MSING001

MODULE CODE
ASSESSMENT

MSING001: PROJECT MANAGEMENT
EXAMINATION PAPER
APRIUMAY 2018
The examination will last TWO (2) hours.
There are THREE (3) sections: you are required to answer ALL THREE (3)
sections.
Section A:
Section B:
Section C:
Consists of FIVE (5) questions from which you much answer
THREE (3).
If you answer more than THREE (3) questions, only the first
THREE (3) answers will be marked.
Total value of Section A: THIRTY (30) Marks
Consists of ONE (1) compulsory question. Candidates should
attempt ALL parts of this question.
Total value of Section B: TWENTY (20) Marks
Is based on the Novo Nordisk Engineering: Running for FastTrack Project Execution Study which was issued to you prior to
the examination. If you have not been issued with a fresh
copy of the Case Study at the start of the examination,
please request a copy from the invigilators.
The section consists of FOUR (4) questions C1, C2, C3 and
C4. Answer ALL FOUR (4) questions.
Total value of Section C: FIFTY (50) marks
You are advised to allocate your time as follows:
Section A – answer THREE (3) out of FIVE (5) questions
Section B – answer ONE (1) compulsory question
Section C – case study: answer ALL FOUR (4) questions
40 minutes
20 minutes
60 minutes
TURN OVER
MSING001: Project Management
Section A
Answer any THREE (3) out of FIVE (5) questions. Each question is worth TEN
(10) marks. If you answer more than THREE (3) questions, only the first THREE
(3) answers will be marked.
Briefly describe the following components of a project which would be included in a
project plan. Give examples to illustrate your points.
a) Project objectives
b) Deliverables
c) Scope
d) Success criteria
MSING001: 2017/18
2
(2 marks)
(3 marks)
(3 marks)
(2 marks)
CONTINUED
MSING001: Project Management
A project has a total budget of £1000k and is planned to be completed in 12 weeks.
The earned value analysis at the end of week 6 shows the following:
Earned Value Data
Budget
—- Planned
~.\
Actual
./’~
./’./’~
./’ ~med Value 1
………..: -“”~
1200
1100
1000
900
800
700
.: 600
500
400
300
200
100
o
o Week 3 Week 6
nWeek 9 Week 12
a) Calculate the cost performance index (CPI) and schedule performance index
(SPI) for the project.
(2 marks)
b) What do these indices tell you about the project’s progress to date?
(3 marks)
c) What percentage of the project has been completed so far? How does this
compare to what was planned?
(3 marks)
d) If the current cost trend continues, what is the estimated cost at completion?
(2 marks)
Briefly describe FOUR (~ stages in the negotiation process. Your stages should be
presented in sequence.
(10 marks)
TURN OVER
3
MSING001: 2017/18
MSING001: Project Management
a) Briefly explain why it is important to manage the stakeholders on a project.
(2 marks)
b) Explain the role of the Power I Interest matrix in the stakeholder management
process. Include a labelled diagram to illustrate your answer.
(8 marks)
The following is the network for a small project (in days). You have just been
advised that you have to include a waiting period of 3 days between tasks Band C.
I 4 I I 7 I .- B t– c lI I I I
I 3 I I 4 I
A I- .. F
I I I I
I 6 I I 10 I .- 0 f-+ E lI I I I
Using the graph paper provided:
a) What, if any, is the impact on the critical path and the duration of the project?
(1 mark)
b) Redraw the network to include the waiting time.
(4 marks)
c) Perform the forward and backward pass.
(4 marks)
d) Highlight the critical path.
(1 mark)
CONTINUED
4
MSING001: 2017/18
MSING001: Project Management
SECTION B
This section is worth TWENTY (20) marks. This section consists of ONE (1)
question. Candidates should attempt all parts of the question. Answer
question B.1 below.
An organisation is evaluating two projects (A and B below) to decide which one to
fund. Financial appraisal data is given:
Project A ProjectS
Year Netcash£k Netcash£k
0 (400) (280)
1 150 130
2 250 110
3 180 120
4 140 100
NPV 173.83 180
IRR 29% 24%
Note: The company’s cost of capital (interest rate) is 10%
a) Calculate the payback period for each project based on the simple (nondiscounted) cash flows above. Which project is better on this basis?
(6 marks)
b) State ONE (1) principal benefit and ONE (1) principal disadvantage of evaluating
the viability of potential project(s) on the basis of payback.
(2 marks)
c) Briefly explain why the time value of money concept is an important factor in the
financial appraisal of projects.
(4 marks)
d) Which of the above projects is the most viable on the basis of:
I. Net Present Value
II. Internal Rate of Return
In each case, briefly explain the reasoning for your answer.
(1 mark)
(1 mark)
e) Overall, what would you advise the organisation regarding which project to fund?
Briefly explain the reason(s) for your suggestions.
(6 marks)
TURN OVER
5
MSINGOO1: 2017118
MSING001: Project Management
SECTION C
This section is worth FIFTY (50) marks.
All the questions are based on Novo Nordisk Engineering: Running for Fast-Track
Project Execution case study which was issued to you prior to the examination. If
you have not been issued with a fresh copy of the Case Study at the start of the
examination, please request a copy from the invigilators.
Answer all parts of all questions.
a) Briefly state what is meant by configuration management.
(2 marks)
b) Page 3 notes the plant construction approach for the first NNE project:
It•••breaking a plant down into modules constructed in parallel and tested at the
suppliers premises…”
Explain THREE ‘~reasons why strong configuration management would be critical
to success with this construction approach.
(9 marks)
Expanding the number of fast track projects led to resource conflicts, as noted by
Voigt [page4]: “Managing resource conflicts is the most difficult pari ofrunning an
engineering company.”
a) Briefly explain FOUR ‘4} distinct ways in which a project manager might
overcome resource constraints on a project.
(4 marks)
b) For each identify ONE ’11 benefit and ONE ‘1} disadvantage to a fast-track
project such as those being undertaken by Novo Nordisk.
You should provide different arguments for I against each option you suggest.
(8 marks)
CONTINUED
6
MSING001: 2017118
MSING001: Project Management
a) What type of project team structure was employed by NNE on its fast-track
projects? Briefly state the reason for your choice.
(3 marks)
b) Explain how the team structure and the ways in which the team worked
contributed to the success of the projects. You should identify and briefly explain
SIX (6) attributes.
(12 marks)
c) When NNE won the Bavarian Nordic contract it organized a one-week teambuilding exercise for the project management team, in the north of Sweden in
winter [page 7]. Do you think this was a good exercise to undertake? State the
reasons for your views.
(5 marks)
Figure 2 [Page 6] illustrates the difference between a specification-driven and a timedriven project.
Explain:
a) What each diagram is showing.
(3 marks)
b) How they relate to the project management ‘iron triangle’.
(4 marks)
END OF PAPER
7
MSING001: 2017/18

