Excellent PRINCE2-Practitioner Updated 2023 Dumps With 100% Exam Passing Guarantee
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Preparation Guide for PRINCE2-Practitioner Certified Exam
Introduction
PRINCE2 (Projects IN Controlled Environments) is one of the structured project management method and practitioner certification program. It emphasizes dividing projects into manageable and controllable stages.
PRINCE2 is very popular in many countries and is accepted worldwide, including the UK, Western European countries, and Australia. Its training also available in many different languages.
Project management is having huge demands in the global market, and becoming a PRINCE2 certified professionals demonstrate a strong level of understanding and knowledge in handling project management using different project management tools, and making sure that projects are getting delivered within a stipulated timeline, within specified budgets, etc. In this guide, we will cover all the aspects of PRINCE2-Practitioner exam dumps and PRINCE2-Practitioner practice exams.
NEW QUESTION 57
While producing the Team Plan to deliver the agreed Work Package, it became apparent that the user representatives assigned 10 check some of the products were unsuitable.
Which 2 actions should the Team Manager take in response to this situation?
- A. Ensure the Quality Register is updated with details of the agreed amendments to the reviewers.
- B. Consult the Senior Supplier to assign suitable reviewers.
- C. Discuss the situation with Project Assurance and agree the changes or additions to the reviewers. Advise the Project Manager of this risk.
- D. Notify the Project Manager by raising an Exception Report explaining that the original reviewers are unsuitable.
Answer: B,C
NEW QUESTION 58
Project Scenario - Health and Safety Training Project:
ABC Company is a well-established training company that uses a standard model to develop training materials and deliver courses to customers.
ABC Company has commissioned a project in response to recent changes in government legislation relating to health and safety on construction sites. The project will deliver "capability to provide health and safety training", including the materials needed for classroom-based training and e-learning. The expected benefits for construction companies include a reduction in lost days and legal costs due to accidents.
The e-learning course will be developed by a specialist external consultancy. The materials for classroom-based training will be delivered by ABC Company's development team. All course materials will be piloted before they are used. ABC Company will deliver training to its customers and also hopes to sell the course materials to other training companies as part of their operational business. ABC Company will use their own sales and marketing departments to promote the courses.
The legislation requires construction companies to comply with the new legislation within two years. The course materials and trainers have to be accredited by a government agency before courses can be delivered.
ABC Company is planning to deliver pilot courses within five months of starting the project.
The ABC Company standard development model for new courses recommends the following stages:
End of the Project scenario.
Additional Information:
The Chief Executive Officer (CEO) founded the company five years ago. Under her leadership, ABC Company has grown quickly into a successful training company. It delivers a range of accredited professional training.
The Finance Director is also a founder member of ABC Company and is responsible for authorizing budgets for the Operations and Development Teams. She authorizes all large contracts personally.
The Purchasing Manager reports to the Finance Director and is responsible for managing and monitoring supplier contracts.
The Operations Director is responsible for the delivery off all training and for the training development budget. His department organizes courses, venues and trainers. They work with the Product and the Sales teams to provide a comprehensive training schedule. ABC Company's IT manager reports to the Operations Director.
The Business Development Director has recently been appointed to identify new training needs and propose new products. She will work with the Operations. Director to ensure a cost-conscious approach and that appropriate development technologies are used for the health and safety course.
The Training Development Manager reports to the Business Development Director and is responsible for developing training materials and gaining accreditation, in accordance with the standard course development model. Course developers in his team have skills in a range of development technologies and are allocated to projects as needed.
The Training Delivery Manager, who reports to the Operations Director, is responsible for ensuring that internal and external trainers deliver ABC Company training courses to the required standard. He also checks course materials to ensure they are fit for purpose and of the required quality.
The Central Services Director has responsibility for corporate communications, facilities management and configuration management. He recently led a project to consolidate all company quality systems into one quality management system and set up a corporate quality department, now managed by the Corporate Quality Manager.
The Corporate Document Manager reports to the Central Services Director. She helped establish the company's document management system and now operates it across the business. She manages a team of administrators and contracts staff when workload is high.
