Term
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Definition
| There are very few sellers and the actions of one seller will have a direct effect on the other seller's prices and the overall market condition. |
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Term
| Cost-reimbursable contracts |
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Definition
| Cost-reimbursable contracts require the buyer to assume the risk of cost overruns. |
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Term
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Definition
| costs attributed to the cost of doing business. Examples include utilities, office space, and other overhead costs. |
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Term
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Definition
• is an assessment of the data obtained using the decision tree method to evalute various possible outcomes.
• allows decision-makers to factor in both probability and impact for each branch of every decision under consideration.
• indicates the decision that will provide the greatest expected value when all the uncertain implications, costs, rewards and subsequent decisions are quantified. |
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Term
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Definition
Integration
Human Resource
Scope
Communications
Time
Risk
Cost
Procurement
Quality |
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Term
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Definition
Initiating
Planning
Executing
Monitoring & Controlling
Closing |
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Term
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Definition
| Communication within a chain network involves the passage of information from the top down, person by person |
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Term
| Staff Acquisition Methods |
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Definition
| The methods of staff acquisition include negotiation, pre-assignment, and procurement. |
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Term
| What is the most important objective of the Verify Scope process? |
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Definition
| The deliverables are accepted by the stakeholders |
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Term
| What is the main purpose for preparing lessons learned documentation? |
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Definition
| To identify improvements for managing similar future projects |
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Term
| Which person or group is NOT responsible for authorizing the project by signing the completed project charter? |
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Definition
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Term
| Which stakeholders are involved in approving the project management plan? |
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Definition
| Functional managers, project manager, project sponsor |
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Term
| Greater financial reward does not necessarily bring greater motivation is one of the concepts for which motivational theory? |
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Definition
| Herzberg’s Motivation-Hygiene theory |
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Term
| Which technique allows you to control schedule variances? |
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Definition
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Term
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Definition
Schedule compression is one technique used to control schedule variance. Schedule compression involves crashing, or fast tracking to bring activities back on schedule without changing the project scope. Crashing involves analyzing cost and schedule tradeoffs to determine how the greatest amount of compression for the least cost can be achieved. Fast tracking is where activities normally performed in a sequence are performed in parallel. |
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Term
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Definition
TCPI based on EAC = (BAC – EV) / (EAC – AC)
BAC = 96,000
EV = 45,000
EAC = 125,000
AC = 54,000
= (96,000 – 45,000) / (125,000 – 54,000)
= 51,000 / 71,000
= .72 |
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Term
| Who approves the project management plan? |
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Definition
Typically, senior management is not involved in the process of approving the project management plan. Usually the project manager, the project sponsor, and functional managers whose resources make up the project team approve the project plan. |
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Term
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Definition
Smoothing is generally a good resolution type for group relations. The members of the group are made to feel that the original conflict is less important than they originally thought. However, smoothing does not lead to a permanent resolution. The parties involved do not come to any type of agreement about what was or was not accepted. Due to the characteristics, the problem is most likely to reappear. |
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Term
| Conflict Resolution methods 6 |
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Definition
Withdrawing/avoiding
Smoothing/accommodating
Compromising
Forcing
Collaborating
Confronting/problem solving |
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Term
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Definition
The Pareto chart is related in concept to the 80/20 principle, which theorizes that 80 percent of the problems are related to 20 percent of the causes. A Pareto chart, or diagram, is a specialized histogram that shows the frequency of defects based on specific causes. These diagrams are used to find the vital few causes of errors that create a disproportionate share of results, and fail to meet quality standards |
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Term
| What is the MOST important purpose of receiving formal acceptance from the customer? |
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Definition
| It identifies that the customer has accepted the deliverables. |
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Term
| What is the Best tool and technique that shows the intended cost of procurement? |
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Definition
Independent estimates is a tool and technique for the Conduct procurements process that shows the intended cost of a procurement. Independent estimates can serve as a benchmark for comparing seller responses. |
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Term
| What is the Major obstacle that mu7st be overcome to build an effective team whose team members are dispersed across multiple continents? |
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Definition
Cultural differences pose the greatest challenge when leading and managing a global team because attitudes towards authority, rank, and position vary greatly by geographic region. |
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Term
| As a project manager, which tool would you use to calculate and manage earned value information? |
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Definition
A project management information system (PMIS) is a tool that can be used to enable project managers to calculate and manage earned value information. A PMIS can also be used for monitoring and controlling cost and resource usage as well as requesting and updating project information manually. |
