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MODULE NAME: MODULE CODE:

BUSINESS PERFORMANCE MANAGEMENT PBMG8111/w

ASSESSMENT TYPE: EXAMINATION (PAPER ONLY)

TOTAL MARK ALLOCATION: 100 MARKS
TOTAL HOURS: 3 HOURS
INSTRUCTIONS:
1. Please adhere to all instructions in the assessment booklet.
2. Independent work is required.
3. You may not leave the assessment venue during reading time, or during the first hour or during
the last 15 minutes of the assessment.
4. Ensure that your name is on all pieces of paper or books that you will be submitting. Submit all
the pages of this assessment’s question paper as well as your answer script.
5. Answer all the questions on the answer sheets or in answer booklets provided. The phrase
‘END OF PAPER’ will appear after the final set question of this assessment.
6. Remember to work at a steady pace so that you are able to complete the assessment within
the allocated time. Use the mark allocation as a guideline as to how much time to spend on
each section.
Additional instructions:
1. This is a CLOSED BOOK assessment.
2. Calculators are allowed.
3. For multiple-choice questions, give only one (1) response per question. The marker will ignore
any question with more than one answer, unless otherwise stated. You should, therefore, be
sure of your answer before committing it to paper.
4. This assessment has Two Sections. You are required to answer All of these sections.
5. Answer All Questions .
6. Show all calculations, where applicable (marks may be awarded for this).

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Examination Outcomes
Learning Unit/s Objectives covered in this exam:

• Analyse the fundamental principles of new business models.

• Develop business operating models to improve the performance of organisations.
• Evaluate leadership styles used to improve individual performance in the achievement of
organisational goals.
• Critically evaluate project management techniques in the effective and efficient
implementation of strategy.

SECTION A – OBJECTIVE TEST QUESTIONS

IMPORTANT: Answer both section A and section B.

Question 1 (Marks: 50)

Q.1.1 XYZ Corporation is evaluating project management methodologies for its upcoming (1)
infrastructure upgrade project. The project steering committee considers PRINCE2
and PMBOK as potential frameworks to guide the project.
During discussions, it is highlighted that PRINCE2 emphasises a structured approach
with defined roles and a focus on processes from project initiation to closure.
In contrast, PMBOK is recognised for its broad knowledge areas that provide
guidelines for managing all project aspects, including integration, scope, and
stakeholder management. Based on the case study, which statement best highlights
a critical difference between PRINCE2 and PMBOK in managing the infrastructure
upgrade project?
a) PRINCE2 will require the project to be segmented into multiple stages with
decision points, whereas PMBOK will focus more on continuous process
improvement throughout the project lifecycle.
b) PRINCE2 provides a rigid structure that mandates compliance with its phases,
while PMBOK offers a flexible set of guidelines that can be adapted to the
project's specific needs.
c) PRINCE2 is predominantly used in the UK and using it would require special
training for the team, while PMBOK, being globally recognised, does not
require extensive training.

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d) PMBOK focuses solely on the project manager's role, unlike PRINCE2, which
defines roles for team members, a project board, and other stakeholders.

Q.1.2 At SunRay Technologies, a software development firm, the management team has (1)
implemented a distributive leadership model to enhance innovation and decision-
making across the organisation. Under this model, various team members are given
leadership roles and responsibilities relevant to their expertise areas. For instance,
Lisa leads client engagement strategies, while Tom oversees the technical
development. This approach has led to an enhanced specialisation in decision areas
and increased employee engagement as more team members feel empowered and
accountable. What are the key advantages of distributive leadership, as
demonstrated by SunRay Technologies? (Select all that apply.)
a) Increased flexibility in decision-making – Leadership distributed across various
team members allows for more adaptive and responsive decision-making
processes.
b) Enhanced employee engagement – Employees feel more valued and
empowered, leading to higher motivation and job satisfaction.
c) Centralised control over strategic decisions – Centralised decision-making
ensures a unified strategic direction and avoids confusion.
d) Faster problem resolution – With multiple leaders, the most relevant expert
can quickly address problems.
e) Greater innovation – Distributing leadership fosters diverse ideas and
approaches, contributing to a more innovative organisational culture.

Q.1.3 In the digital age, businesses face unique challenges and opportunities in attracting (1)
and retaining top talent.
Which strategies are effective for companies looking to enhance their talent
acquisition and retention efforts? (Select all that apply.)
a) Implementing flexible work policies that include options for remote work,
flexible hours, and telecommuting.
b) Focusing solely on increasing monetary compensation as the primary method
to retain top performers.
c) Utilising advanced analytics and data-driven approaches to understand
employee needs and predict turnover.

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d) Limiting access to professional development opportunities ensures

employees remain focused on current tasks.

Q.1.4 GreenTech Solutions is initiating a project to develop a new line of energy-efficient (1)
home appliances.
The project sponsor, a senior executive, has secured the necessary funding and
organisational support for the project. Meanwhile, the project owner, a product
manager, is responsible for detailing the project requirements and ensuring the
final products meet market needs and quality standards. Which statement best
illustrates the distinct roles of the project sponsor and the project owner at
GreenTech Solutions?
a) The project sponsor focuses on securing resources and facilitating high-level
organisational support, while the project owner concentrates on project
execution and meeting specific performance criteria.
b) The project sponsor is responsible for the day-to-day management of the
project team, whereas the project owner handles the financial aspects, such
as budgeting and cost control.
c) The project sponsor and project owner roles overlap significantly, sharing
equal responsibility for strategic planning and decision-making.
d) The project owner arranges funding and strategic alignments while the
project sponsor defines the product's technical specifications and quality
standards.

