Benefits Analysis PGMP Practice Questions (Page 6)

Questions 26–30

1. 26foundation · easy

   Which document typically contains the defined benefits metrics and their target values?

   • AProgram charter
   • BStakeholder engagement plan
   • CRisk register
   • DBenefits realization plan
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2. 27expert · hard

   A program is forecasting a $2M annual cost saving from a new procurement process. The forecast is based on a 20% reduction in procurement cycle time. However, the program manager knows that the cycle time reduction is uncertain because it depends on supplier adoption, which has varied between 40% and 80% in pilot tests. What is the BEST way to incorporate this uncertainty into the benefits forecast?

   • APresent a range of forecasts from $0.8M to $1.6M, based on the 40% to 80% adoption range, and identify the assumptions driving each end.
   • BUse the midpoint of the pilot adoption range (60%) to calculate a single-point forecast of $1.2M.
   • CUse the most optimistic adoption rate (80%) in the forecast to motivate the team to achieve the $2M target.
   • DDelay the forecast until the adoption rate is known with certainty.
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4. 28foundation · easy

   What is the purpose of corrective actions in benefits management?

   • ATo ensure benefits are maintained after program completion
   • BTo maintain or improve benefits realization based on monitoring results
   • CTo predict future benefits based on current trends
   • DTo compare planned and actual benefits
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5. 29application · medium

   A program to increase online sales by 20% is 10 months into a 2-year period. The current increase is 12%. The program manager investigates and finds that the new recommendation engine is working, but the marketing team has not integrated it into email campaigns, which was a key assumption in the benefits plan. What is the MOST appropriate causal analysis conclusion?

   • AThe root cause is that the marketing team is not skilled enough to run email campaigns.
   • BThe root cause is that the 20% target was unrealistic from the start.
   • CThe root cause of the shortfall is the lack of integration of the recommendation engine into email campaigns.
   • DThe root cause is that the recommendation engine is not effective at increasing sales.
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6. 30expert · hard

   A program is implementing a new enterprise resource planning (ERP) system. The benefits baseline includes a 15% reduction in order-processing costs. The program manager is concerned that a key supplier may go out of business, which would delay data migration and reduce the benefit by 5%. The program manager also sees an opportunity: if the supplier is acquired by a competitor, the migration could be accelerated, increasing the benefit by 3%. What is the MOST effective way to evaluate these possibilities?

   • AWait for more information about the supplier's financial health before making any changes to the benefits plan.
   • BAdd a 5% contingency to the benefits baseline to cover the supplier risk and ignore the acquisition opportunity.
   • CRun a what-if simulation that models the supplier failure and the acquisition scenarios, and compare the resulting benefit outcomes against the baseline.
   • DUpdate the benefits baseline to 13% to reflect the most likely outcome of the supplier risk.
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