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| Section | Objectives |
|---|---|
| Topic 1: Practices | - Quality - Issues - Risk - Progress - Plans - Organizing - Business case |
| Topic 2: Processes | - Managing product delivery - Managing a stage boundary - Closing a project - Starting up a project - Directing a project - Initiating a project - Controlling a stage |
| Topic 3: Principles | - Apply the PRINCE2 principles in context |
| Topic 4: People | - People management and effective collaboration |
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NEW QUESTION # 16
At the start of stage 3, the project board inserts detailed recycling tolerances directly into each work package without the project manager agreeing the delegated targets with the relevant team managers.
Is this an appropriate application of the progress practice, and why?
Answer: C
Explanation:
The correct answer is C . PRINCE2 applies management by exception through a hierarchy of delegated authority. The project board establishes the management stage within which the project manager operates, whereas the project manager normally authorizes individual work packages and agrees their requirements and tolerances with the relevant team managers.
The problem in the scenario is therefore not the existence of recycling or sustainability tolerances. Such measurable constraints may legitimately be delegated to a delivery team when they are relevant to its work.
The problem is that the project board bypasses the project manager and directly inserts detailed work-package tolerances without those delegated targets being agreed through the normal work-package authorization relationship.
Option A incorrectly creates a direct routine control relationship between the project board and team managers. Option B similarly conflicts with the normal reporting structure: team managers report work- package progress to the project manager, while the project manager provides appropriate progress information to the project board. Option D is incorrect because sustainability performance can be translated into delegated targets and tolerances at lower management levels when appropriate.
The project manager should therefore authorize the relevant work packages, agree achievable delegated tolerances with team managers, and monitor performance against them within the overall stage tolerances authorized by the project board.
PRINCE2 7 reference topics: Progress practice; management by exception; work packages; tolerances; project manager/team manager interface; delegated authority.
NEW QUESTION # 17
While selecting the project approach, the team identifies that a traditional delivery method and the proposed use of external suppliers could make the sustainability requirements harder to achieve. The risk is recorded in the project log for consideration during initiation.
Is this an appropriate application of 'starting up a project', and why?
Answer: D
Explanation:
The correct answer is B . Selecting the project approach during starting up a project is intended to establish an appropriate basis for how the project will be delivered before the organization commits significant resources to initiation. The delivery method and use of external suppliers can materially influence management controls, commercial arrangements, quality, sustainability, communication, risk, and other management approaches subsequently developed during initiation.
The team has identified an uncertainty arising directly from its proposed approach: a traditional delivery model combined with external suppliers may make sustainability requirements more difficult to achieve.
Recording this early in the project log is appropriate because risks, issues, lessons, and other relevant information identified during starting up should not be ignored simply because detailed management approaches have not yet been completed.
Option A is too narrow. Clarifying contractual obligations may be relevant, but it is not the primary rationale demonstrated here. Option C incorrectly suggests that a manageable risk should be deferred; early identification allows it to influence initiation planning and development of the PID. Option D creates a false choice. Sustainability expectations may indeed inform quality requirements, but an uncertainty concerning whether the delivery approach will enable those requirements to be achieved is still legitimately a risk.
PRINCE2 7 reference topics: Starting up a project; select the project approach; project log; early risk identification; sustainability; project initiation documentation.
NEW QUESTION # 18
During stage 2, the project board agrees that the underground car park should contain 15 rapid-charging spaces, with a scope tolerance permitting delivery of no fewer than 10 spaces. The project manager includes this tolerance in the relevant work package agreed with the team manager.
Is this an appropriate application of the 'manage by exception' principle, and why?
Answer: A
Explanation:
The correct answer is A . Manage by exception is based on delegating authority within explicitly agreed tolerances. Higher management sets boundaries within which the lower management level may make decisions without repeatedly seeking approval. Escalation becomes necessary when a tolerance is forecast to be exceeded.
In this scenario, the desired scope is 15 rapid-charging spaces, while the project board has accepted a lower limit of 10. That creates a defined permissible range for the scope of the relevant product or work package.