Q.1.5 According to Maslow's Hierarchy of Needs, which managerial actions are (1)
appropriate to satisfy employees' esteem and self-actualisation needs? (Select all
that apply.)
a) Ensuring a safe working environment and providing comprehensive health
benefits.
b) Offering praise and recognition for good work and opportunities for career
advancement.
c) Providing a competitive salary and job security.
d) Encouraging participation in decision-making and providing challenging
projects that stimulate growth.

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Q.1.6 Lee is a newly qualified CGMA. (1)

She has just joined a project team and would like to understand project terminology
better. Which of the following is conformance management primarily concerned
with?
a) Inspection, quality control and quality assurance.
b) Leadership, supply chain management, control, and problem-solving and
decision-making.
c) Initiation, planning, execution, control and closing.
d) Transferring, avoiding, reducing, and absorbing risk.

Q.1.7 TechWorld Inc., a software development company, has implemented the (1)
Management by Objectives (MBO) approach to enhance organisational
performance and employee motivation. In this system, managers and their teams
set specific, measurable objectives aligned with the company’s overall goals.
At the end of the quarter, the performance of each team is assessed based on their
achievement of these objectives. Sarah, a team leader, works closely with her team
to define clear goals for developing a new mobile application to increase customer
engagement. What is a crucial principle of Management by Objectives (MBO)
demonstrated in TechWorld Inc.'s approach to setting and assessing team goals?
a) The objectives set by each team must be broad to ensure flexibility and
creativity in their achievement.
b) Objectives must be aligned with the company's strategic goals to ensure
that every team's efforts contribute to the overall business success.
c) Performance evaluation is based solely on the team leader's subjective
assessment of each team member's contributions.
d) Teams are encouraged to set easily achievable objectives to ensure that all
members feel accomplished and motivated.

Q.1.8 Mpho is a project manager at a software development firm and has been selected (1)
for a 360-degree appraisal to gauge her performance from a comprehensive
perspective.
This appraisal method involves collecting feedback from a full circle of people,
including her peers, direct reports, managers, and even some of the clients she has
worked with.

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The objective is to provide Mpho with insights into her leadership, communication
skills, and overall job performance from different viewpoints to aid in her
professional development. What is the key benefit of employing a 360-degree
appraisal for assessing Emma's performance?
a) It focuses primarily on the assessment from top management, ensuring
alignment with the company’s strategic goals.
b) It provides Emma with a broad range of perspectives on her performance,
enhancing the accuracy and completeness of the feedback.
c) It simplifies the appraisal process using automated tools to quickly collect
feedback from various sources.
d) It directly enhances Emma's promotional opportunities, as positive reviews
from various sources are seen as more credible.

Q.1.9 At Dynamic Enterprises, a new initiative has been launched to support the (1)
professional development of junior staff. Two programs are introduced: one
focusing on mentoring and the other on coaching. In the mentoring program,
seasoned executives are paired with junior employees to provide guidance, share
experiences, and facilitate career planning. In the coaching program, trained
coaches work with employees to develop specific skills, address performance issues,
and achieve short-term goals. Which of the following statements accurately
distinguishes the roles of mentors and coaches described in Dynamic Enterprises'
professional development programs?
a) Mentors address specific performance issues and develop skills relevant to
current job roles.
b) Coaches focus on providing psychological support and general career advice
to help employees find their path.
c) Mentors focus on long-term career development and sharing personal
experiences and wisdom.
d) Coaches are typically senior executives who provide strategic direction and
support.

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Q.1.10 ABC Healthcare is launching a project to develop a new electronic health record (1)
system. The project manager, adhering to PRINCE2 principles, establishes clear roles
and responsibilities for the project team and stakeholders.
As part of the initiation stage, the project manager prepares a detailed project brief
that outlines the business case, expected benefits, potential risks, and a clear
project plan. This preparation ensures that all stakeholders understand the project’s
objectives and approach before the project board decides to proceed. Which
PRINCE2 process area is primarily illustrated by the project manager’s activities in
the case study?
a) Starting up a Project
b) Directing a Project
c) Initiating a Project
d) Managing a Stage Boundary

Q.1.11 Anna works as a software developer at TechForward Inc. (1)

Although her salary and work conditions are satisfactory, she has felt less motivated
lately. To address this, her manager decides to reassess certain aspects of her job
and the workplace environment. After some discussion, they agree to introduce
new challenges in her projects, further training and development opportunities, and
a program for recognising exceptional work. According to Herzberg's Two-Factor
Theory, which of the changes introduced by Anna's manager are likely to increase
her job satisfaction? (Select all that apply.)
a) Improving the physical condition of the workplace and updating equipment.
b) Introducing new challenges in her projects to provide opportunities for
achievement.
c) Increase Anna's salary and provide additional health benefits.
d) Offering opportunities for further training and development.
e) Implementing a program to recognise exceptional work.

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Q.1.12 In a software development project, two team members, Alex, and Sam, have (1)
conflicting ideas about implementing a critical feature. Alex believes in a more
traditional, structured approach, while Sam advocates a more agile and iterative
method. This conflict is causing delays and tension within the team.
How should the project manager best manage the conflict between Alex and Sam in
this scenario?

a) Arbitrate and impose a decision based on their judgment.

b) Encourage open communication and facilitate a compromise between Alex
and Sam.
c) Side with one team member over the other to resolve the conflict quickly.
d) Ignore the conflict and hope it resolves itself over time.

Q.1.13 Arbitration and mediation are two alternative dispute resolution methods in (1)
business conflict resolution. Which of the following statements accurately
differentiates these two processes?
a) Mediation results in a legally binding agreement decided by the mediator,
while arbitration allows disputing parties to come to a voluntary, non-binding
resolution.
b) Arbitration involves a neutral third party who listens to both sides and then
makes a decision that is usually binding, whereas mediation involves a
facilitator who helps the parties reach a mutually acceptable resolution
without providing a decision.
c) Both arbitration and mediation involve decision-making by a judge in a
courtroom setting, with the primary difference being the formality of the
process.
d) In mediation, the third party has the authority to impose a resolution,
whereas in arbitration, both parties must agree.

