Information Technology Project Management 8th Edition Kathy Schwalbe Test Bank 1

Chapter 4: Project Integration Management
Information Technology Project

Management 8th Edition Kathy Schwalbe
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True / False
1. In project integration management, directing and managing project execution involves carrying out the project
management plan by performing the activities included in it.
a. True
b. False
ANSWER: True
RATIONALE: Feedback: Directing and managing project work involves carrying out the project
management plan by performing the activities included in it. The outputs of this process are
deliverables, work performance information, change requests, project management plan
updates, and project documents updates.
POINTS: 1
DIFFICULTY: Difficulty: Easy
REFERENCES: p.138
LEARNING OBJECTIVES: INFO.SCHW.14.21 - LO: 4-1
NATIONAL STANDARDS: United States - BUSPROG: Technology
TOPICS: What Is Project Integration Management?
KEYWORDS: Bloom's: Comprehension
2. Interface management involves identifying and managing the points of interaction between various elements of a
project.
a. True
b. False
ANSWER: False
Cengage Learning Testing, Powered by Cognero Page 1
RATIONALE: Feedback: Interface management involves identifying and managing the points of interaction
between various elements of a project.
POINTS: 1
REFERENCES: p.140
3. The number of interfaces in a single project is limited, and does not depend on the number of people involved in the
project.
a. True
b. False
ANSWER: False
RATIONALE: Feedback: Project integration management includes interface management, which involves
identifying and managing the points of interaction between various elements of a project. The
number of interfaces can increase exponentially as the number of people involved in a project
increases.
POINTS: 1
DIFFICULTY: Difficulty: Moderate
REFERENCES: p.140
4. Project integration management must occur just within the context of a particular project.
a. True
b. False
ANSWER: False
RATIONALE: Feedback: Project integration management must occur within the context of the entire
organization, not just within a particular project. The project manager must integrate the
work of the project with the ongoing operations of the organization.
POINTS: 1
REFERENCES: p.141
KEYWORDS: Bloom's: Knowledge
5. A SWOT analysis, being a linear process, cannot be performed using the nonlinear mind mapping technique.
a. True
b. False

ANSWER: False
RATIONALE: Feedback: Some people like to perform a SWOT analysis by using mind mapping, a
technique that uses branches radiating from a core idea to structure thoughts and ideas.
POINTS: 1
REFERENCES: p.142
NATIONAL STANDARDS: United States - BUSPROG: Analytic
TOPICS: Strategic Planning And Project Selection
6. An organization’s information technology project selection process should guide the strategic plan.
a. True
b. False
ANSWER: False
RATIONALE: Feedback: Aligning IT projects with business strategy is consistently a top concern for CIOs.
Most organizations face thousands of problems and opportunities for improvement.
Therefore, an organization’s strategic plan should guide the IT project selection process.
POINTS: 1
REFERENCES: p.144
7. Information systems can help an organization support a strategy of being a low-cost producer.
a. True
b. False
ANSWER: True
RATIONALE: Feedback: Many information systems are classified as “strategic” because they directly
support key business strategies. For example, information systems can help an organization
support a strategy of being a low-cost producer.
POINTS: 1
REFERENCES: p.145
8. Projects that address broad organizational needs are likely to fail.

a. True
b. False
ANSWER: False
RATIONALE: Feedback: Projects that address broad organizational needs are much more likely to be
successful because they will be important to the organization.
POINTS: 1
REFERENCES: p.146
TOPICS: Methods for Selecting Projects
9. As projects progress, the organization must reevaluate the need, funding, and will for each project to determine if the
project should be continued, redefined, or terminated.
a. True
b. False
ANSWER: True
RATIONALE: Feedback: As projects progress, the organization must reevaluate the need, funding, and will
for each project to determine if it should be continued, redefined, or terminated.
POINTS: 1
REFERENCES: p.146
10. Opportunities and directives are essentially the same thing.

