# PMP Project Management — Earned Value Management (EVM: CPI, SPI, EAC, VAC), Critical Path Method (CPM) & Servant Leadership

> Advanced PMP exam mastery covering Earned Value Management (EVM formulas, CPI, SPI, EAC forecasting, TCPI), Critical Path Method (CPM forward/backward pass, float calculations, schedule compression), leadership theories (Tuckman, Herzberg, Maslow, McClelland), and servant leadership.

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- **Level:** advanced
- **Languages:** en → en
- **Total Cards:** 32

## Flashcards (32 Cards)

| # | Front (Term / Prompt) | Back (Definition / Answer) | Example | Multiple-Choice Options |
| :--- | :--- | :--- | :--- | :--- |
| 1 | In Critical Path Method (CPM), how are Early Start (ES) and Early Finish (EF) calculated during the Forward Pass? | The Forward Pass moves left to right. Early Start (ES) of an activity equals the maximum Early Finish (EF) of all immediate predecessors: ES = max(EF_predecessors). Early Finish = ES + Duration - 1 (or ES + Duration if using continuous time). The forward pass establishes the minimum total project duration. |  |  |
| 2 | What are the four components of Emotional Intelligence (EQ) in leadership (Daniel Goleman)? | 1. Self-Awareness (recognizing and understanding one's own emotions and triggers); 2. Self-Management (regulating emotional impulses and adapting to change); 3. Social Awareness (empathy, understanding others' perspectives and organizational dynamics); 4. Relationship Management (influencing, coaching, resolving conflict, inspiring teamwork). |  |  |
| 3 | What is the To-Complete Performance Index (TCPI), and state the formulas for meeting the original BAC versus a revised EAC. | TCPI represents the cost efficiency that must be achieved on remaining work to hit a specific management goal. To meet BAC: TCPI_BAC = (BAC - EV) / (BAC - AC). To meet EAC: TCPI_EAC = (BAC - EV) / (EAC - AC). A TCPI > 1.0 indicates remaining work must be executed with higher cost efficiency than originally budgeted. |  |  |
| 4 | Explain the Hersey-Blanchard Situational Leadership Model across team readiness stages. | Matches leadership style to follower competence and commitment: S1 Directing/Telling (high directive, low supportive; for enthusiastic beginners); S2 Coaching/Selling (high directive, high supportive; for disillusioned learners); S3 Supporting/Participating (low directive, high supportive; for capable but cautious performers); S4 Delegating (low directive, low supportive; for self-reliant achievers). |  |  |
| 5 | Distinguish between Lead and Lag in activity scheduling. | Lead (negative lag): acceleration of the successor activity, allowing it to start before the predecessor activity has completely finished (e.g., starting software coding 3 days before architecture design finishes). Lag: mandatory waiting delay inserted between two activities (e.g., waiting 4 days for concrete foundation to cure before framing). |  |  |
| 6 | What is the formula for Estimate at Completion (EAC) when current cost performance (CPI) is expected to continue into the future? | EAC = BAC / CPI. This formula is used when past cost variances are typical and expected to continue at the current rate of efficiency for all remaining work on the project. |  |  |
| 7 | Define Total Float (Slack) and Free Float, and state their calculation formulas. | Total Float = LS - ES = LF - EF. It is the total amount of time an activity can be delayed without delaying the project completion date. Free Float = min(ES_successors) - EF. It is the amount of time an activity can be delayed without delaying the Early Start of any immediate successor activity. |  |  |
| 8 | State the Three-Point Estimating formulas for Beta (PERT) Distribution and Triangular Distribution. | Triangular Distribution: Expected Value = (Optimistic + Most Likely + Pessimistic) / 3. Beta (PERT) Distribution: Expected Value = (O + 4M + P) / 6. PERT Standard Deviation (σ) = (P - O) / 6. PERT Variance (σ^2) = [(P - O) / 6]^2. |  |  |
| 9 | Define the three foundational Earned Value Management (EVM) metrics: Planned Value (PV), Earned Value (EV), and Actual Cost (AC). | Planned Value (PV): authorized budget assigned to scheduled work to be accomplished by a given date. Earned Value (EV): measure of work physically performed expressed in terms of the authorized budget (EV = % completed * BAC). Actual Cost (AC): realized cost incurred in accomplishing the work performed by that date. |  |  |
| 10 | Calculate EVM: A project has a BAC of $100,000. At the 6-month milestone, PV is $50,000, EV is $40,000, and AC is $48,000. Calculate CV, SV, CPI, and SPI. | CV = EV - AC = $40,000 - $48,000 = -$8,000 (over budget). SV = EV - PV = $40,000 - $50,000 = -$10,000 (behind schedule). CPI = EV / AC = $40,000 / $48,000 = 0.833 (cost overrun). SPI = EV / PV = $40,000 / $50,000 = 0.800 (behind schedule). |  |  |
