In PRINCE2 7, Outputs are the tangible or intangible products, results, or services that are produced by the project. They represent what the project team creates and delivers as a direct result of project activities and work packages. Understanding outputs is essential for developing a robust Busi…In PRINCE2 7, Outputs are the tangible or intangible products, results, or services that are produced by the project. They represent what the project team creates and delivers as a direct result of project activities and work packages. Understanding outputs is essential for developing a robust Business Case, as they form the foundation of the value chain that leads to business benefits.
Outputs are distinct from outcomes and benefits in the PRINCE2 value chain. While outputs are the deliverables created by the project, outcomes represent the changes or effects that result from using those outputs, and benefits are the measurable improvements that stakeholders gain from the outcomes.
For example, if a project delivers a new customer relationship management system (output), the outcome might be improved customer data accessibility for sales staff, and the benefit could be a 15% increase in sales conversion rates.
In the Business Case Practice, outputs must be clearly defined and linked to expected outcomes and benefits. This traceability ensures that every deliverable the project produces contributes to achieving the desired business value. The Business Case should articulate how outputs will be transformed into outcomes and subsequently into benefits through proper change management and operational integration.
Outputs are typically described in Product Descriptions, which detail the quality criteria, purpose, and composition of each deliverable. The Project Manager and team are responsible for creating outputs that meet specified quality standards and acceptance criteria.
The Project Board reviews whether outputs are being delivered as planned and whether they remain aligned with the Business Case justification. If outputs change significantly, the Business Case may need to be reassessed to ensure continued viability.
Effective output management helps maintain focus on delivering value rather than simply completing activities, ensuring that project resources are invested in creating deliverables that genuinely contribute to organisational objectives and stakeholder expectations.
Outputs in PRINCE2 - Complete Guide for Business Case Practice
Why Outputs in PRINCE2 Are Important
Understanding outputs is crucial for PRINCE2 Foundation V7 candidates because outputs represent the tangible deliverables and documents created during project management activities. In the context of the Business Case practice, outputs demonstrate how value is captured, documented, and communicated to stakeholders. Mastering this concept ensures you can identify what should be produced at various stages of a project and how these outputs support decision-making.
What Are Outputs in PRINCE2?
Outputs are the specific products, documents, or results that emerge from PRINCE2 processes and practices. Within the Business Case practice, the primary output is the Business Case document itself. This document captures the justification for the project, including:
• Executive summary - A brief overview of the business case • Reasons - Why the project is being undertaken • Business options - Alternative approaches considered • Expected benefits - The measurable improvements anticipated • Expected dis-benefits - Negative consequences that may occur • Timescales - When benefits will be realized • Costs - The investment required • Investment appraisal - Financial analysis of the project • Major risks - Key threats and opportunities
How Outputs Work in the Business Case Practice
The Business Case is created during the Starting Up a Project process in outline form. It is then developed further during Initiating a Project into a detailed document. Throughout the project lifecycle, the Business Case is:
1. Verified - Checked at stage boundaries to confirm ongoing viability 2. Updated - Refined as more information becomes available 3. Maintained - Kept current with actual costs and revised forecasts
The output serves as the foundation for all major project decisions and provides the basis for the Project Board to authorize continued investment.
Related Outputs from Business Case Practice
• Benefits Management Approach - Defines how benefits will be identified, measured, and tracked • Benefits review reports - Document whether expected benefits have been achieved post-project
Exam Tips: Answering Questions on Outputs in PRINCE2
Tip 1: Know the timing Remember when outputs are created. The outline Business Case is created in Starting Up a Project, and the detailed version is produced during Initiation. Questions often test your knowledge of which process produces which version.
Tip 2: Distinguish between outputs and activities Exam questions may try to confuse outputs (what is produced) with activities (what is done). An output is a tangible product; an activity is the work performed to create it.
Tip 3: Connect outputs to roles The Executive is responsible for the Business Case. Questions may ask who owns or is accountable for specific outputs.
Tip 4: Understand the verification cycle The Business Case is reviewed at every stage boundary. If a question asks when the Business Case is checked, the answer involves stage gate reviews.
Tip 5: Look for lifecycle keywords Words like 'outline,' 'detailed,' 'updated,' and 'verified' indicate different stages of output development. Pay attention to these qualifiers in question stems.
Tip 6: Remember post-project outputs Benefits are often realized after the project closes. The Benefits Management Approach and benefits reviews extend beyond project completion.
Common Exam Question Formats
• Which output is created during Starting Up a Project? • Who is responsible for the Business Case? • What information is contained in the Business Case? • When is the Business Case updated?
Focus on memorizing the components of the Business Case document and understanding its evolution throughout the project lifecycle for exam success.