Commonly Confused Concepts

Question 1

Crashing vs Fast tracking

Answer 1

In Crashing, schedule is compressed by applying additional resources, working overtime, etc. Whereas in Fast tracking, activities which are usually performed in sequence are performed in parallel, to compress the schedule.

Question 2

Code of Account vs Chart of Account

Answer 2

Code of Account is any numbering system used to uniquely identify each component of the WBS, whereas Chart of Account is any numbering system used to monitor project costs by category.

Question 3

Project Schedule vs Schedule Baseline

Answer 3

Project Schedule is the “actual” schedule progress of the project whereas Schedule Baseline is the “planned and approved” version of the project schedule. Schedule variance is measured by comparing the (actual) Project Schedule with the Schedule Baseline.

Question 4

Validate Scope vs Control Quality

Answer 4

Scope validation differs from quality control in that scope validation is primarily concerned with acceptance of the deliverables, while quality control is primarily concerned with correctness of the deliverables and meeting the quality requirements specified for the deliverables. Quality control is generally performed before scope validation but the two can be performed in parallel as well.

Question 5

Work Performance Data (WPD) vs Work Performance Information (WPI)

Answer 5

WPD are the raw observations or measurements gathered as work on the project is carried out (e.g. percent completion, quality/technical performance measures, activity start/finish dates, no. of change requests/defects, actual costs/durations, etc.) WPD is processed and analyzed to generate WPI (e.g. status of deliverables/change requests, forecasts, EV measures - SV, CV, SPI, CPI, etc.).

Question 6

Progressive Elaboration vs Rolling Wave Planning

Answer 6

Rolling Wave Planning is a form of Progressive Elaboration.

Question 7

Progressive Elaboration vs Prototyping

Answer 7

Prototyping is a form of Progressive Elaboration.

Question 8

Weighted Average (PERT) vs Simple Average Three-Point Estimating

Answer 8

Weighted Average (PERT) estimate uses Beta distribution whereas Simple Average uses Triangular distribution to calculate the duration or cost estimate. Weighted Average formula is, E = (O + 4M + P) / 6 and Simple Average formula is E = (O + M + P) / 3, where O is the Optimistic, M is the Most Likely and P is the Pessimistic estimate.

Question 9

Total Float vs Free Float

Answer 9

Total Float is the amount of time an activity can be delayed without delaying the project, whereas Free Float is the amount of time an activity can be delayed without delaying any successor activity.

Question 10

Duration vs Effort

Answer 10

Duration is the number of work periods (not including holidays or other non-working periods) required to complete an activity, whereas Effort is the number of labor units required to complete an activity. Duration is expressed as work days, work weeks, etc., whereas Effort is expressed as man hours, man days, man weeks, etc.

Question 11

Duration vs Elapsed Time

Answer 11

Duration is the number of work periods (not including holidays or other non-working periods) required to complete an activity, whereas Elapsed Time includes holidays and non-working periods also. Both are expressed as work days, work weeks, etc.

Question 12

Project Team vs Project Management Team

Answer 12

A Project Team is comprised of the project manager, project management team, and other team members. Project Management Team includes a subset of Project Team members who are directly involved in project management activities.

Question 13

Padding vs Buffer (or Reserve)

Answer 13

Padding is the amount of unreasonable extra time added to the estimate, just to feel confident with the estimate. Buffer is the extra time added to the estimate to account for uncertainty or risk. Buffer is clearly identified in schedule documentation whereas padding is hidden.

Question 14

Lead vs Lag

Answer 14

Lead is the acceleration of a successor activity, whereas Lag is the delay of a successor activity.

Question 15

Code of Account vs Control Account

Answer 15

Code of Account is any numbering system used to uniquely identify each component of the WBS. Control Account is a management control point where scope, budget, actual cost, and schedule are integrated and compared to earned value for performance measurement. Control Accounts are strategically placed at various points on the WBS.

Question 16

Control Account vs Work Package

Answer 16

Control Account is a management control point in the WBS where Earned Value measurements take place. Work package is a unit of work or deliverable at the lowest level of each branch on the WBS. A Control Account may contain multiple Work Packages, but a Work Package can only be associated to one Control Account.

