Learn Organizing Practice (PRINCE2 Foundation) with Interactive Flashcards
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Organizing Practice Purpose
The Organizing Practice in PRINCE2 7 serves a fundamental purpose of establishing and maintaining an effective project management structure that enables successful project delivery. This practice focuses on defining and establishing the project's organizational structure, roles, responsibilities, and communication pathways to ensure clarity and accountability throughout the project lifecycle.
The primary purpose is to create a temporary management structure that brings together the right people with appropriate authority, skills, and knowledge to make decisions and drive the project forward. This structure must be tailored to suit the specific needs, complexity, and environment of each individual project.
Key aspects of the Organizing Practice purpose include ensuring that all stakeholders understand their roles and what is expected of them. It establishes clear lines of authority and responsibility, enabling efficient decision-making processes. The practice also ensures that the project has access to necessary resources and expertise when required.
The Organizing Practice defines the relationship between the project and corporate or programme management, ensuring proper governance and oversight. It establishes how the project team will communicate and collaborate, including reporting arrangements and escalation procedures.
Another essential purpose is to balance the interests of three key stakeholder groups: business interests (ensuring value and viability), user interests (ensuring the outputs meet requirements), and supplier interests (ensuring technical feasibility and resource availability). This is achieved through the Project Board structure.
The practice also addresses the need for flexibility, allowing the organizational structure to evolve as the project progresses through different stages. It ensures continuity of project knowledge while accommodating changes in team composition.
Ultimately, the Organizing Practice purpose is to create an environment where everyone knows what they need to do, has the authority to do it, and understands how their contribution fits into the overall project success.
Project Management Team Structure
The Project Management Team Structure in PRINCE2 7 is a fundamental element of the Organizing practice that defines how roles and responsibilities are allocated within a project. This structure ensures clear accountability and effective decision-making throughout the project lifecycle.
At the top of the structure sits the Project Board, which represents the three primary stakeholder interests: Business (represented by the Executive), User (represented by Senior User), and Supplier (represented by Senior Supplier). The Executive is the single point of accountability for the project and chairs the Project Board.
The Project Manager operates at the next level, responsible for day-to-day management of the project on behalf of the Project Board. This role involves planning, delegating, monitoring, and controlling the project work to deliver the required products within agreed constraints.
Team Managers may be appointed to manage specific work packages when the project scale or complexity requires additional management capacity. They report to the Project Manager and are responsible for delivering assigned products to the required quality standards.
Project Assurance provides independent oversight to ensure the project remains viable and adheres to standards. This function can be performed by Project Board members themselves or delegated to others while retaining accountability.
Project Support assists the Project Manager with administrative tasks such as configuration management, scheduling, and maintaining project documentation. This role can be provided by individuals, a Project Management Office, or external resources.
Change Authority may be established to handle change requests within defined tolerances, reducing the burden on the Project Board for minor changes.
The structure is designed to be tailored according to project needs, organizational context, and available resources. Smaller projects may combine roles, while larger projects might require multiple Team Managers and dedicated support functions. This flexibility ensures PRINCE2 can be applied effectively across various project environments and scales.
Role Descriptions in PRINCE2
Role descriptions in PRINCE2 are fundamental components of the Organizing practice that define the responsibilities, authorities, and relationships for individuals involved in a project. They provide clarity on what each person is expected to deliver and how they interact with other team members.
In PRINCE2 7, role descriptions serve several critical purposes. First, they establish accountability by clearly stating who is responsible for specific aspects of the project. This prevents confusion and ensures that all necessary work has an assigned owner. Second, they define the authority level each role possesses, helping team members understand their decision-making boundaries.
The key roles defined in PRINCE2 include the Project Board, which comprises the Executive, Senior User, and Senior Supplier. The Executive is ultimately accountable for the project and owns the business case. The Senior User represents those who will use the project outputs and is responsible for specifying user requirements. The Senior Supplier represents those providing resources and expertise to create project deliverables.
