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Actual exam question for PRINCE2's PRINCE2-7-Practitioner exam Question #: 25 Topic #: 1
During stage 2, the project board agrees that the underground car park should contain 15 rapid-charging spaces, with a scope tolerance permitting delivery of no fewer than 10 spaces. The project manager includes this tolerance in the relevant work package agreed with the team manager. Is this an appropriate application of the 'manage by exception' principle, and why?
The correct answer is A . Manage by exception is based on delegating authority within explicitly agreed tolerances. Higher management sets boundaries within which the lower management level may make decisions without repeatedly seeking approval. Escalation becomes necessary when a tolerance is forecast to be exceeded. In this scenario, the desired scope is 15 rapid-charging spaces, while the project board has accepted a lower limit of 10. That creates a defined permissible range for the scope of the relevant product or work package. The project manager can therefore delegate delivery within that range to the team manager. As long as the forecast remains within the agreed scope tolerance, routine design decisions do not need to be referred back upward. PeopleCert summarizes the principle by stating that authority should be delegated within agreed tolerances, avoiding both micromanagement and uncontrolled exceptions. Option B incorrectly categorizes the tolerance as quality tolerance . The number of charging spaces concerns the extent of what is being delivered and is therefore a scope parameter. Options C and D undermine the fundamental purpose of management by exception by requiring unnecessary precision and escalation where authorized flexibility has deliberately been provided. PRINCE2 7 reference topics: Manage by exception; tolerances; scope performance target; delegation; work packages; exception escalation.
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