📗 PMP CHEAT SHEET — PART 2

PMBOK 7th Ed · Org Structures · Financial Analysis · Advanced Agile · Interpersonal Skills · 20 New Scenarios

📘 PMBOK 7th Edition — 12 PM Principles

PMBOK 7 shifted from process-based to principle-based. These 12 principles guide PM behavior and decision-making. Heavily tested!

#	Principle	Key Idea
1	Stewardship	Act with integrity; care for all resources
2	Collaborative Team	Build trust, shared goals, inclusion
3	Stakeholder Engagement	Identify, involve, and manage stakeholders proactively
4	Focus on Value	Everything done should deliver business value
5	Systems Thinking	Projects are systems — changes have cascading effects
6	Leadership	Lead by example; adapt style to situation
7	Tailoring	No one-size-fits-all; adapt methods to context
8	Quality	Quality built in, not inspected in
9	Navigate Complexity	Anticipate and address ambiguity proactively
10	Optimize Risk	Balance threats and opportunities continuously
11	Adaptability	Respond to change; recover from disruption
12	Enable Change	Help stakeholders embrace change, not resist it

💡 Tip: PMBOK 7 principles are NOT prescriptive steps — they are guiding values. Exam questions will test whether you apply the right principle in context.

🎯 PMBOK 7 — 8 Performance Domains

Performance Domains replace Knowledge Areas in PMBOK 7. They are interacting areas of focus that work simultaneously throughout the project.

Domain	Focus	Key Outcomes
Stakeholder	Productive relationships	Stakeholders engaged; needs understood
Team	High-performing team culture	Shared ownership, trust, results
Dev Approach & Life Cycle	Right method for the project	Appropriate cadence and phases
Planning	Organized, coordinated effort	Realistic schedule, budget, scope
Project Work	Efficient project execution	Focus, flow, performance
Delivery	Value delivered on time	Deliverables meet requirements
Measurement	Performance tracked and optimized	Informed decisions; timely response
Uncertainty	Risk and ambiguity managed	Resilience; threat/opportunity balance

✅ Key Shift: PMBOK 6 = "What processes to follow." PMBOK 7 = "What outcomes to achieve." The exam now focuses on outcomes and judgment, not memorizing process inputs/outputs.

✂️ Tailoring

Tailoring = selecting and adapting the right methods, tools, and approaches for each unique project.

What Gets Tailored?

Life cycle approach (predictive vs agile vs hybrid)
Processes selected (not all processes are needed on every project)
Documents and artifacts
Meeting cadence and reporting frequency
Tools and techniques

Tailoring Considerations

Factor	Tailoring Direction
High uncertainty / evolving requirements	→ More agile / adaptive
Regulatory / compliance requirements	→ More predictive / documentation-heavy
Small experienced team	→ Lighter processes
Large distributed team	→ More formal communication plans
Safety-critical project	→ More quality gates and audits

💡 Tip: Tailoring is NOT doing whatever you want. It must align with organizational standards and PMO guidelines.

🗂️ Models, Methods & Artifacts (PMBOK 7)

Commonly Tested Models

Model	What It Explains
Situational Leadership (Hersey-Blanchard)	Adapt leadership style to team member's maturity
OSCAR Coaching Model	Outcome, Situation, Choices, Actions, Review
Cynefin Framework	Simple / Complicated / Complex / Chaotic — guides decisions
Stacey Matrix	Certainty vs Agreement — when to use agile
VUCA Model	Volatility, Uncertainty, Complexity, Ambiguity — project environment
Organizational Change Models	Kotter 8-step, Prosci ADKAR, Lewin Unfreeze-Change-Refreeze

VUCA — Key Definitions

VolatilityChange is rapid and unpredictable in nature and extent

UncertaintyLack of knowledge of issues and events; unclear causes

ComplexityMany interconnected parts making it hard to analyze

AmbiguityHaziness about reality; multiple interpretations possible

💡 Tip: VUCA environments → favor agile or adaptive approaches. High VUCA = more iterative planning, more stakeholder engagement.