a. True
b. False
ANSWER: False
RATIONALE: Feedback: Opportunities are chances to improve the organization. Directives are new
requirements imposed by management, government, or some external influence.
POINTS: 1
REFERENCES: p.147
11. Projects that arise as a result of problems and directives must be resolved quickly to avoid hurting an organization’s
business.
a. True
b. False
ANSWER: True

RATIONALE: Feedback: It is often easier to get approval and funding for projects that address problems or
directives because the organization must respond to these categories to avoid hurting their
business.
POINTS: 1
REFERENCES: p.147
12. The organization should complete low-priority projects before high-priority ones, if the low-priority ones take less
time.
a. True
b. False
ANSWER: False
RATIONALE: Feedback: Organizations can also categorize IT projects as having high, medium, or low
priority based on the current business environment. An organization should always complete
high-priority projects first, even if a low- or medium-priority project could be finished in less
time.
POINTS: 1
REFERENCES: p.147
13. An organization should consider only projects with a negative NPV if financial value is a key criterion for project
selection.
a. True
b. False
ANSWER: False
RATIONALE: Feedback: An organization should consider only projects with a positive NPV if financial
value is a key criterion for project selection.
POINTS: 1
REFERENCES: p.148
14. NPV analysis is a method for making equal comparisons between cash flows for multi-year projects.
a. True

b. False
ANSWER: True
RATIONALE: Feedback: NPV analysis is a method for making equal comparisons between cash flows for
multi-year projects.
POINTS: 1
REFERENCES: p.149
15. An annual discount factor is a multiplier for each year based on the discount rate and year.
a. True
b. False
ANSWER: True
RATIONALE: Feedback: The annual discount factor is a multiplier for each year based on the discount rate
and year.
POINTS: 1
REFERENCES: p.149
16. The ROI is always positive.

a. True
b. False
ANSWER: False
RATIONALE: Feedback: The ROI is always a percentage. It can be positive or negative.
POINTS: 1
REFERENCES: p.151
17. Payback period is the amount of time it will take to recoup, in the form of net cash inflows, the total dollars invested in
a project.
a. True
b. False
ANSWER: True

RATIONALE: Feedback: Payback analysis is another important financial tool when selecting projects.
Payback period is the amount of time it will take to recoup the total dollars invested in a
project, in terms of net cash inflows.
POINTS: 1
REFERENCES: p.151
18. A project charter typically does not authorize the project manager to use organizational resources to complete the
project.
a. True
b. False
ANSWER: False
RATIONALE: Feedback: A project charter is a document that formally recognizes the existence of a project
and provides direction on the project’s objectives and management. It authorizes the project
manager to use organizational resources to complete the project.
POINTS: 1
REFERENCES: p.155
TOPICS: Developing A Project Charter
19. Some organizations initiate projects using a contract in place of a project charter.
a. True
b. False
ANSWER: True
RATIONALE: Feedback: Instead of project charters, some organizations initiate projects using a simple
letter of agreement, while others use much longer documents or formal contracts.
POINTS: 1
REFERENCES: p.155
20. Many projects fail because of unclear requirements and expectations, so starting with a payback analysis makes a lot
of sense.
a. True
b. False

ANSWER: False
RATIONALE: Feedback: Many projects fail because of unclear requirements and expectations, so starting
with a project charter makes a lot of sense.
POINTS: 1
REFERENCES: p.156
21. The introduction or overview of a project must only include a list of definitions and acronyms.
a. True
b. False
ANSWER: False
RATIONALE: Feedback: The introduction or overview of the project should include the following
information: the project name; a brief description of the project and the need it addresses; the
sponsor’s name; the names of the project manager and key team members; deliverables of the
project; a list of important reference materials; and a list of definitions and acronyms.
POINTS: 1
REFERENCES: p.158-159
TOPICS: Developing A Project Management Plan
22. A Gantt chart is the same as a project management plan.

a. True
b. False
ANSWER: False
RATIONALE: Feedback: The project management plan is much more than a Gantt chart.
POINTS: 1
REFERENCES: p.161
23. It is necessary that IT project managers have prior technical experience in creating and managing IT products.
a. True
b. False