The Sales Director joined ABC Company two months ago and is keen to establish himself by suggesting new markets for the courses and material. All account managers and the marketing team report to him. They promote existing training courses to other training companies and existing customers.
End of the additional information.
In order for ABC Company to achieve the expected sales of the health and safety training course, the senior user will need to ensure that all staff understand the objectives and target audience for the course. In addition, these sales will need to be added to each individual's sales targets. These activities have been included in the benefits management approach.
Is this appropriate, and why?
- A. Yes, because how the benefits will be measured needs to be documented.
- B. No, because actions to deliver the outputs should be recorded in the stage plan.
- C. No, because the expected sales increase should be recorded in the business case.
- D. Yes, because the actions required to achieve the outcomes need to be documented.
Answer: A
NEW QUESTION 59
Which 2 alternative actions apply to the proposed Senior User for this project?
- A. Replace with 'Director of Research and Development' because she deals with both the Information Technology and the Facilities Divisions and can make sure her division's needs are specified.
- B. Retain because he will be providing support to the Information Technology and Facilities teams during the project.
- C. Retain because he provides the outsourcing resources required to support the project.
- D. Add 'Hardware Manager' because he provides computer hardware to all business functions and will be impacted by the outcome.
- E. Remove because he has no authority to commit user resources.
Answer: A,E
NEW QUESTION 60
Which 2 statements apply to the Customer's quality expectations section?
- A. Delete entry 19 because this should appear in the Product Description for the calendar and not the Project
Product Description. - B. Delete entry 17 because this is beyond the scope of this project.
- C. Delete entry 20 because this is an expected benefit and should be recorded in the Business Case.
- D. Delete entry 18 because standards should NOT be shown here.
- E. Delete entry 16 because this should be shown on the Product Description for the photos.
Answer: B,C
NEW QUESTION 61
The project is now in stage 2. The Project Manager has heard about the possibility of a competitor also producing a calendar to be delivered earlier than the target date for this project. There is a threat that the early release of a competitor's calendar may weaken the impact of the MNO Manufacturing Company calendar, thereby reducing the anticipated benefits of the Calendar project.
Which 2 statements should be recorded under either the Records or Reporting headings?
- A. The evaluated net effect of all risks will be updated at the end of each stage and included in the End Stage Report.
- B. Risks that are likely to occur within the next two weeks should be recorded as imminent.
- C. The Change Authority will report monthly to the Project Manager on the status of the change budget.
- D. Project Support will maintain the Risk Register.
- E. A summary of risks will be maintained and included with the monthly Highlight Reports to the Project Board.
Answer: A,C
NEW QUESTION 62
Who is responsible for confirming stage and project progress against agreed tolerances?
- A. Project Manager
- B. Executive
- C. Project Support
- D. Project Assurance
Answer: D
Explanation:
Explanation/Reference:
Testlet 1
Scenario
Additional Information
Extract from the Communication Management Strategy.
The project information in the table below is true, but it may not be recorded under the correct heading or be in the correct document.
Using the Project Scenario, select the appropriate response to each of the following 5 questions which have been raised by the Project Board.
The project is now at the end of the initiation stage. Having decided that the Calendar project is a relatively simple project, the Project Manager combined the Starting Up a Project process and the Initiating a Project process. No Project Brief has been produced. Instead the Project Manager used the project mandate to produce a simple Project Initiation Documentation (PlO). The PlO includes the Business Case, a product checklist and several Product Descriptions, Including the Project Product Description. Short sections are also included for each of the strategies and the controls to be applied. The Project Manager has elected to use the Daily Log to record all risks, issues. lessons and quality - results.
After the initiation stage there will be two further stages during which a small number of Work Packages will be authorized. While these are being managed, the Project Manager will hold regular checkpoints, which will support the production of weekly Highlight Reports to the Project Board.
NEW QUESTION 63
Which 2 statements should be recorded under the Reasons heading?
- A. 10% of customers have not re-ordered in this financial year.