Question 17

Planning Package vs Control Account

Answer 17

Planning Package is a logical group of work within a Control Account that is identified and budgeted in early planning, but is not yet sub-divided into Work Packages. Control Account is a management control point in the WBS where Earned Value measurements take place. The Planning Package is below the Control Account, but above the Work Packages in the WBS.

Question 18

Planning Package vs Work Package

Answer 18

Planning Package is a logical group of work within a Control Account that is identified and budgeted in early planning, but is not yet sub-divided into Work Packages. Work Package is a unit of work at the lowest level of each branch of the WBS. The Planning Package is below the Control Account, but above the Work Packages in the WBS.

Question 19

Contingency Reserve vs Management Reserve

Answer 19

Contingency Reserve accounts for “known-unknowns” or simply “knowns”. It covers the “residual risks” on the project. Management Reserve accounts for “unknown-unknowns” or simply “unknowns”.

Question 20

Manage Quality vs Control Quality

Answer 20

Manage Quality checks whether quality standards are being followed, whereas Control Quality checks whether quality standards are being met. Audits and root cause analysis are examples of Manage Quality. Peer reviews and testing are examples of Control Quality. In Manage Quality think about “process”, and in Control Quality think about “deliverables”.

Question 21

Quality vs Grade

Answer 21

Quality is the degree to which a deliverable meets the requirements. Grade is a category assigned to a product or a service that has the same functional use but different technical characteristics. For example, a software application may be of good quality (no defects, good performance, etc.), but low grade (limited features). Low grade may not be a problem, but low quality is almost always a problem.

Question 22

Product Quality vs Project Quality

Answer 22

Product Quality focuses on the quality of the “product” of the project. It is measured in terms of the degree to which the product conforms to customer’s requirements. Whereas, Project Quality focuses on the quality of “project management processes”. It is measured in terms of the degree to which the project meets its objectives (scope, time, cost, customer satisfaction, etc.).

Question 23

Product Scope vs Project Scope

Answer 23

Product Scope refers to requirements that specifically relate to the “product” of the Project. Project Scope is all the “work” that goes in to producing the project deliverables (products, services or results).

Question 24

Requirements vs Product Scope

Answer 24

Requirements are “what” the customer needs. Requirements can be of many types. For example, product related requirements, performance requirements, quality requirements, project management requirements, etc. Whereas, Product Scope refers to requirements that specifically relate to the “product” of the project.

Question 25

Precision vs Accuracy

Answer 25

Precision means that values have very little scatter (very close to each other). Accuracy means that values are very close to the true value. Precise values may not be accurate and vice versa. E.g., if your office starts at 8 am and you reach at 8:30 am sharp every day, you are precise, but not accurate. Whereas, if you reach between 7:45-8:15 am every day, you are more accurate, but less precise.

Question 26

Verified Deliverable vs Accepted Deliverable

Answer 26

Verified deliverables are the deliverables that have been checked for correctness by the Control Quality process. They are an input to Validate Scope process. Accepted Deliverables are the deliverables that meet the acceptance criteria and have been formally signed off by the customer through the Validate Scope process.

Question 27

Estimate vs Budget

Answer 27

Estimate is a quantitative assessment of the likely amount or outcome. It is usually applied to project costs, resources, effort, and durations. An "approved" cost estimate for a project or a work component is known as Budget.

Question 28

Estimate At Completion (EAC) vs Estimate to Complete (ETC)

Answer 28

EAC is the expected total cost of the project or work component, whereas ETC is the expected cost of the "remaining" work. Note that both are "forecasts".

Question 29

Internal Failure vs External Failure

Answer 29

Internal Failure is the failure found by the project and External Failure is the failure found by the customer.

Question 30

Specification Limits vs Control Limits

Answer 30

Specification Limits are set by the customers, whereas Control Limits are set by the project manager and appropriate stakeholders based on the organization's quality standards. Control Limits are usually stricter than and within the Specification Limits.

Question 31

Prevention vs Inspection

Answer 31

Prevention keeps errors out of the process, whereas Inspection keeps errors out of the hands of the customer.

