Be Able to Identify, Analyse and Distinguish Between Appropriate and Inappropriate Application of Portfolio Definition Practices and Techniques to a Scenario MOP-PRACTITIONER Practice Questions (Page 3)

Questions 11–15

1. 11foundation · easy

   A portfolio manager balances the portfolio by allocating all available budget to the highest-priority initiative. Why is this approach inappropriate?

   • AIt violates the principle of equal treatment of initiatives.
   • BIt ensures the highest-priority initiative will succeed.
   • CIt ignores the need to spread risk across multiple initiatives.
   • DIt is too complex to implement.
   Reveal Solution Discussion Select an answer first
2. 12application · medium

   A technology company has defined its portfolio and is now completing the portfolio strategy and delivery plan. The plan lists all 50 projects with their budgets and start dates, but it does not include any reference to the organization's strategic objectives or how the projects contribute to them. Why is this plan inappropriate?

   • AIt is appropriate because the plan is a technical document that only needs to list projects and their schedules.
   • BIt is inappropriate because the plan should be a single page summary, not a detailed list.
   • CIt lacks the strategic context that explains why the portfolio is shaped as it is, making it impossible to assess alignment.
   • DIt is inappropriate because it includes too many projects; a portfolio should have no more than 20 projects.
   Reveal Solution Discussion Select an answer first
4. 13foundation · easy

   After prioritizing initiatives, the portfolio manager needs to balance the portfolio. Which action is appropriate for balancing the portfolio?

   • AIncluding as many initiatives as possible to maximize coverage.
   • BAdjusting the mix of initiatives to ensure an acceptable level of risk and return.
   • CSelecting only low-risk initiatives to avoid any possibility of failure.
   • DEnsuring all initiatives have the same budget size.
   Reveal Solution Discussion Select an answer first
5. 14foundation · easy

   A portfolio manager is prioritizing initiatives for the upcoming year. Which prioritization technique is appropriate?

   • APrioritizing initiatives in the order they were submitted to the portfolio office.
   • BUsing a scoring model that weighs each initiative against strategic objectives and risk factors.
   • CPrioritizing initiatives based on the personal influence of the sponsor.
   • DPrioritizing initiatives randomly to avoid bias.
   Reveal Solution Discussion Select an answer first
6. 15foundation · easy

   Which action is appropriate when completing a portfolio strategy and delivery plan?

   • AFocusing solely on financial metrics and ignoring strategic alignment.
   • BLeaving the plan vague to allow for maximum flexibility.
   • CIncluding a clear statement of the portfolio's strategic objectives and how they align with the organization's strategy.
   • DIncluding only the initiatives that are already approved, excluding any potential new initiatives.
   Reveal Solution Discussion Select an answer first