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CHAPTER 1Project Management ConceptsTrue/False1. A project is an endeavor to accomplish a specific objective through a unique set of interrelated tasks and the effective utilization of resources. ANSWER: T 2. The objective of a project is usually defined in terms of resources, schedule, and cost. : F3. A project is carried out through a series of non-dependent tasks ANSWER: F 4. A project has a specific time frame, or finite life span. ANSWER: T 5. A project is based on a unique set of tasks and estimates of how long each task should take. T 6. The combination of assumptions and estimates allow for complete certainty that the project objective will be completely accomplished. ANSWER: F 7. The scope of a project is all the work that must be done in order to satisfy the customer that the deliverables meet the requirements or acceptance criteria agreed upon at the onset of the project. T 8. The schedule for a project is the timetable that specifies approximately when most activities should start. ANSWER: F 9. Good planning and communication are essential to prevent problems from occurring and to minimize their impact on the achievement of the project objective when they do occur. ANSWER: T 10. There are five main phases of a project life cycle. ANSWER: F 11. The needs and requirements are usually written up by the customer in a document called a request for prices (RFP). ANSWER: F 12. All business situations involve an RFP. ANSWER: F 13. The second phase of the project life cycle is the development of a proposed solution to the need or problem ANSWER: T14. The second phase of the project life cycle is the implementation of the proposed solution. F 15. The final phase of the project life cycle is terminating the project. ANSWER: T 16. Project life cycles typically are have standard lengths with little variation between different projects. ANSWER: F 17. Project management involves a process of first establishing a plan and then implementing that plan. ANSWER: T 18. A project breakdown list (PBL) is a hierarchical tree of products produced by the project team during the project. ANSWER: F 19. A network diagram shows the necessary sequence and interdependencies of activities to achieve the project objective. ANSWER: T 20. Once the project starts, it is often not necessary to monitor progress to ensure that everything is going according to plan. ANSWER: F Multiple Choice21. A _C_ is an endeavor to accomplish a specific objective through a unique set of interrelated tasks and the effective utilization of resources.a. work schedule b. projection c. project d. task list22.The _D_ of a project is usually defined in terms of scope, schedule, and cost. a. performance b. schedule c. adjective d. objective23.The successful accomplishment of the project objective is usually constrained by four factors: _C_ a. resource, cost, schedule, and customer satisfaction b. scope, quality, schedule, and customer satisfaction c. scope, cost, schedule, and customer satisfaction d. scope, cost, schedule, and completion24.All of the work that must be done in order to satisfy the customer that the deliverables meet the requirements or acceptance criteria agreed upon at the onset of the project is called: _A_ a. scope b. plan c. schedule d. objective 25. The _B_ for a project is the timetable that specifies when each activity should start and finish. a. objective b. schedule c. scope d. time scope26. Before the start of the project, it is important to develop a _B_, which includes all the work tasks, associated costs, and estimates of the time necessary to complete them. a. panel b. plan c. object list d. time frame27. Ultimately, the responsibility of the project manager is to: _C_ a. finish the project as quickly as possible b. finish the project as cheaply as possible c. make sure the customer is satisfied d. make independent decisions 28. What are the four phases of the project life cycle? _D_ a. Identify a need, plan, develop a proposed solution, perform the project b. Plan, identify a need, develop a proposed solution, perform the project c. Identify a need, develop a proposed solution, terminate the project, repeat d. Identify a need, develop a proposed solution, perform the project, terminate the project 29. This first phase of the project life cycle involves the: _A_ a. identification of a need, problem, or opportunity b. contract negotiations c. brainstorming solutions d. identifying the tasks to be performed 30. The need and requirements are usually written up by the customer in a document called a(n): _B_ a. request for price b. request for proposal c. request for contracts d. request for bids 31. The _B_ phase of the project life cycle is the development of a proposed solution to the need or problem. a. first b. second c. third d. fourth 32. The third phase of the project life cycle is the : _A_ a. implementation of the proposed solution b. implementation of schedule maintenance c. development of proposed solutions d. contract negotiations 33. The _B_ phase of the project life cycle is terminating the project. a. third b. fourth c. fifth d. sixth 34. The front-end effort in managing a project must be focused on establishing a: _D_ a. schedule b. user arrangement c. quality procedures d. baseline plan 35. A _C_ is a hierarchical tree of work elements or items accomplished or produced by the project team during the project. a. work load structure b. project breakdown diagram c. work breakdown structure d. project task distribution list 36. A _D_ diagram shows the necessary sequence and interdependencies of activities to achieve the project objective. a. netting b. breakdown c. time-line d. network 37. The key to effective _C_ is measuring actual progress