The project manager can therefore delegate delivery within that range to the team manager. As long as the forecast remains within the agreed scope tolerance, routine design decisions do not need to be referred back upward. PeopleCert summarizes the principle by stating that authority should be delegated within agreed tolerances, avoiding both micromanagement and uncontrolled exceptions.
Option B incorrectly categorizes the tolerance as quality tolerance . The number of charging spaces concerns the extent of what is being delivered and is therefore a scope parameter. Options C and D undermine the fundamental purpose of management by exception by requiring unnecessary precision and escalation where authorized flexibility has deliberately been provided.
PRINCE2 7 reference topics: Manage by exception; tolerances; scope performance target; delegation; work packages; exception escalation.
NEW QUESTION # 19
While preparing the risk management approach, the project manager holds a workshop to review the project context: the historic surroundings, sustainability targets and the need to minimize disruption to residents and businesses.
Is this an appropriate application of the risk practice, and why?
Answer: A
Explanation:
The correct answer is B . An effective risk management approach must be designed with an understanding of the specific project context and the objectives that uncertainty could affect. PRINCE2 does not prescribe a generic risk process that should be applied identically to every project without considering circumstances.
The LouisShopping project operates in a sensitive environment. Historic surroundings create potential heritage risks; sustainability targets introduce environmental and benefits-related uncertainty; and the requirement to minimize disruption creates stakeholder, operational, schedule, and reputational exposure.
Reviewing these factors enables the project manager to determine appropriate risk procedures, responsibilities, assessment scales, escalation arrangements, review frequencies, and reporting mechanisms.
Option A is incorrect because contextual information is not itself a complete set of individually formulated risks. An individual risk should normally express the relevant uncertainty in a sufficiently clear form- commonly identifying its cause, uncertain event, and effect on objectives. Option C reverses the sequence: the overall management approach establishes how risks will be identified, assessed, treated, monitored, and communicated; specific responses are subsequently developed for identified risks. Option D is fundamentally incorrect because risk exists in relation to objectives. Without understanding what the project is trying to achieve, the significance of uncertainty cannot be assessed coherently.
PRINCE2 7 reference topics: Risk practice; project context; risk management approach; objectives; risk identification and assessment; tailoring risk management.
NEW QUESTION # 20
ISSUES
During stage 1, BuildyBrick was appointed by the procurement team manager as the main contractor for the project. The project is now in stage 3 and BuildyBrick is part way through the site preparation. Following an environmental survey report, BuildyBrick will have to delay the site clearance by several weeks to enable protected amphibians to be relocated. There are two options to deal with this issue. The first is to wait for BuildyBrick to clear the site, but this will take longer. The second is to hire an additional contractor to clear the site more quickly, but this will cost more. Both of these options can be completed within cost and time tolerances, but appointing an additional contractor is beyond the project manager's delegated authority.
Here are three actions related to the resolution of this issue.
Which role (A-E) should be responsible for each action?
Choose only ONE role for each action. Each role can be used once, more than once, or not at all.
Answer: A,C,E
Explanation:
The correct mapping is Action 1 - A; Action 2 - E; Action 3 - C .
For Action 1 , the appointment of an additional contractor exceeds the project manager's delegated authority.
Although both options remain within overall stage cost and time tolerances, the project manager cannot authorize a decision that falls outside their defined authority. The matter must therefore be referred to the appropriate project-board authority, with the project executive responsible for leading the decision.
For Action 2 , maintaining project records is part of the project manager's day-to-day management responsibility. Once a decision has been taken, the project manager should ensure that the issue record is updated with the authorized response and decision so that there is an accurate audit trail.
For Action 3 , the senior supplier represents those providing specialist resources and expertise to create the project's products. Confirming that appropriate supplier resources can be made available for additional site- clearance work consequently aligns with the supplier interest.
This question illustrates that issue management must operate within the project's governance and delegation arrangements. Remaining within tolerance does not automatically permit the project manager to take an action specifically outside their delegated authority.
PRINCE2 7 reference topics: Issues practice; delegated authority; issue report; issue register; project executive; project manager; senior supplier.
NEW QUESTION # 21
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