The Project Manager is responsible for day-to-day management of the project within constraints set by the Project Board. The Team Manager manages team members producing project products, while Team Members execute the actual work. Project Assurance provides independent oversight on behalf of Project Board members, and Project Support offers administrative assistance to the Project Manager.
Role descriptions typically include the role title, reporting relationships, responsibilities, competencies required, and any specific authorities granted. PRINCE2 allows roles to be combined or shared depending on project size and complexity, providing flexibility while maintaining clear accountability.
Effective role descriptions enable proper governance, facilitate communication, and ensure that stakeholder interests are represented throughout the project lifecycle. They form the foundation of the project management team structure and support successful project delivery through clear organizational arrangements.
Commercial Management Approach
The Commercial Management Approach is a fundamental component within PRINCE2 7's Organizing Practice that defines how commercial and contractual relationships will be managed throughout a project. This approach establishes the framework for handling all supplier engagements, procurement activities, and contractual obligations that occur during the project lifecycle.
At its core, the Commercial Management Approach outlines the policies, procedures, and responsibilities for managing commercial aspects of the project. This includes defining how contracts will be negotiated, awarded, and administered, as well as how supplier performance will be monitored and evaluated.
Key elements of the Commercial Management Approach include:
1. Procurement Strategy: Defines how goods and services will be sourced, including whether to use existing corporate agreements or establish new supplier relationships.
2. Contract Types: Specifies the types of contracts to be used, such as fixed-price, time-and-materials, or cost-reimbursable arrangements, based on project requirements and risk considerations.
3. Supplier Management: Establishes how suppliers will be selected, onboarded, managed, and assessed throughout their engagement with the project.
4. Roles and Responsibilities: Clarifies who holds authority for commercial decisions, contract signing, and supplier relationship management within the project organization.
5. Payment Terms and Conditions: Documents the agreed payment schedules, milestones, and conditions that govern financial transactions with suppliers.
6. Dispute Resolution: Outlines procedures for handling disagreements or conflicts that may arise during commercial engagements.
The approach should align with the organization's corporate standards and policies while being tailored to meet specific project needs. It provides transparency and consistency in how commercial matters are handled, reducing risks associated with supplier relationships and ensuring value for money. The Project Board typically approves this approach, while the Project Manager implements and maintains it throughout the project.
Three Project Interests
In PRINCE2 7, the Organizing practice recognizes that every project has three primary interests that must be represented and balanced throughout the project lifecycle. These three project interests are Business, User, and Supplier.
The Business interest focuses on ensuring the project delivers value and remains viable from an organizational perspective. Representatives of this interest are concerned with whether the investment is worthwhile, whether benefits will be realized, and whether the project aligns with strategic objectives. They ensure that the project makes sound commercial sense and that resources are being used efficiently.
The User interest represents those who will use the products or outputs created by the project, or those whose work will be affected by the new capabilities. These stakeholders focus on ensuring that the delivered products meet their needs and requirements. They are concerned with quality, usability, and whether the outputs will enable them to achieve the expected benefits in their operational environment.
The Supplier interest encompasses those responsible for designing, developing, procuring, and implementing the project products. This includes internal teams and external contractors who provide specialist skills and resources. They focus on technical feasibility, resource availability, and ensuring products can be created within agreed parameters.
PRINCE2 7 emphasizes that all three interests must be adequately represented on the project board for effective governance. The Executive typically represents the business interest, the Senior User represents user interests, and the Senior Supplier represents supplier interests. This structure ensures balanced decision-making and prevents any single perspective from dominating project direction.
Maintaining engagement from all three interests throughout the project helps ensure that products are fit for purpose, commercially viable, and technically achievable. When these interests are properly balanced and represented, projects are more likely to deliver successful outcomes that satisfy all stakeholder groups.
Business Interest
Business Interest in PRINCE2 7 refers to a crucial perspective that must be represented within the project management team structure. This interest focuses on ensuring that the project delivers genuine value and remains viable from an organizational standpoint throughout its lifecycle.
