ScenarioAdditional InformationDuring the initiation stage the Project Manager met with the Marketing Director to find out more about the requirements of the promotional calendar and recorded the following notes:There has been a reduction in the order numbers at the MNO Manufacturing due in part to the increased marketing activities of its competitors. 10% of customers have not re-ordered in this financial year and staff morale is poor. A number of skilled staff have left as a result and replacement staff have not been recruited due to the reduced operation. If the project is successful, a recruitment campaign will be required to fill the existing staff vacancies and there may be a requirement for additional staff. Operational costs are likely to increase because skilled staff are expensive and difficult to find.In financial terms, there were a total of 1, 500 orders in the last financial year, each with an average profit of £2k. The Marketing department believes that sending a promotional calendar to our current and prospective customers would increase orders by at least 10% with a minimum of 10 further orders from the list of prospective customers within 12 months from the date of distribution.The Marketing Director will be funding the project from the business marketing budget. She believes that the effect of a good company image portrayed by a successful calendar would last into a second year. She has forecast the same increase in orders for a second year and predicts that the annual employee satisfaction survey will show a measurable improvement in staff morale.A number of alternatives were explored, including:20% discount for all repeat customers - not cost-effective and very short termA promotional calendar as a free Christmas gift - would target current and prospective customers and the benefits would last into a second yearA series of television and press advertisements was too expensiveA direct mail shot to all customers - benefit would be short termCreation of an internet website - would not suit all customersThe calendar is seen as the favored option, as long as the company's competitors do not increase their marketing activity. Whilst the Marketing department wants a very high quality, glossy product, the project management team must be aware of the cost this will incur.Using the Project Scenario and the additional Information provided for this question In the ScenarioBooklet, answer the following question.Which 2 statements should be recorded under the Expected benefits heading?
Answer(s): A,C
The correct statements identify quantifiable and ongoing benefits to be expected from the calendar initiative.A) Reason: Specifies measurable benefits within 12 months—baseline 10% growth and 10 additional orders from prospective customers, aligning with the Marketing Director’s forecast. C) Reason: Describes extended benefits into a second year due to improved image, matching the scenario’s expectation of continued order increase and morale impact.B) Incorrect: Assumes historical similarity without justification; no link to quantified or sustained benefits. D) Incorrect: Describes contents, not benefits. E) Incorrect: Addresses desired quality, not expected benefits or outcomes.
ScenarioAdditional InformationDuring the initiation stage the Project Manager met with the Marketing Director to find out more about the requirements of the promotional calendar and recorded the following notes:There has been a reduction in the order numbers at the MNO Manufacturing due in part to the increased marketing activities of its competitors. 10% of customers have not re-ordered in this financial year and staff morale is poor. A number of skilled staff have left as a result and replacement staff have not been recruited due to the reduced operation. If the project is successful, a recruitment campaign will be required to fill the existing staff vacancies and there may be a requirement for additional staff. Operational costs are likely to increase because skilled staff are expensive and difficult to find.In financial terms, there were a total of 1, 500 orders in the last financial year, each with an average profit of £2k. The Marketing department believes that sending a promotional calendar to our current and prospective customers would increase orders by at least 10% with a minimum of 10 further orders from the list of prospective customers within 12 months from the date of distribution.The Marketing Director will be funding the project from the business marketing budget. She believes that the effect of a good company image portrayed by a successful calendar would last into a second year. She has forecast the same increase in orders for a second year and predicts that the annual employee satisfaction survey will show a measurable improvement in staff morale.A number of alternatives were explored, including:20% discount for all repeat customers - not cost-effective and very short termA promotional calendar as a free Christmas gift - would target current and prospective customers and the benefits would last into a second yearA series of television and press advertisements was too expensiveA direct mail shot to all customers - benefit would be short termCreation of an internet website - would not suit all customersThe calendar is seen as the favored option, as long as the company's competitors do not increase their marketing activity. Whilst the Marketing department wants a very high quality, glossy product, the project management team must be aware of the cost this will incur.Using the Project Scenario and the additional Information provided for this question In the Scenario Booklet, answer the following question.Which 2 statements should be recorded under the Expected dis-benefits heading?
Answer(s): B,D
The correct options identify dis-benefits that could demotivate staff and impact other projects.A) Incorrect: describes cost, not a dis-benefit arising from project impact on staff or organization.B) correct: individuals not selected for photos may feel de-motivated, a dis-benefit impacting morale and team performance.C) incorrect: concerns the benefit not materializing, but dis-benefits focus on negative outcomes from project delivery, not benefits.D) correct: project priority delaying other marketing deliverables constitutes a dis-benefit to other projects due to resource reallocation.E) incorrect: scenario anticipates benefit uncertainty; however, dis-benefit typically relates to organizational or staff impact, not unmet external targets.
