[Feb 08, 2022] Pass PfMP Review Guide, Reliable PfMP Test Engine
PfMP Test Engine Practice Test Questions, Exam Dumps
NEW QUESTION 164
Portfolios have a lot of components in them and are executed along an extended lifecycle. For this, as a portfolio manager, you continuously monitor and control the progress and status. What input can you use to help you with this?
- A. Roadmap, Portfolio Management Plan, Portfolio, Portfolio Reports, Portfolio Process Assets
- B. Roadmap, Portfolio Strategic Plan, Portfolio, Portfolio Reports, Portfolio Process Assets
- C. Roadmap, Portfolio Management Plan, Portfolio, Portfolio Reports, Portfolio Organizational Process Assets
- D. Roadmap, Portfolio Management Plan, Portfolio, Portfolio Reports, Enterprise Environmental Factors
Answer: A
Explanation:
Explanation
The question targets the Provide Portfolio Oversight Process and specifically its inputs. The answer to this question is Roadmap, Portfolio Management Plan, Portfolio, Portfolio Reports, Portfolio Process Assets
NEW QUESTION 165
Performance reporting is important in a program and usually, the portfolio manager aggregates performance information from the portfolio components in order to present the related reports. Which of the following measures can be used in performance reporting?
- A. Cost Sunk
- B. All the options
- C. Earned Value
- D. CPI and SPI
Answer: B
Explanation:
Explanation
Cost Sunk, Earned Value, and CPI and SPI are all used for performance reporting.
Sunk cost is the cost that has already been incurred, and there is no way to recover this cost; it is equal to Actual Cost to date
NEW QUESTION 166
As a portfolio manager you will use a variety of artifacts and documents that will help you better manage the portfolio and better communicate progress and status with stakeholders. The roadmap is considered the most used document in the portfolio and eases your work being able to present the status on a single graphical representation. Early on during the portfolio lifecycle, you prepare the roadmap. An output of this process is
- A. Portfolio update, Portfolio Charter update, Portfolio Roadmap
- B. Portfolio update, Portfolio Roadmap
- C. Portfolio Charter update, Portfolio Roadmap
- D. Portfolio Roadmap
Answer: D
NEW QUESTION 167
You are the portfolio manager for a large county that comprises much of a major city in your country. The city also has a portfolio manager, and often you meet to discuss proposed initiatives to see if there are any dependencies. In your county, you established an approach to evaluate portfolio components to make judgments regarding their alignment and priority. In doing so, which of the following was especially helpful:
- A. Portfolio roadmap
- B. Portfolio charter
- C. Portfolio management plan
- D. Portfolio strategic plan
Answer: C
NEW QUESTION 168
While defining the portfolio, a portfolio manager does a preliminary comparison of all inventoried portfolio components against the portfolio component definition. For this, the descriptors of each portfolio component are used in order to compare it to other components. Which of the following is not a component key descriptors?
- A. Resources Required
- B. Component Number
- C. Urgency
- D. Component Customer
Answer: C
Explanation:
Explanation
The key descriptors ensure that all portfolio components are comparable. Descriptors and criteria may be used for filtering or eliminating new portfolio components by having associated acceptance levels. Key descriptors include: Portfolio component number, Portfolio component code, Portfolio component description, Type of portfolio component, Strategic goals supported, Quantitative benefits, Qualitative benefits, Portfolio component customer, Portfolio component sponsor, Key stakeholders, and Resources required.
Urgency is an evaluation criteria.
NEW QUESTION 169
You have just finalized aggregating value from the ongoing components to present a consolidated report to the governance board, in addition to recommending changes to portfolio and information to enable a better decision making. You are now looking for a place to document updates including new measures, reports and processes for effective ongoing management of the portfolio value. In which of the following documents are these measures included?
- A. Portfolio updates
- B. Portfolio Process Assets updates
- C. Portfolio Reports
- D. Portfolio Management Plan updates
Answer: D
NEW QUESTION 170
You are managing a portfolio for your company and are trying to balance the tasks that will be done internally based on the availability and the ones that will be outsourced. Managing supply and demand is a recurring activity in the portfolio life cycle and results in changes in resource utilization and resource efficiency. What you use to perform this?
