Free GAQM PPM-001 Practice Exam with Questions & Answers | Set: 5

 Existing systems can indeed be included in a risk management plan. In the context of Project Portfolio Management (PPM), it’s crucial to consider the risks associated with current systems as they can impact the portfolio’s overall performance and the achievement of strategic objectives. The risk management process involves identifying, assessing, and managing risks to minimize their negative impact on the portfolio. This includes risks related to existing systems, which may be subject to obsolescence, integration issues, or other operational challenges that could jeopardize project success.

References:

• PPM 101 - Portfolio Risk Management | Acuity PPM1
• Risk Management - configuration considerations in PPM - LinkedIn2

 The first step in the risk management planning process is Identification. This step involves creating a risk management plan by compiling a list of all potential project risk events, which are uncertainties that could impact the project’s schedule, budget, or success. It sets the stage for the subsequent steps in the risk management process, such as analysis, prioritization, and response planning1. References: = The information aligns with the guidelines provided by the PMBOK, which outlines the initial steps in the Project Risk Management knowledge area, starting with Plan Risk Management and then moving to Identify Risks as the first major step1.

 A PERT (Program Evaluation Review Technique) diagram is indeed used to show the relationships among various steps in a project. It is a project management tool that lays out the tasks necessary to complete a project and the time associated with each task. By calculating the earliest start and finish times for each task, it is possible to identify the critical path, which is the sequence of tasks that determines the shortest time possible to complete the project. Any delay in the critical path will delay the entire project. Therefore, a PERT diagram serves as an easy way to calculate the critical path, making the statement true. References: The information is verified by multiple sources that discuss the PERT diagram and its use in calculating the critical path, including PMCalculators and Smartsheet1234.

Buying house insurance is indeed a type of risk management. In the context of project management, risk management involves identifying, analyzing, and responding to risk factors throughout the life of a project in the most efficient way. The primary goal is to minimize the impact of risks on the project’s objectives. Buying insurance is a risk transfer strategy, which is one of the risk responses identified in the PMBOK Guide. It transfers the financial risk of property damage from the homeowner to the insurance company, thus managing the potential negative impact on the homeowner’s financial state.

References: = PMBOK Guide, 6th Edition, Chapter 11: Project Risk Management; Project Management Institute’s standards and certifications for the Project Management Professional (PMP)® certification include risk management as a key component1.

The Professional in Project Management (PPM) materials suggest that every team member can provide value, even those with a negative outlook. In the case of Carlos, his perspective can be particularly useful during risk identification, where his tendency to foresee problems can help in anticipating potential risks and planning mitigation strategies. This approach aligns with the PPM’s emphasis on utilizing individual team members’ strengths and perspectives to enhance project outcomes1.

References: Professional in Project Management (PPM) - GAQM

Fast-Tracking is a schedule compression technique, not a budget compression method. It involves performing activities in parallel that were originally planned to be done sequentially, which can help to shorten the project schedule but does not directly compress the budget. Budget compression methods are focused on reducing the costs of a project without adversely affecting the scope. Descoping and Crashing are both methods that can be used to compress the budget; Descoping by reducing project scope and Crashing by adding resources to critical path activities to finish them faster, often at increased costs.

References: The distinction between schedule and budget compression methods is outlined in project management standards and literature, including the PMBOK® Guide, which serves as a foundational reference for project management practices12. The concept of Fast-Tracking as a schedule compression technique is also supported by the Professional in Project Management (PPM) certification materials3.

 Risk management did not originate in the field of project management. The concept of risk management has been associated with various forms of insurance and financial protection long before it was formalized within project management. The study of risk management began after World War II and was initially related to market insurance to protect against losses associated with accidents. Over time, it expanded to include financial risk management and the use of derivatives as risk management instruments. References: = Historical analyses and academic literature on the subject of risk management, such as the work published in “Risk Management: History, Definition, and Critique” by Georges Dionne1, indicate that the roots of risk management are broader and predate the formalization within project management.

The five key parts of a communication plan are typically identified as Who, When, Why, What, and How. This framework helps in structuring a communication plan effectively:

• Who: Identifies the stakeholders or the audience of the communication.
• When: Specifies the timing and frequency of the communications.
• Why: Clarifies the purpose of the communication.
• What: Describes the content or the message that needs to be conveyed.
• How: Outlines the methods or channels through which the communication will be delivered.

This structure ensures that all aspects of communication are covered, making the plan comprehensive and targeted to achieve its objectives.

References: The answer is based on standard project management practices which are consistent with the Professional in Project Management (PPM) guidelines and the PMBOK guide’s approach to project communication management12.

Change management processes are essential in project management, as they provide a structured approach to managing changes in projects or organizations. These processes ensure that changes are implemented smoothly and effectively, minimizing risks and disruptions. They involve clear communication, training, support, and involve users in the design and testing phases, which are crucial for successful project outcomes123.

References: Project Management Institute, ProjectManager.com, PPM Express

 Phrases such as “uh-huh,” “OK,” “yes,” or “Go on” are considered forms of active listening and are indeed invitations for the speaker to continue talking. These phrases signal that the listener is engaged and encourages the speaker to proceed with their communication. In the context of project management, effective communication is crucial, and these phrases play a significant role in interactive communication, which involves a two-way exchange of ideas and information12.

References: = The role of these phrases in facilitating communication is supported by the principles outlined in the Project Management Body of Knowledge (PMBOK) and the Project Management Professional (PMP) certification materials, which emphasize the importance of active listening and effective communication in project management12.