PMI PFMP Online Practice Questions and Exam Preparation

PMI PFMP Online Questions & Answers

• Question 411:

  Assume you are new to your organization and you were hired specifically to help implement portfolio management in your new manufacturing company. Having worked in portfolio management for the past five years, you know it is a major culture change. It is definitely a challenge at your new company because:

  A. The organization basically has many operational activities, and only a few projects are under way
  B. The organization lacks a defined strategy
  C. The few projects that are under way are not interdependent
  D. Operational activities have continued without any major changes for years
  B. The organization lacks a defined strategy

• Question 412:

  After three months, you have a list of all the program, project, and ongoing work being done in your 500-person Division of your State Government Agency. With this list, the next step is to:

  A. Determine the prioritization model to follow
  B. Convene a meeting of the Portfolio Review Board
  C. Assess gaps in meeting the Agency's strategic objectives
  D. Prepare a portfolio performance plan
  C. Assess gaps in meeting the Agency's strategic objectives

• Question 413:

  Ideally, the organization practices a policy of open communications on risks and encourages people to point any out at all levels, even if the risk does not affect one's own work and especially if it affects the portfolio. Different people, though, have different perspectives of the various portfolio risks based on their position in the organization. Assume a risk has been identified concerning the organization's operating model. This risk was identified by:

  A. A functional manager
  B. A PMO Director
  C. An executive
  D. The portfolio manager
  C. An executive

• Question 414:

  Your sponsor has urged you to analyze Portfolio Risk before the end-of-week governance board meeting as the CEO will be present and is interested in Portfolio risk data in particular. Currently, you do not have adequate risk information in order to analyze data and give recommendations. Which tool is the most suitable for you to use in this case?

  A. Cumulative distribution
  B. Weighted Ranking and Scoring Techniques
  C. Delphi
  D. Graphical Analytical methods
  C. Delphi

• Question 415:

  You are the portfolio manager for a family business company who had an old CEO reluctant to change and to taking risks. The board has decided with the support of the president to change the CEO and assign a new one. The executive directors along with the president have as well advised the new CEO to be more aggressive. Which of the following documents need to be updated in this case?

  A. Portfolio Performance Plan
  B. Portfolio Charter
  C. Portfolio Management Plan
  D. Strategic Plan
  D. Strategic Plan

• Question 416:

  Your organization, a leading restaurant focusing on pancakes, is seeking to expand its portfolio. It is interested in ensuring new components support: return on investment, customer satisfaction, reputation enhancement, and branding. These four areas represent:

  A. Metrics
  B. Organizational value areas
  C. Organizational strategic objectives
  D. Critical success factors
  B. Organizational value areas

• Question 417:

  Enterprise environmental factors (EEFs) may constrain portfolio management options and may have a positive or negative influence on the outcome. Which of the following is not considered part of the EEFs?

  A. Personnel administration
  B. Stakeholder risk tolerances
  C. Existing human resources
  D. Component Managers Roles and Responsibilities
  D. Component Managers Roles and Responsibilities

• Question 418:

  As the portfolio manager in the third largest automotive manufacturer in your country, you have a large number of components especially new vehicles each year but also support for dealers, advertising, maintaining the brand image, increasing market share plus continuous improvement initiatives. You have contingency reserve to use to prepare to handle any risks that may occur, which is based on:

  A. Expected monetary value
  B. Return on investment
  C. Expected financial benefits
  D. Equity protection
  D. Equity protection

• Question 419:

  Information and direction about the organization's vision, mission, prioritization, and resources should be obtained before the portfolio's strategic plan is developed by reviewing:

  A. Knowledge repositories
  B. Portfolio roadmap
  C. Organizational process assets
  D. Governance model
  C. Organizational process assets

• Question 420:

  Assume you are managing the corporate portfolio for your company noted for many products primarily focused on farm equipment. Recently it has diversified into other markets especially with the economic downturn in the country. While many of the traditional products are in the portfolio as new features are added to enhance customer satisfaction, one of the new product lines is a high-profile program that is ranked number five in the corporate portfolio. As the portfolio manager, you know this program has several interdependencies with other projects and programs, and recently this high-ranked program has experienced difficulties as needed technology is not available externally, and internal staff lacks the needed competencies to develop it. Its termination will be discussed at Friday's Portfolio Board meeting. You plan to discuss these interdependencies as part of your responsibilities in:

  A. Resource allocation
  B. Portfolio balancing
  C. Financial management
  D. Risk management
  D. Risk management