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Term
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Definition
Bottom-up estimating involves identifying and estimating each work package or individual activity separately, and then adding results to the project estimate. There are three steps for bottom-up estimating. The first step is to estimate the cost of each activity that makes up the work package. The next step is to roll up the estimates by totaling the estimates at each WBS level. The final step is to calculate an overall project estimate. |
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Term
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Definition
This approach uses comparable historical information to forecast the cost of the current project. This approach is often used to estimate costs when there is a limited amount of information about the project. Analogous estimating bases estimates on the actual duration of earlier activities, such as previous similar projects. Although it is a less expensive cost-estimating tool, It is less accurate. |
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Term
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Definition
Expert judgment is a technique that allows project managers to make decisions based on current project information and experience with similar projects. Expert judgment is commonly used when project managers make decisions about whether or not to accept or reject changes. |
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Term
| Cost-plus-incentive-fee contract |
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Definition
In this type of contract, all costs are passed back to the buyer, however, the seller only receives the incentive fee if they meet the target stipulated in the contract. While this places some of the risk of cost overruns on the seller and motivates them to keep costs down, the buyer still bears most of the risk |
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Term
| Time and material contract |
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Definition
In this type of contract, the buyer is charged for the seller’s time plus the cost of the materials that were required to complete the task. As such, the buyer takes on the most risk of cost overruns. |
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Term
| Fixed price contract with economic price adjustment |
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Definition
FP contracts, (lump sum contracts) involve paying the seller a single fee for their product or service. This type of contract is usually used when the product or servise is well defined with very few unknown elements. Since the price is fixed, any cost overruns are the responsibility of the seller. As such, a FP contract with economic adj is a specific type of FP contract that takes into consideration the changing value of money over the course of a project. Least amt of risk for the buyer. |
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Term
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Definition
1. List the cause of errors in descending order of frequency
2. Calculate the cumulative percent of errors
3. Build the histogram
4. Plot the cumulative percentage line
5. Interpret the Pareto chart |
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Term
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Definition
| Referent power is based upon another person liking you, or wanting to be like you. |
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Term
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Definition
| Coercive power is based on fear. Behavior is influenced by the use of threats and punishment. |
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Term
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Definition
| Expert power is based on a person’s technical knowledge, skill, and credibility. |
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Term
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Definition
| Reward power is based on rewards, pay, promotion, or recognition. |
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Term
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Definition
| CV – Cost variance is a cost performance measurement. CV = Earned Value (EV) – Actual Cost (AC) |
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Term
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Definition
SV – Schedule variance is a measurement of the project’s schedule performance. Used to determine whether or not the project work is meeting the planned schedule.
SV = Earned Value (EV) – Planned Value (PV) |
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Term
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Definition
| PV – Planned Value is the approved budget assigned to the scheduled work to be accomplished for a scheduled activity or work breakdown structure system |
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Term
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Definition
| EV – Earned Value refers to the value of completed work based on the approved budget assigned to that work for a sched. Activity or work breakdown structure system. |
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Term
| What needs to be updated to ensure a seller cannot successfully dispute the payment schedule? |
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Definition
Updates to organizational process assets during the administer procurements process can include payment schedules and requests. The payment schedule and requests detail the timing of deliveries, and of payments made to a seller. This information should be added to the organizational process assets, so records are available in the case of disputes. |
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Term
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Definition
The bar chart is a widely used format for presenting schedules. Project activities are presented by horizontal bars on a calendar. The length of each bar corresponds to the duration of the activity it represents. They are generally easy to read and are commonly used in management presentations. |
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Term
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Definition
Precedence Diagramming Method (also known as Activity on Node)
4 types of dependencies are possible
Start to Start
Start to Finish
Finish to start
Finish to Finish |
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Term
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Definition
| Arrow diagramming method Is a technique that is rarely used today. It uses arrows to represent activities |
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Term
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Definition
| Is a term that describes when an individual compares and measures foreign cultures against his or her own. Often the individual feels their native culture is superior to other foreign cultures. |
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Term
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Definition
| Similar to ethnocentrism, sociocentrism is a term that refers to the idea that one’s social group is superior to another’s social group. |
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Term
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Definition
| A term that refers to the idea that a particular race is superior to other races. |
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Term