Q.1.14 TechGlobal Inc. embarked on a large-scale project to develop an innovative artificial (1)
intelligence platform.
Despite substantial investment and high expectations, the project was ultimately
deemed a failure two years after its initiation. TechGlobal faced several critical
issues during the project: poor stakeholder alignment and engagement, ineffective

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communication between the dispersed project teams, and significant

underestimation of the resources required. Additionally, the project scope was
frequently changed without proper evaluation or adjustments to timelines and
budgets. Which of the following options best encompasses the primary reasons for
the project's failure at TechGlobal Inc.?
a) Inadequate initial funding and a comprehensive risk management plan are
needed.
b) Ineffective leadership, poor risk management, and inadequate team skills.
c) Poor stakeholder engagement, ineffective communication, and scope creep.
d) Technical challenges in the AI platform development and market competition.

Q.1.15 Which of the following illustrates why effective project management benefits an (1)
organisation?
a) It utilises resources as and when required.
b) It advocates employing a consultancy firm which specialises in managing
change.
c) It recommends using only highly skilled people in the project team.
d) It ensures the chief executive is accountable for achieving the defined
benefits.

Q.1.16 Which of the following are the benefits of utilising a matrix structure in project (1)
management? (Select all that apply.)
a) Improved communication and coordination between functional departments
b) Enhanced flexibility in resource allocation
c) Clear and rigid reporting lines
d) Increased project control and oversight
e) Facilitated knowledge-sharing and cross-functional collaboration

Q.1.17 A healthcare team at a busy hospital is experiencing ongoing conflict between two (1)
nurses, Sarah, and Alex. Sarah is very assertive and often tries to impose her
preferred procedures on the team, while Alex is more cooperative and tries to
accommodate Sarah's demands to avoid confrontation. This has led to tension,
decreased productivity, and complaints from other staff members. What is the best
conflict resolution strategy for the manager to use in this situation?

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a) Forcing - The manager should make a unilateral decision on the proper

procedures and require the nurses to comply.
b) Accommodating - The manager should allow Sarah and Alex to continue
working out their differences on their own.
c) Avoiding - The manager should try to minimise the conflict by reassigning
Sarah and Alex to different shifts.
d) Collaborating - The manager should facilitate a discussion between Sarah and
Alex to find a mutually agreeable solution.

Q.1.18 A strong culture (Select all that apply) (1)

a) May both assist in and prevent change.
b) Barriers to entry may be created for new staff members.
c) Regulates behaviour.
d) Create a blinkered view.

Q.1.19 Darryl is a project team member working on an IT project. As this is Darryl’s first (1)
involvement in project work, he has just read an article about the importance of the
project change management process to help improve his understanding of project
terminology. Darryl recalls the information he just read to a colleague but cannot
remember the significance of recording project changes. Which of the following
best explains why project changes should be recorded as part of the project change
management process?
a) Changes should be recorded so that appropriate disciplinary action can be
taken against the individual that gave rise to the need for a project change.
b) Changes should be recorded to determine how much additional stress the
project manager must handle.
c) Changes should be recorded so that an audit trail of the changes made exists.
This way, the changes can be referred to later and lessons can be learned for
the future.
d) Changes should be recorded so that senior management has an appreciation
of the work undertaken by the project team.

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Q.1.20 Which of the following options describes value creation in an ecosystem instead of (1)
traditional markets? (Select all that apply.)
a) Value creation is incremental as organisations cover cost plus return on
assets.
b) Value creation reflects a network dynamic, an everyone-to-everyone
exchange process.
c) Value capture reflects an addictive sequential process of exchange.
d) Ecosystems produce more value than the sum of the individual participants
acting independently.

Q.1.21 During negotiations for a significant merger between Company A and Company B, (1)
the talks suddenly stalled. The negotiation teams from both companies were
experienced, but tensions arose over the valuation differences between the two
companies. Company A believed their cutting-edge technology and intellectual
property significantly increased their value. At the same time, Company B pointed
to their larger customer base and established market presence as reasons for a
higher valuation. The final negotiation session was marked by heated discussions
and a lack of willingness to explore creative solutions, ultimately causing both
parties to walk away without an agreement. Which of the following factors likely
contributed to the failure of the negotiations between Company A and Company B?
(Select all that apply.)
a) Misalignment of company valuations - Each company had different
perspectives on what constituted value, leading to disagreements over the
fundamental basis of the merger.
b) Lack of preparation - Need for more background research on each company's
valuation methods and market standing before entering negotiations.
c) Inflexible negotiation tactics - Both sides stuck to their initial offers and were
unwilling to adapt their strategies or explore compromises.
d) Poor communication - Breakdowns in communication during the final session,
with each side focusing more on defending their position rather than
understanding the other's viewpoint.

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Q.1.22 Which of the following statements relating to negotiation are incorrect? (Select all (1)
that apply.)
a) There are always at least two parties present in any negotiation process.
b) The negotiation process is always voluntary, and a contract of agreement
should be signed.
c) The bargaining phase is the last phase of the negotiation process.
d) Generally, integrated bargaining is the most constructive, sustainable, and
ethical approach to negotiation.

Q.1.23 In business ecosystems, mutuality refers to the benefits accruing to various (1)
participants through cooperative and interdependent relationships. Which of the
following actions exemplify the principle of mutuality in a business ecosystem?
a) A software company develops an open-source platform allowing other
developers to create and sell compatible applications.
b) A large retailer collaborates with local suppliers to optimise supply chain
efficiencies, benefiting from reduced transportation costs and fresher
products.
c) A car manufacturer mandates that all its parts suppliers follow strict
guidelines prioritising the manufacturer's production schedule over supplier
efficiency.
d) Multiple technology firms form a consortium to set industry-wide standards
that ensure interoperability of devices and platforms across brands.