Question 32

Attribute Sampling vs Variable Sampling

Answer 32

In Attribute Sampling, data is in the "attribute" form, and the result either conforms or does not conform. In Variable Sampling, data is in the "variable" form, and the result is rated on a continuous scale that measures the degree of conformity. For example, whether a car starts in first attempt or not is Attribute Data, but the mileage of the car per liter of gasoline is Variable Data.

Question 33

Tolerance vs Control Limits

Answer 33

Tolerances are used to determine whether individual components are acceptable, whereas Control Limits are used to control the process. Control Limits usually fall within Tolerance Limits.

Question 34

Common Cause vs Special Cause

Answer 34

Common Cause is a source of variation that is inherent in the system and predictable, whereas Special Cause is not inherent in the system, and is unpredictable and intermittent. On a control chart, Common Cause appears as random data points within the control limits, whereas Special Cause appears as data points outside the control limits or non-random points within the control limits.

Question 35

Histogram vs Pareto Diagram

Answer 35

A Pareto Diagram is a specific type of Histogram, ordered by frequency of occurrence. It shows how many defects were generated by type or category of the identified cause, and helps the project team focus on the causes creating the greatest number of defects.

Question 36

Quality Audit vs Inspection

Answer 36

Quality Audit is a structured review of the project to determine whether it's complying with policies, processes and procedures. Inspection is the process to check whether deliverables conform to standards. Audit is a QA function, whereas Inspection is a QC function. Audit is not just about finding problems, but also good practices of the project. Inspection is mostly for finding problems.

Question 37

Responsibility Assignment Matrix (RAM) vs Responsible, Accountable, Consult, And Inform (RACI)

Answer 37

The RACI is just one type of RAM.

Question 38

Authority vs Responsibility

Answer 38

Authority is the "right" to do something, whereas Responsibility is the "obligation" to do something.

Question 39

Responsibility vs Accountability

Answer 39

Responsibility is the "obligation" to do something. Whereas, Accountability is the acceptance of success and failure. Responsibility can be delegated to some extent, but Accountability cannot.

Question 40

Team Performance Assessments vs Project Performance Appraisals

Answer 40

Team Performance Assessments are the assessments of the entire team's performance. They are measured in terms such as on-time, on-budget, etc. Project Performance Appraisals are the appraisals of individual project team members' performance.

Question 41

Tool vs Technique

Answer 41

A Tool is something tangible, like a template or a software program, that is used to perform an activity to produce a deliverable. Technique is a procedure performed by a human to perform an activity to produce a deliverable. A Technique may employ many Tools.

Question 42

Residual Risks vs Secondary Risks

Answer 42

The risks that remain after risk responses have been implemented are called Residual Risks. New risks that emerge as a result of applying risk response strategies are called Secondary Risks.

Question 43

Threat vs Opportunity

Answer 43

Threat (or negative risk) is a risk of a loss, whereas Opportunity (or positive risk) is a risk of a gain.

Question 44

Avoid vs Mitigate

Answer 44

Avoid is to eliminate the threat entirely, whereas Mitigate is to reduce the probability of occurrence or the impact of the threat.

Question 45

Exploit vs Enhance

Answer 45

Exploit is to ensure that the opportunity definitely happens, whereas Enhance is to increase the probability of occurrence or the impact of the opportunity.

Question 46

Risk Tolerance vs Risk Threshold

Answer 46

Risk Tolerances are the areas of risk that are either acceptable or unacceptable. For example, "we'll not accept any risk to employees' safety". Risk Threshold is the point at which a risk moves from being acceptable to unacceptable. For example, "if the price of raw materials increases beyond 10%, we must employ the contingency plans for this risk".

Question 47

Configuration Control vs Change Control

Answer 47

Configuration Control is the activity of managing the specifications of project's deliverables and processes throughout the lifecycle of the project. Change Control is the process of managing changes to the project's documents, deliverables, and baselines (scope, schedule, cost, etc.).

Question 48

Logical Relationship vs Precedence Relationship

Answer 48

A Logical Relationship is a dependency between two schedule activities or a schedule activity and a schedule milestone. In Precedence Diagramming Method (PDM), a Logical Relationship is called a Precedence Relationship.

Question 49

Master Schedule vs Milestone Schedule

Answer 49

A Master Schedule is a high level schedule that identifies the key deliverables and key milestones. A Milestone Schedule is a high level schedule that only identifies key milestones. So, Milestone Schedule can be considered as a subset of Master Schedule.

