Process practice questions

Answer: A) Value stream mapping — to expose non-value-adding activity in the end-to-end process so it can be removed

Value stream mapping shows every step of the end-to-end flow and separates value-adding time from waiting and rework, so waste can be removed. CFDs, fishbone diagrams and Monte Carlo simulation serve different purposes.

• AA value stream map is a lean tool. It shows every step of the current-state process, separating value-added time from non-value-added time such as queues and rework, so the team can remove waste and design a better future state.
• BA cumulative flow diagram plots the number of items in each state over time and can hint at bottlenecks. It does not map each process step or record active versus waiting time per step.
• CA cause-and-effect (fishbone) diagram looks for the root causes of a single problem. It does not model the steps of a delivery process from start to finish.
• DMonte Carlo simulation models uncertainty to produce probabilistic forecasts. It does not map process steps or identify waste.

Answer: A) Quality metrics

• AQuality metrics define measurable attributes and how they'll be assessed.
• BThe roadmap shows planned capabilities.
• CThat shows availability; that doesn't meet this requirement.
• DThe charter covers team agreements.

Answer: A) Residual risk

• AResidual risk is what remains after planned responses.
• BSecondary risks are caused by responses.
• CThat isn't a standard term.
• DOverall risk concerns the whole project.

Answer: A) The baseline is work package estimates plus contingency reserve; adding management reserve gives the budget

Cost baseline = work package cost estimates + contingency reserve, time-phased. Project budget = cost baseline + management reserve.

• ACorrect. The cost baseline is the approved, time-phased total of the work package estimates plus contingency reserves for identified risks. Management reserve sits outside the baseline, and baseline plus management reserve equals the total project budget.
• BIncorrect. Management reserve is excluded from the cost baseline. It becomes part of the baseline only when it is released through change control.
• CIncorrect. Contingency reserve for identified risks is part of the cost baseline. Only management reserve is added on top to form the budget.
• DIncorrect. This reverses the two reserves. Contingency reserve is inside the baseline, and management reserve for unknown risks is outside it.

Answer: A) Process a change request so price, schedule and scope are agreed and the contract is amended before work begins

Under a fixed-price contract, new scope is a contract change. It must be processed through change control and the contract formally amended with agreed price and schedule before the seller starts the work.

• ACorrect. Adding a deliverable changes the contract. It should go through contract change control so both parties agree in writing on the scope, price and schedule impacts before the seller does the work.
• BIncorrect. Authorizing work before the change is priced and agreed invites disputes and claims. Changes should be agreed and documented before work begins, not settled after the fact.
• CIncorrect. A fixed price covers the scope defined in the contract. Work outside the statement of work is a change and needs a negotiated contract modification.
• DIncorrect. Funding alone does not change the legal agreement, and an informal email skips the change control process both parties must follow to modify the contract.

Answer: A) 125,000

When current cost performance is expected to continue, EAC = BAC ÷ CPI. Here CPI = 40,000 ÷ 50,000 = 0.8, so EAC = 100,000 ÷ 0.8 = 125,000.

• ACPI = EV ÷ AC = 40,000 ÷ 50,000 = 0.8. When current cost efficiency is expected to persist, EAC = BAC ÷ CPI = 100,000 ÷ 0.8 = 125,000.
• BThis is AC + (BAC − EV) = 50,000 + 60,000. That formula assumes the remaining work will be done at the budgeted rate, so past overruns are treated as one-off. The stem says current performance will continue.
• CThis is BAC × CPI. Multiplying by a CPI below 1.0 lowers the forecast, but a project that is over budget will cost more than BAC, not less.
• DThis is the estimate to complete (ETC) = (BAC − EV) ÷ CPI = 60,000 ÷ 0.8. It covers only the remaining work. Adding AC of 50,000 gives the EAC of 125,000.

Answer: C) Buy, because its expected cost of $235,000 is lower than the build path

A decision tree weights each outcome by its probability and adds the results to get each alternative's EMV. Here Buy ($235,000) has a lower expected cost than Build ($240,000).

• AThis uses only the base cost and leaves out the probability-weighted rework branch (0.4 × $100,000).
• BThis adds the full $50,000 impact instead of weighting it by its 10% probability. Under that same mistake, Build would also be overstated.
• CBuy = $230,000 + 0.1 × $50,000 = $235,000. Build = $200,000 + 0.4 × $100,000 = $240,000. Buy has the lower expected cost.
• D$240,000 is the correct EMV for Build, but it is higher than Buy's $235,000, so the comparison is wrong.

Answer: A) Pick the one or two most impactful improvements, give each an owner, and add them to the next iteration's backlog

Retrospectives lead to real change when the team commits to a few prioritized improvements with clear owners and plans them into the next iteration.

• ACorrect. Committing to a small number of high-impact, owned actions and putting them in the next iteration's plan makes the improvements visible and much more likely to happen, which matches the Scrum Guide's guidance on retrospectives.
• BIncorrect. A growing list without priorities or owners keeps the current pattern going, where ideas are discussed but not acted on.
• CIncorrect. Self-managing teams own their process improvements. Moving the decision to the project manager weakens ownership and commitment.
• DIncorrect. The team's problem is following through, not a lack of discussion. More time spent talking does not turn ideas into committed actions.

Answer: A) The project charter

• AThe charter, issued by a sponsor, formally authorizes the project and names the project manager and their authority level.
• BThe plan describes how the project will be executed; it does not authorize the project.
• CThat captures knowledge during and after the project.
• DThat records stakeholders and their attributes.

Answer: A) Direct negotiation between the buyer and seller representatives to try to settle the claim

Contested claims are first handled by negotiation between the parties. If that fails, they move to ADR such as mediation or arbitration, and litigation is the last resort.

• ANegotiation is the preferred first step for resolving a claim. It keeps the decision in the parties' hands and costs the least. If agreement is reached, the claim becomes an agreed change.
• BMediation is a form of alternative dispute resolution. It is used when direct negotiation between the parties has failed, not before negotiation is tried.
• CArbitration comes late in the sequence because the decision leaves the parties' control. The fact that the contract allows it does not make it the first step.
• DA claim is by definition a disputed change. Approving it unilaterally ignores the buyer's position. The parties must first reach agreement, normally through negotiation, before it can be processed as an approved change.