- B. 1,500 orders are expected, each with an average profit of E2k.
- C. The Marketing department believes that the effect of a good company image, portrayed by a successful
calendar, will last into a second year. - D. The Marketing department believes that sending a promotional calendar to current and prospective
customers will increase orders by at least 10%. - E. MNO Manufacturing is experiencing a fall in orders due in part to the increased marketing activities of its
competitors.
Answer: A,E
Explanation:
Explanation/Reference:
NEW QUESTION 64
None of the reviewers have proof-reading skills.
- A. Record an action to request that Project Assurance identify a proof-reader who can, within the next 2 days, complete the check for typographical errors.
- B. Ask the reviewers present at the meeting to conduct a proof-reading exercise and pass any comments to the author within 2 days.
- C. No action required.
- D. Contact Project Assurance to find appropriate resources to come into the review.
Answer: A
NEW QUESTION 65
Which of the following is not a factor to consider when determining the length of a stage?
- A. The technical stages within the project
- B. How far ahead you can sensibly plan n detail
- C. The amount of resources available h the short term
- D. The amount of risk associated with the project
Answer: C
NEW QUESTION 66
Project Scenario - Health and Safety Training Project:
ABC Company is a well-established training company that uses a standard model to develop training materials and deliver courses to customers.
ABC Company has commissioned a project in response to recent changes in government legislation relating to health and safety on construction sites. The project will deliver "capability to provide health and safety training", including the materials needed for classroom-based training and e-learning. The expected benefits for construction companies include a reduction in lost days and legal costs due to accidents.
The e-learning course will be developed by a specialist external consultancy. The materials for classroom- based training will be delivered by ABC Company's development team. All course materials will be piloted before they are used. ABC Company will deliver training to its customers and also hopes to sell the course materials to other training companies as part of their operational business. ABC Company will use their own sales and marketing departments to promote the courses.
The legislation requires construction companies to comply with the new legislation within two years. The course materials and trainers have to be accredited by a government agency before courses can be delivered. ABC Company is planning to deliver pilot courses within five months of starting the project.
The ABC Company standard development model for new courses recommends the following stages:
End of the Project scenario.
Additional Information:
The Chief Executive Officer (CEO) founded the company five years ago. Under her leadership, ABC Company has grown quickly into a successful training company. It delivers a range of accredited professional training.
The Finance Director is also a founder member of ABC Company and is responsible for authorizing budgets for the Operations and Development Teams. She authorizes all large contracts personally.
The Purchasing Manager reports to the Finance Director and is responsible for managing and monitoring supplier contracts.
The Operations Director is responsible for the delivery off all training and for the training development budget. His department organizes courses, venues and trainers. They work with the Product and the Sales teams to provide a comprehensive training schedule. ABC Company's IT manager reports to the Operations Director.
The Business Development Director has recently been appointed to identify new training needs and propose new products. She will work with the Operations. Director to ensure a cost-conscious approach and that appropriate development technologies are used for the health and safety course.
The Training Development Manager reports to the Business Development Director and is responsible for developing training materials and gaining accreditation, in accordance with the standard course development model. Course developers in his team have skills in a range of development technologies and are allocated to projects as needed.
The Training Delivery Manager, who reports to the Operations Director, is responsible for ensuring that internal and external trainers deliver ABC Company training courses to the required standard. He also checks course materials to ensure they are fit for purpose and of the required quality.
The Central Services Director has responsibility for corporate communications, facilities management and configuration management. He recently led a project to consolidate all company quality systems into one quality management system and set up a corporate quality department, now managed by the Corporate Quality Manager.
The Corporate Document Manager reports to the Central Services Director. She helped establish the company's document management system and now operates it across the business. She manages a team of administrators and contracts staff when workload is high.
The Sales Director joined ABC Company two months ago and is keen to establish himself by suggesting new markets for the courses and material. All account managers and the marketing team report to him.
They promote existing training courses to other training companies and existing customers.
End of the additional information.