ScenarioAdditional InformationDuring the initiation stage the Project Manager met with the Marketing Director to find out more about the requirements of the promotional calendar and recorded the following notes:There has been a reduction in the order numbers at the MNO Manufacturing due in part to the increased marketing activities of its competitors. 10% of customers have not re-ordered in this financial year and staff morale is poor. A number of skilled staff have left as a result and replacement staff have not been recruited due to the reduced operation. If the project is successful, a recruitment campaign will be required to fill the existing staff vacancies and there may be a requirement for additional staff. Operational costs are likely to increase because skilled staff are expensive and difficult to find.In financial terms, there were a total of 1, 500 orders in the last financial year, each with an average profit of £2k. The Marketing department believes that sending a promotional calendar to our current and prospective customers would increase orders by at least 10% with a minimum of 10 further orders from the list of prospective customers within 12 months from the date of distribution.The Marketing Director will be funding the project from the business marketing budget. She believes that the effect of a good company image portrayed by a successful calendar would last into a second year. She has forecast the same increase in orders for a second year and predicts that the annual employee satisfaction survey will show a measurable improvement in staff morale.A number of alternatives were explored, including:20% discount for all repeat customers - not cost-effective and very short termA promotional calendar as a free Christmas gift - would target current and prospective customers and the benefits would last into a second yearA series of television and press advertisements was too expensiveA direct mail shot to all customers - benefit would be short termCreation of an internet website - would not suit all customersThe calendar is seen as the favored option, as long as the company's competitors do not increase their marketing activity. Whilst the Marketing department wants a very high quality, glossy product, the project management team must be aware of the cost this will incur.Using the Project Scenario and the additional Information provided for this question In the Scenario Booklet, answer the following question.Which 2 statements should be recorded under the Timescale heading?
Answer(s): C,D
The two statements that fit Timescale are C and D. C) reflects a forecasted order increase in year two, tying to the project’s time-bound benefits and post-implementation horizon. D) specifies a delivery deadline (first week in December), a time-constrained milestone for the calendar pack. A is wrong because benefits loss on non-completion is a general risk/benefit dependency, not a specific timescale milestone. B is incorrect as recruitment timing is an operational consequence, not a defined project timescale target. E is incorrect since the 2-week notice from the print company is a supplier constraint, not a project time target or milestone.
ScenarioAdditional InformationDuring the initiation stage the Project Manager met with the Marketing Director to find out more about the requirements of the promotional calendar and recorded the following notes:There has been a reduction in the order numbers at the MNO Manufacturing due in part to the increased marketing activities of its competitors. 10% of customers have not re-ordered in this financial year and staff morale is poor. A number of skilled staff have left as a result and replacement staff have not been recruited due to the reduced operation. If the project is successful, a recruitment campaign will be required to fill the existing staff vacancies and there may be a requirement for additional staff. Operational costs are likely to increase because skilled staff are expensive and difficult to find.In financial terms, there were a total of 1, 500 orders in the last financial year, each with an average profit of £2k. The Marketing department believes that sending a promotional calendar to our current and prospective customers would increase orders by at least 10% with a minimum of 10 further orders from the list of prospective customers within 12 months from the date of distribution.The Marketing Director will be funding the project from the business marketing budget. She believes that the effect of a good company image portrayed by a successful calendar would last into a second year. She has forecast the same increase in orders for a second year and predicts that the annual employee satisfaction survey will show a measurable improvement in staff morale.A number of alternatives were explored, including:20% discount for all repeat customers - not cost-effective and very short termA promotional calendar as a free Christmas gift - would target current and prospective customers and the benefits would last into a second yearA series of television and press advertisements was too expensiveA direct mail shot to all customers - benefit would be short termCreation of an internet website - would not suit all customersThe calendar is seen as the favored option, as long as the company's competitors do not increase their marketing activity. Whilst the Marketing department wants a very high quality, glossy product, the project management team must be aware of the cost this will incur.Using the Project Scenario and the additional Information provided for this question In the Scenario Booklet, answer the following question.Which 2 statements should be recorded under the Costs heading?