ANSWER: False
RATIONALE: Feedback: It is often helpful for IT project managers to have prior technical experience or at
least a working knowledge of IT products.
POINTS: 1
REFERENCES: p.164
TOPICS: Directing And Managing Project Work
24. Corrective actions reduce the probability of negative consequences associated with project risks, while preventive
actions should result in improvements in project performance.
a. True
b. False
ANSWER: False
RATIONALE: Feedback: Corrective actions should result in improvements in project performance.
Preventive actions reduce the probability of negative consequences associated with project
risks.
POINTS: 1
REFERENCES: p.167
TOPICS: Monitoring And Controlling Project Work
25. Change requests are always made in writing.

a. True
b. False
ANSWER: True
RATIONALE: Feedback: Change requests are common on projects and occur in many different forms. They
can be oral or written, formal or informal.
POINTS: 1
REFERENCES: p.168
TOPICS: Performing Integrated Change Control
26. Organizational process asset updates are an important output of the closing process of a project.
a. True
b. False
ANSWER: True
RATIONALE: Feedback: The project team should provide a list of project documentation, project closure
documents, and historical information produced by the project in a useful format. This
information is considered a process asset.
POINTS: 1
REFERENCES: p.172
TOPICS: Closing Projects Or Phases
Multiple Choice
27. _____ involves working with stakeholders to create the document that formally authorizes a project.
a. Developing the project charter
b. Developing the preliminary project scope statement
c. Developing the project management plan
d. Performing integrated change control
ANSWER: a
RATIONALE: Feedback: Developing the project charter involves working with stakeholders to create the
document that formally authorizes a project —the charter.
POINTS: 1
REFERENCES: p.138
28. _____ involves coordinating all planning efforts to create a consistent, coherent document.
a. Developing the project charter
b. Developing the preliminary project scope statement
c. Developing the project management plan
d. Developing the organizational process assets updates
ANSWER: c
RATIONALE: Feedback: Developing the project management plan involves coordinating all planning
efforts to create a consistent, coherent document—the project management plan.
POINTS: 1
REFERENCES: p.138

29. The outputs of the _____ process include change request status updates, project management plan updates, and project
document updates.
a. initiating b. planning
c. executing d. monitoring and controlling
ANSWER: d
RATIONALE: Feedback: The outputs of the monitoring and controlling process include change request
status updates, project management plan updates, and project document updates.
POINTS: 1
REFERENCES: p.138
30. The first step in the planning process is _____.

a. to tie the information technology strategic plan to the organization’s overall strategic plan
b. to perform a business area analysis
c. to start defining potential IT projects in terms of their scope, benefits, and constraints
d. to choose which projects to do and assigning resources to work on them
ANSWER: a
RATIONALE: Feedback: The first step in the planning process, starting at the top of the hierarchy, is to tie
the IT strategic plan to the organization’s overall strategic plan.
POINTS: 1
REFERENCES: p.143
31. The _____ stage of information technology planning outlines business processes that are central to achieving strategic
goals and helps determine which ones could most benefit from information technology.
a. project planning b. business area analysis
c. resource allocation d. information technology strategy planning
ANSWER: b
RATIONALE: Feedback: The business area analysis outlines business processes that are central to achieving
strategic goals and helps determine which processes could most benefit from IT.
POINTS: 1
REFERENCES: p.143
32. In the _____ stage of selecting information technology projects, organizations define project scope, benefits, and
constraints.
ANSWER: a
RATIONALE: Feedback: In the project planning stage of selecting information technology projects,
organizations define project scope, benefits, and constraints.
POINTS: 1
REFERENCES: p.143
33. In the _____ stage of selecting information technology projects, organizations select information technology projects.
ANSWER: c
RATIONALE: Feedback: In the resource allocation stage of selecting information technology projects,
organizations select information technology projects.
POINTS: 1
REFERENCES: p.144
34. _____ are new requirements imposed by management, government, or some external influence.
a. Opportunities b. Charters
c. Problems d. Directives
ANSWER: d
RATIONALE: Feedback: Directives are new requirements imposed by management, government, or some
external influence.
POINTS: 1
REFERENCES: p.147

