PFMP Online Practice Questions and Answers

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

As a portfolio manager, you have been reporting the progress, status and performance regularly and you have been doing a good job so far. Reports are the primary documents to communicate portfolio status and be able to balance the mix of portfolio components to best align with objectives. When it comes to optimizing a portfolio, how can risk reports be used?

A. To be able to analyze occurred risks and cancel any component who has an increased risk

B. To be able to define the organization risk tolerance and update the Strategic Plan accordingly

C. To know about major risks and occurred issues in relation with the portfolio components

D. To assess achieved value and the confidence level in it

Managing risk is key to the success of any initiative. Risk is considered to be inherent in any activity we do in project management and at any level. Risk is part of project, program and portfolio management and has a different exposure in each and every one. You are currently developing the guidelines and approaches for managing risks and are looking for methods to help you. What are you looking for?

A. Weighted Ranking and scoring techniques, Quantitative and Qualitative Analysis

B. Weighted Ranking and scoring techniques, Pf Component inventory, Categorization

C. Weighted Ranking and scoring techniques, Graphical Analytical Methods, Quantitative and Qualitative Analysis

D. Capability and Capacity, Weighted Ranking and scoring techniques, Graphical Analytical methods, Quantitative and Qualitative Analysis

You have been assigned as the manager for a major transformation portfolio in your company. You have a new direction in sight and you need to work with the team to attain the end goal and achieve the expected strategy. You are currently defining the portfolio and with the purpose of

A. Creating an up-to-date list of qualified portfolio component

B. Allocating resources to develop component proposals or execute portfolio components

C. Balancing the portfolio for performance and value delivery

D. Making Governance Decisions

During the portfolio lifecycle, components will be authorized, initiated, executed and closed accordingly. For authorizing the portfolio, as a program manager you will use which of the Which of the following tools and techniques?

A. PMIS, Authorization techniques, Scenario Analysis

B. PMIS, Authorization techniques

C. Authorization techniques, Scenario Analysis

D. PMIS, Authorization techniques, Review Meetings

While aggregating data from component reports in order to present the portfolio status to the governance board on an upcoming review meeting, which of the following is the most important thing to do?

A. Disseminating the status to related stakeholders mentioned in communication management plan before the review meeting

B. Updating the portfolio communication management plan

C. Disseminating the status to all stakeholders before the review meeting

D. Perform Communication Requirements Analysis

The portfolio strategic plan should contain a prioritization model or approach that guides the ongoing decisions as to which portfolio components should be added, terminated, or changed, as well as prioritizes and balances the component mix over time. A simple prioritization model may be provided which contains

A. All of the options

B. ROI

C. Criteria to ensure alignment to strategic goals

D. Investment risks

A portfolio manager needs to continuously balance the need and requirements with the available resources and needs to maintain a balanced portfolio and portfolio resources in order to optimize delivery. Capability and Capacity analysis is performed in 4 of the portfolio management processes and it serves a slightly different purpose in each and every one of them. When it relates to optimizing portfolio, what is the purpose of using this analysis?

A. To study the capability of resources, match them against the portfolio's objectives and goals, and translate the capability into what capacity is possible to meet the portfolio demands

B. Performed to understand the human, financial, and asset capacity and capability of the organization in order to select, fund, and execute portfolio components

C. To understand how much work is able to be performed based on the resources available (capacity), as well as the ability of the organization to source and execute the selected portfolio

D. It enables the organization to achieve maximum portfolio benefits given current resource constraints

You are currently creating portfolio scenarios (what-if analysis) by reviewing components against prioritization criteria and using analysis techniques (e.g., options analysis, risk analysis, SWOT analysis, financial analysis). You are doing this in order to

A. Understand the strategic priorities

B. Create a basis for decision making

C. Evaluate and select viable options

D. Provide a guiding framework to operationalize the organizational strategic goals and objectives

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 risks is key to success, and you are coaching your team on the same. While planning for risk management, multiple investment choice tools are used as part of the quantitative and qualitative analyzes. Which of the following tools determines the effects of portfolio velocity?

A. Budget Variability

B. Market Payoff variability

C. Time-To-Market Variability

D. Trade-Off Analysis