Answer(s): B,E
The two statements under Costs are B and E because they pertain to the funding and total estimated project costs, which are cost-related and verifiable from the scenario: funding from the business marketing budget (B) and total estimated project costs (£26.5k) (E). A is incorrect because the £120k budget amount is not stated as a project cost or funded amount within the project scope. C is incorrect as it converts a benefit into a cost/forecasted financials, which belongs under Benefits, not Costs. D is incorrect because logo cost is not specified as a project cost item in the notes.
ScenarioAdditional InformationDuring the initiation stage the Project Manager met with the Marketing Director to find out more about the requirements of the promotional calendar and recorded the following notes:There has been a reduction in the order numbers at the MNO Manufacturing due in part to the increased marketing activities of its competitors. 10% of customers have not re-ordered in this financial year and staff morale is poor. A number of skilled staff have left as a result and replacement staff have not been recruited due to the reduced operation. If the project is successful, a recruitment campaign will be required to fill the existing staff vacancies and there may be a requirement for additional staff. Operational costs are likely to increase because skilled staff are expensive and difficult to find.In financial terms, there were a total of 1, 500 orders in the last financial year, each with an average profit of £2k. The Marketing department believes that sending a promotional calendar to our current and prospective customers would increase orders by at least 10% with a minimum of 10 further orders from the list of prospective customers within 12 months from the date of distribution.The Marketing Director will be funding the project from the business marketing budget. She believes that the effect of a good company image portrayed by a successful calendar would last into a second year. She has forecast the same increase in orders for a second year and predicts that the annual employee satisfaction survey will show a measurable improvement in staff morale.A number of alternatives were explored, including:20% discount for all repeat customers - not cost-effective and very short termA promotional calendar as a free Christmas gift - would target current and prospective customers and the benefits would last into a second yearA series of television and press advertisements was too expensiveA direct mail shot to all customers - benefit would be short termCreation of an internet website - would not suit all customersThe calendar is seen as the favored option, as long as the company's competitors do not increase their marketing activity. Whilst the Marketing department wants a very high quality, glossy product, the project management team must be aware of the cost this will incur.Using the Project Scenario and the additional Information provided for this question In the Scenario Booklet, answer the following question.Which 2 statements correctly define a Business Case risk which should be recorded under the Major risks heading?
The two statements identify Business Case risks that threaten achieving the expected benefits and measurable value.C) If the calendar quality is poor customers will not use it, creating the reverse effect and reducing orders further. This directly jeopardizes benefits, tying to value realization and acceptance risk under Major risks.D) If any competitors launch a calendar at the same time this will reduce the impact of the MNO calendar and benefits will be reduced. This captures competitive pressure affecting benefit realization and overall value of the business case.A) Operational costs increase due to recruitment is a capability/cost risk, not a benefit realization risk under Major risks.B) Delivery deadline is a logistical constraint, not a benefit/major risk to the business case value.E) Staff morale improvement is a positive outcome, not a risk.
HOTSPOT (Drag and Drop is not supported)ScenarioAdditional InformationDuring the initiation stage the Project Manager met with the Marketing Director to find out more about the requirements of the promotional calendar and recorded the following notes:There has been a reduction in the order numbers at the MNO Manufacturing due in part to the increased marketing activities of its competitors. 10% of customers have not re-ordered in this financial year and staff morale is poor. A number of skilled staff have left as a result and replacement staff have not been recruited due to the reduced operation. If the project is successful, a recruitment campaign will be required to fill the existing staff vacancies and there may be a requirement for additional staff. Operational costs are likely to increase because skilled staff are expensive and difficult to find.In financial terms, there were a total of 1, 500 orders in the last financial year, each with an average profit of £2k. The Marketing department believes that sending a promotional calendar to our current and prospective customers would increase orders by at least 10% with a minimum of 10 further orders from the list of prospective customers within 12 months from the date of distribution.The Marketing Director will be funding the project from the business marketing budget. She believes that the effect of a good company image portrayed by a successful calendar would last into a second year. She has forecast the same increase in orders for a second year and predicts that the annual employee satisfaction survey will show a measurable improvement in staff morale.A number of alternatives were explored, including:20% discount for all repeat customers - not cost-effective and very short termA promotional calendar as a free Christmas gift - would target current and prospective customers and the benefits would last into a second yearA series of television and press advertisements was too expensiveA direct mail shot to all customers - benefit would be short termCreation of an internet website - would not suit all customersThe calendar is seen as the favored option, as long as the company's competitors do not increase their marketing activity. Whilst the Marketing department wants a very high quality, glossy product, the project management team must be aware of the cost this will incur.Using the Project Scenario and the additional Information provided for this question In the Scenario Booklet, answer the following question.Lines A to E in the table below consist of an assertion statement and a reason statement. For each line identify the appropriate option, from options A to E, that applies. Each option can be used once, more than once or not at all.