The external team manager for the 'e-learning course' has reviewed the quality register to ensure all quality activities have been completed. The 'e-learning course' has been approved and accreditation has been achieved. As a result, the team manager updated the work package to notify the project manager that it is complete, and updated the team plan.
Is this appropriate, and why?
- A. No, because the work package should be checked to confirm the reporting arrangements of the 'e- learning course'.
- B. Yes, because a team plan to gain accreditation of the 'e-learning course' is required to be part of the work package.
- C. Yes, because the project manager needs to receive confirmation that work has been completed and approved.
- D. No, because it is the configuration item record of the relevant product description that is updated, not the work package.
Answer: C
NEW QUESTION 67
Project Scenario - Health and Safety Training Project:
ABC Company is a well-established training company that uses a standard model to develop training materials and deliver courses to customers.
ABC Company has commissioned a project in response to recent changes in government legislation relating to health and safety on construction sites. The project will deliver "capability to provide health and safety training", including the materials needed for classroom-based training and e-learning. The expected benefits for construction companies include a reduction in lost days and legal costs due to accidents.
The e-learning course will be developed by a specialist external consultancy. The materials for classroom-based training will be delivered by ABC Company's development team. All course materials will be piloted before they are used. ABC Company will deliver training to its customers and also hopes to sell the course materials to other training companies as part of their operational business. ABC Company will use their own sales and marketing departments to promote the courses.
The legislation requires construction companies to comply with the new legislation within two years. The course materials and trainers have to be accredited by a government agency before courses can be delivered.
ABC Company is planning to deliver pilot courses within five months of starting the project.
The ABC Company standard development model for new courses recommends the following stages:
End of the Project scenario.
Additional Information:
The Chief Executive Officer (CEO) founded the company five years ago. Under her leadership, ABC Company has grown quickly into a successful training company. It delivers a range of accredited professional training.
The Finance Director is also a founder member of ABC Company and is responsible for authorizing budgets for the Operations and Development Teams. She authorizes all large contracts personally.
The Purchasing Manager reports to the Finance Director and is responsible for managing and monitoring supplier contracts.
The Operations Director is responsible for the delivery off all training and for the training development budget. His department organizes courses, venues and trainers. They work with the Product and the Sales teams to provide a comprehensive training schedule. ABC Company's IT manager reports to the Operations Director.
The Business Development Director has recently been appointed to identify new training needs and propose new products. She will work with the Operations. Director to ensure a cost-conscious approach and that appropriate development technologies are used for the health and safety course.
The Training Development Manager reports to the Business Development Director and is responsible for developing training materials and gaining accreditation, in accordance with the standard course development model. Course developers in his team have skills in a range of development technologies and are allocated to projects as needed.
The Training Delivery Manager, who reports to the Operations Director, is responsible for ensuring that internal and external trainers deliver ABC Company training courses to the required standard. He also checks course materials to ensure they are fit for purpose and of the required quality.
The Central Services Director has responsibility for corporate communications, facilities management and configuration management. He recently led a project to consolidate all company quality systems into one quality management system and set up a corporate quality department, now managed by the Corporate Quality Manager.
The Corporate Document Manager reports to the Central Services Director. She helped establish the company's document management system and now operates it across the business. She manages a team of administrators and contracts staff when workload is high.
The Sales Director joined ABC Company two months ago and is keen to establish himself by suggesting new markets for the courses and material. All account managers and the marketing team report to him. They promote existing training courses to other training companies and existing customers.
End of the additional information.
Use the 'Additional Information' in the Scenario Booklet to answer this question.
The Operations Director is the executive for the project and has proposed that a senior course developer be appointed as project manager. The course developer works in the Training Development Manager's team and has a good understanding of the standard course development model. The course developer was a team manager on a previous project for which the Operations Director was the executive.
Is this proposed appointment appropriate, and why?
- A. Yes, because the course developer is likely to have the project management and specialist knowledge required.
- B. No, because there is a conflict of interest as the Training Development Manager is responsible for gaining accreditation.
- C. No, because the course developer's team reports to the Business Development Director, not the Operations Director.
