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management leadership

Questions and Answers of Management Leadership

Why, in lesson 9, is always thinking about “what if” so important?
Lesson 12 warns about not planning enough, but also about spending too much time planning. How do you draw the line?
What are the four parts of a technical proposal?
By what criteria do you think managers judge selection models? What criteria should they use?
Contrast the competitive necessity model with the operating necessity model. What are the advantages and disadvantages of each?
What is a sacred cow? Give some examples.
Give an example of a Q-Sort process for project selection.
What are some of the limitations of project selection models?
What is the distinction between a qualitative and a quantitative measure?
How does the discounted cash flow method answer some of the criticisms of the payback period and average rate of return methods?
What are some advantages and disadvantages of the profit/profitability numeric models?
How is sensitivity analysis used in project selection?
Contrast risk with uncertainty. Describe the window-of-opportunity approach.
Describe the eight-step project portfolio process.
What does the term “maturity” mean?
How does a risk analysis operate? How does a manager interpret the results?
Which of the many purposes of the project portfolio process are most important to a firm with a low project management maturity? Which to a firm with high maturity?
On what basis does the real options model select projects?
What is the real difference between profitability and scoring models? Describe a model that could fit both categories.
Can risk analysis be used for nonproject business decision making? Explain how.
Discuss how the following project selection models are used in real-world applications.(a) Capital investment with discounted cash flow.(b) Simulation models.
Why do you think managers underutilize project selection models?
Would uncertainty models be classified as profitability models, scoring models, or some other type of model?
Contrast validity with reliability. What aspects, if any, are the same?
Contrast subjective and objective measures. Give examples of the proper use of each type of measure when evaluating competing projects.
Can a measure be reliable, yet invalid? Explain.
Is project management maturity focused on doing better on multiple projects or single projects?
Are there certain types of projects that are better suited for nonnumeric selection methods as opposed to numeric ones?
Identify some of the ethical issues that can arise in a bid response to an RFP.
Interpret the columns of data in Table 2-4. Does the $10,968 value mean that the project is expected to return only this amount of discounted money?
How would you find the probability in figure of an NPV of over $20,000?
Reconsider Table 2-3 to explain why the simulated outcome in Table 2-4 is only about half as much as the value originally obtained in Table 2-2. Does the spread of the data in Table 2-3 appear
What important comparisons does the aggregate project plan in figure allow?
What does the plan of record illustrate that the aggregate project plan does not?
Is the new project management approach to implementing strategy bottom-up or top-down?
What is the role of projects and their management in this new process? That is, wouldn’t a functional approach have worked just as well?
What other benefits might you expect from a system such as this?
Why did it take five months to explain the problem to the stakeholders?
Why do you think the stakeholders no longer trusted the authorities?
What might have been the problems with options 1, 2, and 4?
How is option 3 a solution?
Might it not make sense to include a least a few of the more promising new product projects in their portfolio?
If ROI isn’t the big picture, what do you think is?
What would be involved in changing the simulation threat from hurricanes to earthquakes?
What process do you think would be used to analyze the simulation results?
Portillo, Inc. is a manufacturer of small household appliances and cooking utensils. Working with Johanna Portillo, the CEO of the firm, her executive team has developed a scoring model to analyze
L & M Power In the next two years, a large municipal gas company must begin constructing new gas storage facilities to accommodate the Federal Energy Regulatory Commission€™s Order 636
Two new Internet site projects are proposed to a young start-up company. Project A will cost $250,000 to implement and is expected to have annual net cash flows of $75,000. Project B will cost
A four-year financial project has net cash flows of $20,000; $25,000; $30,000; and $50,000 in the next four years. It will cost $75,000 to implement the project. If the required rate of return is
What would happen to the NPV of the above project if the inflation rate was expected to be 4 percent in each of the next four years?
Calculate the profitability index for Problem 3. For Problem 4.
A four-year financial project has estimates of net cash flows shown in the following table:It will cost $65,000 to implement the project, all of which must be invested at the beginning of the
Given the table in Problem 6, assume that the cash flow estimates for each year are best represented by a triangular distribution and that the hurdle rate is 20 percent.(a) Use Crystal Ball® to find
If an inflation rate of 2 percent, normally distributed with a standard deviation of .333 percent, is assumed, what is the expected NPV of the project in Problem 7, and what is the probability that
Use a weighted score model to choose between three methods (A, B, C) of financing the acquisition of a major competitor. The relative weights for each criterion are shown in the following table as