35. _____ analysis is a method of calculating the expected net monetary gain or loss from a project by discounting all
expected future cash inflows and outflows to the present point in time.
a. Cost of capital b. Net present value
c. Cash flow d. Payback
ANSWER: b
RATIONALE: Feedback: Net present value (NPV) analysis is a method of calculating the expected net
monetary gain or loss from a project by discounting all expected future cash inflows and
outflows to the present point in time.
POINTS: 1
REFERENCES: p.148
36. Benefits minus costs is known as the _____.

a. cost of capital b. cash flow
c. discount factor d. opportunity cost of capital
ANSWER: b
RATIONALE: Feedback: Cash flow is the benefits minus costs or income minus expenses.
POINTS: 1
REFERENCES: p. 148
37. The first step in determining the NPV is to _____.

a. determine the estimated costs and benefits for the life of the project and the products it produces
b. determine the discount rate
c. calculate the net present value
d. determine the cash flow
ANSWER: a
RATIONALE: Feedback: The first step in determining the NPV is to calculate the estimated costs and
benefits for the life of the project and the products it creates.
POINTS: 1
REFERENCES: p.149

38. Which of the following is true of return on investment or ROI?
a. It is always a percentage.
b. It is always a positive number.
c. It is the result of adding the project costs to the profits.
d. The lower it is, the better.
ANSWER: a
RATIONALE: Feedback: The ROI is always a percentage. It can be positive or negative.
POINTS: 1
REFERENCES: p.151
39. The _____ is the minimum acceptable rate of return on an investment.

a. capitalization rate b. internal rate of return
c. discount rate d. required rate of return
ANSWER: d
RATIONALE: Feedback: The required rate of return is the minimum acceptable rate of return on an
investment.
POINTS: 1
REFERENCES: p.151
40. Payback occurs when:

a. the net cumulative benefits minus costs equal one.
b. the net cumulative benefits equal the net cumulative costs.
c. the net costs are lower than the cumulative benefits.
d. the cumulative benefits are double the cumulative costs.
ANSWER: b
RATIONALE: Feedback: Payback occurs when the net cumulative benefits equal the net cumulative costs,
or when the net cumulative benefits minus costs equal zero.
POINTS: 1
REFERENCES: p.151`
41. A project’s internal rate of return can be determined by finding what discount rate results in an NPV of _____ for the
project.
a. zero b. one
c. a hundred percent d. fifty percent
ANSWER: a
RATIONALE: Feedback: You can determine a project’s internal rate of return (IRR) by finding what
discount rate results in an NPV of zero for the project.
POINTS: 1
REFERENCES: p.151
42. In a weighted scoring model, the sum of the weights of all the criteria must total _____ percent.
a. 10 b. 50
c. 100 d. 150
ANSWER: c
RATIONALE: Feedback: In a weighted scoring model, a weight is assigned to each criterion based on its
importance to the project. Determining weights requires consultation and final agreement.
You can assign weights based on percentages; the weights of the criteria must total 100
percent.
POINTS: 1
REFERENCES: p.153
43. A _____ is a document that recognizes the existence of a project and provides direction on the project’s objectives and
management.
a. stakeholder register b. risk register
c. directive d. project charter
ANSWER: d
RATIONALE: Feedback: A project charter is a document that formally recognizes the existence of a project
and provides direction on the project’s objectives and management.
POINTS: 1
REFERENCES: p.155
44. The business case includes information on _____.

a. the business need for the project
b. relevant government or industry standards
c. the project objective, high-level requirements, and time and cost goals
d. policies, procedures, guidelines, and systems that influence a project’s success
ANSWER: c
RATIONALE: Feedback: Many projects require a business case to justify their investment. Information in
the business case, such as the project objective, high-level requirements, and time and cost
goals, is included in the project charter.
POINTS: 1
REFERENCES: p.155
45. Which of the following are organizational process assets?