Q.1.24 GHQ Tech Solutions initiated a project to develop a new mobile application to (1)
enhance customer engagement through personalised content. Several changes
were proposed during the project: one for an additional feature allowing users to
customise notifications and another for altering the user interface based on
feedback from the beta testing phase. The project manager utilised specific
processes to manage these changes and ensure the mobile application's
development met initial specifications and requirements. Based on the case study,
which statement best describes the role of change control and configuration
management in handling the proposed changes?

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a) Change control evaluated and approved the additional features and

alterations to the user interface, ensuring they aligned with the project's
objectives; configuration management ensured that each version of the
application was documented and controlled throughout development.
b) Configuration management was responsible for deciding whether the
additional feature and the changes to the user interface should be
implemented, while change control documented these decisions.
c) Change control handled the documentation and routine updates throughout
the application's development phase, whereas configuration management
dealt with stakeholder communications and approvals.
d) Configuration management was used to train users and deploy the final
versions of the application, while change control managed the budget
adjustments required due to the changes.

Q.1.25 Which of the following are considered "hidden" elements of organisational culture (1)
that significantly influence employee behaviour and organisational effectiveness?
(Select all that apply)
a) The official code of conduct published by the organisation.
b) Unspoken rules about the acceptable reasons for taking a sick day.
c) Implicit expectations regarding how to handle conflict among team members.
d) The formal structure depicted in the organisation’s hierarchical chart.
e) The way employees informally mentor and support one another without
formal assignment.

Q.1.26 Innovate Corp, a leading tech company, plays the role of orchestrator in its business (1)
ecosystem, which includes diverse stakeholders such as independent app
developers, device manufacturers, and research institutions. The company has
launched a new AI platform and aims to ensure it integrates smoothly across
different hardware and software, providing a seamless user experience. Innovate
Corp organises workshops, provides development tools, and establishes
communication channels to facilitate collaboration and innovation within its
ecosystem. Which of the following activities of Innovate Corp are examples of
ecosystem orchestration? Select all that apply.

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a) Developing exclusive agreements with top app developers to limit their

collaboration with competitors.
b) Providing a comprehensive suite of APIs and SDKs to enable partners to build
compatible applications easily.
c) Organising quarterly innovation summits that bring together all ecosystem
partners to discuss challenges and opportunities.
d) Implementing a unified communication platform that all partners use to
share updates, collaborate on projects, and streamline processes.
e) Offering financial incentives for ecosystem partners who achieve specific
performance milestones.

Q.1.27 The LAMP-H project was a high-stakes initiative by the Department of Defense (1)
(DOD) to develop an advanced amphibious vehicle capable of transporting heavy
cargo across land and water. The project involved multiple stakeholders, complex
engineering, and stringent requirements.
However, despite substantial investments, the LAMP-H project failed to meet its
objectives. Reasons for Project Failure:
• Scope Creep: The project scope expanded significantly during development,
leading to delays, resource shortages, and increased costs. Stakeholders
continuously requested additional features, causing the project team to lose
focus.
• Inadequate Stakeholder Engagement: Key stakeholders, including military
personnel, engineers, and procurement officers, were not actively engaged
throughout the project lifecycle. Their insights and feedback were
overlooked, resulting in design flaws and misaligned expectations.
• Poor Risk Management: The project team failed to identify and mitigate risks
effectively. Critical risks related to technical challenges, supply chain
disruptions, and environmental factors were underestimated or ignored.
• Communication Breakdown: Communication gaps between cross-functional
teams hindered progress. Engineers, logisticians, and military personnel
worked in silos, leading to misunderstandings, conflicting priorities, and
missed deadlines.
• Lack of Accountability: Clear roles and responsibilities were not established.
Decision-making authority was diffuse, causing delays and indecision.

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Accountability for project outcomes was unclear.

Which factor significantly contributed to the failure of the LAMP-H project?
a) Inadequate Stakeholder Engagement
b) Scope Creep
c) Poor Risk Management
d) Communication Breakdown
e) Lack of Accountability

Q.1.28 TechLink is a startup that has developed a new augmented reality platform. (1)
As it prepares for launch, it is actively building a business ecosystem to support and
enhance its product. TechLink collaborates with software developers, hardware
manufacturers, content creators, and distribution channels.
It also engages with user communities for feedback and participates in industry
conferences to stay connected with trends and potential partners.

Which of the following components are essential in creating TechLink’s business

ecosystem? (Select all that apply.)
a) Software developers who can create compatible applications that enhance
the functionality of the augmented reality platform.
b) Regulatory bodies to ensure compliance with national telecommunications
regulations and standards.
c) Hardware manufacturers are to develop and provide the necessary devices
that are compatible with the augmented reality platform.
d) User communities, who provide ongoing feedback that helps shape product
updates and new features.
e) Content creators produce engaging content that attracts users to the
platform.

Q.1.29 Acme Corp. is a technology firm planning to expand its operations into the Asian (1)
market. As part of their strategic planning, the management team uses Mendelow's
Matrix to assess their stakeholders to understand better how to engage with them
during the expansion. They identify several key stakeholders, including local
government bodies, existing and potential customers, shareholders, and local
community groups. According to Mendelow’s Matrix, which of the following

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stakeholders should Acme Corp. prioritise for active engagement based on their
likely high influence and high interest in the company’s Asian market expansion?
a) Local community groups interested in how the expansion will affect local
employment but have low influence over the project’s execution.
b) Existing customers who are moderately interested in the expansion since it
doesn’t significantly impact their current service but also have moderate
influence.
c) Local government bodies, which can significantly affect the project's approval
and ongoing operations, are highly interested in economic development.
d) Shareholders who have a financial stake in the success of the expansion but
primarily focus on returns rather than specific operational strategies.