Develop a spreadsheet for Problem 9.(a) What would your recommendation be if the weight for the implementation risks went down to 10 and the weight of cultural differences went up to 25?(b) Suppose
Nina is trying to decide in which of four shopping centers to locate her new boutique. Some locations attract a higher class of clientele than others, some are in an indoor mall, some have a much
Referring to Problem 11, develop a spreadsheet to help Nina select a location for her boutique. Suppose Nina is able to negotiate a lower rent at location 3 and thus raise its ranking to “good.”
A dot-com startup has decided to upgrade its server computers. It is also contemplating a shift from its Unix-based platform to a Windows-based platform. Three major cost items will be affected
Strategically, what must Pan-Europa do to keep from becoming the victim of a hostile takeover? What rows/categories in Exhibit 2 will thus become critically important in 1993? What should Pan-Europa
Using NPV, conduct a straight financial analysis of the investment alternatives and rank the projects. Which NPV of the three should be used? Why? Suggest a way to evaluate the effluent project.MINI
What aspects of the projects might invalidate the ranking you just derived? How should we correct for each investment’s time value of money, unequal lifetimes, riskiness, and size?MINI CASE In
Reconsider the projects in terms of:• Are any “must do” projects of the nonnumeric type?• What elements of the projects might imply greater or lesser riskiness?• might there be any
Considering all the above, what screens/factors might you suggest to narrow down the set of most desirable projects? What criteria would you use to evaluate the projects on these various factors? Do
Divide the projects into the four Project Profile Process categories of incremental, platform, breakthrough, and R&D. Draw an aggregate project plan and array the projects on the chart.MINI
Based on all the above, which projects should the management committee recommend to the Board of Directors?MINI CASE In early January 1993, the senior-management committee of Pan-Europa Foods
Why are successful projects so important to Hewlett-Packard?
How far should an evaluation team go in trying to quantify project contributions to the firm’s mission or goals? What is the role of financial selection criteria in HP’s project selection process?
Considerable attention is paid to the measures HP uses to evaluate its projects. Is the aim of carefully defining these measures to simplify the project selection process or something else?
What do the aggregate project plan and the plan of record illustrate to upper management?
When should out-plan projects be reconsidered for inclusion?
What was your impression of the impact that HP’s project selection process had on the number of projects underway? How do you expect HP would score on project management maturity?
How did the new project selection process handle nonnumeric type projects? Risk? How did this new process alter new project proposals at HP?
How does the project act as a stepping-stone for the project manager’s career?
Name the categories of skills that should be considered in the selection of a project manager.
Discuss the PM’s responsibilities toward the project team members.
What are the major differences between functional managers and project managers?
What are some of the essential characteristics of effective project team members?
What is the most important selection characteristic of a project manager?
What project goals are most important during the project life cycle stages?
Why must project management team members have good technical skills?
Describe each of the four elements of culture.
Identify some important types of project environments.
Contrast culture, microculture, and multiculture.
In what ways is language crucial in project management?
Identify the five multicultural factors requiring special consideration.
Can you think of several ways to assure “breadth of communication” in a project? Do you think “socialization” off the job helps or hinders?
Contrast the prime law for projects, “Never surprise the boss,” with the corporate adage “Bad news never travels up.”
How does a project manager, in some cases, work like a politician?
What are some of the conflicts that are bound to occur between parties that have legitimate interests in the project?
Project managers must be generalists rather than specialists. Yet, team members need to have more specialized, technical skills. Can a generalist manage a team of specialists effectively?
Why do you think cost drops in importance as an objective right after the formation stage?
Why is it more difficult to keep the project on its time and cost schedules the later the project gets in its life cycle?
Suppose you have a talented scientist temporarily working for you on a client contract who is due to be transferred back to her regular job. Although you could do without her efforts at this point of
Contrast cultural differences with environmental differences. Isn’t the culture part of the environment?
How is communication through art different than through language?
Define monitoring. Are there any additional activities that should be part of the monitoring function?
What should a firm do when an accepted practice in a foreign country is illegal in its own country?
If employing people to use pails to move water helps the economy, why not use spoons instead and thus hire even more people? How should the official have been answered?
How difficult is it to change a culture where project management is perceived as of low status and something to get out of to one where project management is respected? How would you approach such a

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