Hello! How can I assist you today?

James Karani
SECTION C
This section is worth FIFTY (50) marks.
All the questions are based on Novo Nordisk Engineering: Running for Fast-Track
Project Execution case study which was issued to you prior to the examination. If
you have not been issued with a fresh copy of the Case Study at the start of the
examination, please request a copy from the invigilators.
Answer all parts of all questions.
a) Briefly state what is meant by configuration management.
(2 marks)
b) Page 3 notes the plant construction approach for the first NNE project:
It•••breaking a plant down into modules constructed in parallel and tested at the
suppliers premises…”
Explain THREE ‘~reasons why strong configuration management would be critical
to success with this construction approach.
(9 marks)
Expanding the number of fast track projects led to resource conflicts, as noted by
Voigt [page4]: “Managing resource conflicts is the most difficult pari ofrunning an
engineering company.”
a) Briefly explain FOUR ‘4} distinct ways in which a project manager might
overcome resource constraints on a project.
(4 marks)
b) For each identify ONE ’11 benefit and ONE ‘1} disadvantage to a fast-track
project such as those being undertaken by Novo Nordisk.
You should provide different arguments for I against each option you suggest.
(8 marks)
CONTINUED
6
MSING001: 2017118
MSING001: Project Management
a) What type of project team structure was employed by NNE on its fast-track
projects? Briefly state the reason for your choice.
(3 marks)
b) Explain how the team structure and the ways in which the team worked
contributed to the success of the projects. You should identify and briefly explain
SIX (6) attributes.
(12 marks)
c) When NNE won the Bavarian Nordic contract it organized a one-week teambuilding exercise for the project management team, in the north of Sweden in
winter [page 7]. Do you think this was a good exercise to undertake? State the
reasons for your views.
(5 marks)
Figure 2 [Page 6] illustrates the difference between a specification-driven and a timedriven project.
Explain:
a) What each diagram is showing.
(3 marks)
b) How they relate to the project management ‘iron triangle’.
(4 marks)
a) Configuration management refers to the process of identifying, documenting, controlling, and tracking all the components and changes of a system or project throughout its life cycle. It helps ensure that the product or system under development meets its intended requirements, functions correctly, and remains consistent during development and delivery.