| 11 | What is the formula for Estimate at Completion (EAC) when both CPI and SPI influence the remaining project cost performance? | EAC = AC + [(BAC - EV) / (CPI * SPI)]. This formula is used when a project is constrained by a firm schedule deadline, meaning poor schedule performance (SPI < 1) forces the team to compress work, compounding cost inefficiencies (CPI). |  |  |
| 12 | Explain Bruce Tuckman's Five Stages of Team Development in order. | 1. Forming (team meets, polite, uncertain of roles); 2. Storming (conflict and competition arise over leadership, methods, and responsibilities); 3. Norming (cooperation develops, norms and operating agreements established); 4. Performing (high trust, autonomous execution, peak productivity); 5. Adjourning (project completion, celebrating success, dissolution). |  |  |
| 13 | What mathematical limitation occurs with SPI near project completion, and how does Earned Schedule (ES) resolve it? | As a project nears completion, EV eventually equals PV (100% of budget earned), forcing traditional SPI (EV/PV) to converge to 1.0 even if the project is months late. Earned Schedule (ES) translates EV into the time date when that budget was supposed to be earned; SPI_t = ES / Actual Time (AT), maintaining an accurate schedule index through project finish. |  |  |
| 14 | What are the three components of Cultural Intelligence (CQ) for managing virtual, global project teams? | 1. Cognitive CQ: knowledge of cultural norms, values, and practices in different societies; 2. Physical / Behavioral CQ: ability to adapt verbal and nonverbal behavior to diverse cultural contexts; 3. Emotional / Motivational CQ: personal drive, confidence, and desire to engage effectively across diverse cultures. |  |  |
| 15 | Explain Abraham Maslow's Hierarchy of Needs and how it applies to team motivation. | Needs are arranged hierarchically: 1. Physiological (food, shelter); 2. Safety (job security, physical protection); 3. Social / Belonging (team camaraderie, acceptance); 4. Esteem (recognition, status, respect); 5. Self-Actualization (personal growth, fulfilling potential). Lower-level deficiency needs must be substantially satisfied before higher-level growth needs motivate behavior. |  |  |
| 16 | What are French and Raven's Five Forms of Power, and which are most effective? | 1. Legitimate (formal position/title); 2. Reward (ability to grant bonuses/promotions); 3. Coercive/Penalty (ability to punish or discipline); 4. Expert (specialized technical knowledge and skill); 5. Referent (respect, charisma, personal admiration). Expert and Referent powers are the most effective forms of power for project leaders. |  |  |
| 17 | Explain the four logical Precedence Relationships (Dependencies) between project activities. | 1. Finish-to-Start (FS): successor cannot start until predecessor finishes (most common); 2. Start-to-Start (SS): successor cannot start until predecessor starts; 3. Finish-to-Finish (FF): successor cannot finish until predecessor finishes; 4. Start-to-Finish (SF): successor cannot finish until predecessor starts (rarest). |  |  |
| 18 | Compare schedule compression techniques: Crashing versus Fast-Tracking across cost and risk. | Crashing: adds resources to critical path activities to shorten duration for the least incremental cost (e.g., overtime, adding personnel); increases project cost and risk of diminishing returns. Fast-Tracking: performs critical path activities in parallel that were originally planned sequentially; does not increase direct cost, but substantially increases risk of rework and coordination errors. |  |  |
| 19 | Explain Frederick Herzberg's Two-Factor (Motivator-Hygiene) Theory of motivation. | Hygiene Factors (salary, company policies, working conditions, job security): do not motivate when present, but their absence creates deep dissatisfaction. Motivator Factors (meaningful work, achievement, recognition, responsibility, personal advancement): intrinsic elements that actively create job satisfaction and drive superior performance. |  |  |
| 20 | What defines the Critical Path in a project network diagram, and what is its Total Float? | The Critical Path is the sequence of dependent activities that represents the longest total duration through the project network diagram, determining the shortest possible time to complete the project. Activities on the critical path have Total Float equal to zero (or negative float if the scheduled finish date is earlier than calculated duration). |  |  |
| 21 | Contrast Douglas McGregor's Theory X and Theory Y management philosophies. | Theory X: authoritarian belief that workers are inherently lazy, dislike work, avoid responsibility, and require close supervision, micromanagement, and coercion. Theory Y: participative belief that workers view work as natural, are self-motivated, seek responsibility, exercise self-direction, and thrive when empowered. |  |  |