Answer(s): A
ScenarioA central government department, the Ministry of Food Hygiene (MFH), faces increasing pressure to cut costs, better manage suppliers' performance and reduce the confusion caused by inadequate internal controls, outdated standards and outdated technology. External consultants were employed to conduct a feasibility study to identify options to address the problems, and the likely costs and benefits. The following options were considered:Do nothing.Re-engineer selected business functions.Outsource selected business functions.The feasibility study concluded that there was a case for outsourcing the MFH Information TechnologyDivision and the Facilities Division (maintenance of buildings and grounds). The recommendations were:One service provider should be contracted to provide the services currently provided by theInformation Technology Division and the Facilities Division.A 10-year service contract should be agreed with the selected service provider.The feasibility study developed high-level designs of the current organization, processes, systems and operating models, plus an outline Business Case for the required project. The external consultants also made the following recommendations for the management of the project:Use PRINCE2.Set up the project with 4 management stages:Stage 1. Standard PRINCE2 initiation activities.Stage 2. Create detailed designs (future organization, processes, systems and operating models) and the service level agreement between MFH and the future service provider.Stage 3. Request and evaluate proposals, select service provider and agree contract.Stage 4. Transfer equipment and staff, transfer responsibility for service provision and run trial period.Initial estimates indicated that the project would cost £2.5m and take two years to complete.MFH senior management agreed that there was a case for outsourcing, and accepted the recommendations as a basis for the project. There is an expected saving of £20m over 10 years.The Outsourcing project has completed the Starting up a Project process and is now in the initiation stage. Because of the strategic importance of the project, the MFH Chief Executive Officer has taken the role of Executive. A PRINCE2-experienced Project Manager has been appointed from within MFH. Staff within the business functions being outsourced will work with the external consultants who conducted the feasibility study to define the detailed designs.Which 2 statements should be recorded under the Reasons heading?
http://www.whatisprince2.net/prince2-theme-business-case.php
ScenarioA central government department, the Ministry of Food Hygiene (MFH), faces increasing pressure to cut costs, better manage suppliers' performance and reduce the confusion caused by inadequate internal controls, outdated standards and outdated technology. External consultants were employed to conduct a feasibility study to identify options to address the problems, and the likely costs and benefits. The following options were considered:Do nothing.Re-engineer selected business functions.Outsource selected business functions.The feasibility study concluded that there was a case for outsourcing the MFH Information TechnologyDivision and the Facilities Division (maintenance of buildings and grounds). The recommendations were:One service provider should be contracted to provide the services currently provided by the Information Technology Division and the Facilities Division.A 10-year service contract should be agreed with the selected service provider.The feasibility study developed high-level designs of the current organization, processes, systems and operating models, plus an outline Business Case for the required project. The external consultants also made the following recommendations for the management of the project:Use PRINCE2.Set up the project with 4 management stages:Stage 1. Standard PRINCE2 initiation activities.Stage 2. Create detailed designs (future organization, processes, systems and operating models) and the service level agreement between MFH and the future service provider.Stage 3. Request and evaluate proposals, select service provider and agree contract.Stage 4. Transfer equipment and staff, transfer responsibility for service provision and run trial period.Initial estimates indicated that the project would cost £2.5m and take two years to complete.MFH senior management agreed that there was a case for outsourcing, and accepted the recommendations as a basis for the project. There is an expected saving of £20m over 10 years.The Outsourcing project has completed the Starting up a Project process and is now in the initiation stage. Because of the strategic importance of the project, the MFH Chief Executive Officer has taken the role of Executive. A PRINCE2-experienced Project Manager has been appointed from within MFH. Staff within the business functions being outsourced will work with the external consultants who conducted the feasibility study to define the detailed designs.Which 2 statements should be recorded under the Business options heading?
The correct statements reflect planning and governance for outsourcing: C) using external consultants to guide detailed design aligns with leveraging expertise during Stage 2 to define future organization, processes, systems and an SLA; D) establishing a PRINCE2 project to deliver outsourced services aligns with initiating a formal project governance structure for the outsourcing arrangement. A) asserts a specific outcome without evidence from the options and is not a business option note. B) focuses on technology limitations but is speculative about re-engineering outcomes. E) relates to supplier short-listing, which occurs in Stage 3, not part of the Business Options heading.
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