Develop Project Charter
Develop Project Charter is the process of developing a document that:
- formally authorizes the existence of a project
- and provides the project manager with the authority to apply organizational resources to project activities.
The key benefit of this process is:
- a well-defined project start and project boundaries, creation of a formal record of the project,
- a direct way for senior management to formally accept and commit to the project.
- simply :>> charter is a brief document indicating the scope, objectives, and participants in a project.
project charter vs Project management Plan
project charter
- The document could cover the entire project,
- or in the case of a large multi-phase project, a charter can be created for each of the phases.
- A project charter is a central document that defines the fundamental information of a project and clearly outlines its goals and objectives.
- It’s created early in a project’s lifecycle (initiating phase ) with the intention of informing staffing decisions and timeline.
- It’s intended to be signed off by project sponsors before the project kicks off.
- it’s not meant to detail the execution of the project.
- It doesn’t have all the individual tasks and whose doing what.
- it’s often recommended to keep it short (less than 5 pages.)
benefits of project charter
- Help sponsors and stakeholders reach an agreement
- Get alignment on all aspects of the project
- Help obtaining approval so the project manager can proceed with planning out the project in details.
- Ensures clear communication about the basic information of the project
- Can be a reference for team members moving forward
project charter importance
- Project charters also provide a “big picture” view of the project .
- They prevent project slipping .
- It can be a sales document to management.
- Get buy-in from the team.
project charter components
as we mentioned before ; project charter document could be small or long documents and it’s components could be vary , here some initial components that we recommend ( as networks pioneers ) to be included in project charter :
Project background
- Why do this project?
- Is it triggered by a new market trend or a strategic direction?
- Is it initiated as a response to a change in organizational structure?
- Is it to support a marketing initiative?
- project background
- sometimes called executive summary
Project Goals and Objectives
- define what’ll constitute success for this project.
- The goals need to be specific and measurable so you can evaluate progress and make adjustments along the way, if necessary.
Scope
- What are the high-level attributes of the end product of this project (deliverables)?
- What actions do the team need to take to deliver this end product?
- What activities your team will NOT be involved in during the process
- The scope of a project defines the boundaries of the project.
- It helps you clearly delineate responsibilities to avoid confusion during production and implementation.
- It also helps you make the right decision on staffing and resource allocation.
Governance
- This refers to the key stakeholders involved in the project – e.g. project manager, project sponsor, client, and team members –
- their responsibilities, and reporting relationships.
- In smaller projects, you may list out every individual team member.
- In larger projects, you may only list out the team leads to help streamline communication.
Key Dates or Milestones
- This section serves to communicate a general understanding of the timeline.
- Since the project charter is created before the planning phrase, it should be made clear that these key dates are “roughly manner ”. like : Start date , End date , Invoicing dates
- Make sure to note any deadline that’s non-negotiable – let’s say you’re designing gift showroom and it should be opened before national day – SO … open showroom before the national day is not a negotiable part of the project.
Project Budget, or Cost
- This section lists out the estimated costs for resources of the project.
- It should include all costs and expenses, categorized by fiscal year, one-time costs or recurring costs.
- Again, since this is done before a detailed project plan is established, make it clear that the information is a rough estimation.
Assumptions, Constraints, Risks, and Dependencies
- This section lists out the various factors that could affect the success of the project
- Constraints are the internal and external factors that limit the project in a particular way
- They could pertain to technical limitations, available human resources or budget etc.
- Assumptions are factors that you assume to be true in order for the project to progress as planned.
- Risks are anything that may hinder your team from delivering on the project’s objectives.
- Dependencies are essential parts of the project that need to happen before the objectives can be achieved, typically not under your team’s control.
Project Manager Authority Levels
- The authority levels indicates what a project manager can make decisions on without getting further sign off from senior management or project sponsors.
- For example, “PM has a 17% tolerance on budget and a 5% tolerance on schedule.”
- The tolerance level is how far the project manager can stretch.
- This can also extend to cover the project manager’s authority to hire or fire staff from the project team.
Communication Plan
- This section indicates how project manager would communicate with project owners, stakeholders, team members, and other participants during the project.
- Besides channels of communication, this can also include the expectation on response time
anyhow : >> we will provide you with some charter sample , and you will notice that it could include another components beside of initial components above
Who develop project charter
if the project is internally >>then is normally written by the project sponsor or whoever initiated the project.
but ,,,
If the project is external then it will be written normally by the customer side .
conclusion
project charter formally authorizes the existence of a project
and provides the project manager with the authority to apply organizational resources to project activities.
next article we will discuss Input – Output – and tools for developing project charter
please join us there