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NEW QUESTION 50 Scenario A central government department, the Ministry of Food Hygiene (MFH), faces increasing pressure to cut costs, better manage suppliers' performance and reduce the confusion caused by inadequate internal controls, outdated standards and outdated technology. External consultants were employed to conduct a feasibility study to identify options to address the problems, and the likely costs and benefits. The following options were considered: Do nothing. Re-engineer selected business functions. Outsource selected business functions. The feasibility study concluded that there was a case for outsourcing the MFH Information Technology Division and the Facilities Division (maintenance of buildings and grounds). The recommendations were: One service provider should be contracted to provide the services currently provided by the Information Technology Division and the Facilities Division. A 10-year service contract should be agreed with the selected service provider. The feasibility study developed high-level designs of the current organization, processes, systems and operating models, plus an outline Business Case for the required project. The external consultants also made the following recommendations for the management of the project: Use PRINCE2. Set up the project with 4 management stages: Stage 1. Standard PRINCE2 initiation activities. Stage 2. Create detailed designs (future organization, processes, systems and operating models) and the service level agreement between MFH and the future service provider. Stage 3. Request and evaluate proposals, select service provider and agree contract. Stage 4. Transfer equipment and staff, transfer responsibility for service provision and run trial period. Initial estimates indicated that the project would cost (GBP)2.5m and take two years to complete. MFH senior management agreed that there was a case for outsourcing, and accepted the recommendations as a basis for the project. There is an expected saving of (GBP)20m over 10 years. The Outsourcing project has completed the Starting up a Project process and is now in the initiation stage. Because of the strategic importance of the project, the MFH Chief Executive Officer has taken the role of Executive. A PRINCE2-experienced Project Manager has been appointed from within MFH. Staff within the business functions being outsourced will work with the external consultants who conducted the feasibility study to define the detailed designs. Which 2 statements should be recorded under the Expected dis-benefits heading?

• A. MFH will lose direct control over the outsourced business functions.
• B. The project will take two years to deliver.
• C. Staff morale will be negatively affected.
• D. An investment of (GBP)2.5m is required.
• E. Staff may lose the opportunity to work in Information Technology.

Answer: A,B Explanation: Reference: http://www.whatisprince2.net/prince2-theme-business-case.php   NEW QUESTION 51 ABC Company has a number of projects in progress. The executive of the Health and Safety Training Project is also a member of the project board for two other projects and is very busy. As a result, during this initiation stage, the executive has appointed another person to carry out both their business assurance and the role of change authority for minor and medium severity issues. Is this appropriate, and why?

• A. No, because the decision to have a change authority should be made before the project is authorized.
• B. Yes, because projects that are likely to have many changes should delegate the change authority.
• C. Yes, because people with delegated project assurance roles may act as the change authority.
• D. No, because the project manager identifies the level of tailoring that is relevant for the project.

Answer: C   NEW QUESTION 52 Scenario Product Summary A list of customers will be collated. This will use existing information from the Accounts department about current customers, and existing information from the Marketing department about prospective customers. Using the tariff of mailing costs available from the Post Office, a production cost forecast will be produced to allow the CEO and the Marketing Director to decide whether to continue with the project. If they decide to continue, they will give the approval to launch the internal label design competition. Competition rules will be required to communicate details of the competition to the staff. The chosen label design will then be selected from the competition entries. The photos for the calendar must be based on existing photo design ideas available from the Marketing department. The selected photos will be chosen from these. Monthly calendar displays will be created to show the required layout of each page. Product Breakdown Structure (contains errors) Extract from Stage Plan for stage 3. (All entries are true statements but may not be shown under the correct heading or in the correct document). Using the Project Scenario and the Extract from Stage Plan for stage 3 provided as additional intonation for this question in the Scenario Booklet, answer the following 5 questions. The Stage Plan for stage 3 has been produced. The Engineering Manager insists that there are to be no interruptions to operations whilst photographs are being taken of the engineering staff performing their everyday duties and operating machinery. Two weeks ago the professional photographer produced the photo session schedule based on the operational staff schedule. The operational staff schedule is produced weekly and maintained by the Engineering Manager. None of the £500 change budget has been used to date and this is available for the stage. Which 2 statements apply to the Planning assumptions section?

• A. Delete entry 10 because the inclusion of different members from the Engineering team in each photo should be shown in the Product Description for the photos.
• B. Delete entry 9 because the photo session schedule should have been approved as part of stage 2.
• C. Move entry 9 to External dependencies because the photo session schedule is created by the professional photographer.
• D. No change to entry 8 because this cannot be confirmed until all of the label designs entries have been received and an assessment made.
• E. Move entry 8 to External dependencies because the label designs are created outside of the scope of the project.

Answer: A,D   NEW QUESTION 53 ...... BONUS!!! Download part of Actual4dump PRINCE2-Practitioner dumps for free: https://drive.google.com/open?id=1kNxCiMP5BpPksrBilFC7JU3ErLWaz_