The Business Interest is primarily concerned with three fundamental questions: Is the project worthwhile? Does it align with organizational objectives? Will it deliver the expected benefits? This perspective ensures that investment decisions are sound and that resources are being allocated appropriately to achieve desired outcomes.
Within the project board structure, the Executive role represents the Business Interest. The Executive is accountable for the project's success and must ensure that the project remains aligned with business objectives. This individual has ultimate authority for the project and is responsible for securing funding, making key decisions, and maintaining focus on business justification.
The Business Interest perspective evaluates the project through the lens of return on investment, strategic alignment, and organizational priorities. It ensures that the project continues to make business sense as circumstances change. If market conditions shift or organizational priorities evolve, the Business Interest helps determine whether the project should continue, be modified, or be terminated.
Key responsibilities associated with the Business Interest include approving the Business Case, ensuring ongoing viability, balancing demands from users and suppliers, and making decisions about project continuation at stage boundaries. The person representing this interest must have sufficient authority to commit resources and make binding decisions on behalf of the organization.
The Business Interest works alongside User Interest (focusing on what the project will deliver) and Supplier Interest (focusing on how the project will deliver) to create a balanced governance structure that considers all essential perspectives for successful project delivery.
User Interest
In PRINCE2 7, User Interest is a fundamental concept within the Organizing Practice that focuses on representing the needs and perspectives of those who will ultimately use the products or outcomes delivered by the project. The User Interest is one of the three primary project interests that must be represented within the project management team structure, alongside Business Interest and Supplier Interest.
The User Interest ensures that the people who will operate, maintain, or benefit from the project outputs have their requirements properly considered throughout the project lifecycle. This representation is crucial because users possess valuable knowledge about operational requirements, practical constraints, and day-to-day functionality that must be incorporated into the project deliverables.
Within the PRINCE2 project board structure, the Senior User role represents the User Interest. The Senior User is responsible for specifying the needs of those who will use the project products, ensuring that user requirements are clearly communicated to the project team, and confirming that the delivered solutions meet the specified user needs. They act as a bridge between the project team and the eventual user community.
The Senior User also plays a vital role in quality assurance by verifying that products meet user expectations and acceptance criteria. They participate in key decision-making processes and provide guidance on user-related matters throughout the project.
Multiple Senior Users may be appointed when a project serves different user groups with varying needs. This ensures comprehensive representation of all user communities affected by the project outcomes.
The User Interest extends beyond simple representation to active engagement in project governance. Senior Users commit resources for user acceptance testing, provide timely decisions on user-related issues, and help manage expectations within the user community. Their involvement ensures that the final deliverables are fit for purpose and will be effectively adopted by the intended audience upon project completion.
Supplier Interest
In PRINCE2 7, the Organizing Practice establishes the structure and roles necessary for effective project management. Within this framework, the Supplier Interest represents one of the three primary stakeholder interests that must be addressed in every project, alongside Business and User interests. The Supplier Interest specifically concerns those who provide resources, expertise, skills, or products to deliver the project outputs. Suppliers are responsible for designing, developing, procuring, and implementing the products that meet the specified requirements. They bring technical knowledge and specialized capabilities essential for creating project deliverables. The Supplier Interest ensures that the project has access to the necessary competencies and resources to produce outputs effectively and efficiently. In the project management team structure, the Supplier Interest must be represented to ensure that practical delivery considerations are properly addressed. This representation typically occurs through Senior Supplier roles on the Project Board. The Senior Supplier is accountable for the quality of products delivered by supplier resources and for ensuring that supplier resources are available and committed to the project. Suppliers may be internal to the organization, such as departments or teams providing services, or external, such as contractors, vendors, or partner organizations. Regardless of their origin, suppliers must understand and commit to the project requirements, timescales, and quality expectations. The Supplier Interest also involves ensuring that supplier perspectives are considered during decision-making processes. This includes evaluating feasibility, assessing resource availability, identifying potential technical challenges, and providing realistic estimates for delivery timeframes. Effective engagement with the Supplier Interest helps prevent issues related to resource constraints, technical limitations, or misaligned expectations. By formally recognizing and managing the Supplier Interest within the project organization, PRINCE2 7 ensures that delivery capabilities are properly considered throughout the project lifecycle, contributing to successful outcomes and sustainable product creation.
