Solution ?
Submitted by Vishwanath on Sun, 07/07/2013 - 14:37
You are the project manager of the Sterling project. The goal is toexplore 2 possible new products for your company. Over €150,000 have been spenton this exploratory project. Market studies with focus groups show that there is aneed for both products. However, your sponsor is worried that you are only 60%finished and that the current ETC tells you that another €175,000 is required tofinish. What should you do?
A.) Stop the project because you are over budget
B.) Ignore the sunk cost in the decision making process
C.) The SPI is positive, therefore we can continue
D.) Defer the decision to the project control board
Forums:


humanbeing2001
Sun, 07/07/2013 - 15:13
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option B
option B
elthox
Sun, 07/07/2013 - 15:16
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However sponsor is worried
However sponsor is worried about the incoming costs not the past ones.
elthox
Sun, 07/07/2013 - 15:43
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I already missed the most
I already missed the most important keyword of answer B, IGNORE :). Yes B would be the right one
elthox
Sun, 07/07/2013 - 15:15
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The question doesnt include
The question doesnt include any determined budget for this project. Any comparison among values may have no meaning. We jjust jave the figures of costs.
Maybe D would be the answer.
Vishwanath
Sun, 07/07/2013 - 16:50
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B
B is the answer