The stage 4 inspections cannot start because a geological survey is late.

The correct answer is C . PRINCE2 7’s people element emphasizes effective leadership, collaboration, capability, relationships, and understanding the people actually available to the project. A capability shortfall should therefore be diagnosed before a disproportionate organizational response is selected.

The survey team is described as generally qualified; only a specific technical capability is missing. Replacing the entire team without assessing the competency gap could discard useful knowledge, disrupt established relationships, increase transition time, and—as the scenario explicitly states—cause substantial additional delay. A better leadership response is first to establish exactly what capability is missing and then assess proportionate interventions such as specialist support, targeted training, temporary augmentation, mentoring, or bringing in one specialist rather than replacing the complete team.

PeopleCert’s PRINCE2 7 guidance stresses the importance of team skills and collaboration and explicitly cautions against assuming that successful project leadership means replacing existing people whenever difficulties arise. It emphasizes working effectively with the team available and adapting the approach to people and circumstances.

Option A jumps directly to a disruptive solution. Option B incorrectly assumes that authority alone makes the proposed response appropriate. Option D overstates co-creation: agreed ways of working do not prevent justified changes to team composition.

PRINCE2 7 reference topics: People element; leading successful teams; capability and competency; collaboration; relationships; tailoring ways of working.

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