PGM Performance Measurement and Improvement 2

Question 1

A program manager notices that a project's Schedule Performance Index (SPI) is 0.85. What does this indicate?

Accepted Answer

The project is performing at 85% of the planned schedule efficiency

Answer

An SPI of 0.85 means the project is only accomplishing 85 cents of scheduled work for every dollar of work planned, indicating it is behind schedule.

Question 2

Which technique involves comparing program performance against best practices from other organizations or industries?

Accepted Answer

Benchmarking

Answer

Benchmarking compares processes and performance metrics against industry leaders or best-in-class organizations to identify improvement opportunities.

Question 3

A program's Cost Performance Index (CPI) is 1.12. What action should the program manager prioritize?

Accepted Answer

Investigate why costs are running below budget to ensure quality is maintained

Answer

A CPI above 1.0 means the program is under budget, but the manager should verify this reflects genuine efficiency rather than deferred work or quality shortcuts.

Question 4

What is the primary purpose of a Balanced Scorecard in program management?

Accepted Answer

To provide a multi-dimensional view of performance across financial, customer, process, and learning perspectives

Answer

The Balanced Scorecard measures organizational performance across four perspectives—financial, customer, internal processes, and learning/growth—providing a holistic view.

Question 5

During a program review, the team identifies that a key metric has been consistently missing its target for three consecutive reporting periods. What is the recommended first step?

Accepted Answer

Conduct a root cause analysis to identify underlying issues

Answer

Root cause analysis helps identify the underlying factors driving persistent metric misses, enabling targeted corrective actions rather than symptomatic fixes.

(PGM) Program Manager Practice Test

(PGM) Program Manager Practice Test

PGM Performance Measurement and Improvement 2