Exam Details

  • Exam Code
    :PFMP
  • Exam Name
    :Portfolio Management Professional
  • Certification
    :Portfolio Management Professional
  • Vendor
    :PMI
  • Total Questions
    :495 Q&As
  • Last Updated
    :

PMI Portfolio Management Professional PFMP Questions & Answers

  • Question 1:

    Your probability and impact assessment work is complete, and you are using the results to prepare the portfolio risk management plan. As you do so, it also is useful to:

    A. Define the assurance levels of the risk and its performance measures

    B. Validate with your stakeholders that your analysis meets their expectations

    C. Communicate the results with others in the organization for greater transparency

    D. Identify specific trends for each risk using qualitative and quantitative analysis

  • Question 2:

    One of your components' managers came to you stating that she cannot find a key stakeholder by email and if she cannot find him, a major decision will be delayed, thus affecting the entire portfolio. What should you, as a portfolio manager do?

    A. Tell her that she needs to try to send him one more e-mail, and in the case the problem persists, she needs to send him a formal letter

    B. Tell her that she needs to carefully monitor this risk

    C. Tell her that she needs to escalate this issue directly to the executive management

    D. Go and meet this stakeholder face to face and collaborate with him to solve this communication issue

  • Question 3:

    Assume you are a member of your company's Portfolio Review Board. Your Board meets quarterly to determine which new components to undertake and selects them even if it means the portfolio then will require rebalancing. As you consider the proposed business case for a component and assess the suggestions of the other Board members, a key factor is:

    A. The depth of the proposal in terms of identification of key benefits

    B. Total available resources

    C. Overall stakeholder interest

    D. Component feasibility studies

  • Question 4:

    A junior Portfolio manager has come to you for advice. She is asking about her main responsibilities as a portfolio manager in order to see if she is on the right track. What should be your advice to her?

    A. She will be responsible of managing the strategic, operational and functional activities of all portfolio components

    B. Her responsibility is to continuously review, reallocate, re-prioritize and optimize the portfolio to ensure alignment with strategic objectives

    C. Her responsibility is to develop and maintain portfolio, program and project management frameworks and methodologies

    D. You should tell her to go read the standard for portfolio management where she can find all the needed answers to her questions

  • Question 5:

    When we talk about portfolios, programs and projects, it is inevitable to mention the business value which is the sum of tangible and intangible assets of an organization, also known as the net quantifiable benefit. When it comes to business value, at which level of the organization is the Business Value achieved?

    A. Program

    B. Project

    C. Portfolio

    D. Operational

  • Question 6:

    Assume you are the corporate portfolio manager for your global organization. There is one portfolio at the corporate level, but other portfolios supporting business units and core areas of the company. One of these portfolios involves manufacturing, and its number one program in terms of priorities is to implement an enterprise resource planning system. Since it is the number one ranked program in this portfolio, it is of interest at the corporate level, and you and your team provide reports on its progress monthly. You can see that:

    A. Since earned value is being used, at this point you report the ERP system will not meet its cost and schedule goals

    B. Extensive training will be needed after the program is complete, and an infrastructure does not exist to support the ERP system

    C. Use of the ERP vendor has been underestimated, and a business case will be needed for increased funding

    D. Inadequate, up-front financial planning was done when the business case was approved

  • Question 7:

    Following an organizational change and restructuring. One of the Portfolio Key Stakeholders got a promotion and became a director. She became less interested in your portfolio and you used to engage her very closely. What is your best course of action in this case?

    A. Move her to the third quadrant (high influence, low interest)

    B. Escalate the issue to the steering committee in order to solve the issue from a management perspective

    C. This is a normal scenario in a given portfolio; you should continue work as normal

    D. Meet with the stakeholder and analyze her requirements again

  • Question 8:

    One of your portfolio team members is confused on the reason behind using the three processes: Define Portfolio, Optimize Portfolio, Authorize Portfolio and Manage Portfolio value. For him, we can skip a couple of processes. He came to you for advice. What should be your response to him?

    A. He is right, processes can be skipped if you want to do the other ones

    B. The processes are similar and can be skipped. The reason they exist in the standard is to cover the define, align, and monitor and control process groups

    C. The processes are not similar and they are interrelated, they are continuously executed throughout the portfolio life cycle

    D. The processes are part of the standard for portfolio management and should not be skipped

  • Question 9:

    Companies adopt project, program and portfolio management practices to enable the realization of business value and the achievement of strategies and objectives. In order to advance the organizational capability and facilitate the alignment of these practices, the company should (choose the best answer)

    A. Strengthen the organizational enablers such as cultural, technological and human resource practices

    B. Perform a detailed strategic planning

    C. Establish a PMO to support those practices

    D. Strengthen the processes and procedures of project, program and portfolio management

  • Question 10:

    In a portfolio, data is an abundant asset, and managing the information aiming for a a better decision making is critical. For this you use a variety of Quantitative and Qualitative analysis methods. These methods are performed in 4 of the portfolio management processes and serve a slightly different purpose in each and every one of them. Considering that you are currently working to ensure resource capacity is optimally allocated against resource requirements or demand based on known organizational priorities and potential value, how can you make use of the quantitative and qualitative analysis?

    A. Performing Status and trend analysis, Re-balancing methods, Investment choice tools, exposure charts

    B. Performing Quantitative analysis and Sensitivity analysis

    C. Performing Cost-benefit analysis, quantitative analysis, scenario analysis, probability analysis, SWOT analysis, Market/competitor analysis and business value analysis

    D. Performing resource leveling, project sequencing techniques and dependency analysis

Tips on How to Prepare for the Exams

Nowadays, the certification exams become more and more important and required by more and more enterprises when applying for a job. But how to prepare for the exam effectively? How to prepare for the exam in a short time with less efforts? How to get a ideal result and how to find the most reliable resources? Here on Vcedump.com, you will find all the answers. Vcedump.com provide not only PMI exam questions, answers and explanations but also complete assistance on your exam preparation and certification application. If you are confused on your PFMP exam preparations and PMI certification application, do not hesitate to visit our Vcedump.com to find your solutions here.