PCM- PRACTICE MANAGEMENT
EXAM QUESTIONS & ELABORATED
COMPLETE SOLUTIONS 100%
During construction, a contractor falls behind schedule and has no plan to align with the
critical path. The owner asks the architect to assist in getting the schedule back on track
without additional services.
Which action is within the architect's standard of care for construction contract
administration?
a)Prioritizing the review and return of sequential submittals numbered by the contractor.
b)Performing daily site visits in order to immediately respond to contractor questions in
the field.
c)Approving partially complete work in order to allow trades to work on other parts of the
building.
d)Laying out a more efficient scaffold solution that allows more access to exterior
enclosure progress. - Correct Answer ✔✔ a) Prioritizing the review and return of
sequential submittals numbered by the contractor.
Explanation: The review of submittals falls within the standard of care, and the review of
priority submittals to assist with the schedule does not raise the standard of care.
Topic: Business Operations (20-26%)
An architecture firm is approached by a long-term client with an RFP for a hospitality
project. The firm has been in practice for 10 years and has concentrated on multifamily
projects that generally have a construction budget of between $10 and $30 million.
Their staff of twenty is very busy and has commitments through the next four months.
The firm is deciding whether to proceed with the project by evaluating the following
project details:
The project consists of a hotel containing a restaurant.
The construction budget is $20 million.
The design is expected to start in three months.
For which of the following reasons should the firm proceed with the project? Check the
four that apply.
-The project is for a long term client.
-The project is within their usual scale.
-The project is within their area of expertise.
-The project demands will require additional staff.
,-The project could provide work as their staff frees - Correct Answer ✔✔ -The project is
for a long term client. (They have a relationship that they want to reinforce.)
-The project is within their usual scale. (The project construction budget is $20 million,
and the firm has experience with projects in the $10 million to $30 million range.)
-The project could provide work as their staff frees up. (Given the small gap between
this project's start and the end of their current commitment, this is beneficial.)
-The project represents an opportunity to expand their expertise. (Opportunities to
expand project type could lead to more work.)
Topic: Practice-Wide Delivery of Services (22-28%)
An architecture firm receives an RFQ that outlines full design, construction, and
commissioning services for a new urban arts center with the following details:
A 150,000 sf building with teaching spaces, museum, and cafe.
Adequate parking facilities.
A three-acre waterfront park connected to the new arts center.
Requires permitting, design reviews, and city council presentations.
Pricing sets that must be established early and remain stable throughout design.
The firm specializes in conceptual and specialty design of education and large
assembly spaces, but the firm has limited experience in landscape design. Additionally,
the firm does not currently have the staffing to fully support construction document
production for a project of this scale.
Which project delivery method should the firm submit in their qualifications package?
a)Bridged design-build with the firm serving as design architect.
b)Architect-led des - Correct Answer ✔✔ a)Bridged design-build with the firm serving as
design architect.
Explanation: The project is a high-profile design that requires a specialty architect. A
design-build contract will ensure that the project is delivered efficiently in terms of cost
while bridging allows the project to have multiple architects/landscape architects taking
on separate portions of the design, document preparation, and construction. Design-
build allows for the price to be established before design is complete.
Topic: Practice-Wide Delivery of Services (22-28%)
The roof of an architecture firm's office fails in a storm and the server room floods. The
firm must close for a week to repair the damage.
Which insurance policies will cover the firm's losses, including revenue and production
time? Check the two that apply.
-Workers' compensation insurance
-Commercial property insurance
, -Business income insurance
-Professional liability insurance
-General liability insurance
-Employee health insurance - Correct Answer ✔✔ -Commercial property insurance
(Commercial property insurance would help defray the cost of damage to the office and
other physical business assets affected by the flood.)
-Business income insurance (Business income insurance would help cover lost billable
income during the closed week and the ensuing recovery process.)
Topic: Business Operations (20-26%)
An architecture firm must increase profits for the upcoming year and has a current
backlog of projects for the year. The firm is comprised of three partners, eight
architectural production and management staff members, and three administrative
assistants.
Which of the following strategies will most likely increase profits?
a)Invest in more marketing and advertising.
b)Reduce the administrative staff to two assistants.
c)Pursue work in markets where the firm has not worked before. - Correct Answer ✔✔
b)Reduce the administrative staff to two assistants.
Explanation: Reducing the number of administrative assistants will reduce direct
expenses, and if fee income stays the same, profits will increase.
Topic: Finances, Risk, & Development of Practice (29-35%)
An architecture firm wants to hire an architect who will be trusted with several important
clients. In exchange for a sign-on bonus, the firm asks the prospective employee to sign
a non-compete agreement to protect the firm's interests if the future employee
eventually leaves the firm.
Which one of the following clauses is reasonable to include in the non-compete
agreement?
a)Employee agrees to not seek employment with a competing firm located in the same
region within 18 months of leaving the firm.
b)Employee agrees to not solicit clients from the firm for a minimum of six months after
leaving.
c)Employee must stop communications with all clients and consultants upon notification
that they intend to leave the firm. - Correct Answer ✔✔ b)Employee agrees to not solicit
clients from the firm for a minimum of six months after leaving.
Explanation: This is a reasonable request that protects the hiring firm's client list and
allows them to adequately adjust to the employee leaving their firm.