a. Management systems b. The organization’s infrastructure
c. Government standards d. Marketplace conditions
ANSWER: a
RATIONALE: Feedback: Organizational process assets include formal and informal plans, policies,
procedures, guidelines, information systems, financial systems, management systems, lessons
learned, and historical information that can influence a project’s success.
POINTS: 1
REFERENCES: p.155
46. A _____ is a document used to coordinate all project planning documents and help guide a project’s execution and
control.
a. project management plan b. statement of work
c. scope statement d. business case
ANSWER: a
RATIONALE: Feedback: A project management plan is a document used to coordinate all project planning
documents and help guide a project’s execution and control.
POINTS: 1
REFERENCES: p.158
47. The _____ section of the project plan should describe the major project functions and activities and identify those
individuals who are in charge of them.
a. organizational charts
b. other organizational or process-related information
c. project responsibilities
d. management objectives
ANSWER: c
RATIONALE: Feedback: This section of the project plan should describe the major project functions and
activities and identify the people responsible for them. A responsibility assignment matrix is
often used to display this information.
POINTS: 1
REFERENCES: p.159
48. The _____ section of the project management plan describes how to monitor project progress and handle changes.
a. management objectives b. project controls
c. risk management d. technical processes
ANSWER: b
RATIONALE: Feedback: The project controls section describes how to monitor project progress and handle
changes. Will there be monthly status reviews and quarterly progress reviews? Will there be
specific forms or charts to monitor progress?
POINTS: 1
REFERENCES: p.160
49. The _____ section of the project management plan describes specific methodologies a project might use and explains
how to document information.
a. management objectives b. project controls
c. risk management d. technical processes
ANSWER: d
RATIONALE: Feedback: The technical processes section describes specific methodologies a project might
use and explains how to document information.
POINTS: 1

REFERENCES: p.160
50. The project schedule information section of the project management plan includes ____.
a. a detailed budget b. a list of key deliverables
c. an elaborate timetable d. a directory of staff involved in the project
ANSWER: c
RATIONALE: Feedback: The project schedule information section should include a detailed schedule that
provides more detailed information about the project schedule. It should reference the
schedule management plan and discuss dependencies among project activities that could
affect the project schedule.
POINTS: 1
REFERENCES: p.161
51. The majority of time on a project is usually spent on _____, as is most of the project’s budget.
a. execution b. planning
c. closing d. monitoring and controlling
ANSWER: a
RATIONALE: Feedback: The majority of time on a project is usually spent on execution, as is most of the
project’s budget.
POINTS: 1
REFERENCES: p.162
52. _____ should result in improvements in project performance.

a. Corrective actions b. Defect repairs
c. Preventive actions d. Product acceptance plans
ANSWER: a
POINTS: 1
REFERENCES: p.167
53. Which of the following is a proactive process undertaken to reduce the probability of negative consequences
associated with project risks?
a. Performance reports b. Preventive actions
c. Defect repairs d. Corrective actions
ANSWER: b
RATIONALE: Feedback: Preventive actions reduce the probability of negative consequences associated
with project risks. The problem has not yet occurred. Measures are taken so that problems do
not occur.
POINTS: 1
REFERENCES: p.167
54. An IT company revises its process parameters in response to complaints from vendors that products were not ready on
time. This would be an example of _____.
a. cost forecasting b. a preventive action
c. defect repairs d. a corrective action
ANSWER: d
POINTS: 1
REFERENCES: p.167
KEYWORDS: Bloom's: Application
55. A(n) _____ is a formal, documented process that describes when and how official project documents may be
modified, the people authorized to make modifications, and the paperwork required for these changes.
a. WBS b. project charter
c. performance report d. change control system
ANSWER: d
RATIONALE: Feedback: A change control system is a formal, documented process that describes when and
how official project documents may be changed. It also describes the people authorized to
make changes, the paperwork required for these changes, and any automated or manual
tracking systems the project will use.
POINTS: 1