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Definition
| Ishikawa is a cause and effect style diagramming technique that is used as a tool within the identify risks process. This is a tool that helps evaluate the causes of risks. |
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Term
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Definition
| Sensitivity analysis is a commonly used technique within the perform quantitative risk analysis process. This type of analysis focuses on determining which risks will have the greatest potential for impact on the project. |
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Term
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Definition
| The Delphi Technique is an information gathering technique that is used within the identify risks process. The Delphi Technique makes use of the project experts who participate anonymously via a questionnaire to aid in the identification of important project risks. |
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Term
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Definition
| Is the document that defines the product and determines what needs to be accomplished. The Define Scope process results in the project scope statement which details the product scope description and acceptance criteria as well as the project deliverables, exclusions, assumptions, and constraints. |
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Term
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Definition
| This plan establishes how the project work will be executed, monitored and controlled, and closed. Includes a collection of other project plans. Scope Mgmt Plan Process improvement plan Requirements mgmt plan Human resource plan Schedule mgmt plan Communications mgmt plan Cost mgmt plan Risk mgmt plan Quality mgmt plan Procurement mgmt plan |
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Term
| Developing a project scope statement Tools & Techniques |
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Definition
Facilitated workshops
Product analysis
Alternatives identification
Expert Judgment |
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Term
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Definition
| Is a technique that uses statistical relationship that exists between historical data and variables to estimate the costs by using a mathematical model. |
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Term
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Definition
| Qualitative risk analysis examines risks from the risk register and analyzes their probability of occurrence and the impact they would have on the project deliverables if they did occur. This allows the project performance to improve by focusing on high-priority tasks. |
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Term
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Definition
| This analytical technique is used to determine the contingency and management reserves. These reserves are typically created after risk analysis has been completed. |
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Term
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Definition
| Assumptions analysis is a technique used within the identify risks process that examines the validity of assumptions that apply to the project assumptions. This technique helps identify inaccurate, instable, inconsistent, or incomplete assumptions. |
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Term
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Definition
| Quantitative analysis involves a numerical analysis of how the identified risks will impact the project deliverables. A goal of quantitative analysis is to quantify the risks that were ranked by your qualitative analysis. |
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Term
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Definition
| Lessons learned are communicated to provide project team members and key stakeholders with relevant information for the duration of the project, as well as similar future projects. The lessons learned can reduce risks by enlightening the tam members of possible pitfalls. It can also provide information on the project’s successes, which may be adapted for similar upcoming projects. |
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Term
| Which method of conflict resolution is favored in most situations? |
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Definition
| Confrontation, also known as problem solving, involves proactively dealing with the root of the problem. This type of conflict resolution is favored in most situations because it can find a permanent solution to the conflict. |
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Term
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Definition
| Compromise requires that each side of the conflict sacrifice something to reach a resolution to the problem. While this can be an effective form of conflict resolution, it is not the most favored. |
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Term
| McClelland’s Acquired Needs Theory (1961) |
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Definition
| Suggests that employees’ experiences shape their needs and consequently what motivates them. The three needs he identified are achievement, affiliation, and power. Employees motivated by the need for achievement take moderate risks to achieve their goals, because they can attribute the outcomes of these situations to their own effort. Employees motivated by the need for affiliation value personal relationships with others, they require acceptance within work group and prefer regular interaction with coworkers. |
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Term
| Maslow’s Hierarchy of Needs (1954) |
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Definition
| Describes the sequence in which individuals satisfy their needs. According to Maslow, all human needs can be classified as physiological, safety and security, affiliation, esteem, or self-actualization. His basic premise is that the behavior of individuals at a particular moment is determined by their strongest need. Once that need is met, the individual will begin to focus on the next highest need in the hierarchy. His theory does not involve a discussion of achievement, affiliation, and power, as well as how they motivate people. |
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Term
| Hershey and Blanchard’s Situational Theory (1977) |
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Definition
| Paul Hershey and Kenneth Blanchard developed the situational theory in 1977 to explain how a strong leader adjusts to the needs of the employees. These leaders provide sufficient support and direction for individual employees, or groups of employees. There are 4 styles of leadership: delegating, participating, telling, and selling |
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Term
| Dimensions of Communication |
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Definition
| Written and oral Internal and external Formal and informal Vertical and Horizontal |
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Term
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Definition
| Electronic communication is an information distribution method, not a dimension of communication |
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Term
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Definition
