Session 2- Business Environment

Question 1

Net Present value (NPV)

Answer 1

Present value of all cash outflows minus the present value of all cash inflows,

Question 2

Internal Rate of Return ( IRR)

Answer 2

The interest rate that makes the NPV of all cash flow equal to zero.

Question 3

OPA

Answer 3

Organizational Process Assets- Plans, processes, policies, procedures, and knowledge bases that are specific to and used by the performing organization. They influence the management of the project.

Question 4

EEF ( Enterprise Environmental Factors)

Answer 4

EEFs are things outside the project team’s control. These are internal or external conditions that influence, constrain, or direct the project at organizational, portfolio, program, or project level.

Question 5

Composite Structure

Answer 5

A combination of functional, projectized and matrix.

Question 6

Matrix Structure

Answer 6

Blend of functional and projectized structures- individuals report upward in the functional heirarchy, but also report horizontally to one or more project managers. May be strong or weak matrix depending on PM’s authority over functional managers.

Question 7

Configuration Management System

Answer 7

A collection of procedures used to track project artifacts and monitor and control changes to these artifacts.

Question 8

PESTLE

Answer 8

The PESTLE acronym identifies the external values that can affect the outcome of the project. 
P = Political
E= Economic
S = Social 
T= Technical
L= Legal
E  = Environmental

Question 9

Father of continuous improvement

Answer 9

Deming