EX0-006 Online Practice Questions and Answers

Who prepares each Value Improving Proposal?

A. The MoV Study Leader

B. The Programme Owner, who assesses relevant value priorities during Value Profiling

C. The Value Metric Owner

D. The owner of the relevant idea or scenario allocated during the selection process

Which is a main method of Function Analysis?

A. Value Improving Proposal

B. Value Tree

C. Discounted Cash Flow

D. Brainstorming

Which is a requirement for embedding MoV in an organization?

A. A separate level of management which is set up to focus on MoV activities

B. Support from senior managers

C. A Senior MoV Practitioner who is part of the MoV Board

D. An MoV Study Leader who is appointed as part of each project team

Which is NOT an area where it is necessary to strike a balance in order to maximize value?

A. Reconciling the needs and views of different stakeholders

B. Balancing capital and operating costs

C. Balancing the use of resources to reflect their availability and the organization's priorities

D. Balancing the overall benefits realized against the use of resources

When formulating MoV Study Plans, which proposition is true?

A. Environmental influences present inherent conflicts which can be reconciled through MoV

B. Legal requirements rarely affect perceptions of value

C. Technology developments are uncertain and so the possible impact on value is unknown

D. It is unnecessary to understand what other organizations are doing

Which of the following cost types would be considered in calculating discounted cash flow?

1.

Capital or one off costs

2.

Periodic maintenance costs

3.

Regular operational costs

4.

Opportunity costs

A. 1,2,3

B. 1,2,4

C. 1,3,4

D. 2,3,4

Why should MoV align with an organisation's objectives?

A. To minimise the costs of delivering the project

B. To maximise benefits arising from the project

C. To meet stakeholder expectations

D. To avoid maximising value within one project that could diminish value across the wider programme

When should the Delphi technique be used?

A. To get a range of expert opinions

B. To develop scenarios

C. To generate ideas

D. To build consensus

Which statement about applying MoV during the investment decision is true?

A. The focus of effort under MoV throughout the lifecycle of an investment decision is to direct requirements for the stage reached

B. MoV studies should be conducted at all key decision points to check decision making

C. When starting up a project MoV clarifies the information that is available to assist in the development of a more comprehensive business case

D. The focus of effort under MoV throughout the lifecycle of an investment decision should be fixed from the start so that value can be measured consistently at each stage

Which is a key component of the Evaluate and Select process?

A. Initial briefing meeting

B. Team selection

C. Resource analysis

D. Idea selection