PMP Guide — Empowering Project Managers
Business EnvironmentPredictiveHardECO: Business Environment Task 1.1

PMP Practice Question: Business Environment — Predictive, Hard

A government infrastructure project worth $420M is in its execution phase using a predictive approach with a 5-year timeline. The project is building a regional transportation hub with multiple contractors. Three years into execution, a new administration takes office with different policy priorities and appoints a new agency director who questions the project's strategic alignment. The director requests a comprehensive benefits realization review before authorizing the next $150M funding tranche. Current earned value metrics show: SPI = 0.92, CPI = 0.88, with 58% of work completed. The project business case was approved under different economic assumptions, and inflation has increased costs by 14%. How should the project manager approach this situation?

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PMP Practice Question — Business Environment · Hard | PMP Guide