Project Initiation, starting a successful Project

What are two potential consequences of a project manager failing to properly initiate a project?

• External risks can affect project success.

• New dependencies can arise.

• Resources can be underestimated.

• Stakeholders might not agree on what success.

  looks like.

Answer explanation

Imagine that a university hires a construction company to build a new library. Before starting, the project manager outlines the building materials the project needs. They also outline the roles and amount of workers to hire. Which key component of project initiation does this scenario concern?

• Success criteria

• Scope

• Resources

• Deliverables

A project charter adds value to projects in what three ways? Select all that apply.

• Allows project managers to get organized

• Helps project managers communicate project details to others

• Includes a plan to mitigate potential risks

• Sets up a framework for what project work the team needs to do

As a project manager, you investigate the value a project will create and how much time will be saved. What step of the cost benefit analysis are you completing?

• Expense analysis

• Goals analysis

• Benefit analysis

• Cost analysis

Fill in the blank:________ are the first thing a project manager needs to consider during the initiation phase.

Imagine that the main supplier for a construction. project runs out of steel girders and needs to obtain more to complete the order. Which key component of project initiation does this scenario concern?

• Deliverables

• Scope

• Goals

• Resources

As a project manager, you have completed key components of the initiation phase. What is the document you will put together and present to stakeholders?

• A project charter

• A risk log

• A budget plan

• A retrospective document

What are the gains that are not quantifiable?

• Quarterly income

• Ongoing costs

• Intangible benefits

• Yearly profits

You expect that a project will bring in $12,000 USD in revenue per year. You estimate it will cost $5,000 up front. You also estimate costs of $50 per month for the first 12 months, which equals $600 per year. Using the formula (G-C) + CROI, how would you calculate the project's return on investment (ROI) after the first 12 months?

• (12,000-5,600)+5,000=128%

• (12,000-5,600) +5,600 = 114%

• (12,000-5,000) 5,000 = 140%

• (5,600-5,000)+12,000 = 5%

As a project manager, you meet with stakeholders to set what products and services you will complete for the project. Which project initiation component are you trying to determine?

• Success criteria

• Scope

• Resources

• Deliverables