Q.1.30 L Industries recently completed a significant expansion of its production facilities, (1)
which was intended to double its manufacturing output. The project was declared
completed on time and slightly under the allocated budget.
Initial reports indicated that production rates had increased as planned. However,
within a few months, unexpected maintenance issues began to affect the new
machinery, causing sporadic shutdowns and reducing the overall effectiveness of
the expansion.
In response, L Industries conducted a post-completion audit to evaluate the
project's outcomes and the long-term viability of the expansion.
What would be the most critical insight for L Industries to gain from the post-
completion audit in this scenario?
a) Determining whether the project was completed within the initial cost and
time forecasts.
b) Assessing the procurement process for the new machinery to understand the
origins of the maintenance issues.
c) Evaluating the effectiveness of the project communication plan throughout
the lifecycle of the project.
d) Analysing the impact of the expansion on the company’s market share
immediately after project completion.

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Q.1.31 GreenSolutions, a startup specialising in eco-friendly packaging materials, has (1)

developed a new biodegradable material that significantly reduces environmental
impact compared to traditional packaging options.
As the company prepares to launch this innovative product, the leadership team
considers various strategies to maximise the value it captures from this new
development. They evaluate options such as licensing the technology to other
companies, directly selling to major packaging manufacturers, offering a premium-
priced, exclusive product line to high-end brands, or creating a partnership with
environmental organisations to enhance brand credibility and reach.
Which of the following strategies would most effectively allow GreenSolutions to
capture value from their new biodegradable packaging material?
a) Licensing the technology to various manufacturers to maximise market
penetration and generate steady revenue streams.
b) Focusing on direct sales to major packaging manufacturers, ensuring control
over production quality and supply chain.
c) Developing a premium product line for exclusive brands, leveraging the
uniqueness of the product to charge a higher price.
d) Partnering with environmental organisations to market the product as part of
a broader environmental campaign enhances brand value and consumer
trust.

Q.1.32 Traditional Electronics Inc., a company with a long history in consumer electronics, (1)
faced significant challenges due to the rapid rise of digital technology and changing
consumer expectations.
To adapt, Traditional Electronics decided to overhaul its business strategy.
They introduced an online marketplace to complement their physical stores and
implemented advanced analytics to understand customer preferences and
behaviour better.
They also formed strategic partnerships with technology firms to integrate AI
capabilities into their products. Which strategy employed by Traditional Electronics
Inc. is most critical for surviving digital disruption in their industry?
a) Expanding their product offerings to include non-electronic items to diversify
revenue sources.
b) Integrating advanced analytics to gain insights into customer preferences and

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enhance decision-making.
c) Investing in extensive training programs for all employees to improve their
digital literacy.
d) Focusing on aggressive pricing strategies to gain a larger market share quickly.

Q.1.33 QRS Telecom is launching a project to upgrade its mobile network infrastructure to (1)
improve data speeds and connectivity.
The project is set to last two years, with a strict budget due to financial constraints
faced by the company. Midway through the project, a critical technology vendor
announces a significant delay in delivering essential components due to supply
chain issues, potentially extending the project timeline and increasing costs due to
the need for interim solutions.
The project team must reevaluate their approach to manage these new constraints
while attempting to deliver the project outcomes as planned.
In managing the constraints of time, cost, and scope, what should be the primary
focus of QRS Telecom’s project team in response to the vendor’s delay?

a) Focus on reducing the project scope to align with the original timeline and
budget, potentially sacrificing some network performance improvements.
b) Maintain the project scope and quality, accepting increased costs and
extended timelines to ensure network performance meets the original
specifications.
c) Seek alternative vendors or solutions to adhere as closely as possible to the
original timelines and costs, even if it requires minor adjustments to the
project scope.
d) Increase the budget to expedite delivery from existing vendors, minimising
changes to the project timeline and scope.

Q.1.34 In the context of employment law, which type of dismissal occurs when an (1)
employee's behaviour or performance does not meet the standards expected by
the employer, but the process of terminating the employee is improperly handled
by the employer?
a) Constructive Dismissal
b) Summary Dismissal

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c) Unfair Dismissal
d) Redundancy

Q.1.35 John, an employee at Global Solutions, has repeatedly arrived late to work over the (1)
past month despite several verbal warnings from his manager.
The company policy on tardiness states that after three verbal warnings, the next
step should involve a formal written warning.
However, instead of following the prescribed protocol, John's manager decided to
directly suspend John for two days to send a clear message to the team about the
importance of punctuality. What aspect of the disciplinary process did John's
manager fail to adhere to according to the company's policy on tardiness at Global
Solutions?
a) The manager should have escalated the matter to the human resources
department before issuing any discipline.
b) The manager failed to provide a formal written warning as stipulated by the
company's disciplinary procedure after multiple verbal warnings.
c) The manager correctly enforced a disciplinary action that aligns with the
company's policy to ensure team compliance with rules.
d) The manager should have arranged a meeting with John and an HR
representative to discuss the tardiness before taking any disciplinary action.

Q.1.36 VistaView Software is initiating a project to develop a new project management tool (1)
designed to enhance collaboration among remote teams.
The project initiation document (PID) has been prepared to outline the project’s
scope, define the objectives, establish the project structure, and provide a detailed
budget. The PID also includes a risk register and outlines the initial stakeholder list.
Which of the following elements is least likely to be included in the project initiation
document for VistaView Software's new project?
a) A detailed schedule, including milestones and deadlines for all project phases.
b) A risk register outlining potential risks and mitigation strategies.
c) An organisational chart depicting the roles and responsibilities of project
team members.
d) Sales forecasts and market analysis data for the new project management
tool.

