PfMP Practice Test 2 — 10 Questions

Question 1

During a governance audit, it is found that project managers are not using the standardized reporting templates defined in the Portfolio Governance Plan. What is the best action?

Accepted Answer

Investigate the root cause of non-compliance and revise the process or training as needed.. Governance compliance requires adherence to defined processes; identifying the root cause allows for systemic improvement.

Answer

Sanction the project managers for non-compliance.

Answer

Manually update all reports to comply with the standard.

Answer

Ignore the finding if the projects are still achieving their KPIs.

Question 2

What is the purpose of authorizing a portfolio component?

Accepted Answer

To formally approve and allocate resources to the component.. Authorization formally commits resources and budget, signaling that the component is aligned with the strategy and ready for execution.

Answer

To hire the project manager.

Answer

To update the portfolio audit records.

Answer

To notify stakeholders that the project is finished.

Question 3

A portfolio manager needs to ensure that the governance structure is optimized for rapid decision-making. Which approach is best?

Accepted Answer

Clearly define decision rights and thresholds for escalation within the Portfolio Governance Plan.. Clear roles, responsibilities, and defined decision-making authority reduce bureaucracy and speed up governance.

Answer

Delegate all decisions to the project managers.

Answer

Remove all governance reviews to reduce overhead.

Answer

Increase the frequency of governance committee meetings.

Question 4

When a portfolio risk occurs and impacts the strategic goals, this event is now classified as:

Accepted Answer

A portfolio issue.. Once a risk occurs, it is officially recorded as an issue.

Answer

An external audit finding.

Answer

A project failure.

Answer

A new risk.

Question 5

If the portfolio's realized benefits are significantly lower than planned, what is the first step the portfolio manager should take?

Accepted Answer

Perform a root cause analysis of the benefit shortfall.. Before changing the portfolio, you must analyze why the benefits are not being realized to see if it is a strategy, execution, or alignment issue.

Answer

Double the project budget.

Answer

Abandon the strategy.

Answer

Fire the project managers.

Question 6

Which THREE stakeholders are typically involved in the portfolio strategic planning process?

Accepted Answer

Portfolio manager.. Portfolio planning requires input from executive leadership, the portfolio manager, and relevant functional heads.

Answer

The office cleaning staff.

Answer

Local delivery drivers.

Question 7

How does a portfolio audit contribute to portfolio governance?

Accepted Answer

By evaluating the effectiveness of the governance framework and ensuring process compliance.. Audits identify gaps, process failures, and non-compliance, allowing for continuous improvement of the governance framework.

Answer

By authorizing the next year's budget.

Answer

By enforcing project management compliance with technical standards.

Answer

By selecting new projects for the portfolio.

Question 8

You are reviewing the portfolio governance model. Why would you implement a tiered governance approach?

Accepted Answer

To allow for tailored oversight commensurate with the risk and complexity of components.. Tiered governance allows for different levels of oversight based on the complexity, risk, and strategic importance of the portfolio components.

Answer

To prevent project managers from speaking to the executive committee.

Answer

To reduce the number of employees required in the PMO.

Answer

To comply with outdated regulatory requirements.

Question 9

Which governance practice ensures that the portfolio remains aligned with changing market conditions?

Accepted Answer

Conducting regular portfolio reviews against the Portfolio Strategic Plan.. Periodic reviews of the portfolio against the current strategic context are necessary to ensure ongoing alignment.

Answer

Maintaining a static Portfolio Charter.

Answer

Strictly adhering to the initial project plan.

Answer

Limiting the number of components in the portfolio.

Question 10

Which of the following is a key component of the portfolio monitoring process?

Accepted Answer

Comparing actual portfolio performance against the Portfolio Management Plan.. Monitoring involves checking both actual progress and ongoing strategic alignment.

Answer

Selecting new vendors.

Answer

Updating individual project charters.

Answer

Managing daily project tasks.