PK0-003 · Question #193
The project manager has been informed the project's CPI is 0.85 on a multi-year project that is 30% complete. Which of the following actions would be BEST for the project manager to take?
The correct answer is B. Submit an RFQ to find a less expensive material.. The project's Cost Performance Index (CPI) of 0.85 indicates that the project is currently over budget, spending more money than planned for the work completed. To improve this, the project manager should take action to reduce future costs.
Question
The project manager has been informed the project's CPI is 0.85 on a multi-year project that is 30% complete. Which of the following actions would be BEST for the project manager to take?
Options
- AAsk the project sponsor to extend the project schedule.
- BSubmit an RFQ to find a less expensive material.
- CAssign additional team members to Quality Control.
- DFast track the project to reduce risk.
How the community answered
(39 responses)- A21% (8)
- B59% (23)
- C8% (3)
- D13% (5)
Why each option
The project's Cost Performance Index (CPI) of 0.85 indicates that the project is currently over budget, spending more money than planned for the work completed. To improve this, the project manager should take action to reduce future costs.
Asking the project sponsor to extend the project schedule would likely increase project costs due to prolonged resource allocation, further worsening a negative CPI.
Submitting an RFQ to find less expensive material directly addresses the CPI deficit by seeking to lower future project expenditures, thereby improving the project's cost performance. This action aims to reduce the actual cost (AC) for the remaining work relative to its earned value (EV).
Concept tested: Cost Performance Index (CPI) corrective actions
Topics
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