1. Project Charters Module 3

2. Project Charter
States the scope, objectives and participants in a project
Defines the guidelines within which the project must be completed
Provides information on key roles and responsibilities, outlines the project objectives, identifies the main stakeholders
Defines the authority of the project manager

3. Why create a Project Charter?
Provides a condensed overview of the project that can be shared with others
Authorizes how the project will proceed
Serves as a method to confirm authority and resolve problems in the future
Especially questions of scope!
Enables the team to make decisions

4. When and who should create the Project Charter?
Project Manager is responsible for creating charter with input from stakeholders
After approved, no changes unless there is agreement from all parties
Create and have the charter approved BEFORE beginning project activities

5. Key Components of the Charter
Description – What is the goal of this project?
What do you hope to achieve by doing the project?
Purpose – Why are we doing this project?
Describe the problem and evidence of the need

6. Key Components of the Charter
Key Roles – Defines the function and authority of the project manager and sponsor
Examples:
The project sponsor will approve all scope changes
The project manager may hire all required staff
If there are other key leadership roles – such as a steering committee, those can be stated here

7. Key Components of the Charter
Budget – Provides detail on development, project execution and post implementation costs projected
Remember, the budget is not just the “do” part, it is planning and post project support too
This will be covered in detail in the budgeting section

8. Key Components of the Charter
Success Criteria – Measurable Outcomes that would make the project “successful”
Consider some of these:
Meeting government or legal requirements
Decreasing Costs
Lowering risks
Improve efficiency
Improve service
New services

9. You are going to be assigned a role.
ROLE BASED ACTIVITY
You are going to be assigned a role.
In your teams, come up with at least 3 “key success criteria” that would make the project successful from the perspective of your assigned role.

10. Key Components of the Charter
In Scope / Out of Scope – what will be included in the project, and just as importantly, what will not.
Agreement between the project manager and the “client” about what will be delivered
What is possible: Unlimited
What you can deliver in time / within budget: Limited

11. ACTIVITY - ROLE PLAYING
Based on your assigned role in the case study, what key deliverables will need to be completed within scope?

12. Key Components of the Charter
Assumptions – what you have understood to be true
These are things that “if not true” could negatively impact the results, cost or timeline of your project
They are things we have good reason to believe are true but may not have 100% of the information required to confirm them
Examples might include:
Current electrical capacity is enough to sustain new building
Resources can be pulled from existing staff

13. Key Components of the Charter
Dependencies – what does the completion of the project rely on?
These include other projects or activities that need to occur before your project can be completed
Space
Funding
Tools
People
Resources

14. Key Components of the Charter
Constraints – restrictions that will guide your decision making
They may include such things as:
Costs – May not exceed a total budget of $50000 in Phase One and Two
Scheduling – Must be completed before re-opening of hospital in March 2010
Staffing – Cannot use more than 2 hours of physician time per day

15. Key Components of the Charter
Milestones – key events in the life of a project – often marks the completion of a series of related tasks.
Listed in conjunction with planned dates
Example of Milestone: Staff Training Complete
Example of Task: Computer training documents created

16. ACTIVITY – Brainstorm Milestones for Case Study

17. Key Components of the Charter
Resourcing – Who do you need to get the job done?
Consider who you will need to assist you on the project and when
If they are an existing employee, what percentage of their time will you need them for
Will you need to bring in any outside resources?
Be sure that you have the resource’s buy-in and the support of their boss!

18. Key Components of the Charter
Risks – What are the major risks that may affect your ability to be successful?
What is the risk?
What would the impact be if it occurred?
What is the likelihood of it occurring?
How can you mitigate it?

19. Key Components of the Charter
Alternatives – what other options did you consider?
What were the pros and cons?
Why did you decide not to go with each alternative?
Only realistic alternatives need to be listed here

20. Importance of a Project Charter
Avoid “Scope Creep”
Speed up the decision making process
Get commitment up front
Avoid confusion / changes around resourcing, funding and delivery expectations
Better chance of delivery on time and on budget!

21. Questions