| Money that has been set aside in the budget for identified risks that may or may not take place. These reserves are not part of the project cost baseline but are included in the project budget. This reserve may be used completely or partially. The contingency reserve can also be adjusted as information that is more accurate is discovered about the project. |
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Term
| Rough order of magnitude estimate |
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Definition
| A rough order of magnitude (ROM) estimate has an accuracy range of between +/- 50% in the early stages of the project and +/- 10% when more information is known. Near the beginning of the project, the range (around 50%) narrows (10%) as more information becomes available. This is not the most accurate estimation techniques. |
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Term
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Definition
| This estimate has an accuracy range of between -10% and +20%. It is generally performed as the project progresses, which reduces the range of the estimate. |
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Term
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Definition
| This estimate has an accuracy range of between -15% and +25%. |
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Term
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Definition
| This estimate has an accuracy range of between -5% and +10%. |
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Term
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Definition
| The risk register is one of the components that makes up the project management plan and includes all relevant identified risks to the project. It contains information about these risks and is frequently updated throughout the project. It is an output of the Identify risks process and it is updated by other risk management processes. |
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Term
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Definition
| The risk management plan is a document that organizes how the project risks will be addressed. It either is contained in or is a supporting portion of the project management plan. It is a different document than the risk register, but it will contribute to the risk register. |
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Term
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Definition
| A tool for estimating activity resources and not estimating activity durations. Bottom-up estimating is used to determine the resources needed to carry out complex activities. This involves breaking down an activity into its component pieces of work, estimating the resources needed for each of the pieces, and aggregating the estimates to find a total. |
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Term
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Definition
| This process occurs during the monitoring and controlling process group. The purpose of the Administer procurements process is to ensure that both buyer and seller meet their contractual obligations. This entails reviewing and documenting a seller’s performance to establish required corrective actions, and provides a basic for future relationships with the seller. |
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Term
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Definition
| A project is temporary in nature and its purpose is to create a unique product, result, or service. Since every project has a definite beginning and end, it is also defined as temporary. Once planned objectives have been attained, the project is concluded and the project team is dissolved. |
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Term
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Definition
| An issue log is a written log that documents issues within the project. As issues arise, the log can be used to document who is responsible for resolving issues, and by what date. This is a tool of the manage project team process, and can be used to document the team members responsible for resolving the problems or issues. |
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Term
| Direct and Manage Project Execution |
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Definition
| The direct and manage project execution process enables the PM and project team to perform the necessary actions to ensure the project mgmt plan is executed. It uses the Project mgmt plan as its main source of information about how a project will be executed. Uses project mgmt plan, approved change requests, enterprise environmental factors, and organizational process assets as inputs. |
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Term
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Definition
| The CPM is a technique that calculates the earliest and latest possible start and finish times for work activities in a project. It uses the est. duration of the activities and the dependencies among them to determine limits for when each activity can be performed. It also identifies activities in a project that will throw the entire project off schedule if they are not completed on time, which forms the critical path. |
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Term
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Definition
| Program Evaluation and Review Technique (PERT) is a scheduling model that provides a weighted average of an optimistic or best case duration, the most likely duration, and a pessimistic or worst case duration. (P + 4M + O )/ 6 Pessimistic, Most Likely, Optimistic |
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Term
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Definition
| RACI stands for responsible, accountable, consult, and inform. This type of responsibility assignment matrix that is used to illustrate the relationship between the work that needs to be completed and the team members. In a RACI chart, a matrix is created with work packages making up the rows, and team member roles in the columns. Assumes that one person will be accountable for a work package and more than one person may be responsible for completing the work package |
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Term
| SPI – Schedule Performance Index |
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Definition
| PMs can use the SPI with the schedule status to help predict the project’s completion date. To calculate SPI, divide the earned value (EV) by the planned value (PV). An SPI of one indicates the project is on schedule, greater than one indicates it is ahead of schedule, and less than one indicates that it is behind schedule. |
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Term
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Definition
Administrative Closure Procedure
Contract Closure Procedure
Organizational Process Assets (Updates)
Final Product, Service or Result |
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Term
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Definition
| A detailed project plan. The notebook is updated throughout the life of the project. |
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Term
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Definition
| Work that is ongoing and repetitive. |
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Term
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Definition
| A collection of logically related project activities, usually culminating in the completion of a major deliverable. |
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Term
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Definition
| A temporary endeavor undertaken to create a unique product or service. |
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