🏢 Organizational Structures & PM Authority

Structure	PM Authority	Resource Control	PM Role	Budget Control
Functional	Little to none	Functional Manager	Coordinator / Part-time	Functional Manager
Weak Matrix	Low	Mostly Func. Mgr.	Part-time	Functional Manager
Balanced Matrix	Medium (shared)	Shared	Full-time	Mixed
Strong Matrix	High	Mostly PM	Full-time	PM
Projectized	Full / Highest	PM	Full-time	PM
Composite	Varies	Varies	Varies	Varies

⚠️ Trap: In a Balanced Matrix, the PM and Functional Manager have EQUAL authority. This creates the most conflict. Exam favorite scenario!

📌 Example: A PM complains they can't get engineers assigned to their project. → This is a Functional or Weak Matrix organization where functional managers control resources.

Tight Matrix ≠ Matrix Organization

Tight Matrix = co-location (war room). This is about physical space, NOT organizational structure. Don't confuse on the exam!

🏛️ PMO Types

PMO Type	Authority Level	Role	Example Activity
Supportive	Low	Consultant / Repository	Provides templates, trains PMs
Controlling	Moderate	Compliance enforcer	Requires use of standard tools, audits
Directive	High	Direct management	PMO assigns and manages PMs directly

💡 Tip: Think of it as: Supportive = library (take what you need). Controlling = compliance officer (must follow rules). Directive = boss (tells you what to do).

🗂️ Project vs Program vs Portfolio

Level	Definition	Managed By	Focus
Project	Unique temporary work	Project Manager	Deliver defined scope
Program	Related projects managed together	Program Manager	Realize synergies & benefits
Portfolio	Strategic mix of work	Portfolio Manager	Align to organizational strategy

📌 Example: A city builds a new transit system: Bridge Project + Tunnel Project + Station Projects = Program. All city infrastructure programs + roads + utilities = Portfolio.

Project vs Operations

Project	Operations
Temporary with defined end	Ongoing, repetitive
Unique output	Standard, repeatable output
Ends when objectives met	Never ends (as long as org exists)
Example: Build a bridge	Example: Maintain a bridge

⚖️ Project Governance

Project Governance = oversight structure ensuring the right decisions are made by the right people.

Key Governance Elements

Steering Committee / Project Board — executive oversight; approves major decisions
Change Control Board (CCB) — approves/rejects changes
Sponsor — accountable executive; provides funding and direction
Phase Gate / Stage Gate Review — go/no-go decision point at phase end

Phase Gate Reviews (Tollgates)

Phase Gates decide: Go / No-Go / Hold. The PM presents deliverables and metrics; the sponsor/steering committee decides.

💡 Tip: A project can be terminated at a phase gate even if it was running well — if the business case no longer applies. This is a correct and ethical decision.

💵 Project Selection Methods

Financial Analysis Models

Method	Formula/Definition	Decision Rule
NPV	PV of benefits − PV of costs	Higher NPV = better; NPV > 0 = viable
IRR	Discount rate where NPV = 0	Higher IRR = better; IRR > cost of capital
Payback Period	Initial Investment ÷ Annual Cash Flow	Shorter = better; faster recovery
BCR	Total Benefits ÷ Total Costs	BCR > 1 = viable; higher = better
Opportunity Cost	Value of next-best alternative foregone	Lower opportunity cost = better choice

📌 Example: Project A: NPV=$500k · Project B: NPV=$300k → Select Project A (higher NPV).
Opportunity Cost of choosing A = $300k (value you gave up from B).

⚠️ Trap: If asked "Which project should be selected?" and one has higher NPV — always choose highest NPV. If asked "What is the opportunity cost of choosing Project A?" → it's the NPV of Project B (what you gave up).

Scoring Models (Non-Financial)

Weighted Scoring Model — assigns weighted scores across criteria (strategic fit, risk, ROI, urgency). Most comprehensive for project portfolio selection.