REFERENCES: p.169
56. _____ involves identifying and controlling the functional and physical design characteristics of products and their
support documentation, and ensures that the descriptions of the project’s products are correct and complete.
a. NPV analysis b. Project management information systems
c. Configuration management d. Project time management
ANSWER: c
RATIONALE: Feedback: Configuration management ensures that the descriptions of the project’s products
are correct and complete. It involves identifying and controlling the functional and physical
design characteristics of products and their support documentation.
POINTS: 1
REFERENCES: p.170
Completion
57. _____ involves coordinating all of the other project management knowledge areas throughout a project’s life cycle.
ANSWER: Project integration management
POINTS: 1
REFERENCES: p.138
58. _____ involves identifying and managing the points of interaction between various elements of the project.
ANSWER: Interface management
POINTS: 1
REFERENCES: p.140

59. _____ involves determining long-term objectives by analyzing the strengths and weaknesses, studying opportunities
and threats, predicting future trends, and projecting the need for new products and services.
ANSWER: Strategic planning
POINTS: 1
REFERENCES: p.141
60. A(n) _____ involves analyzing a company’s strengths, weaknesses, opportunities, and threats, and is used to aid in
strategic planning.
ANSWER: SWOT analysis
POINTS: 1
REFERENCES: p.142
61. _____ is a technique that uses branches radiating from a core idea to structure thoughts and ideas.
ANSWER: Mind mapping
POINTS: 1
REFERENCES: p.142
62. _____ refer to undesirable situations that prevent an organization from achieving its goals.
ANSWER: Problems
POINTS: 1
REFERENCES: p.146
63. _____ refer to chances to improve the organization.

ANSWER: Opportunities
POINTS: 1
REFERENCES: p.147
64. _____ are new requirements imposed by management, government, or some external influence.
ANSWER: Directives
POINTS: 1
REFERENCES: p.147
65. _____ analysis is a method of calculating the expected net monetary gain or loss from a project by discounting all
expected future cash inflows and outflows to the present point in time.
ANSWER: Net present value
Net present value (NPV)
NPV
POINTS: 1
REFERENCES: p.148
66. A positive NPV means the return from a project exceeds the _____, the return available by investing the capital
elsewhere.
ANSWER: cost of capital
POINTS: 1
REFERENCES: p.148
67. _____ is the result of subtracting the project costs from the benefits and then dividing by the costs.
ANSWER: ROI
Return on investment
Return on investment (ROI)

POINTS: 1
REFERENCES: p.150
68. The _____ is the discount rate that results in an NPV of zero for a project.
ANSWER: internal rate of return
internal rate of return (IRR)
IRR
POINTS: 1
REFERENCES: p.151
69. A(n) _____ is a tool that provides a systematic process for selecting projects based on many criteria.
ANSWER: weighted scoring model
POINTS: 1
REFERENCES: p.152
70. A(n) _____ is a methodology that converts value drivers, such as customer service, innovation, operational efficiency,
and financial performance, to a series of defined metrics.
ANSWER: balanced scorecard
POINTS: 1
REFERENCES: p.154
71. _____ factors include relevant government or industry standards, the organization’s infrastructure, and marketplace
conditions.
ANSWER: Enterprise environmental
POINTS: 1
REFERENCES: p.155
72. _____ include formal and informal plans, policies, procedures, guidelines, information systems, financial systems,
management systems, lessons learned, and historical information that can be used to influence a project’s success.
ANSWER: Organizational process assets
POINTS: 1
REFERENCES: p.155
73. In project integration management, project ______ and _______ are intertwined and inseparable activities.
ANSWER: planning, execution
POINTS: 1
REFERENCES: p.163
74. _____ project work includes collecting, measuring, and disseminating performance information.
ANSWER: Monitoring
POINTS: 1
REFERENCES: p.166
75. A(n) _____ is the approved project management plan plus approved changes.
ANSWER: baseline
POINTS: 1
REFERENCES: p.166

