Benefits Analysis and Planning

Correct Answer: Develop a comprehensive benefits realization plan that outlines the specific actions needed to achieve the identified benefits, including a timeline, resource requirements, and key performance indicators.

The best course of action is to develop a comprehensive benefits realization plan. This plan should detail the specific steps needed to achieve the identified benefits of the new ERP system, including a timeline, resource requirements, and key performance indicators to measure progress and success. By creating a thorough plan, the program manager can ensure that the long-term benefits are realized while addressing potential challenges such as the initial investment and employee training needs. Proceeding with implementation without a plan may lead to unforeseen issues and a failure to achieve the desired outcomes. Canceling the program due to high initial costs and potential employee resistance fails to consider the long-term benefits and opportunities for mitigating these challenges through effective planning and change management. Focusing solely on financial benefits while minimizing the importance of employee training and change management can lead to a lack of user adoption and ultimately hinder the success of the program.

Correct Answer: Re-evaluate the business case and project viability

When the potential market for a product is shrinking, it is crucial to reassess whether proceeding with the project makes sense. Re-evaluating the business case and project viability helps ensure that the product will still meet the company's strategic and financial goals under the new market conditions. This process may involve analyzing market trends, potential returns on investment, and alternative strategies. Proceeding as normal ignores the changing market dynamics, increasing the risk of failure. Increasing the project scope to target a larger market or lowering the cost of the product are tactical decisions that should only be made after a thorough re-evaluation confirms that these actions would be beneficial. Therefore, the best response is to re-evaluate the business case and project viability.

Correct Answer: Pursue with the project, explaining the significant long-term benefits to stakeholders.

The best choice in this case given expected high long-term returns is to continue with the project and efficiently communicate these potential long-term benefits to stakeholders (Answer 153818). Any project that is expected to deliver substantial long-term return on investment (ROI) can initially have negative returns due to investment in resources and implementation processes. It is crucial that project managers communicate these perspectives effectively to stakeholders. Changing the project scope for immediate positive ROI (Answer 153819) may lead to reduction in project's potential and anticipated benefits. It may not be feasible or beneficial in the long term. Terminating the project due to initial negative ROI (Answer 153820) would be a premature decision given the exceptionally high predicted long-term ROI. Avoiding discussing the ROI with stakeholders (Answer 153821) would lead to mistrust and misinformation. Transparent communication is crucial in project management, particularly when it comes to explaining costs and potential returns.