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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

    That relates to planning stage by stage.

  • Focus on products

    Why it's wrong here

    That relates to defining products and their quality criteria.

  • Manage by exception

    Why this is correct

    Correct. Escalating when tolerances are breached is management by exception.

  • Continued business justification

    Why it's wrong here

    That relates to the Business Case.

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