Question 50

Planned Value vs Earned Value

Answer 50

Planned Value is the estimated (monetary) value of the work "planned" to be done, whereas Earned Value is the estimated (monetary) value of the work "actually" done.

Question 51

Earned Value vs Actual Cost

Answer 51

Earned Value is the "estimated" (monetary) value of the work actually done, whereas Actual Cost is the "actual" cost incurred for the work done.

Question 52

Schedule Model vs Project Schedule

Answer 52

Scheduling tool populated with project schedule data (e.g. activities, resources, duration estimates, etc.) is known as a Schedule Model. Assigning calendar dates to the Schedule Model results in the Project Schedule. In simple terms, Project Schedule = Schedule Model + Calendar Dates.

Question 53

Cost Plus Fixed Fee (CPFF) contract vs Cost Plus Incentive Fee (CPIF) contract

Answer 53

In both these contracts, the seller is reimbursed for the allowable costs of project work. However, in CPFF, the seller fee is fixed and is not tied to the seller's performance, whereas in CPIF, the seller fee is tied to the seller's performance.

Question 54

Cost Plus Incentive Fee (CPIF) contract vs Cost Plus Award Fee (CPAF) contract

Answer 54

In CPIF, the criteria for determining seller fee is defined in objective terms, whereas in CPAF, the criteria is subjective.

Question 55

Single Source vs Sole Source

Answer 55

In Single Source procurement, the buyer decides to award the contract to a preferred seller (even though there may be other sellers in the market), without going through the procurement process. In Sole Source procurement, there is only one seller in the market for the item to be procured.

Question 56

Change Control System vs Contract Change Control System

Answer 56

Change Control System is used to manage the changes to the project documents, deliverables, and baselines (scope, schedule, cost, etc.). Contract Change Control System is used to manage changes to the contracts on the project, and is integrated with the project's integrated change control system.

Question 57

Business Need vs Business Case

Answer 57

Business Need is the "trigger" for a project. Business Case is the "justification" for a project. Business need is usually a part of the business case for the project.

Question 58

Feasibility Study vs Cost-Benefit Analysis

Answer 58

Feasibility Study is about "can we do it?", whereas Cost-Benefit Analysis is about "should we do it?"

Question 59

Corrective Action vs Defect Repair

Answer 59

Corrective Action is taken to bring the project performance (in terms of scope, schedule, cost, quality, etc.) in line with the baselines. Defect Repair is undertaken to fix a "flaw" (or deficiency) in the project's deliverables.

Question 60

Responsibility vs Role

Answer 60

Responsibility is the duty to take ownership of one's actions and the consequences of those actions. Role is a function that a person is assigned to perform. Example, project manager's "role" is to manage the project and achieve its objectives, and it's the project manager's "responsibility" to ensure project success.

Question 61

Resource Loading vs Resource Leveling

Answer 61

Resource Loading is to allocate work to project resources. Resource Leveling is the technique to produce a resource-limited schedule. For example, if the project requires 3 resources in May, 10 in June and 2 in July, but a maximum of only 4 resources are available, then resource leveling may be used to stretch out the project to work with 4 resources (May - 3; June - 4; July - 4; Aug - 4).

Question 62

Variance Analysis vs Value Analysis

Answer 62

Variance Analysis is a project management technique to assess the magnitude of variance (in scope, time, cost, quality, etc.) from the baseline and determine whether corrective or preventive action is required. Value analysis is a product analysis technique to perform the same work at lesser cost.

Question 63

Qualitative Risk Analysis vs Quantitative Risk Analysis

Answer 63

Qualitative risk analysis is the process of short-listing top priority risks on the project. Quantitative risk analysis is the process of numerically analyzing the impact of top priority risks, identified through the qualitative risk analysis process, on the project objectives. Qualitative analysis is faster and more cost-effective than quantitative analysis. Former must be done on all projects, but latter is optional.

Question 64

Statement of Work (SOW) vs Project Scope Statement

Answer 64

SOW is the description of products, services or results to be supplied. Project Scope Statement is the description of project scope i.e. all the "work" that must be done to produce the products, services or results.