- D. Yes, because the course developer is responsible for ensuring that trainers deliver courses to the required standard.
Answer: D
NEW QUESTION 68
Project Scenario - Health and Safety Training Project:
ABC Company is a well-established training company that uses a standard model to develop training materials and deliver courses to customers.
ABC Company has commissioned a project in response to recent changes in government legislation relating to health and safety on construction sites. The project will deliver "capability to provide health and safety training", including the materials needed for classroom-based training and e-learning. The expected benefits for construction companies include a reduction in lost days and legal costs due to accidents.
The e-learning course will be developed by a specialist external consultancy. The materials for classroom-based training will be delivered by ABC Company's development team. All course materials will be piloted before they are used. ABC Company will deliver training to its customers and also hopes to sell the course materials to other training companies as part of their operational business. ABC Company will use their own sales and marketing departments to promote the courses.
The legislation requires construction companies to comply with the new legislation within two years. The course materials and trainers have to be accredited by a government agency before courses can be delivered.
ABC Company is planning to deliver pilot courses within five months of starting the project.
The ABC Company standard development model for new courses recommends the following stages:
End of the Project scenario.
Additional Information:
The Chief Executive Officer (CEO) founded the company five years ago. Under her leadership, ABC Company has grown quickly into a successful training company. It delivers a range of accredited professional training.
The Finance Director is also a founder member of ABC Company and is responsible for authorizing budgets for the Operations and Development Teams. She authorizes all large contracts personally.
The Purchasing Manager reports to the Finance Director and is responsible for managing and monitoring supplier contracts.
The Operations Director is responsible for the delivery off all training and for the training development budget. His department organizes courses, venues and trainers. They work with the Product and the Sales teams to provide a comprehensive training schedule. ABC Company's IT manager reports to the Operations Director.
The Business Development Director has recently been appointed to identify new training needs and propose new products. She will work with the Operations. Director to ensure a cost-conscious approach and that appropriate development technologies are used for the health and safety course.
The Training Development Manager reports to the Business Development Director and is responsible for developing training materials and gaining accreditation, in accordance with the standard course development model. Course developers in his team have skills in a range of development technologies and are allocated to projects as needed.
The Training Delivery Manager, who reports to the Operations Director, is responsible for ensuring that internal and external trainers deliver ABC Company training courses to the required standard. He also checks course materials to ensure they are fit for purpose and of the required quality.
The Central Services Director has responsibility for corporate communications, facilities management and configuration management. He recently led a project to consolidate all company quality systems into one quality management system and set up a corporate quality department, now managed by the Corporate Quality Manager.
The Corporate Document Manager reports to the Central Services Director. She helped establish the company's document management system and now operates it across the business. She manages a team of administrators and contracts staff when workload is high.
The Sales Director joined ABC Company two months ago and is keen to establish himself by suggesting new markets for the courses and material. All account managers and the marketing team report to him. They promote existing training courses to other training companies and existing customers.
End of the additional information.
All the products that are due in stage 3 have been completed, apart from the 'updated corporate quality procedures'. The work has been completed but the product has not yet been approved. The executive has been told that it will be signed off before the end of the project. In response to an exception report, the executive has instructed the project manager to plan to obtain approval of the product in stage 4.
Is this appropriate application of the report management stage end' activity, and why?
- A. No, because a project-level exception plan is required before approval of the quality procedures can be delayed.
- B. Yes, because approval of the product can be carried forward into the next stage, with authority from the project board.
- C. No, because approval of the products was planned for stage 3 and must be completed before the stage ends.
- D. Yes, because the completion of the product in the next stage is a follow-on action recommendation for stage 4.
Answer: B
NEW QUESTION 69
Which 2 statements should be recorded under the Expected dis-benefits heading?
- A. Because the Calendar project is a priority for the MNO Manufacturing Company, the delivery of other projects within the Marketing department will be delayed.
- B. A high quality, glossy product will involve additional costs.
- C. The calendar may not result in the 10 further orders from the list of prospective customers in 12 months.