🏭 Make-or-Buy Analysis

Make-or-Buy Analysis is done during Plan Procurement Management.

Make (Internal)	Buy (External)
Proprietary/sensitive technology	Specialized skills not available internally
Excess capacity available	Insufficient internal capacity
Control over quality needed	External costs are lower
Long-term strategic capability	Short-term or one-time need
IP protection critical	Faster time to market using vendor

Break-Even Point = Fixed Cost of Making ÷ (Buy Cost per Unit − Variable Cost per Unit)

📌 Example: It costs $10,000 to set up internal production + $2/unit. Buying costs $7/unit. Break-even = $10,000 ÷ ($7−$2) = 2,000 units. If you need >2,000 → Make. If <2,000 → Buy.

📈 Benefits Realization Management

Benefits realization ensures the project delivers lasting value to the organization after the project closes.

Key Documents

Document	Purpose	Created When
Business Case	Justify the project investment	Pre-project (before charter)
Benefits Management Plan	Define, track, and sustain benefits	During initiation/planning
Benefits Realization Report	Confirm benefits achieved	Post-project

💡 Tip: Benefits are realized AFTER the project ends. The project manager hands off to operations who measure actual benefits. The sponsor is accountable for benefits realization.

👷 Resource Management Deep Dive

Resource Leveling vs Resource Smoothing

Technique	Purpose	May Extend Schedule?	Constraint
Resource Leveling	Resolve over-allocation	YES — schedule may extend	Resource limits are fixed
Resource Smoothing	Optimize within schedule	NO — schedule kept	Float is used up

Resource Histogram

Resource Histogram = bar chart showing resource demand over time. Bars above the availability line = overloaded = need leveling.

Halo Effect in Resource Decisions

Halo Effect = promoting the best engineer to PM just because they're a great engineer. Being good at a technical role ≠ PM skills.

Colocation vs Virtual Teams

Aspect	Co-located	Virtual
Communication	Rich, face-to-face	Technology-dependent
Team culture	Easy to build	Requires extra effort
Collaboration tools	Whiteboard, war room	Video, Slack, Jira
Time zones	Not an issue	Major challenge
Cost	Higher (travel, office)	Lower overhead

📊 RAM / RACI Matrix

RAM (Responsibility Assignment Matrix) — links WBS work to team roles.

RACI Definitions

Letter	Role	Definition	How Many?
R	Responsible	Does the work	1 or more
A	Accountable	Owns the outcome; signs off	Exactly 1
C	Consulted	Input before decisions; 2-way comm.	0 or more
I	Informed	Updated after decisions; 1-way comm.	0 or more

⚠️ Trap: There must be exactly ONE Accountable per task. Two people being accountable = no one is accountable. This is a common exam question!

📌 Example RACI:

Activity	PM	Sponsor	Engineer	Client
Design review	A	I	R	C
Budget approval	R	A	I	I
Inspect deliverable	A	I	R	R

🌐 Virtual & Distributed Teams

Key Challenges

Time zone differences → scheduling conflicts
Cultural differences → communication styles vary
Technology reliance → tool failures disrupt work
Trust building → harder without face-to-face time
Isolation → reduced team cohesion and morale

PM Strategies for Virtual Teams

Establish communication protocols and norms early
Use video (not just audio) to increase connection
Schedule overlap hours for synchronous collaboration
Create virtual "water cooler" opportunities
Celebrate wins publicly and frequently
Use collaboration tools: Jira, Confluence, Miro, Teams, Slack

💡 Tip: The exam may say a virtual team member feels isolated. Best answer = increase communication frequency and find ways to build personal connection — not just add more meetings.

