OSCM 373- Exam 2 WITH Q & A

What is the function of a work breakdown structure?

- CORRECT ANSWER Provides the basis for detailed time and cost estimates on a
project

When using a computing algorithm to analyze large network diagrams, what are the four
pieces of information needed for each activity?
- CORRECT ANSWER Early start, early finish, late start, and late finish

When using a Gantt chart with a complex project, what tool should be used in
conjunction with the chart?
- CORRECT ANSWER Network diagram

T/F: Early start and finish times involve a forward pass, and late start and finish times
use a backward pass through the network.
- CORRECT ANSWER True

What is a network diagram, which is used by the PERT and CPM project management
techniques? - CORRECT ANSWER Diagram of project activities that shows their
sequential relationships with arrows and nodes

The slack time on the critical path is always what? - CORRECT ANSWER Zero

The critical path in a network diagram is defined as what?
- CORRECT ANSWER The longest path from start to finish which determines the
overall project duration.

If a budget was too optimistic, it was ____________ the actual project cost.
- CORRECT ANSWER lower than

What is used in AOA diagrams to clarify relationships, such as two activities that have
the same starting and ending nodes?
- CORRECT ANSWER Dummy activity

Select all of the reasons why a project manager would want to shorten the duration of a
project.
- CORRECT ANSWER- Incentive payment earned if project completion date is early
- To free up resources to work on another project
- Monetary penalty due if agreed-to schedule is exceeded

All of the following information can be produced by the network diagram computing
algorithm except which?
- CORRECT ANSWER Most expensive path

Select all of the rules project managers follow when crashing a schedule.
- CORRECT ANSWER- Crash the schedule one period at a time

,- Recalculate the critical path after each crashing
- Crash the least expensive activity on the critical path

Which of the following is calculated in a forward pass?
- CORRECT ANSWERE S = 0
ES + Activity time = EF

In critical chain project management the critical path is viewed as a what?
- CORRECT ANSWER Bottleneck

Why is slack time valuable information for project managers?
- CORRECT ANSWER Resources may be shifted to more critical activities away from
those with slack

There are many advantages to using a project management software package. Among
them are which of the following?
- CORRECT ANSWER-It automatically formats reports.
- It can generate various chart types, including basic Gantt charts.
- It enables what-if scenarios.
- It can enhance communication among team members.
- It provides a logical planning structure.
- It imposes a methodology and a common project management terminology.
- It can flag the occurrence of constraint violations.
- It can generate multiple levels of summary reports and detailed reports.

Select all of the reasons that project costs may exceed budgeted amounts.
- CORRECT ANSWER- Weather or supplier delays
- Budget too optimistic
- Rework of substandard workmanship

T/F: It is common for projects to fail, either partially or completely.
- CORRECT ANSWER True

In project management, shortening activity durations by applying additional resources to
it is called ______________.
- CORRECT ANSWER crashing

Which of the following statements about risk probability and cost are true?
- CORRECT ANSWER Probability of occurrence of a risk is highest at the start.

Why are only activities on the critical path candidates for crashing?
- CORRECT ANSWER Only the critical path directly affects the completion date

Similar to the theory of constraints, critical chain project management uses what to
support the critical path?
- CORRECT ANSWER Buffers

, What are some of the features of common project management software?
- CORRECT ANSWER- Track progress/performance of scheduled project activities
- Flag missing precedence relationships between activities
- Assign resources to project activities

Operating in an environment of uncertainty, projects are subject to what negative
outcomes?
- CORRECT ANSWER Delays, budget overruns, inability to meet technical
requirements

T/F: With proper risk management all cost, schedule and technical risks can always be
avoided on a project.
- CORRECT ANSWER False

Customers arrive at a rate (λ) of 8 per hour (arrival pattern can be described with a
Poisson distribution with a mean of 8). Service representative requires an average of 6
minutes (1/μ) to assist a customer (service time can be described with an exponential
distribution with a mean of 6).
What is the average queue length?
- CORRECT ANSWER3.2
Working (uses M/M/1 system):
Arrival Rate λ = 8 customers/hour
1/μ = 6 minutes => Service Rate, μ = 60/6 = 10 customers/hour
Lq= λ^2/(μ *(μ-λ)) = 8^2/(10*(10-8)) = 64/20 = 3.2 customers

Customers arrive at a rate (λ) of 45 per hour (arrival pattern can be described with a
Poisson distribution with a mean of 45). A service representative requires an average of
6 minutes (1/μ) to assist a customer (service time can be described with an exponential
distribution with a mean of 6). The company employs 6 service representatives. What is
the average queue length?
- CORRECT ANSWER1.265 customers
Working (M/M/S system):
λ = 45 customers/hour
1/μ = 6 minutes => μ = 60/6 = 10 customers/hour
Referring to the table with λ/μ = 45/10 = 4.5 & M=6 => Lq = 1.265 customers

Customers arrive to a concession stand at the rate of 72 per hour. Arrival rate can be
described by a Poisson distribution. The stand has 4 windows. Buying a hot dog takes
on average 3 minutes per customer and varies exponentially.
What is the maximum waiting-line length (at least) 40% of the time?
- CORRECT ANSWER2

Customers arrive at a rate (λ) of 8 per hour. Each service representative requires an
average of 6 minutes to assist a customer. The system has an average queue length of
4 customer.