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Q.1.37 Which step is generally considered the most critical in the formal grievance (1)
procedure for ensuring both parties' perspectives are fairly evaluated, and the
grievance is resolved satisfactorily?
a) Submitting a written complaint to the HR department
b) The initial meeting between the employee and their supervisor
c) The formal investigation process.
d) The appeal process

Q.1.38 In organisational leadership, which scenario best exemplifies a transformational (1)

leader instead of a transactional one?
a) A leader who motivates their team by setting clear goals and providing
rewards for meeting those targets.
b) A leader who encourages innovation and creativity among team members by
fostering a supportive environment that challenges the status quo.

c) A leader focusing primarily on efficiency and maintaining routine operations

through structured management and oversight.
d) A leader who uses disciplinary measures as a primary method to ensure team
members meet the organisation's expectations and objectives.

Q.1.39 XYZ Corporation recently completed a two-year project to improve the efficiency of (1)
its manufacturing processes. The project, budgeted at R5 million, was completed
three months ahead of schedule and R200,000 under budget.

Despite these achievements, the expected increase in production efficiency was

only half of what was projected, leading to mixed reviews on the project's overall
success. A post-completion audit was conducted to understand the discrepancies
and outcomes. The audit focused on comparing projected benefits to actual
outcomes, reviewing the project management practices, and evaluating the
effectiveness of resource allocation. Based on the post-completion audit focus,
which of the following findings would be most concerning for XYZ Corporation?
a) The project was completed under budget and ahead of schedule.
b) The actual increase in production efficiency was less than half of what was
projected.

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c) Project documentation was meticulously maintained throughout the project

lifecycle.
d) Stakeholder satisfaction with the project process was high despite the
shortfall in expected benefits.

Q.1.40 Linda is a manager at TechInnovate, a leading tech company. She is known for her (1)
high standards in meeting project targets and equally high emphasis on team
dynamics and morale.
Linda consistently creates a balanced environment where the team feels valued and
motivated while ensuring that productivity remains high. Her approach has resulted
in both high team satisfaction and excellent project outcomes.
According to the Blake and Mouton Managerial Grid, which leadership style best
describes Linda's approach at TechInnovate?
a) Authority-Compliance (9,1) – High concern for production and low concern
for people, focusing primarily on efficiency and results.
b) Country Club Management (1,9) – High concern for people and low concern
for production, prioritising the needs of the team overwork outcomes.
c) Impoverished Management (1,1) – Low concern for both people and
production, minimal effort in managing work or interpersonal relationships.
d) Team Management (9,9) – High concern for both people and production,
striving to integrate employee needs with organisational goals effectively.

Q.1.41 Samantha is the project manager for a large manufacturing company implementing (1)
a new enterprise resource planning (ERP) system.
The project has a tight timeline of 6 months to go live, and the budget is $2.5
million. Some of the critical risks Samantha has identified include:
• Resistance to change from employees who are used to the old system.
• Potential data migration issues from the legacy systems
• Lack of buy-in and support from senior leadership
• Unexpected technical issues during the implementation
To manage these risks, Samantha is using the TARA framework:
• Identify Risks: Samantha has conducted thorough risk assessments involving
key stakeholders to identify potential risks.
• Analyse Risks: She has analysed the likelihood and impact of each risk,

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prioritising the high-risk items.

• Respond to Risks: Samantha has developed a comprehensive risk response
plan, including strategies such as:
o Change management initiatives to address resistance to change.
o Extensive data migration testing and validation.
o Securing strong executive sponsorship and buy-in
o Implementing robust testing and contingency plans
• Monitor and Control Risks: Samantha closely monitors the project's risk
profile, regularly updates the risk register, and takes proactive actions to
address emerging issues.
Which of the following is the most important risk response strategy that Samantha
should focus on to ensure the successful implementation of the new ERP system?
a) Extensive data migration testing and validation.
b) Securing strong executive sponsorship and buy-in.
c) Implementing robust testing and contingency plans.
d) Change management initiatives to address resistance to change.

Q.1.42 Roger, a department head at Dynamic Designs, operates under the assumption that (1)
his employees dislike their work and must be constantly supervised to ensure they
meet their deadlines. He believes that the average person prefers to be directed,
wishes to avoid responsibility, has little ambition, and wants security above all else.
Consequently, Roger implements strict monitoring systems, sets rigid work
schedules, and frequently uses external incentives such as bonuses and penalties to
manage his team.
Which of McGregor's theories closely aligns with Roger's management style?
a) Theory X – Assumes that employees inherently dislike work and must be
coerced, controlled, or threatened with punishment to achieve goals.
b) Theory Y – Assumes that employees view work as natural, are self-motivated,
seek responsibility, and are driven by objectives they are committed to.
c) Theory Z – Focuses on stable employment, high productivity, and high
employee morale through comprehensive welfare schemes.
d) Theory A – Believes in a balanced approach where employees are neither
fully independent nor strictly controlled, but rather a mix of supervised and
autonomous.

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Q.1.43 Innovatech Corp is undertaking a project to develop a new consumer electronics (1)
device. The project manager has created a comprehensive Work Breakdown
Structure (WBS) to define all deliverables and organise the team's work into
manageable sections. The WBS includes various levels, from the project deliverables
to individual tasks required to complete each deliverable.
Detailed descriptions of each task, including task durations and resource
assignments, are also part of the WBS. Which of the following elements would least
likely be found in the Work Breakdown Structure of Innovatech Corp's project?
a) Detailed task descriptions, including what needs to be done for each item in
the WBS.
b) A list of resources assigned to complete each task within the WBS.
c) Specific scheduling and timeline information for each task in the WBS.
d) The hierarchical breakdown of the project into phases, deliverables, and work
packages.