Project Board
The Project Board is a crucial governance body within the PRINCE2 7 framework, responsible for the overall direction and management of a project. It represents the business, user, and supplier interests, ensuring that the project remains viable and aligned with organizational objectives throughout its lifecycle.
The Project Board consists of three key roles: the Executive, Senior User, and Senior Supplier. The Executive is the single individual with ultimate accountability for the project's success and represents the business perspective. The Senior User represents those who will use the project's products and ensures that user requirements are properly specified and met. The Senior Supplier represents those responsible for designing, developing, and implementing the project's products.
Key responsibilities of the Project Board include authorizing project initiation and each subsequent stage, providing unified direction and guidance to the Project Manager, approving major plans and any deviations beyond agreed tolerances, ensuring adequate resources are available, and making key decisions when escalated by the Project Manager.
The Project Board operates on a management by exception basis, meaning they set tolerances for time, cost, scope, risk, quality, and benefits. The Project Manager works within these tolerances, only escalating issues when boundaries are threatened. This approach allows the Board to maintain strategic oversight while delegating day-to-day management responsibilities.
The Board communicates decisions through formal authorizations and provides ad-hoc direction when needed. They review progress through highlight reports and end-stage assessments, making go or no-go decisions at stage boundaries.
Effective Project Boards demonstrate commitment, availability, and appropriate authority levels. They must be empowered to make decisions and commit resources on behalf of their respective stakeholder groups. The Board's engagement is essential for project success, as they provide the necessary governance, accountability, and decision-making authority that enables projects to deliver intended benefits.
Project Team
In PRINCE2 7, the Project Team represents the organizational structure responsible for delivering project products and achieving project objectives. This team operates within the Organizing practice, which establishes clear roles, responsibilities, and communication channels throughout the project lifecycle.
The Project Team structure in PRINCE2 7 consists of three primary levels. At the top sits the Project Board, which provides strategic direction and makes key decisions. This board includes the Executive (who owns the business case), Senior User (representing user interests), and Senior Supplier (representing those providing resources and expertise).
The Project Manager occupies the central position, responsible for day-to-day management, planning, monitoring progress, and reporting to the Project Board. They ensure the project remains viable and delivers expected benefits while managing risks and issues effectively.
Team Managers work under the Project Manager's guidance, overseeing specific work packages and managing team members who create project deliverables. In smaller projects, the Project Manager may fulfill this role themselves.
Project Assurance provides independent oversight, ensuring the project adheres to standards and meets stakeholder requirements. Each Project Board member may delegate assurance responsibilities to qualified individuals.
Project Support assists with administrative tasks, maintaining project documentation, configuration management, and providing tools and guidance to the team.
PRINCE2 7 emphasizes flexibility in team structures, allowing organizations to adapt roles based on project size, complexity, and context. Smaller projects might combine roles, while larger initiatives require more elaborate structures.
Effective project teams demonstrate clear accountability, defined responsibilities, and appropriate authority levels. Communication flows must be established to ensure information reaches decision-makers promptly. The organizational structure should also consider stakeholder engagement, ensuring relevant parties remain informed and involved throughout the project journey.
Executive Role
The Executive is a critical role within the PRINCE2 7 framework, serving as the single point of accountability for the project. This individual is responsible for ensuring the project delivers value and remains aligned with business objectives throughout its lifecycle.
Key responsibilities of the Executive include:
1. **Business Case Ownership**: The Executive owns the Business Case and is accountable for ensuring the project remains viable and continues to deliver expected benefits. They must regularly review and update the Business Case to reflect any changes in circumstances.
2. **Decision Making**: As the ultimate decision-maker within the Project Board, the Executive has the final say on key project decisions. They chair Project Board meetings and ensure timely decisions are made to keep the project progressing.