b) Three reasons why strong configuration management would be critical to success with the modular construction approach are:

Modular construction involves multiple suppliers, each responsible for constructing and testing their respective module before they are assembled on-site. Proper configuration management ensures that the design specifications for each module are accurately communicated and documented to all the suppliers, which helps avoid misinterpretations or errors during construction.

Assembling modules manufactured by different suppliers requires a high degree of coordination and integration to ensure they fit together properly. Configuration management helps maintain consistency across the modules by ensuring that each one meets the required design and quality standards.

Modular construction often involves making changes or modifications to the design during the construction phase. Effective configuration management ensures that all changes are tracked, controlled, and documented, which helps avoid conflicts or mistakes that can cause delays or rework.

a) Four distinct ways in which a project manager might overcome resource constraints on a project are:

Resource leveling: This involves adjusting the project schedule by shifting tasks and resources around to balance the workload and avoid overloading certain team members or departments.

Resource allocation: This involves prioritizing the use of resources based on their availability, skills, and expertise to ensure that critical tasks are completed on time.

Resource outsourcing: This involves hiring external contractors or vendors to perform certain tasks or provide specialized skills or equipment that are not available in-house.

Resource optimization: This involves using technology, tools, and techniques to increase efficiency, reduce waste, and maximize the use of available resources.

b) Benefits and disadvantages of fast-track projects:

Benefit: Fast-track projects can deliver results quickly, allowing companies to respond to changing market conditions and customer demands more effectively.
Disadvantage: Fast-track projects often require more resources, which can strain budgets and limit the ability to take on other projects.

Benefit: Fast-track projects can help companies gain a competitive advantage by being the first to market with a new product or service.
Disadvantage: Fast-track projects may sacrifice quality and thoroughness to meet tight deadlines, which can lead to higher costs and increased risk of errors or failures.

a) NNE employed a matrix team structure, where team members are organized by both function and project. This structure was chosen because it allows for more efficient resource utilization and better coordination across functions and projects.

b) Six attributes that contributed to the success of NNE’s fast-track projects are:

Clear roles and responsibilities: Each team member had a clearly defined role and responsibility, which helped avoid confusion and overlap.

Effective communication: Regular communication channels were established, which helped ensure that everyone was informed and up-to-date on project progress.

Collaboration and teamwork: The matrix team structure allowed for cross-functional collaboration and teamwork, which helped ensure that all aspects of the project were considered and addressed.

Risk management: Risk assessment and mitigation were integrated into the project management process, which helped identify and address potential issues before they became significant problems.

Flexibility and adaptability: The team was able to adjust and adapt quickly to changes in project requirements or circumstances, which helped keep the project on track.

Continuous improvement: Lessons learned from previous projects were incorporated into the project management process, which helped identify opportunities for continuous improvement.

c) The one-week team-building exercise was a good exercise to undertake because it helped foster a sense of teamwork, trust, and collaboration among the project management team. By taking the team out of their usual work environment and engaging in team-building activities