76. _____ involves identifying, evaluating, and managing changes throughout the project life cycle.
ANSWER: Integrated change control
POINTS: 1
REFERENCES: p.168
77. A(n) _____ is a formal group of people responsible for approving or rejecting changes to a project.
ANSWER: change control board
change control board (CCB)
CCB
POINTS: 1
REFERENCES: p.169
Essay
78. List and briefly describe the six main processes involved in project integration management.
ANSWER: 1. Developing the project charter involves working with stakeholders to create the
document that formally authorizes a project—the charter.
2. Developing the project management plan involves coordinating all planning efforts to
create a consistent, coherent document—the project management plan.
3. Directing and managing project execution involves carrying out the project management
plan by performing the activities included in it. The outputs of this process are deliverables,
work performance information, change requests, project management plan updates, and
project document updates.
4. Monitoring and controlling project work involves overseeing activities to meet the
performance objectives of the project. The outputs of this process are change requests,
project management plan updates, and project document updates.
5. Performing integrated change control involves identifying, evaluating, and managing
changes throughout the project life cycle. The outputs of this process include change request
status updates, project management plan updates, and project document updates.
6. Closing the project or phase involves finalizing all activities to formally close the project
or phrase. Outputs of this process include final product, service, or result transition and
organizational process assets updates.
POINTS: 1
TOPICS: What is Project Integration Management?
79. What are the methods for categorizing information technology projects?
ANSWER: Selecting projects is based on various categorizations, such as the impetus for the project, the
time window for the project, and the general priority for the project.
The impetus for a project is often the need to respond to a problem, an opportunity, or a
directive. Problems are undesirable situations that prevent an organization from achieving its
goals. These problems can be current or anticipated. For example, users of an information
system may be having trouble logging onto the system or getting information in a timely
manner because the system has reached its capacity. In response, the company could initiate a
project to enhance the current system by adding more access lines or upgrading the hardware
with a faster processor, more memory, or more storage space. Opportunities are chances to
improve the organization. For example, the project described in the opening case involves
creating a new product that can make or break the entire company. Directives are new
requirements imposed by management, government, or some external influence. For
example, many projects involving medical technologies must meet rigorous government
requirements.
Another categorization for information technology projects is based on the time it will take to
complete a project or the date by which it must be done. For example, some potential projects
must be finished within a specific time window. If they cannot be finished by this set date,
they are no longer valid projects. Some projects can be completed very quickly—within a
few weeks, days, or even minutes. Many organizations have an end user support function to
handle very small projects that can be completed quickly. Even though many information
technology projects can be completed quickly, it is still important to prioritize them.
Organizations can prioritize information technology projects as being high, medium, or low
priority based on the current business environment. For example, if it is crucial to cut
operating costs quickly, projects that have the most potential to do so would be given a high
priority. The organization should always complete high-priority projects first, even if a low-
or medium-priority project could be finished in less time. Usually there are many more
potential information technology projects than an organization can undertake at any one time,
so it is very important to work on the most important ones first.
POINTS: 1
80. What is a weighted scoring model? How is it created?

ANSWER: A weighted scoring model is a tool that provides a systematic process for selecting projects
based on many criteria. These criteria can include factors such as meeting broad
organizational needs; addressing problems, opportunities, or directives; the amount of time it
will take to complete the project; the overall priority of the project; and projected financial
performance of the project.
The first step in creating a weighted scoring model is to identify criteria important to the
project selection process. It often takes time to develop and reach agreement on these criteria.
Holding facilitated brainstorming sessions or using groupware to exchange ideas can aid in
developing these criteria. Some possible criteria for information technology projects include:
• Supports key business objectives

• Has strong internal sponsor
• Has strong customer support
• Uses realistic level of technology
• Can be implemented in one year or less
• Provides positive NPV
• Has low risk in meeting scope, time, and cost goals
Next, you assign a weight to each criterion. Once again, determining weights requires
consultation and final agreement. These weights indicate how much you value each criterion
or how important each criterion is. You can assign weights based on percentages, and the
sum of all of the criteria’s weights must total 100 percent. You then assign numerical scores
to each criterion (for example, 0 to 100) for each project. The scores indicate how much each
project meets each criterion. At this point, you can use a spreadsheet application to create a
matrix of projects, criteria, weights, and scores. After assigning weights for the criteria and
scores for each project, you calculate a weighted score for each project by multiplying the
weight for each criterion by its score and adding the resulting values.
POINTS: 1
DIFFICULTY: Difficulty: Challenging
81. What is a project charter? Discuss the inputs that can aid the development of a project charter.
ANSWER: A project charter is a document that formally recognizes the existence of a project and
provides direction on the project’s objectives and management. It authorizes the project
manager to use organizational resources to complete the project. Ideally, the project manager
provides a major role in developing the project charter.
The following inputs are helpful in developing a project charter:

