When are tolerances for a Work Package agreed?

A.

In the PRINCE2 methodology, Work Packages are the smallest units of work in a project that can be assigned to a team or an individual. Tolerances are agreed upon to set the acceptable deviation range from the baseline plan.

Tolerances are agreed upon during the planning stages of a project and are set to provide flexibility to the project team while still ensuring that the project is delivered within the approved parameters.

Option A, when accepting a Work Package, is incorrect because tolerances are not agreed upon at this stage. The Work Package is accepted based on the agreed-upon plan.

Option B, as work on each product within the Work Package begins, is also incorrect. Tolerances are agreed upon before the work begins to provide a baseline and framework for the work to be done.

Option C, once all products have been developed and approved, is incorrect because the tolerances need to be agreed upon before the work begins to provide a framework for the development and approval of the products.

The correct answer is D, when the Stage Plan is authorized by the Project Board. The tolerances are agreed upon during the planning stages of a project, which includes creating the Stage Plan. The Stage Plan is then authorized by the Project Board, and the tolerances become part of the baseline plan for the Work Package. This allows the project team to work within the set tolerances while still delivering the expected outcome.