Question 65

Corrective Action vs Preventive Action

Answer 65

Corrective Action is undertaken "after" a problem (or risk) has occurred, whereas Preventive Action is undertaken to reduce the probability and/or impact of a problem (or risk) "before" it occurs. Former is reactive, whereas latter is proactive.

Question 66

Project Cost Baseline vs Project Cost Budget

Answer 66

Project Cost Baseline = Project Cost Estimates + Contingency Reserves Project Cost Budget = Project Cost Baseline + Management Reserves

Question 67

Verification vs Validation

Answer 67

Verification checks whether the product was built right. Validation checks whether the right product was built. Verification is usually an internal process, whereas Validation is external. Verification usually takes place before Validation.

Question 68

Mandatory Dependency vs Discretionary Dependency

Answer 68

Mandatory dependencies are those that are contractually required or inherent in the nature of the work. Example, foundation needs to be laid before the building can be constructed. Discretionary dependencies are established based on knowledge of best practices within a particular application area. Example, construction work should wait until the rainy season is over.

Question 69

Manage Team vs Develop Team

Answer 69

Manage Team process is about managing the performance of individual team members, whereas Develop Team is about the performance of the "team" as a unit.

Question 70

Project Requirements vs Product Requirements

Answer 70

Project requirements are related to the work that goes into producing the deliverables of the project. For example, the project should be completed by Dec 31, 2014. Whereas, Product requirements are concerned with the actual product or deliverable of the project. For example, the building structure should be able to withstand earthquakes of magnitude up to 7.5 on Richter scale.

Question 71

Direct Costs vs Indirect Costs

Answer 71

Direct costs are costs that can be directly attributed to a specific project, e.g. labor, raw materials, and equipment rental costs. Direct costs are included in the project budget. Indirect costs are costs that cannot be directly attributed to a specific project, e.g. management, general administration, rental and utility costs. Indirect costs may or may not be included in the project budget.

Question 72

Known Unknowns vs Unknown Unknowns

Answer 72

Known Unknowns are things we know that we don't know, whereas Unknown Unknowns are things we don't even know that we don't know. From risk management perspective, former are risks that are identified during risk management and mitigated using Contingency reserves. Latter are risks that are not even identified during risk management, and managed using Management Reserves.

Question 73

Weighting System vs Screening System

Answer 73

Weighting systems are used to rank sellers according to the score assigned to them based on various criteria. Screening systems are used to shortlist sellers, i.e. eliminate those who do not meet certain minimum requirements.

Question 74

Scope Creep vs Gold Plating

Answer 74

Scope Creep is adding features and functionality (project scope) without addressing the effects on time, costs, and resources, or without customer approval. Whereas, Gold Plating is giving customer extras like extra functionality, high quality, better performance than what is part of the project requirements. Gold Plating need not be only in terms of Scope.

Question 75

Project Management System vs Project Management Information System

Answer 75

All the processes, tools, techniques, methodologies, resources, and procedures to manage a project are collectively known as Project Management System. Project Management Information System is an information system (consisting of the tools and techniques) used to manage the outputs of project management processes.

Question 76

Resource Leveling vs Resource Smoothing

Answer 76

Resource Leveling is performed to balance the demand and supply of resources. Resource Smoothing is performed to achieve a more uniform resource utilization over a period of time. Resource Leveling may change the critical path, but Resource Smoothing does not.

Question 77

Data vs Information

Answer 77

Data is raw, unorganized facts that need to be processed. Data can be something simple and seemingly random and useless until it is organized. When Data is processed, organized, structured or presented in a given context so as to make it useful, it is called Information.

Question 78

Compliance vs Conformance

Answer 78

Compliance is the act of complying with a rule, standard, law, or requirement such that the result is either compliant or non-compliant. Conformance is delivering results that fall within an acceptable range.

Question 79

Explicit Knowledge vs Tacit Knowledge

Answer 79

Explicit knowledge is knowledge that can be documented using words, pictures, and numbers. Tacit knowledge is knowledge that is personal and difficult to express, such as beliefs, insights, experience, and "know-how". Explicit knowledge is easy to share but lacks context and not easy to understand and apply. Tacit knowledge has context and easier to understand and apply.