3. **Resource Commitment**: The Executive secures funding and resources for the project from the commissioning organization. They ensure adequate investment is available to achieve project objectives.
4. **Stakeholder Engagement**: They represent the projects interests at senior management level and communicate project progress to corporate or programme management. The Executive ensures appropriate stakeholder engagement occurs throughout the project.
5. **Project Manager Support**: The Executive provides guidance and support to the Project Manager, helping to resolve issues that fall outside the Project Managers authority or escalated concerns.
6. **Governance Oversight**: They ensure proper governance arrangements are in place and that the project follows agreed processes and standards.
The Executive role cannot be shared or delegated to multiple individuals - there must always be a single accountable person. This ensures clear ownership and prevents confusion about who makes final decisions. The Executive typically comes from the business side of the organization, as they represent the interests of those funding the project and expecting to realize its benefits.
Senior User Role
The Senior User is a critical role within the PRINCE2 7 project management framework, representing the interests of those who will use the project's products or be affected by its outcomes. This role sits within the project board and carries significant responsibility for ensuring the project delivers value to the user community.
The Senior User is accountable for specifying the needs of the users and ensuring that the project's products meet these requirements. They serve as the voice of the user community throughout the project lifecycle, communicating user expectations and confirming that deliverables are fit for purpose.
Key responsibilities of the Senior User include:
1. Defining and verifying user requirements and expectations, ensuring these are clearly communicated to the project team.
2. Confirming that the project's products are acceptable and will deliver the expected benefits to users.
3. Providing user resources for the project when needed, such as subject matter experts or testers who can validate products from a user perspective.
4. Resolving user requirements conflicts and priorities when different user groups have competing needs.
5. Maintaining the commitment of user stakeholders throughout the project.
6. Approving the project at key decision points from a user perspective.
7. Ensuring benefits are realized after project completion by championing the adoption of project outputs.
The Senior User works collaboratively with the Executive and Senior Supplier on the project board to make decisions about the project's direction. While the Executive focuses on business justification and the Senior Supplier on technical delivery, the Senior User ensures the solution remains aligned with user needs.
In larger projects, multiple Senior Users may be appointed to represent different user groups or business areas. This role is essential for maintaining user engagement and ensuring the project delivers products that users will actually adopt and benefit from.
Senior Supplier Role
The Senior Supplier is a critical role within the PRINCE2 7 project management framework, positioned on the Project Board alongside the Executive and Senior User. This role represents the interests of those designing, developing, facilitating, procuring, and implementing the project's products and services.
The Senior Supplier is accountable for the quality of products delivered by supplier resources and ensures that proposals for designing and developing the products are realistic and achievable. They provide supplier resources with the necessary skills and expertise to complete the project successfully.
Key responsibilities of the Senior Supplier include:
1. Ensuring that progress remains consistent from a supplier perspective and that products meet defined quality requirements.
2. Promoting and maintaining focus on expected project outcomes from the supplier viewpoint.
3. Resolving supplier requirements and priority conflicts.
4. Providing supplier resources to the project as agreed.
5. Approving product descriptions for supplier products.
6. Contributing to Stage Plans and the Project Plan from a supplier perspective.
7. Ensuring that supplier aspects of the Business Case are properly considered.
8. Participating in project assurance activities where appropriate.
9. Attending Project Board meetings and contributing to key decisions.
10. Advising on the selection of development strategies, design approaches, and methods.
The Senior Supplier may be internal to the organization or represent external contractors and partners. When multiple suppliers are involved, there might be more than one Senior Supplier on the Project Board, though the number should remain manageable to enable effective decision-making.
This role ensures that technical and specialist considerations are properly represented at the senior management level, balancing the commercial interests of the Executive and the user requirements represented by the Senior User. The Senior Supplier must have sufficient authority to commit supplier resources and make decisions on behalf of the supply chain.
Project Manager Role
The Project Manager is one of the most critical roles within the PRINCE2 7 framework, serving as the central figure responsible for the day-to-day management of the project. This role carries significant accountability for delivering the project outputs within the agreed constraints of time, cost, quality, scope, benefits, and risk.