📋 Data Gathering Techniques

Technique	Definition	Best Used For
Brainstorming	Generate ideas without judgment	Risk identification, requirements
Delphi Technique	Anonymous expert consensus (rounds)	Risk, estimation, forecasting
Interviews	One-on-one information gathering	Requirements, stakeholder needs
Focus Groups	Group discussion / attitudes	Requirements, customer feedback
Surveys/Questionnaires	Collect data from many people	Large stakeholder groups
Benchmarking	Compare to best practices	Quality, process improvement
Observation (Gemba)	Watch actual work being done	Process analysis, requirements
Nominal Group Technique	Brainstorm then vote to prioritize	Risk, decision making
Mind Mapping	Visual idea relationship diagram	Requirements, WBS creation
Affinity Diagram	Group ideas into themes	After brainstorming; risk grouping
Document Analysis	Review existing documents	Requirements, lessons learned

💡 Tip: Delphi is anonymous → prevents dominant personalities from skewing results. Great for sensitive estimates. Exam frequently tests Delphi's key feature = anonymity.

🔬 Data Analysis Techniques

Technique	Purpose	Where Used
Variance Analysis	Compare actual vs planned	Monitor & Control
Trend Analysis	Identify patterns over time	Monitor & Control
Earned Value Analysis	Integrate cost+schedule performance	Monitor & Control
Root Cause Analysis	Find underlying cause of problem	Quality, Risk, Issues
SWOT Analysis	Strategic + risk assessment	Risk identification, Planning
Assumption Analysis	Identify risks in assumptions	Risk identification
Regression Analysis	Predict future performance	Risk, Forecasting
Simulation (Monte Carlo)	Model probability of outcomes	Quantitative risk analysis
Sensitivity / Tornado Diagram	Rank risk impact on project	Risk prioritization

🎲 Decision-Making Tools

Tool	Use
Decision Tree	Evaluate options using EMV
Multicriteria Decision Analysis	Weighted scoring of options
Voting Methods	Group decisions
Autocratic Decision Making	Fast but low buy-in

Voting Types

Unanimity — everyone agrees (100%)
Majority — more than 50% agree
Plurality — largest block wins (no majority needed)
Dictatorship — one person decides

💡 Tip: For planning poker and agile estimation, the team converges toward consensus — similar to unanimity / Delphi. Not a vote; a discussion to reach agreement.

🤝 Interpersonal & Team Skills

Skill	Definition	Exam Context
Active Listening	Fully attend + paraphrase + clarify	Best for understanding stakeholders
Facilitation	Guide group to consensus	Meetings, workshops, conflict
Coaching	Develop individual skills	New or growing team members
Mentoring	Share experience; career guidance	Long-term development
Influencing	Get results without authority	Matrix orgs; cross-functional
Political Awareness	Understand formal & informal power	Stakeholder management
Cultural Awareness	Adapt to cultural differences	International / diverse teams

⚠️ Trap: Coaching vs Mentoring: Coaching = skill development (shorter, task-focused). Mentoring = career guidance (longer, relationship-focused). Exam tests this distinction!

🤜🤛 Negotiation & BATNA

Negotiation is a key interpersonal skill for PMs — used with vendors, stakeholders, functional managers, sponsors, and team members.

Negotiation Approaches

Approach	Description	Outcome
Win-Win (Integrative)	Collaborative; both parties benefit	Long-term relationships preserved
Win-Lose (Distributive)	Competitive; fixed pie divided	One party wins, other loses
Lose-Lose	Both parties over-compromise	Both dissatisfied

BATNA — Best Alternative to Negotiated Agreement

BATNA = your best option if negotiations fail. Knowing your BATNA:

Sets your walk-away point (don't agree to worse terms than your BATNA)
Gives you negotiating confidence and leverage
Prevents agreeing to a bad deal out of desperation

📌 Example: Negotiating with a contractor. Your BATNA = use an alternate vendor at $50k. If the contractor won't go below $60k, you walk away. The BATNA is $50k = your minimum acceptable outcome.

Key Negotiation Tactics to Know

Anchoring — first offer sets the reference point
Bracketing — start high, settle in the middle
Deadlines — creating time pressure
Good Cop/Bad Cop — one tough, one reasonable negotiator

🧠 Knowledge Management

Knowledge management is the process of capturing and using both explicit and tacit knowledge.

