Pass the PMI Portfolio Management Professional PfMP Questions and answers with CertsForce

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Viewing questions 51-60 out of questions
Questions # 51:

An organization decided to increase its business by 80% and approach new different clients. This strategy is followed because previously this organization was depending with its sales on only one client. With this new approach, you can describe the organization as being

Options:

A.

Pessimistic


B.

Risk Averse


C.

Risk Taker


D.

Optimistic


Expert Solution
Questions # 52:

You are the CIO of a real estate investment trust (REIT) that invests in apartments and condominiums in more than 50% of the states in your country. Your organization has as its goal to respond to any concerns that arise within 24 hours; for example, you want to make sure Wi-Fi sites are operational if there are any power outages, and people have soft phone service available 24/7. You are a member of the REIT's Portfolio Review Board, and as a member of the executive team in terms of portfolio risk management, you want to focus on:

Options:

A.

Issues with product support


B.

Identifying and managing liabilities


C.

Interaction of component risks


D.

Inconsistent processes


Expert Solution
Questions # 53:

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. You are currently in the process of developing the risk management plan. Which of the following activities will you be performing?

Options:

A.

All of the options


B.

Risk Response


C.

Risk Assessment


D.

Risk Planning


Expert Solution
Questions # 54:

Assume you are the portfolio manager for the Federal Railroad Administration. Funding is provided annually according to the Government's budget process. Any monies that are not spent at the end of a fiscal year are lost, and there are some restrictions in place concerning whether funds can be transferred to different programs, projects, or operations work in the agency. Therefore, to maximize the use of funding you require:

Options:

A.

Regular reports on funds for authorized components


B.

Projections on a quarterly basis as to the funds components require


C.

Mechanisms for internal audits to ensure funds are allocated effectively


D.

Accurate estimates of the funds needed when the component is proposed for consideration


Expert Solution
Questions # 55:

In a portfolio, data is an abundant asset, and managing the information aiming for a better decision making is critical. For this you use a variety of Quantitative and Qualitative analysis methods. Considering that you are currently working to quantitatively measure component values, however a few components have intangible benefits and can not be measured using quantitative analysis. How do you plan to proceed?

Options:

A.

Subject Matter Experts


B.

Benefits Realization


C.

Using assumptions


D.

Scoring models


Expert Solution
Questions # 56:

You are managing a large portfolio and know that you will need to constantly show the progress and status of the portfolio in meeting. For this you have developed a robust roadmap using BI tools. The portfolio roadmap is an important document used throughout the portfolio life cycle; when it comes to developing the portfolio communication management plan, which of the following options is correct

Options:

A.

The portfolio roadmap helps with the understanding of the structure of the portfolio and interdependencies among the portfolio components


B.

The portfolio roadmap is necessary for this process because it summarizes strategic objectives, evolving aspects of the strategy by organizational areas, portfolio milestones, dependencies, challenges, and risks


C.

The portfolio roadmap provides a high-level timeline for expected portfolio component delivery


D.

The portfolio roadmap provides the high-level strategic approach in a chronological fashion for portfolio management execution


Expert Solution
Questions # 57:

One of your goals as a portfolio manager is to ensure that your stakeholders receive the information they need for decision making. To help manage the portfolio information that is provided, you decide to gather information by holding portfolio component review meetings. Your purpose in holding these meetings is to:

Options:

A.

Ensure the components can provide the data required for status reports


B.

Use them to introduce the portfolio management information system


C.

Validate data that now are in the reports


D.

Work with component managers to plan dashboard reports


Expert Solution
Questions # 58:

One of the ten underlying principles of portfolio management involves a strategic focus. Assume you are going to have a short meeting with your CEO tomorrow, and you want to succinctly describe it. You will tell the CEO it is important since it:

Options:

A.

Emphasizes the need for portfolio management to attain strategic objectives


B.

Provides a clear basis for decision making


C.

Includes processes and change initiatives to accomplish organizational strategies


D.

Balances conflicting demands


Expert Solution
Questions # 59:

Assume you recently were hired to be the first portfolio manager at the leading producer of soft drink beverages. While the company is well known for one product, it wants to be the leader in other products and services as well. When you were hired, you told the CEO it would take time to fully implement portfolio management, and you first would prepare a number of artifacts. He set up a Portfolio Review Board, and its members are reviewing your work. As they reviewed the portfolio management plan, one of the members suggested you prepare an in-depth portfolio performance plan. Your first step is to:

Options:

A.

Align strategic management to the goals and objectives


B.

Review the prioritization model


C.

Assess the risk profile


D.

Review portfolio goals


Expert Solution
Questions # 60:

Having worked in portfolio management for several years, assume you were hired as the portfolio manager for a Real Estate Investment Trust, one of the largest in your country that specializes in apartments. The company continues to grow and wants to maximize value and profits for its investors. As you set up processes and procedures for portfolio management, you know from past experience that buy in from executives is insufficient. As you prepare a communications strategy, you focus on:

Options:

A.

Satisfying important information needs of stakeholders


B.

Surveying stakeholders through a questionnaire to determine information requirements


C.

Using focus groups to assist in determining information needs


D.

Focusing first on the executive team's communications requirements and then involving others


Expert Solution
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