PRINCE2F PRINCE2 Practices Practice Question
Which PRINCE2 principle is applied when a Project Manager escalates a forecast tolerance deviation to the Project Board?
⚠ Common exam trap
It's easy for candidates to confuse 'Manage by exception' with 'Manage by stages' because both involve board-level decisions, but 'Manage by exception' specifically triggers escalation on tolerance deviation, whereas stage boundaries are planned review points regardless of tolerance status.
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
✓
Manage by exception
When a Project Manager forecasts that a tolerance (e.g., cost or time) will be exceeded, they escalate to the Project Board. This is the direct application of the 'Manage by exception' principle, which defines tolerances for each management level and requires escalation only when those tolerances are forecast to be breached, allowing normal management within tolerances without board intervention.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Manage by stages
Why it's wrong here
Manage by stages concerns dividing the project into manageable stages with end stage assessments and stage boundaries. Escalating a forecast tolerance deviation instead demonstrates manage by exception, where the Project Board sets tolerances and the Project Manager refers breaches upward.
- ✗
Focus on products
Why it's wrong here
Focus on products concerns defining and delivering agreed products with quality criteria; it says nothing about escalation thresholds. Escalating a forecast tolerance breach demonstrates the manage by exception principle, where authority is delegated within tolerances and breaches are referred upward.
- ✓
Manage by exception
Why this is correct
Escalating a forecast tolerance deviation directly enacts the manage by exception principle: the Project Board sets tolerances, and only breaches are escalated, keeping senior attention on exceptions rather than routine progress. The Project Manager's escalation satisfies the stem's constraint by triggering board-level direction once the delegated tolerance is forecast to be exceeded.
- ✗
Continued business justification
Why it's wrong here
Continued business justification concerns whether the business case remains valid throughout the project, not the mechanism for escalating a forecast tolerance breach. That escalation demonstrates manage by exception, since the Project Manager refers the deviation upward once delegated tolerance is forecast to be exceeded.
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