Project Management Professional (PMP) — Question 57

A project manager has been given a critical, 5-day window and is allocated a maximum of US$100,000 as a contingency reserve. Subsequently, the project manager drafted a course of action based upon the best available information. Overall, five actions were required to be completed at a cost of US$20,000 and a duration of 1 day each. After 3 days of work, the project manager completed two actions and spent US$80,000.
What should the project manager do next?

Answer options

• A. Complete all actions and then inform the client of the additional cost and schedule overrun needed to complete the project
• B. Stop the work and raise a project change request to the change control board (CCB) for additional funds and a project schedule extension
• C. As the CPI and SPI are greater than 1.0, reevaluate and prioritize the remaining actions
• D. As the cost performance index (CPI) and schedule performance index (SPI) are less than 1.0, reevaluate and prioritize the remaining actions

Correct answer: D

Explanation

The correct answer is D because both the CPI and SPI being less than 1.0 indicates that the project is over budget and behind schedule, necessitating a reassessment of priorities. Option A is incorrect as completing the project without addressing the issues will lead to further complications. Option B suggests stopping work, which may not be necessary if prioritization can improve efficiency. Option C is invalid because it assumes good performance with indices above 1.0, which is not the case here.