and comparing it to planned progress on a timely and regular basis and taking corrective action immediately, if necessary. a. project planning b. work breakdown c. project control d. quality efficiencyShort Answer 38. What are 7 attributes of a project? a. A well-defined objective b. Interdependent tasks c. Use of resources d. A specific time frame e. A unique or one-time endeavor f. A customer g. Degree of uncertainty 39. What four factors constrain the accomplishment of a project objective? a. Scope b. Cost c. Schedule d. Customer satisfaction 40. What are the four phases of the project life cycle? a. Identify a need b. Develop a proposed solution c. Perform the project d. Terminate the project 41. List the steps involved in the project management process: a. Clearly define the project objectiveb. Divide and subdivide the project scope into major piece or work packages c. Define the specific activities that need to be performed for each work package d. Graphically portray the activities in the form of a network diagram e. Make a time estimate for each activity f. Make a cost estimate for each activity g. Calculate a project schedule and budget 42. Define a work breakdown structure. A work breakdown structure (WBS) is a hierarchical tree of work elements or items accomplished or produced by the project team during the project. The work breakdown structure usually identifies the organization or individual responsible for each work package. 43. The baseline plan for a project should include: a. The start and completion dates for each activity b. The amounts of the various resources that will be needed during each time period The budget for each time period, as well as the cumulative budget from the start of the project through each time period CHAPTER 2 Needs Identification True/False1. Needs resolution is the initial phase of the project life cycle. ANSWER: F 2. Before a request for proposal is prepared, the customer must clearly define the problem or need. T 3. The purpose of preparing a request for proposal is to state, comprehensively and in detail, what is required, from the contractors point of view, to address the identified need. ANSWER: F 4. In many situations a formal RFP may not be prepared. ANSWER: T 5. Instead of a formal RFP sometimes needs are communicated orally instead of in writing . T 6. A statement of work (SOW) is an optional part of an RFP. ANSWER: F 7. An RFP includes the customer regulations, which define specifications and attributes. ANSWER: F 8. Deliverables are the tangible items that the contractor is to supply. ANSWER: T 9. Any customer-supplied items are not be listed in an RFP. ANSWER: F 10. In a cost contract the customer will pay the contractor a fixed amount regardless of how much the work actually costs the contractor. ANSWER: F 11.Progress payments, based on a percentage of the total price, are those made as certain milestones are accomplished. ANSWER: T12. An RFP should vaguely state the schedule for completion of the project. ANSWER: F 13. Instructions in an RFP might state the maximum number of pages, the number of details the customer wants the contractor to show regarding the costs, and other specifications. ANSWER: T 14. The RFP should indicate the due date by which the customer expects potential contractors to submit proposals. ANSWER: T 15. In all cases an RFP should indicate the funds the customer has available to spend on the project ANSWER: F 16. Business customers and contractors consider the RFP/proposal process to be a competitive situation. ANSWER: T 17. All project life cycles include the preparation of a written request for proposal and subsequent proposals from contractors. ANSWER: F18. Project selection involves evaluating various needs or opportunities, and then deciding which of these should be moved forward as a project. ANSWER: T 19. During project selection only quantitative factors should be evaluated. ANSWER: FMultiple Choice 18. _B_ is the initial phase of the project life cycle. a. Needs resolution b. Needs identification c. Problem generation d. Brainstorming 19. Before a _D_ is prepared, the customer must clearly define the problem or need. a. Request for solutions b. Request for procedures c. Request for processing d. Request for proposal 20. The purpose of preparing a request for proposal is to state, comprehensively and in detail, what is required, from the customers point of view, to address the _B_. a. cost issues b. identified need c. technical ideas d. work breakdown goals 21. A _C_ deals with the scope of the project, outlining the tasks or work elements the customer wants the contractor or project team to perform. a. statement of objectives b. statement of goals c. statement of work d. statement of constraints 22. The RFP must include the customer requirements, which define _A_ and attributes. a. specifications b. documents c. spatial relations d. activities 23. _A_ are the tangible items that the contractor is to supply. a. deliverables b. documents c. SOWs d. work breakdowns 24. In a _C_ contract, the customer will pay the contractor a set amount regardless of how much the work actually costs the contractor. a. flat price b. time-based c. fixed price d. time and materials 25. _D_, based on a percentage of the total price, are those made as certain milestones are accomplished. a. pattern payments b. direct fees c. progress statements d. progress payments 26. The _A_ criteria are the criteria that the customer will use to evaluate proposals from competing contractors in order to select the one to perform the project a. evaluation b. evolving c. schedule d. cost 27. Business or government customers may hold a _B_ meeting to explain the RFP and answer questions from interested contractors. a. bribers b. bidders c. post-implementation d. work scope 28. The first step in the project selection process is to: _D_ a. estimate the sales from the system or product b. list assumptions for the opportunity c. study legal barriers d. develop a set of criteria to evaluate each opportunity 29. Evaluating various needs or opportunities, and then deciding which should be moved forward as a project is called: _B_ a. Project Decision-Making b. Project Selection c. Project Projections d. Project Sorting and Classification Short Answer30. What must be done before a request for proposal is prepared? Before a request for proposal is prepared, the customer must clearly define the problem or need. This may mean gathering data about the magnitude of the problem. 