Foundational Concepts and Terminology
This domain tests precision. Level 2 questions often turn on one word, so define terms by their decision consequences rather than by memorised slogans. If you cannot say what changes when a term is misused, you do not yet know the term.
Core distinctions
- Project vs programme vs portfolio. A project creates a defined deliverable within a finite lifecycle; a programme coordinates related projects to deliver outcomes no single project can; a portfolio is a prioritised investment set governed together.
- Output, outcome, benefit. An output is what is produced; an outcome is the changed state after use; a benefit is a measurable advantage. A new booking system is an output; shorter queue times are an outcome; reduced staffing cost is a benefit.
- Risk vs issue. A risk is uncertain and future; an issue is certain and current. Once a risk materialises it becomes an issue and needs a different response.
- Assumption vs dependency. An assumption is believed true without proof; a dependency is an external condition or deliverable you need. Both need owners and review dates.
- Baseline vs current plan. A baseline is the approved reference for change control; the current plan reflects approved changes.
Worked example
A team reports: "We assume the API will be ready by May, and we need the vendor's security certificate before go-live." Reasoning: the API date is an assumption because it is an internal belief that can be tested; the certificate is a dependency because it is supplied externally. If the API date were contractual, it would become a dependency. The correct action is to assign owners, set review dates, and move unvalidated assumptions into the RAID log.
Traps
Calling a risk an issue too early creates false urgency; calling an issue a risk delays escalation. Describing outputs as benefits is the most common mark-loser. Mixing programme and project language signals unclear governance.