CAPM Practice Exam Question

When initiating a project, a project manager must ensure that the project aligns with organizational goals and strategic objectives. Which of the following actions is MOST critical in the initial phase of the project?

A) Conduct a detailed risk analysis to identify potential project risks.

B) Develop a comprehensive project charter and ensure it is approved by the project sponsor.

C) Assign project team members and define their roles and responsibilities.

D) Establish a project management office (PMO) to oversee the project.

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Correct Answer: B) Develop a comprehensive project charter and ensure it is approved by the project sponsor.

Explanation:

The project charter is a critical document that formally authorizes a project or a phase and documents initial requirements that satisfy the stakeholder’s needs and expectations. It serves as a direct link between the project and the strategic objectives of the organization, providing a clear signal to the organization about the importance and prioritization of the project. Approval of the project charter by the project sponsor provides the project manager with the authority to apply organizational resources to project activities.

Why the Other Options Are Not the Best:

A) While conducting a detailed risk analysis is an important part of project planning, it is not the most critical action during the initial phase of the project. The risk analysis is more effective once the project has been formally authorized and its objectives and constraints are clearly defined.

C) Assigning project team members and defining their roles and responsibilities are essential for project execution. However, this step follows the formal authorization of the project, typically after the approval of the project charter, making it less critical at the initial phase compared to obtaining project charter approval.

D) Establishing a Project Management Office (PMO) is a strategic decision made by an organization to oversee project management standards and practices across projects. While a PMO can provide valuable support and governance for projects, its establishment is not a project-specific action and thus not the most critical action during the initial phase of a specific project.

In summary, option B is the best answer because the development and approval of the project charter are foundational steps in linking the project to the organization's strategic objectives, providing the necessary authority to proceed, and aligning expectations among stakeholders.