MNG00785 Project Management: Project Charter Elements Analysis

This report presents a comprehensive analysis of project charters, dividing the discussion into two main parts. Part A delves into the theoretical aspects of a project charter, examining key elements such as project scope, business case, background, milestone schedule, deliverables, risk assumptions, ...Read More

Running head: PROJECT MANAGEMENT
Project Management
Name of Student
Name of University
Author Note

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Table of Contents
Part A: Charter Elements and its Theoretical Explanation..................................................3
1.1. Project Scope............................................................................................................3
1.2. Business Case...........................................................................................................3
1.3. Background...............................................................................................................4
1.4. Milestone Schedule and Deliverables.......................................................................4
1.5. Risk Assumptions and Constraints...........................................................................4
1.6. Resources Estimate...................................................................................................5
1.7. Stakeholders..............................................................................................................5
1.8. Team Operating Principles.......................................................................................5
1.9. Lessons Learned.......................................................................................................5
1.10. Charter Signature....................................................................................................6
Part B: Practical Example of Project Charter......................................................................7
2.1. Project Scope............................................................................................................7
2.2. Business Case...........................................................................................................7
2.3. Background...............................................................................................................7
2.4. Milestone Schedule and Deliverables.......................................................................8
2.5. Risk Assumptions and Constraints...........................................................................9
2.6. Resource Estimate..................................................................................................10
2.7. Stakeholder Register...............................................................................................11

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2.8. Team Operating Principles.....................................................................................11
2.9. Lesson Learned.......................................................................................................11
2.10. Charter Signature and Commitment.....................................................................12
References for Part A.........................................................................................................13
Bibliography for Part B.....................................................................................................13

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Assessment One: Project Charter
Part A: Charter Elements and its Theoretical Explanation
The aim of this section is to draw an analysis of the theoretical aspects of a project
charter. The section will discuss the elements and the components of a project charter. The
different components of a charter are overview of project scope, overview of business case, the
business background, schedule milestone, success criteria, assumptions and constraints of a
project, the project resources, the risks in the project, the project stakeholders, operating
principle of the team, lesson learned along with the concept of signatures and commitment.
Project charters are needed for management of a project as it provides all the necessary
information about the project to the manager of the project (Kloppenborg, Anantatmula and
Wells 2018, p.63). The different components of the charter are discussed in the following
sections.
1.1. Project Scope
Identification of the project scope is needed in project management as it is considered to
be the “elevator speech” that a particular individual would use if he is allowed with a constrained
time (Kloppenborg, Anantatmula and Wells 2018, p.65). The scope of project provides a high-
level discussion and description of the works that are needed to be completed or executed in a
particular project.
1.2. Business Case
The business case is another important element of a project charter. The business case
highlights the purpose of the undertaken project and its statement of justification. The business

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case is an important element of a project as it justifies the necessity of a project (Kloppenborg,
Anantatmula and Wells 2018, p.66). A well-written project business case persuade the decision
makers in supporting and organizing a project in such a way that the team members are
motivated to work hard for the project.
1.3. Background
The scope and the business case provides a brief information of the project
(Kloppenborg, Anantatmula and Wells 2018, p.66). However, some stakeholders of a project
might need a detailed information of the project, which gives rise to the need of detailing the
project background in the project charter.
1.4. Milestone Schedule and Deliverables
The milestone of a project indicates the most significant points or events of a project
while that of a project deliverable involves certain unique and verifiable products that are
required to implement a particular phase or process of a project.
1.5. Risk Assumptions and Constraints
Risks, assumptions and constraints include one of the most vital component of a project
charter (Kloppenborg, Anantatmula and Wells 2018, p.67). A risk can be indicated as an
uncertain event, presence of which in a project has a positive or negative effect in a project.
Assumptions are certain factors of the project that are considered to be true and real.
Implementation of a project involves certain assumptions that are considered to be true for a
project and therefore can involve a degree of risk.

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Project constraint on the other had involves a limiting factor that has a large effect on the
execution of a project. Therefore, identification of the risks, assumptions and constraints are
major considerations of a project charter.
1.6. Resources Estimate
Resource estimate is another important aspect of a project charter. Resources of a project
includes skills human resources, the needed equipment, services and funds (Kloppenborg,
Anantatmula and Wells 2018, p.69). The resource estimate component of a charter of a particular
project provides the stakeholders an idea of the needed project resources.
1.7. Stakeholders
A standard charter involves a stakeholders’ list that identifies and prioritizes the
stakeholders associated with a project (Kloppenborg, Anantatmula and Wells 2018, p.69). This is
a vital element of a charter of a project, as it helps in better management of the associated
stakeholders of a project.
1.8. Team Operating Principles
Another important aspect of a project charter is the team operating principle. The team
operating principles are mainly established to enhance the functioning of a project team. The
main goal of the operating principle of a team is to improve the overall effectiveness and
efficiency of a team (Kloppenborg, Anantatmula and Wells 2018, p.69). The usefulness of team
operating principles include conduction of the meetings and in effective decision making.
1.9. Lessons Learned

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Lesson learned is a vital element of a charter of a project. The term “lesson learned” can
be described as the knowledge gained while implementing a particular project (Kloppenborg,
Anantatmula and Wells 2018, p.70). Lesson learned therefore involves the store of historical
information related to similar projects that are implemented in past.
1.10. Charter Signature
The charter signature provides the details of the people who are allowed to take decisions
regarding a project implementation (Kloppenborg, Anantatmula and Wells 2018, p.70). This is
an important component of a project charter particularly because it shows commitment of the
core team members who are associated with the project.
The above discussed points indicate the major components of project charter. The charter
of the project is an important component for management and execution of a project. The second
section of this report will provide a practical example of a project charter prepared on basis of a
given project scenario.

