PMP · Question #84
A project manager is assigned to a project where a vendor has been engaged to build a new system. One week before user acceptance testing (UAT) is scheduled, the vendor informs the project manager tha
The correct answer is A. Communicate with the vendor and project team and explore possibilities for resolving the issue. The project manager must immediately communicate with the vendor and project team to understand the situation, explore potential solutions, and minimize impact on project objectives.
Question
A project manager is assigned to a project where a vendor has been engaged to build a new system. One week before user acceptance testing (UAT) is scheduled, the vendor informs the project manager that they can only deliver half of the promised functions by the UAT start date. What should the project manager do next?
Options
- ACommunicate with the vendor and project team and explore possibilities for resolving the issue
- BWait until the vendor cannot deliver and then invoke liquidated damages based on the contract
- CEscalate to management and prepare for project closure by canceling the contract with this
- DAdjust the project schedule to accommodate the current development progress of the vendor
How the community answered
(26 responses)- A85% (22)
- B4% (1)
- C4% (1)
- D8% (2)
Why each option
The project manager must immediately communicate with the vendor and project team to understand the situation, explore potential solutions, and minimize impact on project objectives.
When a critical deliverable is at risk, the project manager's immediate action should be to open a dialogue with both the vendor and the internal project team to understand the full scope of the problem, assess its impact, and collaboratively brainstorm viable solutions or mitigation strategies. This proactive approach aims to find a resolution, such as adjusting scope, resources, or schedule, to get the project back on track before resorting to more drastic measures.
Waiting to invoke liquidated damages is a reactive measure and does not attempt to resolve the immediate problem or mitigate the impact on the project schedule and objectives.
Immediately escalating to cancel the contract without attempting to resolve the issue is an extreme measure that can cause significant delays and financial losses.
Adjusting the project schedule unilaterally without discussion, impact analysis, or stakeholder approval is not a proper response to a vendor issue and can lead to unmanaged scope changes or missed deadlines.
Concept tested: Vendor management; issue resolution; communication
Source: https://www.pmi.org/pmbok-guide-standards/foundational/pmbok/project-procurement-management
Topics
Community Discussion
6A. Per the PMBOK Guide, the project manager's first step when a vendor flags a delivery shortfall is to engage stakeholders and collaborate on a solution rather than jumping to penalties or contract cancellation. You work the problem with the vendor and team first, then escalate or adjust the schedule only if that collaborative effort fails.
Our group was split between D and A at first, with a few people arguing you should just extend the timeline since the vendor is still delivering something. What settled it for us was the word "explore" in A, which points to collaborative problem-solving before taking any unilateral action like a schedule change.
A is the right call here because the PMI mindset is to collaborate and problem-solve before jumping to penalties or cancellation. You have a week of lead time, which is enough to sit down with the vendor and the team to figure out what can be salvaged or reprioritized for UAT. Options B and C are reactive or extreme, and D just quietly accepts the slip without investigating root cause. If you want to really see why A beats the others, spin up a quick lab scenario in your head where you role-play the vendor conversation and watch how fast a collaborative review surfaces options nobody
Agree on A but watch the qualifier in the stem: if it said "vendor is unresponsive" instead of just "delayed," the PMI answer shifts toward B because you document the breach before escalating, not after.
Confirmed A on my exam last month. The key word here is "explore" because PMI wants you to collaborate and find solutions before taking drastic action like penalties or cancellation.
Agreed on A, and "explore" also signals the Investigate process in the PMBOK where you gather facts before deciding whether it even rises to a formal claim, so it is not just collaboration but due diligence.