Type	Definition	Examples	How to Capture
Explicit Knowledge	Documented, codifiable	Manuals, reports, lessons learned docs	Write it down; document it
Tacit Knowledge	Personal, experiential, hard to document	Expert judgment, know-how, intuition	Mentoring, communities of practice, shadowing

💡 Tip: The hardest knowledge to transfer is tacit. When an experienced team member leaves, most of what's lost is tacit knowledge. Best capture method = pair them with less experienced members BEFORE they leave.

Lessons Learned Repository

Part of OPA (Organizational Process Assets)
Lessons learned are updated throughout the project, not just at close
Future projects USE lessons learned from past projects as inputs

🔄 Organizational Change Management

Projects create change. The PM must help stakeholders transition from current state to the desired future state.

Kotter's 8-Step Change Model

Create a sense of urgency
Build a guiding coalition
Form a strategic vision and initiatives
Enlist volunteers in the change army
Enable action by removing barriers
Generate short-term wins
Sustain acceleration — don't declare victory early
Institute change — anchor in culture

ADKAR Model (Prosci)

Letter	Element	Question It Answers
A	Awareness	Why is change needed?
D	Desire	Do I want to change?
K	Knowledge	How do I change?
A	Ability	Can I change?
R	Reinforcement	Will the change stick?

⚠️ Trap: Stakeholder resistance is NOT always opposition to the project. It may be fear, lack of information, or uncertainty. The answer is usually to engage, communicate, and educate — not to escalate or force.

📏 Agile Estimation Techniques

Technique	How It Works	Key Feature
Story Points	Relative complexity units assigned by team	Relative, not hours; team-specific
Planning Poker	Cards revealed simultaneously; discuss outliers	Prevents anchoring; consensus-driven
T-Shirt Sizing	XS / S / M / L / XL categories	Fast; good for large backlogs
Affinity Estimating	Silent grouping into size categories	Very fast; good for 50+ stories
Wideband Delphi	Anonymous rounds until consensus	Reduces bias; works for any method
Ideal Days	Uninterrupted work days	More intuitive than story points

💡 Tip: Story points are NOT comparable between teams. Team A's story point ≠ Team B's story point. Never compare velocity across teams!

Fibonacci Sequence in Estimation

Planning poker uses Fibonacci numbers: 1, 2, 3, 5, 8, 13, 21, 34... Gaps increase with size to reflect increasing uncertainty in larger stories.

✅ Definition of Ready vs Definition of Done

Concept	Definition	Applied To	Created By
Definition of Ready (DoR)	Story is ready to be worked on	Product Backlog items	Team + PO
Definition of Done (DoD)	Work is truly complete	Stories + Sprint Increment	Development Team

Typical DoR Criteria

User story written (As a… I want… So that…)
Acceptance criteria defined
Story sized/estimated
Dependencies identified
No blockers to starting

Typical DoD Criteria

All acceptance criteria met
Code reviewed and merged
Unit tests written and passing
Documentation updated
Product Owner accepts the story

⚠️ Trap: The DoD is owned by the Development Team, not the Product Owner. But both agree on it. Stories not meeting DoD are NOT demo'd at Sprint Review.

🏢 SAFe — Scaled Agile Framework

SAFe scales agile to large enterprises with multiple teams working together.

SAFe Levels

Level	Focus	Key Concept
Team	Individual Scrum/Kanban teams	Sprints, velocity
Program (ART)	Multiple teams aligned	PI Planning, Release Train
Large Solution	Very large, complex systems	Solution Train
Portfolio	Strategic alignment	Lean Portfolio Management

Key SAFe Terms

PI Planning — 2-day event for all teams to plan together (every 8-12 weeks)
ART (Agile Release Train) — 50-125 people, multiple teams, single mission
Program Increment (PI) — 8-12 week delivery cycle