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Part B: Practical Example of Project Charter
A charter of a project is prepared for a project that aims in relocation of an existing
office. A standard project charter is prepared for the project that will provide the project details.
2.1. Project Scope
The project aims in relocation of an office to a new location. The time allocated for the
office move is two months. The in-scope requirements of the project are as follows-
 To set up an office at a new location
 To ensure least disruption of the existing services
 To complete the majority of works on Weekend
The above discussed points indicates the high level work that are needed to be
implemented in a project. The above discussed In-scope requirements of the project indicates the
tasks that are needed to be completed for the relocation project.
2.2. Business Case
The project for office relocation is needed as the lease of the office of an insurance
company has expired. The Landlord does not intent to renew the contract and therefore, the
office is needed to be shifted. Thus, a project charter for the office shifting project is prepared,
which should be approved by the project owner.
2.3. Background
An insurance company is needed to shift their office to a different location because the
lease of their existing office has already expired. The landlord of the area on which the office

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was located has indicated not to renew the contract, leading to the movement of the entire office.
The budget and the resources are set for the office move project. It is indicated that the project
will be completed within $100,000.
2.4. Milestone Schedule and Deliverables
The deliverables of the project are as follows-
Deliverables Sub-Deliverables
Project Planning Planning the Office Move
Inspecting the New Office
Development of the Project Plan
Packing and Preparation for the Move Shortlisting the goods that are to be
transferred
Packing up the things
Preparation for the Computer and Telephone
move
Office Move
Moving the Computers and Telephones
Shifting the packed Items
Relocation
Complete Set Up of the New Office
Ensuring all the Equipment are Operational
The milestone schedule of the project are as follows-

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Milestone Completion Date Acceptance Criteria Stakeholder Judge
Development and
Approval of the
Project Plan
Tue 30-04-19 The project Plan
should be approved
by all the
stakeholders Involved
CEO-Sponsor
M2: Completion of
Packing Preparation
Fri 17-05-19 All the necessary
goods to be
transferred are
considered for
packing
Branch Manager as
Project Manager
M3: Completion of
Office Move
Mon 20-05-19 The office move is
completed by
considering all the
project constraints
Administration
Manager
2.5. Risk Assumptions and Constraints
The major risk associated with the project are as follows-
Project (Potential) Risks Risk Owner Contingency Plans
Schedule Risks Project manager The plan for project
implementation should
include a detailed project
schedule

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Budget Risks Sponsor and Administration
Manager
The project should be
planned in such a manner so
that it is completed within
$100,000
Disruption in the Normal
works
Project Manager All the project constraints are
needed to be considered
while developing the project
plan
The main constraints of the project are as follows –
1. The project is needed ti be implemented in $100,000
2. The Project is to be completed in least disruption
3. Removal and relocation to be carried on Saturday and Sunday
2.6. Resource Estimate
The resources associated with the project are follows-
Funding Budget: 100000, CEO is the sponsor
People Branch Manager, Manager of ICT,
Administration Manager, Laborers
Equipment Software Needs, Cables, Other hardware
Requirements
Others Subject Matter Experts

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2.7. Stakeholder Register
The main stakeholders of the project and their interest and priority are indicated in the
table below-
Stakeholders Interest In Project Priority
CEO-Sponsor High High
Branch Manager Medium Medium
Manager of CIT Low High
Administrative Manager Medium Medium
Employees Low Low
Subject Matter Experts Medium Low
2.8. Team Operating Principles
The Operating Principles of the project team are as follows-
# Team Operating Principle
1 The team members will report to project manager
2 The packing could only be done on Friday
3 The shifting to be done on Saturday and Sunday
2.9. Lesson Learned

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The lesson learned of the project are as follows-
# Lesson
1 Project planning is essential in projects involving a number of constraints
2 Risk management is one of the most essential aspect of project management
2.10. Charter Signature and Commitment
Sponsor Department Signature
CEO Project Please Fill
Project manager Department Signature
Branch Manager Project Please Fill
Core Team Members Department Signature
Administration Manager Management Please Fill

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References for Part A
Kloppenborg, TJ, Anantatmula, V and Wells, KN 2018, Contemporary Project Management, 4th
edn, Cengage Learning, Boston, MA, USA.
Bibliography for Part B
Fleming, Q.W. and Koppelman, J.M., 2016, December. Earned value project management.
Project Management Institute.
Harrison, F. and Lock, D., 2017. Advanced project management: a structured approach.
Routledge.
Heagney, J., 2016. Fundamentals of project management. Amacom.
Kerzner, H. and Kerzner, H.R., 2017. Project management: a systems approach to planning,
scheduling, and controlling. John Wiley & Sons.
Kloppenborg, TJ, Anantatmula, V and Wells, KN 2018, Contemporary Project Management, 4th
edn, Cengage Learning, Boston, MA, USA.
Leach, L.P., 2014. Critical chain project management. Artech House.
Marchewka, J.T., 2014. Information technology project management. John Wiley & Sons.