- D. Individuals in the engineering team who are not selected to appear in the calendar photographs will become de-motivated.
- E. The calendar may not result in the expected 10% increase in orders.
Answer: A,D
Explanation:
Explanation/Reference:
NEW QUESTION 70
Project Scenario - Health and Safety Training Project:
ABC Company is a well-established training company that uses a standard model to develop training materials and deliver courses to customers.
ABC Company has commissioned a project in response to recent changes in government legislation relating to health and safety on construction sites. The project will deliver "capability to provide health and safety training", including the materials needed for classroom-based training and e-learning. The expected benefits for construction companies include a reduction in lost days and legal costs due to accidents.
The e-learning course will be developed by a specialist external consultancy. The materials for classroom- based training will be delivered by ABC Company's development team. All course materials will be piloted before they are used. ABC Company will deliver training to its customers and also hopes to sell the course materials to other training companies as part of their operational business. ABC Company will use their own sales and marketing departments to promote the courses.
The legislation requires construction companies to comply with the new legislation within two years. The course materials and trainers have to be accredited by a government agency before courses can be delivered. ABC Company is planning to deliver pilot courses within five months of starting the project.
The ABC Company standard development model for new courses recommends the following stages:
End of the Project scenario.
Additional Information:
The Chief Executive Officer (CEO) founded the company five years ago. Under her leadership, ABC Company has grown quickly into a successful training company. It delivers a range of accredited professional training.
The Finance Director is also a founder member of ABC Company and is responsible for authorizing budgets for the Operations and Development Teams. She authorizes all large contracts personally.
The Purchasing Manager reports to the Finance Director and is responsible for managing and monitoring supplier contracts.
The Operations Director is responsible for the delivery off all training and for the training development budget. His department organizes courses, venues and trainers. They work with the Product and the Sales teams to provide a comprehensive training schedule. ABC Company's IT manager reports to the Operations Director.
The Business Development Director has recently been appointed to identify new training needs and propose new products. She will work with the Operations. Director to ensure a cost-conscious approach and that appropriate development technologies are used for the health and safety course.
The Training Development Manager reports to the Business Development Director and is responsible for developing training materials and gaining accreditation, in accordance with the standard course development model. Course developers in his team have skills in a range of development technologies and are allocated to projects as needed.
The Training Delivery Manager, who reports to the Operations Director, is responsible for ensuring that internal and external trainers deliver ABC Company training courses to the required standard. He also checks course materials to ensure they are fit for purpose and of the required quality.
The Central Services Director has responsibility for corporate communications, facilities management and configuration management. He recently led a project to consolidate all company quality systems into one quality management system and set up a corporate quality department, now managed by the Corporate Quality Manager.
The Corporate Document Manager reports to the Central Services Director. She helped establish the company's document management system and now operates it across the business. She manages a team of administrators and contracts staff when workload is high.
The Sales Director joined ABC Company two months ago and is keen to establish himself by suggesting new markets for the courses and material. All account managers and the marketing team report to him.
They promote existing training courses to other training companies and existing customers.
End of the additional information.
Use the 'Additional Information' in the Scenario Booklet to answer this question.
The Operations Director is the executive for the project and has proposed that a senior course developer be appointed as project manager. The course developer works in the Training Development Manager's team and has a good understanding of the standard course development model. The course developer was a team manager on a previous project for which the Operations Director was the executive.
Is this proposed appointment appropriate, and why?
- A. Yes, because the course developer is likely to have the project management and specialist knowledge required.
- B. No, because there is a conflict of interest as the Training Development Manager is responsible for gaining accreditation.
- C. No, because the course developer's team reports to the Business Development Director, not the Operations Director.
- D. Yes, because the course developer is responsible for ensuring that trainers deliver courses to the required standard.
Answer: D
NEW QUESTION 71
ABC Company has a number of projects in progress. The executive of the Health and Safety Training Project is also a member of the project board for two other projects and is very busy. As a result, during this initiation stage, the executive has appointed another person to carry out both their business assurance and the role of change authority for minor and medium severity issues.