⚡ XP & Other Agile Frameworks

XP — Extreme Programming

XP Practice	Definition
TDD (Test-Driven Development)	Write tests first, then code to pass them
Pair Programming	Two devs at one workstation; driver + navigator
Refactoring	Continuously improve code without changing behavior
Continuous Integration (CI)	Merge code frequently; automate testing
Collective Code Ownership	Any dev can modify any part of code
Small Releases	Frequent small increments for fast feedback

Other Frameworks at a Glance

Framework	Key Idea
Crystal	Family of methods; scale by team size/criticality
DSDM	Fix time + budget; flex scope; never compromise quality
FDD (Feature-Driven Development)	Build by feature; design by feature
LeSS (Large Scale Scrum)	Multiple teams, one PO, one backlog

🗓️ Agile Release Planning

Release Planning maps the Product Backlog to releases over time.

Forecasting Release Date

Number of Sprints = Total Story Points in Backlog ÷ Average Team Velocity

📌 Example: Backlog = 240 story points. Velocity = 40 points/sprint. Sprints needed = 240 ÷ 40 = 6 sprints. If each sprint is 2 weeks → release in 12 weeks.

Types of Roadmaps

Type	Horizon	Detail Level
Product Roadmap	6-18 months	Feature themes, not detailed stories
Release Plan	Next 3-6 months	Specific features per release
Sprint Plan	Next 1-4 weeks	Detailed user stories and tasks

💎 Value-Driven Delivery

Agile prioritizes delivering the highest value items first so the customer gets maximum ROI even if the project is cut short.

Prioritization Techniques

Technique	How It Works
MoSCoW	Must / Should / Could / Won't Have
Kano Model	Basic / Performance / Delight needs
Relative Weighting	Score value vs. cost to prioritize
WSJF (Weighted Shortest Job First)	Cost of Delay ÷ Duration = priority score

MVP — Minimum Viable Product

MVP = smallest product that delivers value + enables learning. Not the cheapest version — the one that tests the core hypothesis with real users.

💡 Tip: Value-driven delivery means the PO should reorder the backlog based on business value. Highest ROI items always go to the top. The team never decides priority — the PO does.

📋 Source Selection Criteria

Source Selection Criteria — developed BEFORE receiving proposals so evaluation is objective.

Common Evaluation Criteria

Criterion	What It Evaluates
Understanding of Need	Does the vendor understand your requirements?
Technical Capability	Can they technically do the work?
Management Approach	How will they manage the project?
Financial Capacity	Are they financially stable?
Past Performance	Track record on similar work
Price / Life Cycle Cost	Total cost including maintenance
IP Rights	Who owns deliverables and IP?

Procurement Negotiation

Key items to negotiate: price, schedule, scope, quality, risk allocation, payment terms, IP ownership, warranties, penalties.

💡 Tip: Price is NOT always the most important selection criterion, especially for complex or high-risk contracts. Technical capability and past performance often weigh more.

⚖️ Claims Administration & Disputes

Claims Administration = managing contested changes in contracts.

Dispute Resolution Methods (in preferred order)

Negotiation — direct resolution (fastest, cheapest)
Mediation — neutral third party facilitates (non-binding)
Arbitration — binding third-party decision (faster than court)

Litigation

⚠️ Trap: The exam prefers resolving disputes as early as possible, at the lowest level possible. Always try direct negotiation first before escalating.

📝 20 Advanced Scenario Questions

Scenario 1: PMBOK 7 Principle

📌 A PM adjusts the project life cycle mid-project from waterfall to hybrid because requirements are proving unclear. Which PMBOK 7 principle is applied?
✅ Tailoring — adapting the approach based on the project's specific context.

Scenario 2: Org Structure Conflict

📌 A PM cannot get engineers assigned because the Engineering Department Head says they're busy on other work. What type of organization is this?
✅ Functional or Weak Matrix — functional managers control resources, PM has low authority.

Scenario 3: PMO Role

📌 The PMO requires all projects to use the company's scheduling software, templates, and risk register format, and conducts quarterly audits. What type of PMO?
✅ Controlling PMO — requires compliance with standards; moderate control.

