breakdown structure (WBS) is considered complete when it reaches the level of:

Answer: Work packages that can be estimated, scheduled, and assigned

Work packages are the lowest level of the WBS and represent discrete scope that can be reliably estimated and controlled.