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| Section | Objectives |
|---|---|
| People | - People management and effective collaboration |
| Processes | - Starting up a project - Closing a project - Managing a stage boundary - Managing product delivery - Initiating a project - Directing a project - Controlling a stage |
| Principles | - Apply the PRINCE2 principles in context |
| Practices | - Issues - Business case - Quality - Organizing - Progress - Risk - Plans |
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NEW QUESTION # 11
At the end of the initiation stage, the Regeneration Manager submits the project plan and business case for review. The Portfolio Director releases funding for both stages 2 and 3 and instructs the project manager to provide only a progress report at the end of stage 2, without a project board decision before stage 3 begins.
Is this an appropriate application of the 'manage by stages' principle, and why?
Answer: A
Explanation:
The correct answer is D . Under the manage by stages principle, a PRINCE2 project is divided into management stages that create defined governance and decision points. The project manager manages the current authorized stage, while the project board retains control over whether the project should proceed into the next management stage.
At a stage boundary, the project manager normally provides the information required for the project board to assess performance, review the updated business case and project plan, consider risks and issues, and evaluate the next stage plan. The board can then decide whether continued investment remains justified and whether the next stage should be authorized. PeopleCert guidance describes management stages as controlled segments with review points at which continuation can be approved or stopped.
Releasing funding for stages 2 and 3 does not remove the governance requirement to reassess the project before stage 3 starts. Option A confuses the project manager's delegated day-to-day authority within an authorized stage with authority to proceed automatically across stage boundaries. Option B concerns reporting customization rather than stage authorization. Option C incorrectly focuses on which corporate entity provides funding rather than the PRINCE2 control mechanism being tested.
PRINCE2 7 reference topics: Manage by stages; Managing a stage boundary; Directing a project; continued business justification; authorization of a stage.
NEW QUESTION # 12
While the project mandate is being prepared, the Mayor asks the LOB Portfolio Director, acting at the business layer, to select and appoint a suitable project executive for LouisShopping.
Is this an appropriate application of the organization practice, and why?
Answer: D
Explanation:
The correct answer is B . PRINCE2 distinguishes the business layer from the project management layer. The business layer commissions projects, establishes the broader organizational context, and appoints an appropriate project executive who will represent the business interest and become ultimately accountable for the project's success within the project board.
The scenario explicitly states that the LOB Portfolio Director is acting at the business layer . Consequently, selecting and appointing an appropriate project executive is consistent with the responsibilities associated with that level of governance.
Option A is too broad. The appointment is not appropriate merely because the Mayor can delegate the activity to any senior stakeholder. The suitability arises because the Portfolio Director is acting as the relevant business-layer representative. Option C incorrectly assumes that the Mayor must personally make the appointment because of the project's civic significance; PRINCE2 does not impose such a requirement.
Option D similarly assigns the responsibility automatically to the Head of Portfolio Office, even though the scenario explicitly identifies the Portfolio Director as the relevant business-layer representative.
The key distinction is therefore between business-layer governance and project-level management. The project executive is appointed from the business layer and subsequently leads the project board.
PRINCE2 7 reference topics: Organization practice; business layer; project executive; commissioning a project; project board structure and accountability.
NEW QUESTION # 13
During stage 1, the City Council purchasing team must prepare the contract that will govern BuildyBrick's later design and construction work. The project manager agrees with the purchasing team the products, time and cost for this work package.
Which practice is being applied through the 'controlling a stage' process?
Answer: B
Explanation:
The correct answer is C - Plans . PRINCE2 applies the plans practice throughout project delivery, including when individual work packages are defined and authorized. A work package establishes what products are to be delivered and the constraints and control arrangements governing their production.
In this scenario, the project manager agrees with the City Council purchasing team the products, time, and cost associated with preparing the contract. These are core planning elements. The work must be defined sufficiently so that the team understands what it is expected to produce, when it should be completed, what resources or expenditure are available, and the limits within which it is authorized to operate.
Option A, business case, concerns the project's continuing investment justification and does not principally govern the detailed definition of products, time, and cost for a delegated work package. Option B, organization, defines roles, responsibilities, relationships, and the project-management structure. Although the relationship between project manager and team manager is relevant, the information explicitly being agreed here concerns planning. Option D, quality, would focus on product specifications, quality methods, acceptance arrangements, and quality control rather than the overall product/time/cost definition.
The work package therefore demonstrates application of the plans practice within controlling a stage.
PRINCE2 7 reference topics: Plans practice; controlling a stage; work packages; products; estimates; time and cost; delegated planning and control.
NEW QUESTION # 14
Before the end of stage 2, the project board authorizes a change that adds more trees and seating to the external landscaping. The change can be delivered in stage 3 without any forecast breach of project tolerance.
While preparing the next stage plan, the project manager incorporates the additional products and work, updates the relevant product descriptions and product register entries, and reviews whether the project initiation documentation needs to be updated.
Is this an appropriate application of 'prepare the next stage plan', and why?
Answer: B
Explanation:
The correct answer is A . When preparing the next stage plan, the project manager must incorporate all relevant authorized changes that affect the products or work to be undertaken in the forthcoming management stage. The stage plan must represent the current authorized baseline rather than an obsolete version of what was originally intended.
The additional trees and seating have already been authorized by the project board, and the change can be incorporated without a forecast breach of overall project tolerance. The project manager should therefore reflect the additional products and activities in the stage 3 plan, revise affected product descriptions and product-register information, and determine whether corresponding elements of the project initiation documentation need updating.
Option B is incorrect because an exception plan is not required for every authorized change. Exception planning is used where agreed tolerance is forecast to be exceeded and the higher management level requests a replacement plan. The scenario explicitly states that project tolerance is not forecast to be breached. Option C incorrectly introduces mandatory re-authorization by the business layer. Option D is incorrect because preparing the next stage plan is a project manager responsibility; project assurance may independently review the resulting information but does not prepare it instead.
PRINCE2 7 reference topics: Managing a stage boundary; prepare the next stage plan; authorized changes; product descriptions; product register; PID maintenance; exception plans.
NEW QUESTION # 15
BuildyBrick's planning specialist suggests that the project manager should prepare stage plans only for stages
2 and 4, while BuildyBrick should prepare the stage plans for stages 3 and 5 because suppliers will deliver most of the work.
Is this an appropriate application of the plans practice, and why?
Answer: A
Explanation:
The correct answer is D . Under PRINCE2, the project manager is responsible for preparing stage plans , irrespective of whether most specialist delivery during a particular stage is undertaken by an external supplier.
A stage plan is a management-level control document used by the project manager and project board to manage and authorize the relevant management stage.
Supplier team managers can and should contribute detailed planning information. They may prepare team plans where appropriate and provide estimates, resource requirements, dependencies, schedules, risks, and detailed information concerning their work packages. Those inputs support preparation of the stage plan but do not transfer ownership of the management-stage plan to the supplier.
Option A incorrectly equates delivery of most stage products with ownership of the stage plan. Option B introduces an unsupported distinction based on the number of suppliers involved. Option C goes even further by asserting that every external supplier should prepare the complete stage plan for the stage in which it operates. That would blur the distinction between project management control and specialist delivery responsibility.
The planning hierarchy remains important: the project manager plans and controls the management stage, while team managers plan and execute the detailed specialist work delegated through work packages.
PRINCE2 7 reference topics: Plans practice; stage plans; team plans; project manager responsibilities; team manager responsibilities; work packages; management versus specialist products.
NEW QUESTION # 16
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