The Project Charter – Issues

Initiation

Issues are any event or known problem that will negatively impact your project’s schedule, scope, budget or quality. Issues differ from Risks in that Issues are 100% will or has happened whereas Risks may or may not happen with a probability less than 100% and greater than 0%. Risks that are not actively managed are more likely to become Issues.

At Project Charter time, you want to highlight the most severe impacting issues. Look specifically for the impacts in the following areas:

  • Schedule – issues that will delay your project start, or impact key milestones and the target completion date.
  • Scope – Issues that can prevent you from delivering the defined project scope
  • Budget – Issues that can cause the project to go over the allowed budget
  • Quality – Issues that will affect the quality of the delivered solution

In a subsequent post I will address Issue Management in detail.

The Project Charter – Risks & Assumptions

Initiation

In upcoming posts I will discuss Risk Identification and Management in detail. For now, you just need to know that a risk is an uncertain future event that can have a negative impact on your project’s schedule, scope, budget or quality. The event has a probability of occurring less than 100% and greater than 0%. If the probability is 100%, then you have an issue, not a risk. Some risks can have a positive impact but we will not discuss that here.

You state the risk as follows:

  • If occurs, then causing the project <scope, schedule, budget, quality> to be impacted in the following specific ways .

At the Project Charter level, you are interested in identifying only the highest impact risks so that your risk management strategies can be accounted for in the scope and schedule.

Some Project Charters will list “Assumptions” in its own section. I have eliminated assumptions from my own charter template as I feel if you have assumptions that can impact your project, then that is just another form of risk. I now include any assumptions in my risk section.

The Project Charter – Stakeholders

Initiation

Project Stakeholders are the people and entities affected or impacted in any way by the project. Defining this list is critical in communication planning. It will also help you in defining the project scope. Stakeholders are identified by reviewing the Project Scope and consulting with Subject Matter Experts for the domain of the project.

There are two classifications of Stakeholders:

  1. Those that will be needed to perform project tasks.
  2. Those that will interact with or receive the product, service or result of the project.

The Stakeholders in classification 1 are the members of your project team. Some of these will constitute your core team and will be needed full-time or near full-time for the duration of the project. Others will be needed only for specific tasks over limited periods of time. When you have this list I recommend creating a spreadsheet with these names along with their roles, responsibilities, manager, and contact information.

The Stakeholders in classification 2 are your project’s “customers”. These are the people who will be the target of a formal Change Management strategy (more on that in upcoming posts). The success of your project will often depend on how you manage communication and change with this group of Stakeholders. The five key areas for managing this group of Stakeholders are:

  1. Awareness – communicate early and often with this group before they are impacted
  2. Desire – impart an understanding of why this is good for them and for the company
  3. Knowledge – training in new processes and behaviors
  4. Ability – make them successful by setting up a support structure
  5. Reinforcement – monitoring the expected behaviors and business outcomes and being prepared to make adjustments as new knowledge comes to light

There are some Stakeholders that can be a member of both groups. Typically members of the Project Sponsor’s team will participate in the project and also be affected by the result.

The Project Charter – Timeline

Initiation

The Project Charter should contain a high-level timeline so that expectations can be set and preliminary commitments established. If not enough is known at Charter time to be reasonably certain of this timeline, then it should be noted as to when the baseline schedule will be established.

The timeline will contain elements that depend on your organization’s methodology. You will want to note target completion dates for major milestones and phases. Here is an example for a software development project:

  • Requirements – Jan 31
  • Design – Feb 23
  • Development/Unit Testing – April 8
  • System Testing – April 30
  • User Acceptance Testing – May 21
  • Transition to Production – June 8
  • Production Stabilization – July 8

For projects not involving software, your phases and major milestones will be named according to the nature of the project. Here is an example where the project is to order and install new equipment in several locations:

  • Scope established – Jan 15
  • Products Ordered – Jan 30
  • Products Tested – Feb 21
  • Products installed in pilot locations – March 15
  • Products installed in all locations – June 1