PRINCE2 – Foundation Exam Exam

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A project is defined in PRINCE2 as a temporary organisation created for what purpose?

To maximize operational efficiency
To deliver one or more business products
To manage daily operations
To maintain business continuity

The correct answer is: To deliver one or more business products

In PRINCE2, a project is fundamentally defined as a temporary organization established specifically to deliver one or more business products. This definition emphasizes that a project is not about continuing daily operations or maintaining the status quo; rather, it focuses on creating distinct outputs that add value to the organization. The aim of a project is to fulfill specific objectives by producing final deliverables, which can often involve new products, services, or results that meet the defined criteria for success. This aspect makes projects inherently unique and time-bound, distinguishing them from ongoing operational activities. While operational efficiency, daily management, and business continuity are important aspects of organizational functioning, they do not align with the essence of what defines a temporary organization like a project in PRINCE2, which is solely centered on the delivery of products or outputs that fulfill a specific purpose or need.