Scenario 4: Project Selection

📌 Project A: NPV=$200k, IRR=15%. Project B: NPV=$350k, IRR=12%. You can only do one. Which do you recommend?
✅ Project B — higher NPV means more value delivered. IRR alone isn't the deciding factor when NPV is available.

Scenario 5: RACI Issue

📌 During a review, it's found that both the PM and the Sponsor are marked "Accountable" for contract approval. What's the problem?
✅ There must be exactly ONE Accountable per task. Having two creates confusion and prevents clear ownership. Fix: remove one.

Scenario 6: Resource Leveling

📌 An engineer is assigned to two critical tasks simultaneously, creating overallocation. The PM uses resource leveling. What is the result?
✅ One task is delayed until the engineer is available. The project schedule may extend. Float may be consumed or critical path may change.

Scenario 7: Tacit Knowledge

📌 Your most experienced bridge inspector is retiring next month. How do you best capture their knowledge?
✅ Shadowing / mentoring / pair work — tacit knowledge can't be fully captured in documents. Have a junior inspector shadow them now.

Scenario 8: Change Resistance

📌 A key department is resisting adoption of the new system your project is delivering. What should the PM do first?
✅ Meet with department leaders to understand their concerns. Engage, listen, communicate benefits. Don't escalate or force compliance yet.

Scenario 9: Delphi Method

📌 A PM needs to estimate risk impacts but fears senior experts will dominate the process. Which technique is best?
✅ Delphi Technique — anonymous questionnaires prevent groupthink and dominant voices from skewing estimates.

Scenario 10: Contract Type Risk

📌 Scope is partially defined — you know what you want but not exactly how it will be delivered. Which contract type?
✅ FPIF (Fixed Price Incentive Fee) — seller has flexibility in approach but commits to a price ceiling. Incentive rewards performance.

Scenario 11: Agile Estimation

📌 During planning poker, one developer estimates 13 points while everyone else says 3. What is the right action?
✅ Ask the outlier to explain their reasoning. The outlier often knows something others don't. Discuss, then re-estimate. Don't just average.

Scenario 12: SAFe PI Planning

📌 Six teams are about to start a 10-week program increment. What event aligns them all to a shared plan?
✅ PI Planning — 2-day event where all ART teams plan together, identify dependencies, and commit to program increment objectives.

Scenario 13: DoD Not Met

📌 At Sprint Review, the team wants to demo a feature but code review hasn't been done. Should they demo it?
✅ No — if code review is part of the Definition of Done, the story is NOT complete. Incomplete items return to the Product Backlog.

Scenario 14: MoSCoW

📌 The team is running out of time. The PO needs to cut scope. Using MoSCoW, which items are dropped first?
✅ Won't Have → Could Have → Should Have. Must Have items are non-negotiable. Cut from the bottom up.

Scenario 15: BATNA

📌 You're negotiating with a vendor. They won't go below $80k but your BATNA is $70k with another vendor. What do you do?
✅ Walk away — the deal is worse than your BATNA. Exercise your best alternative.

Scenario 16: Virtual Team Trust

📌 A virtual team member in another country feels excluded and disengaged. Best PM action?
✅ Proactively increase one-on-one communication with the member, include them in decisions, find cultural bridge opportunities. Video calls preferred over email.

Scenario 17: Benefits Realization

📌 A project is complete and delivered on time/budget. 6 months later the sponsor reports the expected business benefits haven't materialized. Who is accountable?
✅ The Sponsor — benefits realization is the sponsor's responsibility, not the PM's. The PM delivered the project; the sponsor is accountable for benefits.

Scenario 18: Tailoring Decision

📌 A construction project has strict government regulations requiring detailed documentation and formal sign-offs at every phase. Which approach?
✅ Predictive / Waterfall — regulatory and compliance-heavy environments require predictive approaches with formal documentation and phase gates.

Scenario 19: Wideband Delphi

📌 A PM asks three experts independently to estimate task duration. Results: 5d, 9d, 14d. They discuss and re-estimate. This repeats until convergence. What technique?
✅ Wideband Delphi — structured rounds of anonymous estimation with discussion until consensus.

