Enterprise Management

PRINCE2 Question: I am studying E2 at the moment. Under the topic of PRINCE2, both the BPP book and the official Learning System state that there are 8 components and 8 processes. However, when I studied for the PRINCE2 exam using the official PRINCE2 Manual, there should be 7 components and 7 processes. I am wondering if this is a mistake in the BPP book? If there is a question in the exam on PRINCE2, shall I answer 7 processes or 8? Response from tutor: 7 will be more than plenty so do not worry. Questions on PRINCE are unlikely to go to that level of detail anyway. Critical Success Factor Question: I would like to know the difference between a KPI and CSF. Response from tutor: The simple answer is that a KPI will be a measure or number, and a CSF will be a statement. This comes from project management in IT and has been generalised. For something to happen (a project to succeed, a business to make money) the first question is 'what needs to happen to make it happen?' - those things are the CSFs. The next question is 'how can we make sure those things happen and are being delivered?’ - that gives rise to KPIs. Setting KPIs means management focus on getting the critical things done, and measuring and reporting the KPIs allows management to monitor them. Project Structure Question: What are the key characteristics of a matrix project structure? Response from tutor: The most obvious feature is the project manager standing at the centre of a web. This manager can call on the services of the divisions of the firm (say finance, sales, marketing, R&D, IT and so on) and must co-ordinate them to achieve the project aims. The other feature will be secondment of staff from these other divisions to the project for set lengths of time. The adverse characteristics that result are confusion over where loyalties lie, a maze of cross charging, and high degrees of interpersonal conflict resulting from the divisions each seeking to retain its own autonomy and interests. Critical