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NEW QUESTION # 55
The risk register states that excavation may cause subsidence and damage nearby historic buildings. The planned response is to survey the buildings and monitor vibration during excavation. The project executive is named as risk owner and the project manager as the sole risk action owner, even though operational specialists will perform the surveys and monitoring.
Is this an appropriate assignment, and why?
Answer: A
Explanation:
The correct answer is D . PRINCE2 distinguishes between the risk owner and the risk action owner . The risk owner is responsible for managing, monitoring, and controlling an assigned risk, including ensuring that an appropriate response is established. A risk action owner is responsible for carrying out a specific agreed response action.
In the scenario, the project executive may legitimately be assigned ownership if that allocation is appropriate to the nature and significance of the risk. However, the response consists of operational activities-surveying buildings and monitoring vibration-that will actually be performed by specialists. Naming the project manager as the sole action owner merely because the project manager coordinates project delivery does not accurately allocate responsibility for implementing those specific actions.
Option A therefore overstates the requirement for the project manager to own every response action. Option B focuses only on seniority and potential effect on business justification, rather than addressing the inappropriate action ownership. Option C is incorrect because PRINCE2 does not require the risk owner and risk action owner to be the same person.
Clear allocation matters because it establishes precisely who monitors the overall exposure and who is accountable for implementing each agreed response action.
PRINCE2 7 reference topics: Risk practice; risk owner; risk action owner; risk responses; ownership and accountability; risk register.
NEW QUESTION # 56
The Business Opportunities Director, acting as project executive, proposes that the Head of the Portfolio Office should perform business assurance and should also approve the viability of the business case and the achievability of the project plan.
Is this an appropriate application of the organization practice, and why?
Answer: C
Explanation:
The correct answer is C . PRINCE2 distinguishes between accountability and assurance . Project assurance provides an independent assessment of whether the project is being conducted properly and whether the information presented to the project board is reliable. Assurance can therefore review the business case, examine the project plan, and provide confidence concerning viability and achievability.
However, assigning an assurance provider does not transfer the project executive's accountability. The project executive remains ultimately accountable for ensuring that the project continues to represent a worthwhile investment and that the business case remains valid. The project executive also chairs the project board and is responsible for balancing the business, user, and supplier interests.
Option A incorrectly assumes that delegation of assurance transfers accountability. PRINCE2 explicitly preserves accountability at the project board level. Option B similarly confuses independent review with ownership of the business case. Option D is also too restrictive: an appropriately independent portfolio-office function may perform project assurance if this arrangement is suitable and does not compromise the required independence.
The Head of Portfolio Office may therefore perform business-assurance work, but cannot assume the project executive's fundamental accountability for project justification.
PRINCE2 7 reference topics: Organization practice; project executive; project assurance; delegation versus accountability; business assurance; continued business justification.
NEW QUESTION # 57
The LouisShopping project is part of the LOB portfolio and is now in the 'initiating a project' process. The project manager asks the portfolio office to support preparation of the digital and data management approach.
Why is this involvement appropriate during the 'agree the management approaches' activity?
Answer: D
Explanation:
The correct answer is D . During agree the management approaches , the project determines how the various aspects of management will be handled and ensures that those approaches align with relevant organizational strategies, policies, standards, and established practices. A project operating within a portfolio does not develop its digital and data arrangements in isolation.
The LOB portfolio office is therefore an appropriate source of specialist support because it can ensure that the project's digital and data management approach conforms to portfolio-wide data governance standards and technical requirements . This can include requirements concerning information architecture, access, security, storage, retention, tooling, ownership, and integration with portfolio information systems.
Option A is incorrect because PRINCE2 does not mandate the stated rigid sequencing in which the digital and data management approach must always be finalized before the communication management approach.
Management approaches are interdependent and may be developed iteratively. Option B describes legitimate content of digital and data management but does not explain why the portfolio office's involvement is specifically appropriate. Option C makes an unsupported generalization about linear-sequential delivery necessarily producing more documentation than iterative or incremental delivery.
The decisive factor is organizational alignment: project-specific management arrangements must operate consistently with applicable business and portfolio standards.
PRINCE2 7 reference topics: Initiating a project; agree the management approaches; digital and data management approach; portfolio standards; governance; tailoring.
NEW QUESTION # 58
The stage 4 inspections cannot start because a geological survey is late. Although the survey team is generally qualified, it lacks a specific technical capability needed to complete the survey. Without first assessing the gap, the project manager recommends replacing the entire team with a subcontractor, which would cause a significant further delay.
Is this an appropriate approach to leading a successful team, and why?
Answer: D
Explanation:
The correct answer is C . PRINCE2 7's people element emphasizes effective leadership, collaboration, capability, relationships, and understanding the people actually available to the project. A capability shortfall should therefore be diagnosed before a disproportionate organizational response is selected.
The survey team is described as generally qualified; only a specific technical capability is missing. Replacing the entire team without assessing the competency gap could discard useful knowledge, disrupt established relationships, increase transition time, and-as the scenario explicitly states-cause substantial additional delay. A better leadership response is first to establish exactly what capability is missing and then assess proportionate interventions such as specialist support, targeted training, temporary augmentation, mentoring, or bringing in one specialist rather than replacing the complete team.
PeopleCert's PRINCE2 7 guidance stresses the importance of team skills and collaboration and explicitly cautions against assuming that successful project leadership means replacing existing people whenever difficulties arise. It emphasizes working effectively with the team available and adapting the approach to people and circumstances.
Option A jumps directly to a disruptive solution. Option B incorrectly assumes that authority alone makes the proposed response appropriate. Option D overstates co-creation: agreed ways of working do not prevent justified changes to team composition.
PRINCE2 7 reference topics: People element; leading successful teams; capability and competency; collaboration; relationships; tailoring ways of working.
NEW QUESTION # 59
During stage 3, the project manager forecasts that the stage-level recycling tolerance will be exceeded. The project manager records the matter in the issue register and sends only an issue report to the project board.
Is this an appropriate application of the progress practice, and why?
Answer: C
Explanation:
The correct answer is D . In PRINCE2, an exception exists when it is forecast that an agreed tolerance will be exceeded. The critical point is that the breach does not have to have occurred already. Once the project manager forecasts that stage tolerance cannot be maintained, the matter exceeds the project manager's delegated authority and must be escalated to the project board.
An issue report may contain detailed analysis of an issue, and the issue register can record the underlying matter. However, neither replaces the specific progress-control mechanism required when stage tolerance is forecast to be exceeded. The project manager must produce an exception report , explaining the cause of the forecast deviation, its consequences, available options, and an appropriate recommendation. The project board can then decide whether to request an exception plan or take another authorized course of action.
Option A therefore understates the governance consequence of the tolerance breach. Option B incorrectly treats the matter solely as an off-specification; the decisive factor for progress control is that an authorized stage-level tolerance is forecast to be exceeded. Option C is incorrect because the immediate escalation is from the project manager to the project board, not automatically to the portfolio office.
PRINCE2 7 reference topics: Progress practice; stage tolerances; exception; exception report; escalation; management by exception.
NEW QUESTION # 60
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