Which of the following supports the PRINCE2 principle of Management by Exception?
  1. Delegation of authority.
  2. Creating the Product Flow Diagram.
  3. Maintaining the Business Case.
  4. Creating a Request for Change.
Explanation
Answer: A - Delegation of authority. This allows tolerances to be set and frees up management levels to take care of other tasks without being overly concerned about the details of the delegated tasks.

Key takeaway: Delegation of authority occurs throughout a PRINCE2 project. Corporate or Programme Management delegate to the Project Board, who delegate to the Project Manager, who in turn delegates to the Team manager. Each level has tolerances set by the level above to determine when they need to report back in case of problems.
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