CIMA CIMA-E2 Online Practice Questions and Exam Preparation

CIMA CIMA-E2 Online Questions & Answers

• Question 21:

  A Company is undertaking a project for the first time and has given the Finance Manager the task of managing the project. He has been advised to use PERT, as it will help him with his Critical Path Analysis (CPA). What information will the calculation using PERT provide the Finance Manager with to use in his CPA?

  A. The most optimistic time to complete an activity.
  B. The most realistic / probable time to complete an activity.
  C. The expected time to complete an activity.
  D. The most pessimistic time to complete an activity.
  C. The expected time to complete an activity.

• Question 22:

  According to the Project Management Body of Knowledge as outlined by the Project Management Institute, there are nine key areas of project management. Which of the following are areas identified by the PMI?

  Select ALL that apply.

  A. Integration
  B. Resource Management
  C. Procurement
  D. Risk
  E. Quality
  F. Initiation
  G. Monitoring
  H. Option generation
  I. Review
  A. Integration
  B. Resource Management
  C. Procurement
  D. Risk
  E. Quality

• Question 23:

  DRAG DROP

  X Company is a car manufacturer with significant competition in the market. One of its customers is a large multinational car hire company. Place the correct level of power against the Power of Buyers.

  Select and Place:

  

  

• Question 24:

  What event occurs between the second and third stages of Gido and Clement's Project Life Cycle?

  A. An agreement to proceed with the project is made
  B. A request for a proposal is made
  C. Several solutions are proposed
  D. The identification that there is a need a project
  E. A feasibility study is undertaken
  F. Project objectives are identified
  A. An agreement to proceed with the project is made

• Question 25:

  According to Belbin the success of a group can depend significantly upon the balance of individual skills and personality types within the group. A well balanced group should contain eight main character types. Which THREE of the following are character types as identified by Belbin?

  A. Doer
  B. Shaper
  C. Finisher
  D. Manager
  E. Flower
  F. Plant
  G. Developer
  B. Shaper
  C. Finisher
  F. Plant

• Question 26:

  PRINCE2 clearly defines a set of roles for every active participant on a project. What is the role described below?

  This is the person ultimately responsible for the business success of the entire project. They must ensure the project gives value for money and balance the demands of business user and supplier.

  This person is also the ultimate decision-maker in the project. For this reason they are appointed before the project starts. As the person is directly responsible for the project business case, it is expected that in most instances they are

  appointed from the customer side of the organisation.

  A. Team Manager
  B. Executive
  C. Senior User
  D. Project Manager
  B. Executive

• Question 27:

  Which of the following best describes the purpose of Michael Porter's Five Forces model?

  A. To examine the macro environment to identify any triggers for change.
  B. To examine the internal environment to identify the strengths and weaknessness of the business which can be used to gain competitive advantage.
  C. To indentify the profit potential from the industry to determine whether to enter or remain in the industry.
  D. To analyse the stakeholders of the business and their power and interest in order to manage them effectively.
  C. To indentify the profit potential from the industry to determine whether to enter or remain in the industry.

• Question 28:

  V is the owner of a small jewellery business which deals exclusively in pearls. The business has built up an excellent network of suppliers which deliver a steady stream of high quality pearls to its workshops, where a team of highly skilled craftsmen turn basic pearls into items of jewellery. V feels that no other company has such a talented and valuable workforce and believes their skills are rare and difficult if not impossible to imitate. They are the key to the company's sustainable competitive advantage and success.

  What is the approach to strategy which proposes that competitive advantage is achieved from the organisation's unique assets or competences?

  A. Resource-based view
  B. Emergent strategy
  C. Rational strategy model
  D. Free-wheeling opportunism
  A. Resource-based view

• Question 29:

  James argues that performance appraisal has its roots in three substantiated psychological principles, meaning that people work / learn / achieve more when they are given the opportunities. Which of the following does NOT apply?

  A. Information for human resource planning.
  B. Involvement in the setting of tasks and goals.
  C. Adequate feedback as to how they are performing, in other words knowledge of results.
  D. Clear attainable goals so they know what to strive for.
  A. Information for human resource planning.

• Question 30:

  Q has been appointed as the Commercial Director of a medium-sized publishing company that is facing strong competitive pressures in difficult trading conditions. Q is surprised to find that the firm is pursuing the formal/rational approach to strategy development.

  Q is now preparing a presentation to the Board to change the basis of strategy development to an emergent approach.

  Which THREE arguments could Q use in the presentation?

  A. The rational approach takes up significant organisational resources, can be very expensive, time consuming and complicated.
  B. The rational process can end up as a bureaucratic, top-down process focusing on plans, systems and targets, leading to a loss of entrepreneurial spirit.
  C. Given an uncertain business environment, it is impossible for rational strategy makers to make reliable assumptions about the future.
  D. An emergent approach encourages managers to take a longer term view of the development of the business, rather than being short-term and reactive.
  E. From a stakeholder perspective, the emergent approach could be viewed as demonstrating that the organisation has a very clear sense of where it is going.
  A. The rational approach takes up significant organisational resources, can be very expensive, time consuming and complicated.
  B. The rational process can end up as a bureaucratic, top-down process focusing on plans, systems and targets, leading to a loss of entrepreneurial spirit.
  C. Given an uncertain business environment, it is impossible for rational strategy makers to make reliable assumptions about the future.