PRINCE2F PRINCE2 Processes Practice Question
The Project Manager has identified an issue that could cause a delay in the current stage. The issue cannot be resolved within the stage's tolerance. What should the Project Manager do?
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Raise an Exception Report and seek direction from the Project Board
When a tolerance is forecast to be exceeded, the Project Manager must escalate to the Project Board via an Exception Report. The PM cannot ignore the issue or update the plan without authorisation. Closing the project is premature.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Close the project and produce an End Project Report
Why it's wrong here
Closure is a Project Board decision; the PM should escalate first.
- ✗
Update the Stage Plan to accommodate the delay and inform the Project Board
Why it's wrong here
The PM cannot change the Stage Plan without Project Board authorisation when tolerance is exceeded.
- ✗
Record the issue in the Daily Log and continue with the plan
Why it's wrong here
The Daily Log is for informal issues; a tolerance breach requires formal escalation.
- ✓
Raise an Exception Report and seek direction from the Project Board
Why this is correct
When an issue exceeds the stage's agreed tolerance, the Project Manager must escalate by raising an Exception Report, which formally notifies the Project Board that the stage's delegated authority is breached. This triggers the Board to assess the deviation and either approve a revised plan or take corrective action, satisfying the PRINCE2 principle of management by exception.
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