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OBJECTIVES
Describe what a project charter is and why it is critical to project success. Explain what a project scope statement is and why it is important. List the various elements of a charter and tell why each is used. Create each section of a charter for a small sample project using given project information. Work with a team to create a complete charter for a real project.
The project charter authorizes the commitment of resources to a project The project charter gives the project and the project manager official status within the parent organization.
Project charter authorizes the project and provides the project manager the authority to apply resources to project activities. PMBOK Guide
2. COMMON UNDERSTANDING
Benefits associated with understanding include: the common
Teamwork develops. Agreement, trust, communication, and commitment between the sponsor, project manager, and project team develop The project team does not worry if management will accept a decision. The sponsor is less likely to unilaterally change the original agreement.
Background
Milestone schedule
SCOPE OVERVIEW
What needs to be accomplished and how it will be done Used to help prevent scope creep Considered to be the project boundaries
Scope creep adding features and functionality (project scope) without addressing the effects of time, costs, resources, or without customer approval. PMBOK Guide
BUSINESS CASE
The project purpose or justification statement Answers the question why? Used to justify the necessity of the project It should clearly tie the project to the organizations strategy May be just the rationale or include high-level estimates of the costs and benefits of the project. Should persuade decision makers to support the project and inspire team members to work hard on it.
BACKGROUND
Used to provide more detail to support the scope statement and business case statements The background statement is optional
Constraint an applicable restriction or limitation, either internal or external to the project, that will affect the performance of the project. PMBOK Guide
RISKS
Two reasons for examining project risks
Any risk that may inhibit successful project completion needs to be identified and a plan must be developed to overcome it. A risk that can create a positive effect on a project can be considered an opportunity
Contingency plans are developed for each major identified risk to lessen probability of risk or reduce impact of the risk An owner is assigned responsibility for each contingency plan
LESSONS LEARNED
Successes and failures of previous projects become practical advice Avoid the risk of repeating mistakes from previous projects
Lessons learned the learning gained from the process of performing the project. PMBOK Guide Lessons learned knowledge base a store of historical information and lessons learned about both the outcomes of previous project selection decisions and previous project performance. PMBOK Guide
4. Determine the few key points in the milestone column where quality needs to be verified 5. For each milestone, determine who the primary stakeholder(s) is(are) and how the resulting deliverable will be judged 6. Determine expected completion dates for each milestone
Decide which risks should be considered major Major risks require a formal contingency plan
The project manager and team list each stakeholder and work through the milestone schedule and the risks to determine the communications needs. The project manager and team should also consider their own communications needs
The project manager and team formally present the project charter to the sponsor for approval Questions are presented for clarification and agreement The sponsor, project manager, and core team sign the project charter
SUMMARY
The project charter is a vital document that enables the project sponsor, project manager, and core team to reach mutual understanding and agreement on the project at a high level. Charters typically include sections such as a scope overview, business case, milestone schedule, acceptance criteria, risks, and signatures. The sponsor meets with the project manager and core team to go over the charter in detail to ensure understanding and to reach agreement. The charter is the document that completes the project initiating stage.