| 22 | What is the Communication Channels formula, and calculate channels for a project team expanding from 6 to 10 stakeholders? | Formula: Channels = n * (n - 1) / 2, where n is number of stakeholders. For 6 stakeholders: 6 * 5 / 2 = 15 channels. For 10 stakeholders: 10 * 9 / 2 = 45 channels. Adding 4 stakeholders triples communication complexity (from 15 to 45 channels, an increase of 30 channels). |  |  |
| 23 | What is Psychological Safety, and why is it crucial in agile project teams? | Psychological Safety is a shared belief that team members will not be embarrassed, rejected, or punished for speaking up, admitting mistakes, asking questions, or proposing innovative ideas. It is the single strongest predictor of high team performance, fostering rapid learning, transparent risk identification, and continuous improvement. |  |  |
| 24 | What is the formula for Estimate at Completion (EAC) when future work is expected to proceed at the budgeted rate (atypical variances)? | EAC = AC + (BAC - EV). This formula is used when past variances are considered atypical or anomalies that are not expected to recur, meaning the remaining work (BAC - EV) will be executed at the originally budgeted rate. |  |  |
| 25 | What is Servant Leadership in agile and project management, and what are its primary practices? | Servant Leadership prioritizes serving team members, removing obstacles, and facilitating their personal growth and performance rather than exercising top-down command and control. Key practices: 1. Removing organizational impediments/blockers; 2. Shielding the team from external interruptions; 3. Fostering psychological safety; 4. Coaching and mentoring. |  |  |
| 26 | State the formulas for Schedule Performance Index (SPI) and Cost Performance Index (CPI), and explain how to interpret values relative to 1.0. | SPI = EV / PV. CPI = EV / AC. SPI > 1.0: project is progressing faster than scheduled (ahead of schedule); SPI < 1.0: project is progressing slower than scheduled (behind schedule). CPI > 1.0: spending efficiency is higher than planned (under budget); CPI < 1.0: project is experiencing cost overruns (over budget). |  |  |
| 27 | Explain David McClelland's Acquired Needs Theory (nAch, nAff, nPow). | Individuals are motivated by three acquired needs: 1. Need for Achievement (nAch: desire to solve complex problems, attain difficult goals, receive frequent feedback); 2. Need for Affiliation (nAff: desire for harmonious personal relationships and social acceptance); 3. Need for Power (nPow: desire to lead, influence others, and direct organizational impact). |  |  |
| 28 | State the formulas for Schedule Variance (SV) and Cost Variance (CV), and explain how to interpret positive versus negative results. | Schedule Variance (SV) = EV - PV. Cost Variance (CV) = EV - AC. Positive SV (> 0): ahead of schedule; Negative SV (< 0): behind schedule; Zero SV: on schedule. Positive CV (> 0): under budget; Negative CV (< 0): over budget; Zero CV: exactly on budget. |  |  |
| 29 | What is a Near-Critical Path, and why does it represent high schedule risk? | A Near-Critical Path is an alternate activity sequence whose total duration is very close to the critical path (having very small positive float, such as 1 or 2 days). If activities on a near-critical path slip slightly, it becomes the new critical path, catching the project manager off-guard. |  |  |
| 30 | In Critical Path Method (CPM), how are Late Finish (LF) and Late Start (LS) calculated during the Backward Pass? | The Backward Pass moves right to left starting from project completion date. Late Finish (LF) equals the minimum Late Start (LS) of all immediate successors: LF = min(LS_successors). Late Start = LF - Duration + 1 (or LF - Duration). The backward pass determines the latest dates activities can occur without delaying the project finish. |  |  |
| 31 | Contrast Resource Leveling and Resource Smoothing schedule optimization techniques. | Resource Leveling: adjusts activity start and finish dates based on resource constraints/overallocation; often alters the critical path and extends total project duration. Resource Smoothing: adjusts activities within their available Total Float without altering the critical path or extending project duration; resources may remain partially uneven. |  |  |
| 32 | State the formulas for Variance at Completion (VAC) and Estimate to Complete (ETC). | Variance at Completion (VAC) = BAC - EAC. A positive VAC indicates the project will finish under budget; a negative VAC indicates a projected cost overrun. Estimate to Complete (ETC) = EAC - AC; represents the expected additional cost required to finish all remaining work. |  |  |

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