EXAM QUESTIONS & ELABORATED
COMPLETE SOLUTIONS 100%
During construction, a contractor falls behind schedule and has no plan to align with the
critical path. The owner asks the architect to assist in getting the schedule back on track
without additional services.
Which action is within the architect's standard of care for construction contract
administration?
a)Prioritizing the review and return of sequential submittals numbered by the contractor.
b)Performing daily site visits in order to immediately respond to contractor questions in
the field.
c)Approving partially complete work in order to allow trades to work on other parts of the
building.
d)Laying out a more efficient scaffold solution that allows more access to exterior
enclosure progress. - Correct Answer ✔✔ a) Prioritizing the review and return of
sequential submittals numbered by the contractor.
Explanation: The review of submittals falls within the standard of care, and the review of
priority submittals to assist with the schedule does not raise the standard of care.
Topic: Business Operations (20-26%)
An architecture firm is approached by a long-term client with an RFP for a hospitality
project. The firm has been in practice for 10 years and has concentrated on multifamily
projects that generally have a construction budget of between $10 and $30 million.
Their staff of twenty is very busy and has commitments through the next four months.
The firm is deciding whether to proceed with the project by evaluating the following
project details:
The project consists of a hotel containing a restaurant.
The construction budget is $20 million.
The design is expected to start in three months.
For which of the following reasons should the firm proceed with the project? Check the
four that apply.
-The project is for a long term client.
-The project is within their usual scale.
-The project is within their area of expertise.
-The project demands will require additional staff.
,-The project could provide work as their staff frees - Correct Answer ✔✔ -The project is
for a long term client. (They have a relationship that they want to reinforce.)
-The project is within their usual scale. (The project construction budget is $20 million,
and the firm has experience with projects in the $10 million to $30 million range.)
-The project could provide work as their staff frees up. (Given the small gap between
this project's start and the end of their current commitment, this is beneficial.)
-The project represents an opportunity to expand their expertise. (Opportunities to
expand project type could lead to more work.)
Topic: Practice-Wide Delivery of Services (22-28%)
An architecture firm receives an RFQ that outlines full design, construction, and
commissioning services for a new urban arts center with the following details:
A 150,000 sf building with teaching spaces, museum, and cafe.
Adequate parking facilities.
A three-acre waterfront park connected to the new arts center.
Requires permitting, design reviews, and city council presentations.
Pricing sets that must be established early and remain stable throughout design.
The firm specializes in conceptual and specialty design of education and large
assembly spaces, but the firm has limited experience in landscape design. Additionally,
the firm does not currently have the staffing to fully support construction document
production for a project of this scale.
Which project delivery method should the firm submit in their qualifications package?
a)Bridged design-build with the firm serving as design architect.
b)Architect-led des - Correct Answer ✔✔ a)Bridged design-build with the firm serving as
design architect.
Explanation: The project is a high-profile design that requires a specialty architect. A
design-build contract will ensure that the project is delivered efficiently in terms of cost
while bridging allows the project to have multiple architects/landscape architects taking
on separate portions of the design, document preparation, and construction. Design-
build allows for the price to be established before design is complete.
Topic: Practice-Wide Delivery of Services (22-28%)
The roof of an architecture firm's office fails in a storm and the server room floods. The
firm must close for a week to repair the damage.
Which insurance policies will cover the firm's losses, including revenue and production
time? Check the two that apply.
-Workers' compensation insurance
-Commercial property insurance
, -Business income insurance
-Professional liability insurance
-General liability insurance
-Employee health insurance - Correct Answer ✔✔ -Commercial property insurance
(Commercial property insurance would help defray the cost of damage to the office and
other physical business assets affected by the flood.)
-Business income insurance (Business income insurance would help cover lost billable
income during the closed week and the ensuing recovery process.)
Topic: Business Operations (20-26%)
An architecture firm must increase profits for the upcoming year and has a current
backlog of projects for the year. The firm is comprised of three partners, eight
architectural production and management staff members, and three administrative
assistants.
Which of the following strategies will most likely increase profits?
a)Invest in more marketing and advertising.
b)Reduce the administrative staff to two assistants.
c)Pursue work in markets where the firm has not worked before. - Correct Answer ✔✔
b)Reduce the administrative staff to two assistants.
Explanation: Reducing the number of administrative assistants will reduce direct
expenses, and if fee income stays the same, profits will increase.
Topic: Finances, Risk, & Development of Practice (29-35%)
An architecture firm wants to hire an architect who will be trusted with several important
clients. In exchange for a sign-on bonus, the firm asks the prospective employee to sign
a non-compete agreement to protect the firm's interests if the future employee
eventually leaves the firm.
Which one of the following clauses is reasonable to include in the non-compete
agreement?
a)Employee agrees to not seek employment with a competing firm located in the same
region within 18 months of leaving the firm.
b)Employee agrees to not solicit clients from the firm for a minimum of six months after
leaving.
c)Employee must stop communications with all clients and consultants upon notification
that they intend to leave the firm. - Correct Answer ✔✔ b)Employee agrees to not solicit
clients from the firm for a minimum of six months after leaving.
Explanation: This is a reasonable request that protects the hiring firm's client list and
allows them to adequately adjust to the employee leaving their firm.
