Welcome!
PM Hub now offers you the benefit of daily guidance to help you stay on the road to success with the project management exam or to sharpen and exercise the project management skills you already possess. Each edition of the PM Hub/Crosswind Tip of the Day will give you a question of the day, daily terminology booster, and links to other helpful tools that will prepare you for exam success.
 
Question of the Day
As part of professional responsibility, a Project Manager must balance the Stakeholder's interests. A customer has requested a change in a project that is in the fourth pass at formal acceptance. What should the Project Manager tell the customer?

A) Add the requested changes to the project
B)  Tell the customer no because the project is about to close.
C)  Have Senior Management determine if it is necessary
D)  Ask for a product description and provide the customer time and cost estimates
 
Terminology of the Day
 Conflict of Interest
 A situation in which an individual or company engages in behavior that is inappropriate, but not necessarily illegal (it could be illegal)
 
Answer and Explanation to Yesterday's Question
Your company just completed a make-or-buydecision regarding a new product line to complement a service your company offers. The company has decided to buy the product line and resell it under their own branding. As a result of this decision, it is concerned about risk exposure in the contract type. Which type of contract would it prefer to use if it wants to control costs and minimize risk.
A)  Purchase Order
B)  Unilateral Order
C)  Cost Plus Percentage of Costs
D)  Fixed Price (Correct)
 Explanation: The Fixed Price contract puts a maximum on costs and should provide the minimum risk exposure to the buyer because the maximum risk is absorbed by the seller. Cost Plus Percentage of Costs has a great risk and no Cost Control for the buyer. Purchase Orders are typically used to purchase commodity type items. Unilateral Order is noise in this question.
For more questions, terminology and other exercises please see the PMP® Exam Success Series: Certification Exam Manual at http://www.crosswindpm.com/
 
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PMP/CAPM Exam Success Series Terminology Audio CD
The PMP® Success Series: Terms and Definitions Audio CD is a key tool for anyone preparing for the PMP® Exam. This CD has Terms and Definitions for all 44 process areas covered on the PMP® and CAPM® Exams. The format allows you to listen to the term, think of the answer, and then hear the correct answer. It's perfect for quizzing yourself or memorizing during that late night study session, or that long commute to the office.
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