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| Section | Objectives |
|---|---|
| Topic 1: Value Methodology Core Competencies | - Advanced VM Practice (Leadership-level application) - Value Concept
- VM Study Execution and Team Management - Value Methodology Foundations
- Value Methodology Job Plan Application |
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NEW QUESTION # 16
Which of the following strategies should be employed to enhance the VM study presentation?
Choose 2 answers.
Answer: A,D
Explanation:
The correct strategies are A and C because the Presentation Phase is intended to communicate value alternatives clearly enough for management and stakeholders to make informed implementation decisions.
The SAVE Study Guide identifies the Presentation Phase purpose as presenting value alternatives to management, stakeholders, and decision makers, with the fundamental question focused on helping them make more informed decisions that fit strategic plans. ( ) Therefore, a concise summary of key points is essential because it reinforces the major recommendations, benefits, risks, and implementation direction without forcing decision makers to search through excessive detail.
Visuals such as charts and graphs are also appropriate because presentation products commonly include cost- versus-worth comparisons, present-worth analysis, risk analysis, and advantages-versus-disadvantages information. ( ) These items are best communicated visually when the objective is executive understanding and decision readiness. The formal VM Standard also states that the Presentation Phase involves an oral presentation followed by a written report, with the team obtaining approval or direction for additional information. ( courses.washington.edu ) A complex presentation format would reduce clarity, and detailed technical specifications belong mainly in the Development Phase technical data package, not as the primary means of enhancing the presentation.
References/topics: Presentation Phase; Value Alternatives; Management Decision Support; Oral Presentation; Formal Report.
NEW QUESTION # 17
A RACI matrix identifies
Choose 3 answers.
Answer: A,C,D
Explanation:
The correct answers are A, D, and E . A RACI matrix is a facilitation and stakeholder-management tool used to clarify how individuals or stakeholder groups participate in activities, tasks, deliverables, or decisions. In VM practice, this supports the facilitator's responsibility to coordinate participation, communication, and accountability across the multidisciplinary study environment. The SAVE Study Guide emphasizes that VM is performed through a systematic process by a multidisciplinary team and that proper stakeholder participation is necessary to capture real needs versus wants and achieve maximum value. ( ) A RACI matrix identifies the level of stakeholder involvement in activities by assigning roles such as Responsible, Accountable, Consulted, and Informed. It also identifies stakeholders required to provide feedback, which aligns with the Consulted role. Cornell's RACI definition describes Consulted parties as people whose opinions are sought and who provide knowledge or information before a decision is made. It also describes Informed parties as stakeholders kept updated on progress, process execution, and quality. ( it.
cornell.edu ) Therefore, the matrix also helps identify what reasonable information should be provided to stakeholders. Threats and opportunities belong to risk or SWOT analysis, while weighted performance attributes belong to criteria weighting or evaluation methods.
References/topics: VM Facilitation; Stakeholder Engagement; Communication Planning; Team Roles and Responsibilities; RACI Matrix.
NEW QUESTION # 18
Which of the following is the VM facilitator's role during the Implementation Phase?
Answer: A
Explanation:
The correct answer is A. Guide disposition . During the Implementation Phase, the VM facilitator's role is not to make the final decision, sell the recommendations, or personally perform management's implementation duties. The facilitator guides the structured process so that each value alternative is reviewed, assigned a disposition, and moved toward an appropriate decision. SAVE guidance states that, after delivery of the preliminary report, management and the project team should consider and agree on which value alternatives will be implemented and determine how and when implementation will occur. It also identifies a common implementation activity as conducting an implementation meeting to determine the disposition of each value alternative . ( ) Option B is incorrect because assessment and approval of VM proposals belong primarily to management and responsible project stakeholders. Option C is not the facilitator's primary role; implementation planning is established and managed by those responsible for executing accepted changes. Option D is incorrect because VM facilitation requires objectivity. The facilitator supports informed decision-making, not advocacy or salesmanship. The facilitator keeps the process disciplined, ensures proposals receive fair consideration, and helps document acceptance, rejection, action responsibility, and follow-up.