• A project statement of work: A statement of work is a document that describes the products
or services to be created by the project team. It usually includes a description of the business
need for the project, a summary of the requirements and characteristics of the products or
services, and organizational information, such as appropriate parts of the strategic plan,
showing the alignment of the project with strategic goals.
• A business case: Many projects require a business case to justify their investment.
Information in the business case, such as the project objective, high-level requirements, and
time and cost goals, is included in the project charter.
• Agreements: If you are working on a project under contract for an external customer, the
contract or agreement should include much of the information needed for creating a good
project charter. Some people might use a contract or agreement in place of a charter;
however, many contracts are difficult to read and can often change, so it is still a good idea to
create a project charter.
• Enterprise environmental factors: These factors include relevant government or industry
standards, the organization’s infrastructure, and marketplace conditions.Managers should
review these factors when developing a project charter.
• Organizational process assets: Organizational process assets include formal and informal
plans, policies, procedures, guidelines, information systems,financial systems, management
systems, lessons learned, and historical information that can influence a project’s success.
POINTS: 1
REFERENCES: p.155
82. Discuss the three items that should be summarized in the work that needs to be performed section of the project
management plan.
ANSWER: Major work packages: A project manager usually organizes the project work into several
work packages using a work breakdown structure (WBS) and produces a scope statement to
describe the work in more detail. This section should briefly summarize the main work
packages for the project and refer to appropriate sections of the scope management plan.
Key deliverables: This section lists and describes the key products created as part of the
project. It should also describe the quality expectations for the product deliverables.
Other work-related information: This section highlights key information related to the work
performed on the project. For example, it might list specific hardware or software to use on
the project or certain specifications to follow. It should document major assumptions made in
defining the project work.
POINTS: 1
REFERENCES: p.160
83. What is integrated change control? What are the main objectives of integrated change control?
ANSWER: Integrated change control involves identifying, evaluating, and managing changes throughout
the project life cycle. The three main objectives of integrated change control are:
1. Influencing the factors that create changes to ensure that changes are beneficial: To ensure
that changes are beneficial and that a project is successful, project managers and their teams
must make trade-offs among key project dimensions, such as scope, time, cost, and quality.
2. Determining that a change has occurred: To determine that a change has occurred, the
project manager must know the status of key project areas at all times. In addition, the project
manager must communicate significant changes to top management and key stakeholders.
Top management and other key stakeholders do not like surprises, especially ones that mean
the project might produce less, take longer to complete, cost more than planned, or be of
lower quality than desired.
3. Managing actual changes as they occur: Managing change is a key role of project
managers and their teams. It is important that project managers exercise discipline in
managing the project to help minimize the number of changes that occur.
POINTS: 1
REFERENCES: p.168

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Chapter 4: Project Integration Management

Information Technology Project

Test bank: https://testbankpack.com/p/test-bank-for-information-

Solution Manual: https://testbankpack.com/p/solution-manual-for-

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8. Projects that address broad organizational needs are likely to fail.

10. Opportunities and directives are essentially the same thing.

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16. The ROI is always positive.

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22. A Gantt chart is the same as a project management plan.

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25. Change requests are always made in writing.

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30. The first step in the planning process is _____.

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36. Benefits minus costs is known as the _____.

37. The first step in determining the NPV is to _____.

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39. The _____ is the minimum acceptable rate of return on an investment.

40. Payback occurs when:

44. The business case includes information on _____.

45. Which of the following are organizational process assets?

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52. _____ should result in improvements in project performance.

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63. _____ refer to chances to improve the organization.

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80. What is a weighted scoring model? How is it created?

• Supports key business objectives

The following inputs are helpful in developing a project charter:

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