- A. Elicitation techniques, Value Scoring & Measurement Analysis, Benefits Realization Analysis
- B. Scenario Analysis, Capability & Capacity Analysis, Quantitative & Qualitative Analysis
- C. Elicitation techniques, Communication Requirements Analysis, Stakeholder analysis
- D. Elicitation techniques, Capability & Capacity Analysis, PMIS
Answer: B
Explanation:
Explanation
This scenario targets the tools and techniques of the "Manage Supply & Demand" process. The answer to this question is Scenario Analysis, Capability & Capacity Analysis, Quantitative & Qualitative Analysis
NEW QUESTION 171
One of the junior portfolio managers learned that she needs to perform organizational structure analysis as part of the portfolio management plan development. She does not understand why and she came to you for advice.
What is your advice to her?
- A. Portfolio Management roles and responsibilities are defined based on this analysis
- B. This analysis is part of the develop strategic plan and not develop portfolio management plan
- C. This analysis, along with the analysis of the portfolio structure from the charter, help in the selection of strategically aligned portfolio components
- D. This analysis will help in prioritizing the portfolio
Answer: A
Explanation:
Explanation
The portfolio manager should assign performance review and reporting roles and responsibilities across each program, project, or operational component. Resources (information, human, and financial) are identified and made available to the portfolio components at the right time and returned to the enterprise once their purpose has been served. Using this analysis, Portfolio Management roles and responsibilities are defined
NEW QUESTION 172
While managing portfolio communications, the portfolio manager needs to account for the communication needs of the component teams in order for them to stay in the loop of the big picture. Which of the following can be of interest to this group of stakeholders?
- A. To be informed of all portfolio changes so they can assess which changes affect their components
- B. To know about the portfolio changes, risks and issues that may affect their components, and to do interdependency management in order to cover any dependent component's issues
- C. To know about the portfolio changes, risks and issues that may affect their components
- D. To be informed regularly of the portfolio progress so they can adjust their work accordingly
Answer: C
Explanation:
Explanation
The only option which is correct and which relates to this group of stakeholders is to know about the portfolio changes, risks and issues that may affect their components
NEW QUESTION 173
Many people in your country are no longer eating food from cans because of the risk of botulism and eColi O1H747. Your low acid canned foods company is seeing its revenues decrease as a result, and it is updating its overall strategy for the company to diversify into other markets as well as to add an aggressive marketing campaign to ensure the public that its low acid canned foods are generally recognized as safe by the Food and Drug Administration. This means in terms of portfolio management:
- A. The ROI for existing components should be reviewed to determine if they should continue
- B. The benefits to be realized by existing components require standard KPIs tied to critical success factors
- C. The existing inventory of work should be validated against the updated strategy
- D. Each proposed component must demonstrate business value before it is undertaken
Answer: C
NEW QUESTION 174
One of the key stakeholders came to you asking you to add more metrics because she thinks that it would give the portfolio management a better view of the actual progress. For her the more metrics you have the better.
What should your opinion be regarding this?
- A. You should agree as having more metrics is better and because you do not want to say no to a key stakeholder
- B. You should agree, as having more metrics is better
- C. You should disagree and escalate this to the governance board
- D. You should disagree and communicate a clear message to the stakeholder that it does not matter how many metrics you have as long as you can fully report the progress
Answer: D
Explanation:
Explanation
It does not matter how many metrics you have as long as you have it all covered. The scenario here does not require escalation.
The portfolio management office should be prepared to develop new metrics when appropriate and delete or change metrics that are no longer relevant to the stakeholders or that no longer support the organizational strategy and objectives. The quantity of metrics should not overwhelm the stakeholders to ensure the metrics are actively tracked and understood.
NEW QUESTION 175
Assuming a portfolio manager position means one has more stakeholders than in program, project, or operational roles. The goal is to identify all interested stakeholders but often overlooked are:
- A. Associations
- B. Consumer groups
- C. External resource providers
- D. Alliances
Answer: C
NEW QUESTION 176
Managing value is key to success as portfolio are undertaken to ultimately deliver an outcome that is strategically aligned and which delivers value to the organization. While managing value, the portfolio manager invokes the Benefits Realization Analysis activity. Which of the following is part of this activity?