31. What is the purpose of preparing a request for proposal? The purpose of preparing a request for proposal is to state, comprehensively and in detail, what is required, from the customers point of view, to address the identified need. 32. Give 12 guidelines for drafting a formal request for proposal to external contractors. a. An RFP must provide a statement of work (SOW) b. The RFP must include the customer requirements, which define specifications and attributes. c. The RFP should state what deliverables the customer expects the contractor or project team to provide. d. The RFP should list any customer-supplied items e. The RFP might state the approvals required by the customer f. Some RFPs mention the type of contract the customer intends to use g. An RFP might state the payment terms the customer intends to use h. The RFP should state the required schedule for completion of the project. i. The RFP should provide instructions for the format and content of the contractor proposals. j. The RFP should indicate the due date by which the customer expects potential contractors to submit proposals. k. An RFP may include the evaluation criteria. l. In rare cases an RFP will indicate the funds the customer has available to spend on the project.33. What does SOW mean? A statement of work (SOW) is part of an RFP and deals with the scope of the project, outlining the tasks or work elements the customer wants the contractor or project team to perform. 34. Give examples of evaluation criteria that might be included in an RFP. a. The contractors experience with similar projects b. The technical approach proposed by the contractor c. The schedule d. The costs 35. List the four steps of project selection. a. Develop a set of criteria against which each opportunity will be evaluated b. List the assumptions for each opportunity c. Gather data and information for each opportunityd. Evaluate each opportunity against the criteria CHAPTER 3Proposed SolutionsTrue/False 1.The development of proposed solutions by interested contractors or by the customersinternal project team in response to a customers request for proposal is the third phaseof the project life cycle. ANSWER: F2.In many situations a request for proposal does not involve soliciting competitiveproposals from external contractors. ANSWER: T3.The “Develop a Proposed Solution” phase of the project life cycle may be completelybypassed for certain endeavors. ANSWER: T4.Contractors must wait until formal RFP solicitations are announced by customersbefore starting to develop proposals. ANSWER: F5.Contractors should maintain frequent contacts with past customers and currentcustomers and initiate contacts with potential new customers. ANSWER: T6.Pre-RFP or pre-proposal efforts by a contractor are considered marketing or businessdevelopment but are still frequently charged to the customer. ANSWER: F7.The competition should be considered before preparing a proposal. ANSWER: T8.The proposal selection process is a non-competitive process. ANSWER: F9.Proposals should attempt to promise more than what is expected and tend to be a little overly optimistic. ANSWER: F10.Customers frequently pay contractors to prepare proposals. ANSWER: F11.The objective of the management section of the contractor proposal is to convince the customer that the contractor understands the need or problem and can provide the least risky and most beneficial solution. ANSWER: F12.If the contractor cannot meet a specific customer requirement, that fact should be avoided in the contractor proposal. ANSWER: F13.A proposal should give the estimated costs for the various classifications of people who are expected to work on the project. ANSWER: T14.For large projects that are expected to take several years to complete, the contractor needs to include the costs of escalation in wage rates and materials costs over the length of the project. T15.Contingency is an amount the contractor may want to include to cover the unexpected. T16.The contractor doesnt need to waste the time needed to think through the project and estimate costs during proposal preparation; ballpark estimates usually work just fine. ANSWER: F17.Contractors must continue to be proactive even after the proposal is submitted. ANSWER: T18.Evaluation scorecards should be the sole mechanism for evaluating proposals and selecting the winner. ANSWER: F19.It is often a good idea to “low-ball” the cost on a proposal to increase the chances of winning. ANSWER: F20.A contract is an agreement between the contractor, who agrees to provide a product or service (deliverables), and the customer, who agrees to pay the contractor a certain amount in return. T21.There are basically two types of contracts: flat price and cost analysis. ANSWER: F22.In a cost reimbursement contract, the customer and the contractor agree on a price for the proposed work and that price remains fixed unless the customer and contractor agree on changes. ANSWER: F23.The fixed price type

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