Appendix B: Answers

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B.1 Chapter 1 Review

1. What are the key roles in an Enterprise SPMO?

   These roles are defined as the Executive Stakeholder, Project Sponsor, Program Manager, Project Manager, Project Coordinator, Project Resources, and Business Systems Analysts.

2. Describe the major service areas of an SPMO.

   They are Performance Reporting, Financial, Vendor, Issue, Quality, Change, and Risk Management.

3. What are several benefits of project performance reporting?

   Benefits of performance reporting include providing a means to ensure the project makes orderly progress toward key milestones by charting progress metrics. They tie performance reports and project financials together for a consolidated picture of the overall status of a project.

4. List the five key components of project performance reporting.

   1. Establishing program standards

   2. Requesting and collect data

   3. Consolidating information

   4. Reporting development and continuous improvement

   5. Reporting communications

5. Cite five to seven elements a project performance report should include.

   Some examples of possible elements contained in a project performance report include:

   1. Scope of deliverables: Planned, actual, and projected

   2. Cost: Planned, actual, earned, and estimated at completion

   3. Schedule: Planned, actual, and estimated

   4. Quality: Planned, actual, and projected achievement

   5. Risk: Planned, actual, and projected reduction

   6. Benefits: Planned and achieved

   7. Issues: Defined, corrective actions, status, management actions required

   8. Why is financial management important in an enterprise SPMO environment?

   Benefits of financial management include being able to explicitly define the financial controls and processes for the project and forecast project costs. It allows the team to improve estimates with consistent financial factors and to identify potential overruns and shortfalls in spending. It enables an integration with the performance reporting function and provides a process to consistently request financial approval from key stakeholders.

6. What are several benefits of effective vendor management?

   Benefits of effective vendor management are cost savings obtained by working closely with vendor management to better obtain quality products and services, to develop relationships and partnering alliances with vendors, and to develop standards for vendor quality, metrics, reporting, pricing, and billing.

7. List the key components of vendor management.

   1. Vendor planning

   2. Vendor selection assistance

   3. Establishment of contract terms and conditions

   4. Monitoring

   5. Contract closure

8. What is the purpose of a CCB?

   Organizations set up a Change Control Board (CCB) to process and prioritize issues as they arise.

9. What are the main components of quality management?

   • Managing expectations

   • Verifying quality

   • Process management

   • Defining metrics

   • Reporting quality metrics

   • Continuous improvement

   • Establishing rewards and recognition

   • Quality training and orientation

10. Define change management as it pertains to an SPMO.

    Change management is the process of managing proposed changes to the project scope defined during the Requirements phase. This process will ensure consistent handling and escalation of all change requests. The objective of change management is to provide a defined process for managing changes to requirements and to set guidelines for approving and escalating changes. This process will provide corporate executives and project members with timely information regarding changes to requirements.

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