- A. Allowing the portfolio's governing bodies to evaluate the expected net benefits of a given portfolio or portfolios to prioritize portfolio efforts
- B. Assessing Changes, dependencies and impacts
- C. Indicating Resource bottlenecks and over or under allocations
- D. All of the options
Answer: A
Explanation:
Explanation
Benefits realization helps to ensure that the benefits of a given portfolio are clearly defined for the stakeholders; Documents benefits in such a way that they can be easily measured and evaluated during the course of managing the portfolio; Allows the portfolio's governing bodies to evaluate the expected net benefits of a given portfolio or portfolios to prioritize portfolio efforts. Finite Capacity Planning indicates Resource bottlenecks and over or under allocations. Investment analysis assess Changes, dependencies and impacts
NEW QUESTION 177
The Portfolio Performance Management Plan is an important document that is referenced throughout the portfolio life cycle. Which of the following is correct regarding the Portfolio Performance Management Plan purpose and focus?
- A. Describes the approach and intent of management in identifying, approving, procuring, prioritizing, balancing, managing, and reporting a portfolio
- B. Articulates the options, preferences, and factors that will be considered in a specific portfolio
- C. Shows how and when the portfolio resources will be planned, balanced, and allocated to the portfolio components
- D. Identifies recipients for information associated with the portfolio management process
Answer: C
Explanation:
Explanation
The Portfolio Performance Management Plan shows how and when the portfolio resources will be planned, balanced, and allocated to the portfolio components and how the portfolio component progress and resource-related issues and risks are integrated with the resource management activities to ensure that cost-effective resource allocations are made to maximize portfolio performance. It is the systematic planning, measurement, and monitoring of the portfolio's organizational value through achievement against strategic goals. It Manages the sourcing of key resources such as finance, assets, and human resources to ensure optimal returns. It is critical in closing the gap between organizational strategy and the fulfillment of that strategy.
Finally, it documents how the organization plans to measure, monitor, control and report (1) portfolio performance, (2) resource management, and (3) portfolio value
NEW QUESTION 178
After a strategic change is managed and finalized, you as a portfolio manager, are expected to document changes to the portfolio components attributes. Which of the following is the document in which you document these changes?
- A. Portfolio Process Assets updates
- B. Portfolio updates
- C. Portfolio Management Plan updates
- D. Portfolio Strategic Plan updates
Answer: B
NEW QUESTION 179
Each time the Portfolio Governance Group meets the goal is to review the existing components and any that are proposed to ensure the portfolio has the best mix to attain strategic objectives. As the portfolio manager, you find these meetings, if facilitated accordingly, are effective decision-making sessions. However, you tend to have open issues after every meeting. These open issues:
- A. Are considered portfolio process assets
- B. Are managed as described in the charter
- C. Should be tracked in an issue register
- D. Require an owner to manage them until they are closed
Answer: A
NEW QUESTION 180
In your diversified chicken products company, your portfolio of components in progress consists of approximately 175 programs, projects, and other work. Generally, at each Portfolio Review Board meeting, about 35 new proposals are reviewed to see if they should be part of the portfolio. As the portfolio manager, you have set up categories for these components. They are useful to facilitate portfolio optimization because:
- A. They address organizational strategy and objectives
- B. They use filtering to eliminate certain components from consideration
- C. They serve as key evaluation criteria
- D. They help identify the components that meet requirements for consideration
Answer: A
NEW QUESTION 181
A portfolio manager needs to continuously balance the need and requirements with the available resources and needs to maintain a balanced portfolio and portfolio resources in order to optimize delivery. Capability and Capacity analysis is performed in 4 of the portfolio management processes and it serves a slightly different purpose in each and every one of them. When it relates to optimizing portfolio, what is the purpose of using this analysis?
- A. It enables the organization to achieve maximum portfolio benefits given current resource constraints
- B. Performed to understand the human, financial, and asset capacity and capability of the organization in order to select, fund, and execute portfolio components
- C. To study the capability of resources, match them against the portfolio's objectives and goals, and translate the capability into what capacity is possible to meet the portfolio demands
- D. To understand how much work is able to be performed based on the resources available (capacity), as well as the ability of the organization to source and execute the selected portfolio
Answer: A
NEW QUESTION 182
You are managing a complex portfolio with high risk levels due to emerging technological breakthroughs and a short benefit window to market your product. You know that managing risk is key to success and you are coaching your team on the same. You have just finalized the development of the risk management plan. What do you normally expect to find in a Portfolio Risk Management Plan?