Is this appropriate, and why?
- A. No, because the project manager identifies the level of tailoring that is relevant for the project.
- B. Yes, because people with delegated project assurance roles may act as the change authority.
- C. No, because the decision to have a change authority should be made before the project is authorized.
- D. Yes, because projects that are likely to have many changes should delegate the change authority.
Answer: B
NEW QUESTION 72
Using the Project Scenario and the Extract from Stage Plan for stage 3 provided as additional intonation for
this question in the Scenario Booklet, answer the following 5 questions.
The Stage Plan for stage 3 has been produced.
The Engineering Manager insists that there are to be no interruptions to operations whilst photographs are
being taken of the engineering staff performing their everyday duties and operating machinery. Two weeks ago
the professional photographer produced the photo session schedule based on the operational staff schedule.
The operational staff schedule is produced weekly and maintained by the Engineering Manager.
None of the E500 change budget has been used to date and this is available for the stage.
Which 2 statements apply to the Budgets section?
- A. Add 'Cost tolerance - +E6k 1-E6k
- B. Delete entry 16 because timescales should NOT be shown under the heading of budgets.
- C. Add 'Change budget - E500'.
- D. Amend entry 15 because it should also include the cost of management activities.
- E. Delete entry 17 because the risk budget should be shown in the Risk Management Strategy.
Answer: C,D
Explanation:
Explanation/Reference:
Plans Theme
Question Set 2
NEW QUESTION 73
Scenario
A central government department, the Ministry of Food Hygiene (MFH), faces increasing pressure to cut costs, better manage suppliers' performance and reduce the confusion caused by inadequate internal controls, outdated standards and outdated technology. External consultants were employed to conduct a feasibility study to identify options to address the problems, and the likely costs and benefits. The following options were considered:
● Do nothing.
● Re-engineer selected business functions.
● Outsource selected business functions.
The feasibility study concluded that there was a case for outsourcing the MFH Information Technology Division and the Facilities Division (maintenance of buildings and grounds). The recommendations were:
● One service provider should be contracted to provide the services currently provided by the Information Technology Division and the Facilities Division.
● A 10-year service contract should be agreed with the selected service provider.
The feasibility study developed high-level designs of the current organization, processes, systems and operating models, plus an outline Business Case for the required project. The external consultants also made the following recommendations for the management of the project:
● Use PRINCE2.
● Set up the project with 4 management stages:
Stage 1. Standard PRINCE2 initiation activities.
Stage 2. Create detailed designs (future organization, processes, systems and operating models) and the service level agreement between MFH and the future service provider.
Stage 3. Request and evaluate proposals, select service provider and agree contract.
Stage 4. Transfer equipment and staff, transfer responsibility for service provision and run trial period.
Initial estimates indicated that the project would cost £2.5m and take two years to complete.
MFH senior management agreed that there was a case for outsourcing, and accepted the recommendations as a basis for the project. There is an expected saving of £20m over 10 years.
The Outsourcing project has completed the Starting up a Project process and is now in the initiation stage.
Because of the strategic importance of the project, the MFH Chief Executive Officer has taken the role of Executive. A PRINCE2-experienced Project Manager has been appointed from within MFH. Staff within the business functions being outsourced will work with the external consultants who conducted the feasibility study to define the detailed designs.
Which 2 statements should be recorded under the Expected dis-benefits heading?
- A. Staff may lose the opportunity to work in Information Technology.
- B. The project will take two years to deliver.
- C. MFH will lose direct control over the outsourced business functions.
- D. An investment of £2.5m is required.
- E. Staff morale will be negatively affected.
Answer: B,C
Explanation:
Explanation/Reference:
Reference: http://www.whatisprince2.net/prince2-theme-business-case.php
NEW QUESTION 74
Who is responsible for ensuring that the value-for-money solution is constantly reassessed?
- A. Corporate or Programme Management
- B. Senior User
- C. Business Assurance
- D. Reject Support
Answer: C
NEW QUESTION 75
......
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