Q.1.44 Martin consistently plays a crucial role on the project team at DynaTech. (1)
He is known for his ability to spot the talents and skills of other team members,
ensuring that everyone is engaged and making the most of their strengths. Martin
often steps in to mediate conflicts and is adept at smoothing over disputes and
maintaining harmony within the group.
His colleagues value his diplomatic skills and his knack for keeping team morale high
during challenging phases of the project. Based on the case study, which of Belbin’s
team roles best describes Martin’s contributions to the DynaTech project team?
a) Implementer – Known for practicality and efficiency in turning ideas into
actions and organising work that needs to be done.
b) Shaper – Known for their ability to drive the team, ensuring that the team
continues to move forward and overcome obstacles.
c) Teamworker – Known for their cooperative, diplomatic skill set that helps to
foster teamwork and avert friction within the team.
d) Completer Finisher – Known for their perfectionist approach, focusing on
polishing, and scrutinising the work for errors, delivering quality outcomes.

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Q.1.45 Samantha, a project manager at an international construction firm, oversees the (1)
development of a new high-rise building in a bustling city center.
The project is complex, involving numerous contractors and strict regulatory
requirements. Early in the project, Samantha identifies several potential risks,
including delays due to bad weather, supply chain disruptions, and regulatory
approval delays. To manage these risks, she implements a comprehensive risk
management plan, including alternative sourcing strategies, flexible scheduling, and
regular stakeholder meetings to address all regulatory concerns promptly.
Based on the case study, which of the following actions best demonstrates effective
risk management by Samantha?
a) Choosing the lowest-cost suppliers ensures the project stays under budget.
b) Conducting thorough background checks on all contractors and subcontractors
involved in the project.
c) Establishing a reserve fund to handle unexpected costs associated with delays
or regulatory fines.
d) Weekly progress meetings with the project team are organised to monitor all
aspects of the project closely.

Q.1.46 XYZ Corp., a leading consumer electronics manufacturer, recently decided to (1)
transform its business approach due to competitive market pressures and rapid
technological changes.
The company shifted its business model to focus on subscription-based services,
providing customers with ongoing access to their latest products for a monthly fee
instead of one-time purchases. Concurrently, XYZ Corp. adapted its operating model
by restructuring its supply chain to support rapid product updates and continuous
delivery, ensuring that the subscription services are scalable and efficient. Based on
the case study, what distinguishes XYZ Corp.'s change in its business model from its
change in its operating model?
a) The change in the business model refers to altering how the company
generates revenue, from one-time product sales to a subscription-based
system, while the change in the operating model involves adapting internal
processes and systems to support the new business strategy.
b) The change in the business model involves restructuring the supply chain,
whereas the change in the operating model relates to financial restructuring

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to support product sales.

c) The business model change is focused on reducing operational costs, and the
operating model change is centered on increasing revenue through new
customer acquisition strategies.
d) The business model and operating model changes refer to the same aspect of
the company's strategy, which focuses solely on customer interaction and
satisfaction.

Q.1.47 Sarah is the project manager for a new product development team in a large (1)
multinational corporation. Her role involves delegating tasks to her team members,
ensuring milestones are met, and reporting progress to senior management. John,
one of her team members, is assigned the task of completing the design phase of
the product within six weeks.

Sarah provides John with the necessary resources and support and sets clear
expectations about the project's timeline and quality standards. Based on the case
study, how do the concepts of responsibility and accountability apply to Sarah and
John's roles within the project?
a) Sarah is responsible for completing the design phase, and John is accountable
for reporting the progress to senior management.
b) John is responsible for completing the design phase, and Sarah is accountable
for the project's overall success and reports to senior management.
c) Both Sarah and John are responsible and accountable for completing the
design phase of the product.
d) Sarah is accountable for providing resources, while John is responsible for
reporting the progress to senior management.

Q.1.48 The DEF Corporation recently completed a major software development project to (1)
launch a new customer relationship management (CRM) system. The project was
initiated to streamline customer interactions and improve data management across
the organisation. While the project was declared complete and the system was
implemented on time, there were numerous reports of bugs and user
dissatisfaction in the initial months following the rollout. A post-completion audit
was scheduled to investigate these issues, focusing on the closure activities such as

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final testing, training sessions, and the transition of project resources. Which finding
from the post-completion audit would most directly indicate a need for
improvement in the project closure and post-completion processes of DEF
Corporation?
a) The CRM system was implemented within the original budget constraints.
b) User training sessions were conducted hastily, covering only basic
functionalities due to time constraints.
c) Project stakeholders expressed satisfaction with the communication
throughout the project lifecycle.
d) The initial project timeline was extended by one month to accommodate
additional feature requests from the client.

Q.1.49 The management team at Summit Enterprises was in a strategic planning meeting (1)
to decide on next year’s key initiatives. During the meeting, the CEO suggested
expanding the business into a new international market.
Although several team members internally doubted the timing and feasibility of
such an expansion due to economic instability, no one voiced their concerns.
Instead, each team member agreed with the proposal, believing their colleagues
supported it.
The plan was unanimously approved. Months into the project, it became evident
that the expansion was premature, leading to significant financial losses. A follow-
up meeting revealed that most team members had reservations from the beginning
but chose to support the decision due to assumed agreement among their peers.
Which of the following best identifies the issue demonstrated in Summit
Enterprises' decision-making process as an example of the Abilene paradox?
a) The management team decided to expand internationally based on detailed
market analysis and projections.
b) Team members did not express their true opinions during the meeting,
leading to a collective decision contrary to many individuals' private beliefs.
c) The CEO pressured the team to agree to the expansion plan, which influenced
the team’s decision-making process.
d) The team failed to consider external economic factors when deciding to
expand.