Question 80

Risk Audits vs Risk Reviews

Answer 80

Risk Audits are used to assess the effectiveness of the risk management process. Risk Reviews are meetings to examine and document the effectiveness of risk responses.

Question 81

Risk Register vs Risk Report

Answer 81

Risk Register is a document that captures details of individual project risks. Risk Report is a document that summarizes information on individual project risks and the level of overall project risk.

Question 82

Brainstorming vs Brain Writing

Answer 82

Brainstorming is a general data-gathering and creativity technique that elicits input from groups such as team members or subject matter experts. Brain Writing is a refinement of brainstorming that allows individual participants time to consider the question(s) individually before the group creativity session is held.

Question 83

Procurement Statement of Work (SOW) vs Terms of Reference (TOR)

Answer 83

Procurement SOW is a description of the procurement item in sufficient detail to allow prospective sellers to determine if they are capable of providing the products, services, or results. It includes specifications, quantity desired, quality levels, performance data, period of performance, work location, etc. Terms of Reference (TOR) is similar to SOW, but used when contracting for services.

Question 84

Iterative vs Incremental Life Cycles

Answer 84

Iterative - deliver the product as a whole and add features later. Incremental - deliver the product in pieces, but each piece is fully featured.

Question 85

Earned Value Management (EVM) vs Earned Schedule (ES)?

Answer 85

ES It is an extension to the theory and practice of EVM. EVM measures performance in terms of cost, whereas ES measures it in terms of time. ES replaces EVM's Schedule Variance and Schedule Performance Index formulas and provides the schedule variance is terms of time instead of cost. ES also provides formulas for forecasting the project completion date.

Question 86

Manage Quality vs Quality Assurance

Answer 86

Quality Assurance is about using project processes effectively. Manage Quality includes all the quality assurance activities, and is also concerned with the product design aspects and process improvements. In other words, Quality Assurance is a subset of Manage Quality.

Question 87

Communication vs Communications

Answer 87

The term "communication" indicates the act of communicating, such as facilitating a meeting, giving information and active listening. The term "communications" indicates the artifacts of communication, such as memos, presentations, and emails.

Question 88

Resource Histogram vs Resource Calendar

Answer 88

The Resource Histogram shows when resources are "needed" for the project, and the Resource Calendar shows when the resources are "available" for the project.

Question 89

Benefits vs Value

Answer 89

Benefits are gains realized by an organization or beneficiaries through portfolio, program, or project outputs and resulting outcomes. On the other hand, 'value' is the net result - tangible or intangible - of realized benefits less the cost of or effort for achieving those benefits.

Question 90

Burndown Chart vs Burnup Chart

Answer 90

A Burndown Chart tracks how much work remains on your project and whether the deadline will be met. A Burnup Chart tracks how much work is done. It shows more information than a Burndown Chart because it also has a line showing how much work is in the project as whole and allows progress to be tracked independently of scope changes.

Question 91

Business Case vs Business Value

Answer 91

Business Case is the justification for doing a project, whereas Business Value is the tangible or intangible benefits from project investment.

Question 92

In group decision-making, what's the difference between majority and plurality?

Answer 92

In Majority, the option that receives more than 50% votes is selected. In Plurality, the option that receives the highest number of votes is selected.

Question 93

What is the fundamental difference between PERT and CPM?

Answer 93

PERT estimates the activity durations based on probability, whereas CPM assumes that the activity durations are fixed.

Question 94

What is the fundamental difference between Accountability and Responsibility when it comes to delegation?

Answer 94

Responsibility can be delegated, but Accountability cannot be.

Question 95

What is the relationship between Accountability, Authority and Responsibility?

Answer 95

With Authority and Responsibility comes Accountability. Accountability = Authority + Responsibility

Question 96

In a basic communication model, what is the difference between Acknowledgement and Response?

Answer 96

Acknowledgement means that the receiver has received the message, whereas Response means that receiver has decoded, understands and is replying to the message.

Question 97

What is the difference between Business Risks and Pure Risks?

Answer 97

Business Risks provide an opportunity of profit or loss, whereas Pure (or Insurable) Risks only provide a chance for a loss.