The Project Manager is appointed by the Project Board and reports to them on project progress. Their primary responsibility is to ensure that the project produces the required products to the specified quality standards, within the defined time and cost parameters. They create and maintain all essential project documentation, including the Project Initiation Documentation, Stage Plans, and various reports.
Key responsibilities of the Project Manager include planning the project at both project and stage levels, managing the project on a day-to-day basis during delivery stages, and coordinating work packages assigned to Team Managers. They must monitor progress against plans, manage issues and risks, and escalate matters beyond their authority to the Project Board through exception reports.
The Project Manager serves as the communication hub for the project, liaising between the Project Board, Team Managers, and other stakeholders. They chair regular checkpoint meetings and prepare highlight reports to keep the Project Board informed of progress.
In PRINCE2 7, the Project Manager must also ensure that appropriate governance is maintained throughout the project lifecycle. They are responsible for managing stage boundaries, preparing end stage reports, and recommending project closure when objectives have been achieved.
The role requires strong leadership, communication, and organizational skills. The Project Manager must balance competing demands while maintaining focus on delivering value. They work closely with Project Assurance to ensure quality standards are met and collaborate with Project Support for administrative assistance. Ultimately, the Project Manager transforms the Project Boards direction into successful project delivery.
Team Manager Role
The Team Manager role in PRINCE2 7 is a crucial position within the project management structure that focuses on delivering the specialist products assigned to their team. This role serves as the bridge between the Project Manager and the team members who perform the actual work.
The Team Manager is responsible for planning, monitoring, and controlling the work allocated to their team through Work Packages. When a Project Manager assigns a Work Package, the Team Manager accepts responsibility for ensuring the work is completed according to the agreed specifications, quality standards, time constraints, and budget.
Key responsibilities of the Team Manager include creating Team Plans that detail how the Work Package will be delivered. They coordinate and supervise daily activities of team members, ensuring everyone understands their tasks and has the necessary resources to complete them effectively.
The Team Manager maintains regular communication with the Project Manager through Checkpoint Reports, which provide updates on progress, issues encountered, and any concerns that might affect delivery. This reporting mechanism ensures the Project Manager stays informed about work status at the team level.
Quality is another important aspect of the Team Manager role. They ensure that products created by their team meet the defined quality criteria and pass through appropriate quality review processes before being submitted to the Project Manager for acceptance.
When problems arise that fall outside the Team Manager's authority to resolve, they escalate these issues to the Project Manager for guidance and decision-making. This escalation pathway maintains proper governance while allowing work to continue.
In smaller projects, the Project Manager may perform the Team Manager role themselves. In larger projects, multiple Team Managers may exist, each responsible for different specialist areas or work streams. The role can be filled by internal staff members or external suppliers depending on project requirements and organizational structure.
Project Assurance Role
Project Assurance is a critical role within the PRINCE2 7 Organizing Practice that ensures the project remains viable and is being conducted properly throughout its lifecycle. This role serves the interests of the three primary stakeholder categories: business, user, and supplier perspectives.
The Project Board holds ultimate responsibility for project assurance but can delegate these functions to separate individuals when board members lack the time or expertise to perform them personally. However, accountability always remains with the Project Board and cannot be delegated.
From the business perspective, Project Assurance monitors whether the Business Case remains valid and aligned with corporate objectives. It ensures that value for money is being achieved and that financial controls are operating effectively.
The user assurance function focuses on verifying that user requirements are being accurately specified and that the solution will meet the needs of those who will operate and benefit from the project outputs. This includes monitoring quality activities from the user viewpoint.
Supplier assurance ensures that products are designed and developed correctly, conform to relevant standards, and meet quality expectations. It verifies that supplier resources are being used appropriately and that technical aspects are properly addressed.
Key responsibilities of Project Assurance include reviewing Business Case alignment, monitoring stakeholder engagement, checking that project controls are being followed, ensuring proper change control procedures, verifying that quality reviews are conducted appropriately, and confirming that risks are being managed effectively.
