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NEW QUESTION 46
What is reference class forecasting?
- A. An approach for implementing portfolio management in a less-stable environment, where strategy is also developing
- B. Predicting future performance based on an assessment of the past performance
- C. An approach for implementing portfolio management part by part as and when time permits
- D. An approach for implementing portfolio management in a stable environment where the top management sets strategy
Answer: B
NEW QUESTION 47
Which is a role of portfolio management in relation to programme and project management?
- A. To provide mechanisms for risk management within programmes and projects
- B. To provide mechanisms for dependency management within projects
- C. To provide mechanisms for delivering individual change initiatives into business as usual
- D. To provide mechanisms for management of limited resources
Answer: C
NEW QUESTION 48
Identify the missing words in the following sentence. Dependencies in a complex portfolio environment [?] but if not managed effectively can represent a serious risk to delivery.
- A. are a non-critical part of the project plan
- B. are a relatively simple matter
- C. are not always immediately obvious
- D. do not need to be summarised in a portfolio dashboard report
Answer: C
NEW QUESTION 49
How does portfolio management enable the most effective balance of organizational change and business as usual?
1. ensure change initiatives are agreed at the appropriate management
level
2. prioritize change initiatives in line with strategic objectives
3. review change initiatives regularly in terms of progress, cost,
risk, benefits and strategic contribution
4. cancel change initiatives if other initiatives appear with a better
predicted return
- A. 1, 2, 3
- B. 1, 3, 4
- C. 1, 2, 4
- D. 2, 3, 4
Answer: D
NEW QUESTION 50
What term describes portfolio delivery in the context of MoP?
- A. cycle
- B. technique
- C. principle
- D. practice
Answer: B
NEW QUESTION 51
How do portfolio and performance management coordinate to deliver strategic objectives?
1. Utilise the expertise of the performance management function in
designing portfolio performance metrics
2. Deliver change initiatives that contribute to strategic objectives
3. Incorporate the anticipated impact of the portfolio in performance
targets
4. Ensure the performance management function are engaged at an early
point in the development of business cases
- A. 1, 2, 3
- B. 2, 3, 4
- C. 1, 2, 4
- D. 1, 3, 4
Answer: D
NEW QUESTION 52
Which is NOT a 'key to success' of the balance practice?
- A. Balancing follows preparation of the Portfolio Strategy and Delivery Plan
- B. Algorithms and investment rules may guide decision-making
- C. The portfolio governance body should understand its role in balancing the portfolio
- D. Findings may be presented in a graphical format
Answer: C
NEW QUESTION 53
Which of the following is a part of the Senior Management Commitment principle in MoP?
- A. Championing the portfolio and explaining the reasons behind decisions to staff members
- B. Creating an employee engagement strategy with the portfolio
- C. Connecting project and programme business cases with the organizational strategy
- D. Ensuring that changes which affect certain departments are not stopped
Answer: A
NEW QUESTION 54
Which is one of the six key functions that portfolio management needs to coordinate with to achieve strategic objectives?
- A. Performance management
- B. Business Architecture Planning
- C. Centre of Excellence
- D. Information Technology
Answer: A
NEW QUESTION 55
Which is NOT one of the three broad approaches to implementing portfolio management?
- A. One version of the truth
- B. Evolution
- C. Big bang
- D. Ad hoc
Answer: C
NEW QUESTION 56
Identify the missing word in the following sentence. The Portfolio Management [ ? ] are the key foundations on which effective portfolio management is based.
- A. cycles
- B. principles
- C. techniques
- D. practices
Answer: B
NEW QUESTION 57
What portfolio document provides stakeholders with an authoritative, up to date source of advice on the portfolio management practices adopted and governance arrangements?
- A. Portfolio Management Framework
- B. Portfolio Delivery Plan
- C. Portfolio Resource Schedule
- D. Portfolio Strategy
Answer: B
NEW QUESTION 58
Which statement about the prioritize practice is true?
- A. Investment criteria used should be the same for each segment of the portfolio
- B. The Portfolio Office should approve the prioritized list of changes before presentation to management boards
- C. Mandatory changes (e.g. legal requirements) do not need to be included in the prioritization exercise
- D. Stakeholders should be able to see evidence that all changes have been assessed fairly and consistently
Answer: D
NEW QUESTION 59
Which of the following is NOT an MoP portfolio management principle?
- A. Energized Change Culture
- B. Governance Alignment
- C. Portfolio Definition
- D. Establishing a Portfolio Office
Answer: C
NEW QUESTION 60
Which statement about 'decision conferencing' is FALSE?
- A. The Board approve a prioritized listing developed by the Portfolio Office
- B. A facilitator can help to ensure that a consensus is reached
- C. Senior management debate and agree the scores/ratings for each initiative
- D. It can result in greater commitment by senior management to the portfolio
Answer: A
NEW QUESTION 61
Which is a main element of the management control practice?
- A. Benefits eligibility rules
- B. Decision conferencing
- C. Stage or phase gates
- D. Strategy alignment
Answer: C
NEW QUESTION 62
How does portfolio management support effective corporate governance?
- A. By obtaining the context within which portfolio management should operate
- B. By assigning responsible persons for implementing projects and programmes
- C. By making appropriate use of existing performance management expertise to design and implement new portfolio key performance indicators
- D. By providing a "clear line of sight" on the progress of the portfolio against plans
Answer: D
NEW QUESTION 63
What affects how the MoP principles and practices are adapted by an organization?
- A. The organization's use of sophisticated approaches
- B. The organization's operational targets
- C. The organization's experience in the use of relevant IT solutions
- D. The organization's decision-making standards and processes
Answer: D
NEW QUESTION 64
Which illustrates a 'key to success' for the balance practice?
- A. Use financial investment criteria, such as NPV
- B. Use categorization to assess alignment to strategic objectives
- C. Clearly defining the scope of the portfolio and what constitutes a project
- D. Use algorithms and investment rules to guide decision making
Answer: D
NEW QUESTION 65
Which statement about the prioritize practice is true?
- A. Prioritization of initiatives should be based on an estimate of financial benefits that may be achieved
- B. A mandatory requirement should be reviewed to ensure that the planned change is cost effective
- C. A segmented portfolio should use the same criteria to prioritize each segment
- D. Mandatory projects should not be included in the normal prioritization process
Answer: B
NEW QUESTION 66
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