- A. Organizational risk tolerance
- B. Roles and Responsibilities for risk management
- C. Governance Model
- D. Communication policies/constraints
Answer: B
Explanation:
Explanation
Communication policies/constraints are part of the portfolio communication management plan; Governance model is part of the portfolio management plan; Organizational risk tolerance is part of the portfolio strategic plan. The portfolio Risk Management Plan includes: Methodology: Defines the approaches, tools, and data sources that may be used to perform risk management on the portfolio. Roles and responsibilities: Defines the owners, lead, support, and team members for each type of activity in the risk management plan, and clarifies their responsibilities. Risk measures: Defines the risk categories and criteria for probability and impact, the structure of probability and impact matrix, and the stakeholders' risk tolerances and appetite for risk.
Frequency: Defines when and how often the risk management process will be performed throughout the portfolio cycle, establishes protocols for governance requirements, and establishes risk management activities to be included in the portfolio management plan. Risk categories: Provides a structure that ensures a comprehensive process of systematically identifying risks to a consistent level of detail and contributes to the effectiveness and quality of the Identify Risks process. An organization can use a previously prepared categorization framework which may take the form of a simple list of categories
NEW QUESTION 183
You are currently defining a hierarchical representation of your portfolio and its components and listing the major and milestone components, including dependencies internal and external to the portfolio with business units. For this you know that you will need multiple inputs. Which of the following are considered inputs in your case?
- A. Portfolio, Portfolio Strategic Plan, Portfolio Management Plan
- B. Portfolio, Portfolio Charter, Portfolio Strategic Plan
- C. Portfolio, Portfolio Strategic Plan, Portfolio Process Assets
- D. Portfolio, Portfolio Charter, Portfolio Management Plan
Answer: B
Explanation:
Explanation
You are in the Define Roadmap process. The answer to this question is Portfolio, Portfolio Charter, Portfolio Strategic Plan
NEW QUESTION 184
As the Director of the Portfolio Management Office at your worldwide furniture store, you prepare a series of reports on the status of the portfolio. One report that you use is a bubble diagram. In using it in terms of resource supply and demand, you should structure it to show:
- A. Resource importance and probability of success
- B. Resource competency and component probability of success
- C. Required resources and available resources
- D. Resource availability and life cycle phase
Answer: C
NEW QUESTION 185
A new portfolio is initiated with you as the portfolio manager, you started by developing the portfolio strategic plan and are currently reviewing the Organizational Process Assets; which of the options can be a part of this input?
- A. IT Strategies and Policies
- B. Inventory of Work
- C. Portfolio Components files
- D. List of portfolio components and Portfolio component selection criteria
Answer: A
NEW QUESTION 186
One of the stakeholders of one of your components came to you complaining that his manager is not receiving specific information on multiple components progress. What is your best course of action?
- A. Add the manager to the weekly reports distribution list where there is a lot of information on the components
- B. Send the manager the needed information asked by the stakeholder
- C. Meet the manager and understand what information is required
- D. Raise the issue to the governance board as you have already analyzed this manager
Answer: C
Explanation:
Explanation
In this case, you should do stakeholder's analysis and meet the manager to discuss his information needs.
Sending him other information may be of no interest to him and sending him what the stakeholder has asked you might not be enough. Being a major stakeholder, you should meet with him and fully understand the requirements
NEW QUESTION 187
Assume after the acquisition of the natural gas transmission company by your company, a natural gas distribution company, was approved by the various regulatory agencies. You now are overseeing more components with this acquisition as the portfolio manager. While you had each of the components in your company set up in various categories, this approach had not been followed by the transmission company. You explained to its portfolio manager and staff such an approach enables:
- A. A similar approach to track contribution to strategic goals
- B. Common criteria for portfolio optimization
- C. A way to set up a common set of decision filters
- D. An alignment with the prioritization model
Answer: C
NEW QUESTION 188
One of your component managers has submitted his resignation and left the company; a new program manager joins the portfolio replacing him. Which document you use to inform the new program manager about his responsibilities in the portfolio?
- A. Portfolio Roadmap
- B. Program Business Case
- C. Portfolio Charter
- D. Portfolio Management Plan
Answer: D
NEW QUESTION 189
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