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Q.1.50 During a critical phase of a new product launch, the marketing team at EcoTech (1)
Corp was tasked with coordinating with the R&D, production, and sales
departments to ensure a unified rollout strategy. Two weeks before the launch,
confusion arose regarding the product specifications that were communicated in
marketing materials versus what was actually developed. The marketing team had
based their campaign on preliminary product specs that were altered during the
final development stages. This discrepancy led to rushed meetings and conflicting
messages being sent out to potential customers and stakeholders.
Which of the following factors likely contributed to the communication breakdown
at EcoTech Corp? (Select all that apply.)
a) Inadequate updates on product development changes - Marketing materials
did not reflect the final product specs due to a lack of updated information
from the R&D team.
b) Inefficient use of communication channels - Using multiple, uncoordinated
channels to inform different departments created inconsistencies in the
information being relayed.
c) Insufficient stakeholder involvement - Not all key stakeholders were involved
in meetings where changes to the product specs were discussed and
approved.
d) Lack of a centralised project management tool - The absence of a single,
unified platform to track changes and updates in real-time.

SECTION B – LONG QUESTIONS

Question 2 (Marks: 15)

Additional unseen information based on the CIMA May-August 2022 case study “Piping”.
Piping's Digital Transformation through Direct Subscription Service

In response to changing consumer preferences and the increasing importance of digital engagement,
Piping has decided to invest in a digital platform that encompasses a sophisticated mobile
application.
This app enables Piping to sell its variety of teas directly to consumers through a customisable
subscription service. The new app, "PipingDirect," allows customers to choose from a range of teas,
including exclusive blends only available via subscription. Users can set their delivery frequency, type

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of tea (loose leaves, tea bags, or pods), and quantity. The app features user-friendly interfaces, tea
recommendations based on past purchases, seasonal specialities, and an integrated reward system
that encourages frequent purchases and social sharing.
Picture this: PipingDirect, the app, is not just a platform for sales. It's a hub of interaction and
engagement. It hosts virtual tea-tasting sessions led by expert blenders, and it's a space where
customers can share their tea experiences and recipes. The app even offers real-time customer
service chatbots, always ready to provide brewing advice and resolve any issues. Isn't that exciting?
Piping uses targeted advertising within the app, leveraging user data to personalise ads and
promotions. The app integrates seamlessly with social media platforms, allowing users to share their
subscription experiences and access exclusive social media contests and events.
The app's backend is integrated with Piping's supply chain management system. This integration
allows for real-time inventory updates, predictive analytics for demand forecasting, and more
efficient logistics planning.
The direct feedback loop from customer data also aids Piping in adjusting production planning based
on consumer trends and preferences.
Recognising the importance of sustainability, the app includes a feature that tracks the
environmental impact of each purchase and offers customers insights into how Piping is improving
its sourcing and production processes to minimise its carbon footprint.
With the launch of PipingDirect, Piping Beverages aims to transform its business model from a
traditional retail-based approach to a direct-to-consumer model, enhancing customer relationships
and streamlining operations. The company anticipates this strategic shift will increase customer
loyalty and provide valuable consumer data to further refine its products and services.

Required:
Q.2.1 Discuss how Piping’s investment in the digital platform and the introduction of a
(15)
direct subscription service influence its ecosystem and the delivery of value.

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Question 3 (Marks: 13)

Additional unseen information based on the CIMA May-August 2022 case study “Piping”.
Project Management!

Piping Beverages is venturing into direct-to-consumer sales with the creation of "PipingDirect,"
a digital platform that revolutionises how consumers access and enjoy their range of teas.
This ambitious project involves several moving parts, including software development, supply chain
integration, and marketing strategy alignment.
The senior management team has recognised the need for a comprehensive Project Initiation
Document (PID) to ensure that every aspect of the project is well-planned and managed efficiently.
The PID will be a foundational tool, guiding the project team through the complexities of building
and launching PipingDirect. As the project involves cross-functional collaboration and significant
investments, creating a robust and detailed PID is crucial for aligning all stakeholders and setting
clear objectives and expectations for the project.

Required:

Q.3.1 Discuss the critical elements that Piping's management must consider when drawing (13)
up the Project Initiation Document for launching the new PipingDirect platform.
Compare how this differs from what must be considered in the planning stage.

Question 4 (Marks: 12)

Additional unseen information based on the CIMA May-August 2022 case study “Piping”.
PipingDirect's New Manager

Piping Beverages has recently launched a digital platform, "PipingDirect," to sell its products directly
to consumers through a subscription-based model. Piping has recruited Alex Mercer, an experienced
digital platform manager with a proven track record in e-commerce and digital marketing, to
oversee this new venture. Alex's primary role is to manage the operations of PipingDirect, ensuring
the platform's functionality aligns with consumer demands, optimising the supply chain for direct
deliveries, and spearheading digital marketing strategies to maximise subscriber growth and
retention. As Alex prepares to take on this role, Piping's senior management is tasked with

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developing an effective performance appraisal system tailored to the unique responsibilities and
goals of managing an innovative digital platform.

Required:
Q.4.1 Write briefing notes highlighting and discussing the considerations that Piping's (12)
existing management must consider when setting up the performance appraisal for
the new manager, Alex Mercer.

Question 5 (Marks: 10)

Additional unseen information based on the CIMA May-August 2022 case study “Piping”.
Marketing Conflict at Piping Beverages

As Piping Beverages rolls out its new direct-to-consumer platform, PipingDirect, tension has
emerged between the existing Marketing and Distribution Department and the new digital team.
The traditional department fears direct sales will undercut its relationships with retailers, potentially
leading to reduced orders and lost revenue. This conflict is exacerbated by resource allocation, as
more budget and focus shift on the digital initiative, leaving the traditional channels feeling sidelined
and undervalued.
Required:

Q.5.1 Discuss how Alex Mercer, the manager of PipingDirect, could manage the intergroup (10)
conflict between the traditional marketing and distribution team and the new digital
team.

END OF PAPER

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