- A
Escalate to the functional manager to handle the situation
Why wrong: The PM should attempt formal performance management before escalating.
- B
Reassign the team member to less critical tasks to minimize impact
Why wrong: This avoids the problem and may not resolve the performance issue.
- C
Schedule a formal meeting to discuss the performance gap, set clear expectations, and agree on a performance improvement plan
A formal performance improvement plan provides structure and documentation for addressing underperformance.
- D
Remove the team member from the project and request a replacement
Why wrong: Removal should be a last resort after formal performance management.
Quick Answer
The correct next step is to schedule a formal meeting to discuss the performance gap, set clear expectations, and agree on a performance improvement plan. This is because, after informal coaching has failed, progressive performance management requires a documented, structured approach before any escalation or removal, as outlined in the PMBOK Guide’s emphasis on addressing issues through a formal process. On the PMP exam, this scenario tests your understanding of the hybrid approach, where the project manager retains team leadership responsibilities and must follow a clear escalation path—a common trap is jumping to reassignment or termination too quickly. Remember the memory tip: “Informal first, then formal PIP” to avoid skipping steps.
PMP People — Leading Projects Practice Question
This PMP practice question tests your understanding of people — leading projects. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
You are managing a project using a hybrid approach. A team member has been underperforming for several weeks. You have had informal conversations and provided coaching, but there has been no improvement. What should you do next?
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
Schedule a formal meeting to discuss the performance gap, set clear expectations, and agree on a performance improvement plan
Option C is correct because, after informal coaching has failed, the next step in progressive performance management is to hold a formal meeting to document the performance gap, set clear expectations, and create a Performance Improvement Plan (PIP). This aligns with the PMBOK Guide's emphasis on addressing issues through a structured, documented process before escalating or removing a team member, especially in a hybrid approach where the project manager retains team leadership responsibilities.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Escalate to the functional manager to handle the situation
Why it's wrong here
The PM should attempt formal performance management before escalating.
- ✗
Reassign the team member to less critical tasks to minimize impact
Why it's wrong here
This avoids the problem and may not resolve the performance issue.
- ✓
Schedule a formal meeting to discuss the performance gap, set clear expectations, and agree on a performance improvement plan
Why this is correct
A formal performance improvement plan provides structure and documentation for addressing underperformance.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Remove the team member from the project and request a replacement
Why it's wrong here
Removal should be a last resort after formal performance management.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates often jump to escalation (A) or removal (D) because they view underperformance as a functional manager issue, but the PMP exam tests the progressive discipline sequence where a formal PIP is mandatory before any escalation or termination.
Detailed technical explanation
How to think about this question
In a hybrid project environment, the project manager often has dual reporting lines and must balance servant leadership with accountability. The formal PIP meeting serves as a documented intervention that protects both the project and the organization legally, as it creates a paper trail of due process. Real-world application shows that without a PIP, subsequent removal or reassignment can lead to grievances or claims of unfair treatment, especially in regulated industries.
KKey Concepts to Remember
- Read the scenario before looking for a memorised answer.
- Find the constraint that changes the correct option.
- Eliminate answers that are true in general but not in this case.
TExam Day Tips
- Watch for words such as best, first, most likely and least administrative effort.
- Review why wrong options are wrong, not only why the correct option is correct.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
How this comes up in practice
A practitioner preparing for the PMP exam encounters this exact type of scenario on the job. The correct answer here is not the most general option — it is the best answer for the specific constraint described. Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option. Real exam questions reward reading the full scenario before eliminating options, because the constraint defines which answer fits.
What to study next
Got this wrong? Here's your next step.
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
- →
People — Leading Projects — study guide chapter
Learn the concepts, then practise the questions
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FAQ
Questions learners often ask
What does this PMP question test?
People — Leading Projects — This question tests People — Leading Projects — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Schedule a formal meeting to discuss the performance gap, set clear expectations, and agree on a performance improvement plan — Option C is correct because, after informal coaching has failed, the next step in progressive performance management is to hold a formal meeting to document the performance gap, set clear expectations, and create a Performance Improvement Plan (PIP). This aligns with the PMBOK Guide's emphasis on addressing issues through a structured, documented process before escalating or removing a team member, especially in a hybrid approach where the project manager retains team leadership responsibilities.
What should I do if I get this PMP question wrong?
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
What is the key concept behind this question?
Read the scenario before looking for a memorised answer.
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Courseiva creates original exam-style practice questions with explanations and wrong-answer analysis. It does not publish real exam questions, exam dumps, or protected exam content. Learn why practice questions differ from exam dumps →
Same concept, more angles
1 more ways this is tested on PMP
These questions test the same concept from different angles. Work through them to make sure you can recognise it however the exam phrases it.
Variation 1. You are managing a project using a predictive approach. A team member has been consistently missing deadlines, causing delays for the rest of the team. You have already had an informal conversation about expectations. What should you do next?
easy- A.Escalate the issue to the team member's functional manager
- B.Reassign the team member's tasks to other team members
- ✓ C.Schedule a private meeting to discuss the issue and create a performance improvement plan
- D.Remove the team member from the project
Why C: Option C is correct because after an informal conversation has already taken place, the next step in progressive discipline within a predictive (waterfall) project is to schedule a private meeting to formally address the issue and collaboratively create a performance improvement plan (PIP). This aligns with the PMI People domain's emphasis on conflict resolution and team development, ensuring the team member is given a clear opportunity to improve before any escalation or removal.
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Last reviewed: Jun 24, 2026
This PMP practice question is part of Courseiva's free PMI certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the PMP exam.
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