The additional day of annual leave offered to employees who volunteer for online work is a form of

reward, while the consequence of not being promoted for those who refuse to move online is an

example of coercion. Coercion uses threats or negative consequences to drive compliance, while

rewards offer incentives to encourage participation. This aligns with influencing strategies in change

management. (Reference: p.203 of the study guide).

The Human-Relations Model (p.193) values flexibility and internal focus.

Organizations encourage open communication and participative decision-making.

Option 2 (low flexibility) is incorrect.

Option 4 (external focus) describes a market-driven structure. [P.193]

The Person-Organization Fit model helps in hiring employees whose values align with the

organization (p.194).

Option A relates to performance management, not hiring.

Option C addresses diversity policies, not cultural fit.

Option D focuses on supplier relations, not internal recruitment. [P.194]

The correct answers are 1, 3, and 4 (p.8). Option 2 is incorrect as it describes a DBO (Design-Build-

Operate) contract rather than an EPC contract. Option 5 is incorrect because it describes a PPP

(Public-Private Partnership) contract, not an EPC contract. [P.8]

A Payback Analysis (p.72) calculates how long it takes for a project to recover its initial investment. It

accounts for project duration but does not provide a rate of return (Option C). Discount factors

(Option D) are used in Net Present Value (NPV) analysis, not Payback Analysis. [P.72]

Cybernetic Control reduces errors by monitoring distortions in a project (p.112-113). It uses

automated tracking systems to signal when deviations occur, enabling quick corrective actions.

Option A relates to resource planning, C to project valuation, and D to general tracking, but not

specifically error reduction. [P.112-113]

Value Engineering (p.100) is used to optimize costs and improve profitability in competitive

industries. It leverages supplier relationships to cut costs and increase value. Variance Analysis (A) is

for budgeting, and Consortium Procurement (C) relates to bulk purchasing, which is not the issue

here. [P.100]

A Project Audit (p.141) occurs post-completion to assess:

Financial health

Performance evaluation

Lessons learned

It is not a planning tool (Option B), nor is it for active budget management (A) or solely for senior

leadership (C). [P.141]

The correct answer is 1 (p.13). The scope is clearly defined by the client, making it easier for the

contractor to plan and execute the project efficiently. Option 2 is incorrect because not all EPC

contracts offer an early completion bonus. Option 3 is incorrect because EPC contracts can include

subcontractors. Option 4 is incorrect because risks are shared between the client and contractor.

[P.13]

Professional bodies do NOT control pricing in the industry, as this would be market interference.

Governance, productivity improvements, and networking are valid functions. [P.31]