Scenario 20: Phase Gate

📌 At the end of Phase 2, the steering committee reviews the project. Market conditions have changed and the business case no longer holds. What should happen?
✅ Terminate the project at the phase gate. This is a legitimate and ethical decision. The PM closes the project properly with full documentation and lessons learned.

💡 25 More Power Tips

PMBOK 7 = outcome-focused principles, not prescriptive processes
Tailoring is NOT optional — you must tailor every project
PMO Directive = highest authority; PMO Supportive = lowest
Projectized org = PM has MOST authority; Functional = LEAST
Balanced Matrix = most conflict between PM and Functional Manager
Tight Matrix = co-location, NOT a type of matrix organization
Benefits realization = sponsor's responsibility, not PM's
NPV = best financial selection tool; higher is always better
Opportunity Cost = value of the NEXT BEST alternative foregone
Make-or-buy: calculate break-even to decide threshold
Resource Leveling MAY extend schedule; Resource Smoothing does NOT
Halo Effect = wrong reason to promote someone to PM
RACI: only ONE Accountable per task — no exceptions
Coaching = skill development; Mentoring = career development
Delphi = anonymous to prevent groupthink/dominance
Lessons learned = OPA; must be done THROUGHOUT project not just at end
Tacit knowledge is harder to transfer than explicit knowledge
ADKAR: if people lack Desire, training (Knowledge) won't help yet
VUCA environment → prefer agile/adaptive approach
PI Planning = SAFe's key event; all teams plan together
Story points are team-specific; NEVER compare velocity across teams
DoD must be met before demoing in Sprint Review
MVP = smallest product that tests core hypothesis with real users
MoSCoW: cut Won't Have first, then Could Have if more cuts needed
Claims resolution order: Negotiate → Mediate → Arbitrate → Litigate

⚠️ More Exam Traps

Trap	Students Choose	Correct Answer
Tight Matrix organization	A type of matrix org structure	Co-location (war room) — unrelated to org structure
Who is accountable for benefits realization?	Project Manager	Sponsor (after project close)
Two people listed as Accountable in RACI	That's fine — shared accountability	ERROR — only ONE Accountable allowed
Resource Leveling	Never changes the schedule	It MAY extend the schedule
Resource Smoothing	May extend the schedule	Does NOT extend schedule; uses float only
Best way to capture expert's tacit knowledge	Ask them to document it	Shadowing, mentoring, pair working
Opportunity Cost of choosing Project A	Total cost of Project A	Value of the NEXT BEST option you gave up
Story points can compare team performance	Yes — higher velocity = better team	No — story points are team-specific; never compare
Incomplete story at Sprint Review	Demo it but note it's incomplete	Do NOT demo; return to Product Backlog
Stakeholder is resistant — best action?	Escalate to their manager	Meet 1:1 to understand concerns; engage and educate
Project terminated at phase gate	PM failed; project was cancelled	Correct governance — business case no longer valid
NPV vs IRR — which to use?	IRR — higher % sounds better	NPV — measures actual value added in dollars
Coaching vs Mentoring	Same thing	Coaching = skill/task focus; Mentoring = career/long-term
PMBOK 7 Knowledge Areas	Same as PMBOK 6	PMBOK 7 replaced KAs with 8 Performance Domains

🔑 More Power Keywords

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Stewardship Systems Thinking VUCA Cynefin Stacey Matrix Phase Gate Program Portfolio PMO-Supportive PMO-Controlling PMO-Directive NPV IRR BCR Opportunity Cost Resource Leveling Resource Smoothing Halo Effect Active Listening BATNA Win-Win Explicit Knowledge Tacit Knowledge ADKAR Kotter 8-Step Story Points Planning Poker Definition of Ready Definition of Done PI Planning ART TDD Pair Programming MVP MoSCoW WSJF Kano Model Source Selection Criteria Claims Administration Arbitration Benefits Mgmt Plan Tailoring