Mark is the project manager of the GHQ Project. He is happily reporting that his project has a
schedule performance index of 2.12. Management, however, does not think this is good news.
What is the most likely reason why management does not like an SPI of 2.12?

A.
It is not good news because a larger number means the schedule duration estimates were likely
to be wrong to begin with.

B.
They likely do not understand the SPI formula.

C.
It is not good news, as the number should be closer to 100 than 0.

D.
It is good news, but Mark may have large cost variances to achieve this value.

Explanation:
Cost and schedule performance indexes should be as close to 1 as possible. A larger value, such
as 2.12, means that the schedule duration estimates were likely bloated or incorrect to begin with.
Answer option B is incorrect. This is not the best choice for this question.
Answer option C is incorrect. The number should not be close to 100; it should be close to 1.
Answer option D is incorrect. While Mark may have crashed the schedule and driven up costs to
achieve the SPI value, a more likely reason is that the time estimates were bloated.