Project Assurance personnel must remain independent from the Project Manager to provide objective oversight. They support the Project Board by providing confidence that the project is being managed correctly, allowing board members to focus on strategic direction rather than day-to-day monitoring activities. This separation of duties strengthens governance and helps identify potential issues before they escalate into significant problems.
Project Support Role
The Project Support Role in PRINCE2 7 is a crucial function within the Organizing practice that provides administrative and technical assistance to the project management team. This role helps ensure smooth project operations by handling various support activities that enable the Project Manager and team members to focus on their core responsibilities.
Project Support can be provided by an individual, a group of people, or even a dedicated Project Management Office (PMO). The scope and formality of this role varies depending on the project's size, complexity, and organizational requirements.
Key responsibilities of Project Support include:
1. Administrative Support: Managing project documentation, maintaining registers and logs, scheduling meetings, and handling correspondence. This ensures all project records are properly organized and accessible.
2. Guidance and Advice: Providing expertise on project management tools, techniques, and standards. Project Support helps team members understand and apply PRINCE2 processes correctly.
3. Configuration Management: Assisting with version control of project products and documentation, ensuring that baselines are maintained and changes are properly tracked.
4. Planning and Control Support: Helping with the creation and maintenance of project plans, collecting actual progress data, and assisting with reporting activities.
5. Quality Support: Assisting with quality reviews, maintaining quality records, and supporting assurance activities as required.
6. Specialist Tool Administration: Managing project management software, collaboration platforms, and other technical tools used by the project team.
The Project Support role reports to the Project Manager and works closely with all team members. While this role does not have decision-making authority regarding project direction, it plays a vital enabling function that contributes significantly to project efficiency.
Organizations may tailor the Project Support function based on project needs, available resources, and existing support structures within the organization.
Change Authority Role
The Change Authority Role in PRINCE2 7 is a delegated responsibility within the project organization structure that enables efficient decision-making regarding changes and off-specifications during project execution. This role is established to prevent bottlenecks that would occur if the Project Board had to approve every single change request.
The Project Board delegates authority to the Change Authority to assess and approve or reject change requests within predefined boundaries. These boundaries typically include budget limits, time constraints, scope parameters, and risk tolerance levels. Any changes falling outside these boundaries must be escalated to the Project Board for decision.
The Change Authority can be assigned to various individuals or groups depending on the project context and organizational needs. It might be given to the Project Manager for minor changes, a specific individual such as a Business Analyst, a Change Control Board comprising multiple stakeholders, or even remain with the Project Board for highly sensitive projects.
Key responsibilities of the Change Authority include reviewing change requests and off-specifications submitted through the issue management process, assessing the impact of proposed changes on project objectives, making decisions on whether to approve, reject, or defer changes, ensuring proper documentation of all decisions, and monitoring the change budget allocation.
The Change Authority works closely with the Project Manager, who prepares impact assessments and recommendations for each change request. This collaboration ensures informed decision-making while maintaining project momentum.
Establishing a Change Authority provides several benefits including faster response times to change requests, reduced burden on the Project Board, clearer accountability for change decisions, and more efficient use of senior management time. The level of authority delegated should be clearly defined in the Project Initiation Documentation to avoid confusion about decision-making boundaries throughout the project lifecycle.
Work Breakdown Structure
A Work Breakdown Structure (WBS) is a fundamental project management tool used within PRINCE2 7 to decompose a project into smaller, more manageable components. It provides a hierarchical representation of all the work required to deliver the project's products and outcomes.
In PRINCE2 7's Organizing Practice, the WBS serves as a critical planning instrument that helps teams understand the full scope of work involved. It breaks down the project deliverables into progressively smaller pieces, starting from the main project output at the top level and subdividing into work packages, tasks, and activities at lower levels.
The structure typically resembles an organizational chart or tree diagram. At the highest level sits the final project product. This branches into major deliverables or components, which then further divide into sub-components and individual work elements. Each level provides greater detail about what needs to be accomplished.
