An organization has recently initiated a project within a program. When defining the project organization structure, the head of the organization decided that the project sponsor would report to and seek direction from the program manager, who would act as the sponsoring organization with a higher-level authority. Is this acceptable?

• A. No, since the program manager should report to the project sponsor
• B. Yes, for projects within a program, the representative of the sponsoring organization can be the program manager
• C. No, the project sponsor should always report to the top management, who represents the sponsoring organization that acts as a higher-level authority

According to ISO 21502, why should the organizational strategy be used?

• A. To identify, document, and evaluate opportunities, threats, weaknesses, and strengths, which can help inform future action
• B. To maximize the likelihood of success within the project environment and eliminate threats
• C. To enable organizations to create tangible value instead of intangible value

Scenario:
Headquartered in Geneva, Switzerland, DND is one of the largest worldwide automakers. It first gained global recognition after introducing a sports car, which quickly became highly demanded by sports car lovers around the world. Alec Law, the CEO of DND, and his management team recently decided to embark on a new project, i.e., the production of alternative fuel cars, which would use an alternative fuel source instead of traditional petroleum fuels, as the other cars of the company do, in order to promote sustainable and low- carbon transportation. For the implementation of this project, the company decided to follow the guidelines of ISO 21502 on project management.
During the development of the project governance framework, the company took into account several factors, including, among others, the legal context of stakeholders. In the project governance, the company also included oversights on the management frameworks and the project life cycle. In order to determine the project life cycle, the external environment was considered, including information on studies that related to similar projects. In addition, the company decided to separate this project governance from its overall governance.
Moreover, the company developed a project organization, where the roles, responsibilities, and authorities in the project were defined. In addition, the responsibilities of the project office and project assurance, among others, were defined. The project organization also included a customer representative. Once the project organization was developed and approved by the project board, it was communicated only to the project team.
As the project was entering its design stage, the project board made a change in the structure of the project organization since one of the work package leaders had resigned from the project in order to be involved in another project of the company.
Question:
Based on the scenario, DND decided to separate the project governance from its overall governance. Is this acceptable?

• A. No, the project governance should be an integrated part of DND's overall governance
• B. Yes, the project governance should be integrated only with the governance framework of portfolios and programs
• C. Yes, the project governance should be separated from DND's overall governance

According to PMBOK, what is the definition of Earned Value Analysis (EVA)?

• A. An earned value management measure that indicates how efficiently the work is being performed with regard to the budgeted cost of the work
• B. A method that utilizes a set of measures associated with scope, schedule, and cost to determine the cost and schedule performance of a project
• C. The amount of budget deficit or surplus at a given point in time, expressed as the difference between the earned value and the actual cost