References/topics: Implementation Phase; VM Facilitator Role; Disposition of Value Alternatives; Post- Workshop Activities; Implementation Meeting.
NEW QUESTION # 19
Subject information:
Service Life = 12 years
Fuel = $9.00 per liter
Annual kilometers driven = 40,000 kilometers
Car A: Paid $40,000 , needs batteries every two years at $600 , needs tires every two years at $1,000 , fuel efficiency = 10 kilometers per liter .
Car B: Paid $50,000 , needs tires every two years at $2,000 , fuel efficiency = 15 kilometer per liter .
Car C: Paid $60,000 , needs tires every two years at $4,000 , fuel efficiency = 20 kilometer per liter .
What is the annual cost for Car C for the service life of the vehicle?
Answer: A
Explanation:
The correct answer is B. $216,000 . The question is asking for the annual operating cost for Car C across the full 12-year service life , not the one-year annual fuel cost alone. In life-cycle cost analysis, SAVE defines life-cycle cost as the sum of initial cost, recurrent annual cost, single expenditures, and disposal cost or salvage value over a specified period. It also defines recurrent annual cost as the operation and maintenance cost that occurs throughout each year of service life.
For Car C , annual fuel use is calculated from the annual driving distance and fuel efficiency:
40,000 km per year ÷ 20 km per liter = 2,000 liters per year
Fuel costs $9.00 per liter , so the annual fuel cost is:
2,000 liters × $9 = $18,000 per year
The service life is 12 years , so the annual cost over the service life is:
$18,000 × 12 years = $216,000
Option A. $18,000 is only the annual cost for one year. Option C. $198,000 has no valid basis from the stated data. Option D. $36,000 would match neither Car C's annual fuel use nor its service-life total. Tire replacement cost is excluded because the question asks for annual cost, not repair and replacement cost.
References/topics: Evaluation Phase; Life-Cycle Cost; Recurrent Annual Cost; Fuel Operating Cost; Service Life Costing.
NEW QUESTION # 20
Carpet and vinyl tile are acceptable alternatives for an owner to cover 1,000 square meters of floor.
Carpet
Installed cost, including pad = $30 / square meter
Service life = 10 years
Maintenance cost: vacuum weekly = $500 / month
Maintenance cost: shampoo once per year = $3,000 / shampoo
Vinyl
Installed cost, including pad = $10 / square meter
Service life = 15 years
Maintenance cost: vacuum weekly = $400 / month
Maintenance cost: strip and wax once per month = $1,000 / strip and wax Between carpet and vinyl, which is a better value option for the owner over the service life of the products?
Answer: B
Explanation:
The correct answer is A. Carpet $120,000 . This is an Evaluation Phase life-cycle cost comparison. SAVE's VM Dictionary defines life-cycle cost as the sum of initial cost, recurrent annual cost, single expenditures, and disposal or salvage value over a specified period. It also defines recurrent annual cost as operation and maintenance cost occurring throughout each year of service life.
For carpet , the initial cost is:
1,000 square meters × $30 = $30,000
The monthly vacuum maintenance cost is:
$500 × 12 months × 10 years = $60,000
The annual shampoo cost is:
$3,000 × 10 years = $30,000
Therefore, carpet life-cycle cost is:
$30,000 + $60,000 + $30,000 = $120,000
Vinyl is not the better value option in the listed choices. Even though vinyl has a lower initial installed cost, its recurring strip-and-wax maintenance is significant. Over a 10-year comparison period, vinyl would be:
$10,000 + $48,000 + $120,000 = $178,000
That corresponds to option D, but it is higher than carpet's $120,000. The CVS exam trap is focusing on lowest initial cost instead of total cost over the study period. In Value Methodology, value decisions require considering function, performance, and total resource commitment, not first cost alone.
References/topics: Evaluation Phase; Life-Cycle Cost; Initial Cost; Recurrent Annual Cost; Alternative Comparison.
NEW QUESTION # 21
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