Question 98

Minimum Viable Product (MVP) vs Minimum Marketable Feature (MMF)

Answer 98

Minimum Viable Product (MVP) is a version of a product that has just enough features to be usable by early customers who can then provide feedback for future product development. Minimum Marketable Feature (MMF) is a small, self-contained feature that can be developed quickly and delivers significant value to the user. MMF is about delivering value to customers, whereas MVP is about learning more about the ultimate product. An MVP can contain zero, one or more MMFs.

Question 99

Definition of Done (DoD) vs Definition of Ready (DoR)

Answer 99

Definition of Done (DoD) is a team's checklist of all the criteria required to be met so that a deliverable can be considered ready for customer use, whereas, Definition of Ready (DoR) is a team's checklist for a user-centric requirement that has all the information the team needs to be able to begin working on it.

Question 100

Vision vs Mission

Answer 100

A vision statement is usually aspirational in nature and describes how the project aligns with the stakeholder and organization goals. The mission statement defines the overall purpose of the project.

Question 101

Earned Value Management (EVM) vs Expected Monetary Value (EMV)

Answer 101

EVM is a "project management technique" that integrates scope, schedule and cost to measure project performance and progress in an objective manner. EMV is a "statistical technique" that calculates the profit or loss of an outcome (e.g. a project) based on different scenarios, by taking into consideration the probability of occurrence and the expected profit or loss from each scenario.

Question 102

Result vs Deliverable

Answer 102

A Result is an output of a process or an activity. It could be an outcome (e.g. a business process, an upgraded system, a research study, a trained resource, etc.) or a document (e.g. a new policy document, a training plan, a research report, etc.). A Deliverable is any tangible output produced by the project. It could be a product, service or result. Result is a type of Deliverable.

Question 103

Product vs Deliverable

Answer 103

A Product is an end item or a component of the end item produced by a project (e.g. a building, a software application, etc.). A Deliverable is any tangible output produced by the project. It could be a product, service or result. Product is a type of Deliverable.

Question 104

Product vs Result

Answer 104

A Product is an end item or a component of the end item produced by a project (e.g. a building, a software application, etc.). A Result could be an outcome (e.g. a business process, an upgraded system, a research study, trained resources, etc.) or a document (e.g. a new policy document, a training plan, a research report, etc.). Both Product and Result are considered deliverables of the project.

Question 105

Project Life Cycle vs Product Life Cycle

Answer 105

A Project Life Cycle is a series of phases from concept to closure through which a project passes through. A Product Life Cycle is a series of phases from concept to end of life (or disposal) through which a product passes through. A product life cycle may contain one or more project life cycles.

Question 106

Iterative and Incremental Life Cycles vs Adaptive Life Cycles

Answer 106

Adaptive Life Cycles are also iterative and incremental, but differ in that iterations are very rapid (usually with a duration of 2 to 4 weeks) and are fixed in time and cost. In Iterative and Incremental projects, the iterations may overlap, but in Adaptive projects, the iterations are usually performed in sequence, and do not overlap.

Question 107

Manage Stakeholder Engagement vs Monitor Stakeholder Engagement

Answer 107

Manage Stakeholder Engagement is about communicating and working with stakeholders i.e. implementing the strategies defined in the Stakeholder Engagement Plan. Monitor Stakeholder Engagement is about monitoring the relationship with stakeholders i.e. evaluating the effectiveness of the Stakeholder Engagement Plan and adjusting the strategies and plans for engaging stakeholders.

Question 108

Manage Communications vs Monitor Communications

Answer 108

Manage Communications is the process of creating, collecting, distributing, storing, retrieving, and disposition of project information i.e. implementing the Communications Management Plan. Monitor Communications is about monitoring and controlling communications i.e. evaluating the effectiveness of the Communications Management Plan and adjusting it.

Question 109

What is the difference between NPV and ROI?

Answer 109

NPV measures the cash flow of an investment, whereas, ROI measures the efficiency of an investment. NPV is expressed in currency value, whereas ROI is a ratio or percentage.

Question 110

Management vs Leadership

Answer 110

Management is more closely associated with directing another person to get from one point to another using a known set of expected behaviors. In contrast, leadership involves working with others through discussion or debate in order to guide them from one point to another.