QUESTION: 113

Many people in your country are no longer eating food from cans because of the risk of botulism and eColi O1H747. Your low acid canned foods company is seeing its revenues decrease as a result, and it is updating its overall strategy for the company to diversify into other markets as well as to add an aggressive marketing campaign to ensure the public that its low acid canned foods are generally recognized as safe by the Food and Drug Administration. This means in terms of portfolio management:

Each proposed component must demonstrate business value before it is undertaken
The ROI for existing components should be reviewed to determine if they should continue
The existing inventory of work should be validated against the updated strategy
The benefits to be realized by existing components require standard KPIs tied to critical success factors

Answer(s): C

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QUESTION: 114

You are managing a complex portfolio with high risk levels due to emerging technological breakthroughs and a short benefit window to market your product. You know that managing risk is key to success and you are coaching your team on the same. While planning for risk management, multiple investment choice tools are used as part of the quantitative and qualitative analyzes. Which of the following tools determine the effect of changing the portfolio?

Budget Variability
Market Payoff variability
Performance variability
Trade-Off Analysis

Answer(s): A

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QUESTION: 115

Assume you are managing a high visibility project in your company that once it is completed will transform it into new markets and be the leader in the soft phone field. You are keeping the project a secret from external stakeholders, and you and your team have signed Non-disclosure agreements (NDAs). However, the executives and those on the Portfolio Review Board want status information on this project every two weeks. You provide it:

To those on the portfolio distribution list
Electronically in a format that cannot be printed or forwarded
To the members of the Board and executives verbally
To the portfolio manager

Answer(s): D

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QUESTION: 116

Different stakeholders will have different portfolio reporting requirements. Sponsors for example will have a great interest in:

If the portfolio will meet organizational strategy
Status in achieving benefits
Overall portfolio value
Status in terms of other authorized components

Answer(s): B

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QUESTION: 113

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