PMI-RMP · Question #439
A mega facility development project is evaluating some options to achieve the project schedule and budget. Each option's success is driven by multiple quantifiable factors. What should the project man
The correct answer is C. Perform a decision tree analysis. Decision tree analysis (C) is the correct tool when evaluating multiple options with quantifiable outcomes driven by probabilities and costs. A decision tree models each option as a branch with associated probabilities and monetary values, allowing the project manager to calculat
Question
A mega facility development project is evaluating some options to achieve the project schedule and budget. Each option's success is driven by multiple quantifiable factors. What should the project manager do to evaluate and select the best option based on costs and probabilities?
Options
- APerform a FMECA fault tree analysis
- BConduct a sensitivity analysis
- CPerform a decision tree analysis
- DConduct an analytic hierarchy process
How the community answered
(46 responses)- A13% (6)
- B7% (3)
- C78% (36)
- D2% (1)
Explanation
Decision tree analysis (C) is the correct tool when evaluating multiple options with quantifiable outcomes driven by probabilities and costs. A decision tree models each option as a branch with associated probabilities and monetary values, allowing the project manager to calculate the Expected Monetary Value (EMV) of each path and select the option with the best risk-adjusted outcome. FMECA/fault tree analysis (A) is used for failure mode identification, not option selection. Sensitivity analysis (B) examines how changes in one variable affect an outcome, but does not evaluate discrete options across probability-weighted cost scenarios. Analytic Hierarchy Process (D) is a multi-criteria decision method based on pairwise comparisons, not probability-weighted cost modeling.
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