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Task 8: Negotiate project agreementsnegotiation strategyservice level agreementsbusiness impact analysiscreative solutions

PMP · Question 80 · Task 8: Negotiate project agreements

A project manager is negotiating a service level agreement (SLA) with a cloud service provider for a critical business application. The provider offers 99.5% uptime with standard support, or 99.9% uptime with premium support at 40% higher cost. The business stakeholders want maximum uptime but are concerned about the cost increase. What negotiation approach should the project manager take FIRST?

Answer options:

A.

Accept the 99.5% uptime option to control costs since it's still a high availability level

B.

Analyze the business impact of different uptime levels and explore creative solutions that could meet both availability and cost objectives

C.

Negotiate for 99.9% uptime at a lower premium than the 40% increase offered

D.

Request a hybrid solution with 99.5% standard uptime and premium support only during critical business hours

How to approach this question

In negotiations involving competing objectives, analyze business impact and explore creative solutions that address underlying interests rather than choosing between positions.

Full Answer

B.Analyze the business impact of different uptime levels and explore creative solutions that could meet both availability and cost objectives✓ Correct
Effective negotiation focuses on underlying interests rather than positions. Understanding business impact and exploring creative solutions can often find ways to meet both availability and cost objectives.

Common mistakes

Students often choose cost-focused (A) or availability-focused positions, or immediate solutions (D), missing the opportunity for collaborative problem-solving that addresses both interests.

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