Key benefits of using a WBS in PRINCE2 include improved estimation accuracy for time and costs, clearer assignment of responsibilities to team members, better identification of dependencies between work elements, and enhanced progress tracking throughout the project lifecycle. It also supports the Product-Based Planning approach that PRINCE2 emphasizes.
The WBS connects closely with other PRINCE2 elements such as the Product Breakdown Structure and Product Descriptions. While the Product Breakdown Structure focuses on what will be produced, the WBS concentrates on the work activities needed to create those products.
Project Managers use the WBS to delegate work packages to Team Managers, ensuring clear accountability and understanding of deliverables. It facilitates communication among stakeholders by providing a common reference point for discussing project scope and progress.
Creating an effective WBS requires collaboration with team members who understand the technical aspects of the work, ensuring completeness and accuracy in capturing all necessary activities.
RACI Matrix Technique
The RACI Matrix is a powerful technique used within PRINCE2 7's Organizing practice to clarify roles and responsibilities across the project team. RACI stands for Responsible, Accountable, Consulted, and Informed, representing four distinct levels of involvement that stakeholders can have in project activities or decisions.
Responsible (R) refers to the person or people who actually perform the work to complete a task or deliverable. These individuals are hands-on executors who carry out the assigned activities.
Accountable (A) identifies the single person who has ultimate ownership and authority over a task's completion. This person delegates work to those who are Responsible and must approve the final outcome. There should only be one Accountable person per task to ensure clear decision-making authority.
Consulted (C) describes stakeholders whose input and expertise are sought before decisions are made or work is completed. This involves two-way communication where their knowledge contributes to better outcomes.
Informed (I) represents individuals who need to be kept updated on progress or decisions but do not actively participate in the work. This is typically one-way communication to ensure awareness.
In PRINCE2 7, the RACI Matrix helps project managers map project activities against team members and stakeholders in a grid format. Each intersection shows the appropriate level of involvement using R, A, C, or I designations.
The benefits of using a RACI Matrix include reducing confusion about who does what, preventing duplication of effort, ensuring accountability is clearly assigned, and improving communication flow throughout the project. It supports the PRINCE2 principle of defined roles and responsibilities by making expectations explicit and visible to all team members.
This technique is particularly valuable during project initiation when establishing the project management team structure and throughout project execution when clarifying responsibilities for specific products or decisions.
Organizing and Principles Relationship
In PRINCE2 7, the Organizing practice establishes a fundamental connection with the seven principles that govern effective project management. This relationship ensures that organizational structures support and enable principle-based project delivery.
The Organizing practice defines roles, responsibilities, and accountabilities within the project management team. It creates a structure that facilitates the application of PRINCE2 principles throughout the project lifecycle.
Regarding Continued Business Justification, the organization structure ensures that appropriate stakeholders maintain oversight of the Business Case. The Project Board, comprising the Executive, Senior User, and Senior Supplier, continuously validates that the project remains viable and worthwhile.
For Learn from Experience, the organizational structure designates responsibilities for capturing lessons. Team members at all levels contribute to organizational learning, with the Project Manager coordinating lesson identification and the Project Board ensuring lessons inform future decisions.
The Define Roles, Responsibilities and Relationships principle is inherently embedded within organizing. Clear accountability lines prevent confusion and ensure everyone understands their contribution to project success.
Manage by Stages requires an organization capable of making stage-end decisions. The Project Board must be structured to authorize stage progression based on performance and forecasts.
Manage by Exception relies on organizational clarity. Tolerance levels flow through the organizational hierarchy, with each management level understanding when to escalate issues and when to resolve them autonomously.
Focus on Products requires the organization to include people with appropriate skills to define, create, and approve project products. Quality responsibilities must be clearly assigned.
Finally, Tailor to the Environment means the organizational structure itself must be adapted. Smaller projects might combine roles, while complex endeavors require more elaborate structures with additional assurance functions.
This symbiotic relationship ensures that organizational design supports principled project delivery while principles guide how the organization functions effectively.