Managing successful projects with PRINCE2 2009 PDF
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It is often stated that the one constant in the modern world
is change. Whether that change is driven from a strategic
perspective, forms part of a programme of transformational
change, or is in response to an operational imperative, the
delivery mechanism for change remains the same, and that is
project management.
This latest version of the PRINCE2TM method has been
designed to place more emphasis on the principles that
underpin successful project management, and to provide
clear guidance on how to apply these principles to the
organizational context within which projects are operating.
As such, it is an essential manual for anyone with an interest
in managing projects more successfully.
The challenge that faces all organizations, whether they be
public or private sector, large or small, is to deliver change
through managing projects successfully and consistently.
This is where the PRINCE2 project management method adds
eal value, as the globally recognized standard for delivering
successful projects.
XXXXXXXXXX
ISBN XXXXXXXXXX
www.tso.co.uk
Managing Successful Projects with PRINCE2TM
5909_P2Managing_V0_7.indd 1 15/5/09 14:42:36
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First edition Crown Copyright 1996
Second edition Crown Copyright 1998
Third edition Crown Copyright 2002
Fourth edition Crown Copyright 2005
Fifth edition Crown Copyright 2009
First published 2009
ISBN XXXXXXXXXX
Printed in the United Kingdom for The Stationery Office
N XXXXXXXXXXc240 05/09
List of figures vi
List of tables viii
Foreword x
Acknowledgements xi
Conventions used in this manual xiii
1 Introduction 1
1.1 The purpose of this manual 3
1.2 The importance of projects 3
1.3 What makes projects different? 3
1.4 Why have a project management
method? 4
1.5 Introducing PRINCE2 4
1.6 Related OGC guidance 6
1.7 Benefits of PRINCE2 7
2 Principles 9
2.1 Continued business justification 11
2.2 Learn from experience 12
2.3 Defined roles and responsibilities 12
2.4 Manage by stages 13
2.5 Manage by exception 13
2.6 Focus on products 14
2.7 Tailor to suit the project
environment 14
3 Introduction to PRINCE2 themes 15
3.1 What are the themes? 17
3.2 Applying the themes 18
3.3 Format of the themes 18
4 Business Case 19
4.1 Purpose 21
4.2 Business Case defined 21
4.3 The PRINCE2 approach to the
Business Case 22
4.4 Responsibilities 27
5 Organization 29
5.1 Purpose 31
5.2 Organization defined 31
5.3 The PRINCE2 approach to
organization 32
5.4 Responsibilities 43
6 Quality 45
6.1 Purpose 47
6.2 Quality defined 47
6.3 The PRINCE2 approach to quality 49
6.4 Responsibilities 57
7 Plans 59
7.1 Purpose 61
7.2 Plans defined 61
7.3 The PRINCE2 approach to plans 64
7.4 Responsibilities 72
8 Risk 75
8.1 Purpose 77
8.2 Risk defined 77
8.3 The PRINCE2 approach to risk 78
8.4 Responsibilities 88
9 Change 89
9.1 Purpose 91
9.2 Change defined 91
9.3 The PRINCE2 approach to change 92
9.4 Responsibilities 96
10 Progress 99
10.1 Purpose 101
10.2 Progress defined 101
10.3 The PRINCE2 approach to progress 102
10.4 Responsibilities 109
Contents
iv | Contents
11 Introduction to processes 111
11.1 The PRINCE2 processes 113
11.2 The PRINCE2 journey 113
11.3 The PRINCE2 process model 114
11.4 Structure of the process chapters 114
12 Starting up a Project 119
12.1 Purpose 121
12.2 Objective 121
12.3 Context 122
12.4 Activities 122
13 Directing a Project 133
13.1 Purpose 135
13.2 Objective 135
13.3 Context 135
13.4 Activities 136
14 Initiating a Project 147
14.1 Purpose 149
14.2 Objective 149
14.3 Context 150
14.4 Activities 150
15 Controlling a Stage 165
15.1 Purpose 167
15.2 Objective 167
15.3 Context 168
15.4 Activities 168
16 Managing Product Delivery 183
16.1 Purpose 185
16.2 Objective 185
16.3 Context 185
16.4 Activities 186
17 Managing a Stage Boundary 191
17.1 Purpose 193
17.2 Objective 194
17.3 Context 194
17.4 Activities 194
18 Closing a Project 203
18.1 Purpose 205
18.2 Objective 205
18.3 Context 205
18.4 Activities 205
19 Tailoring PRINCE2 to the project
environment 213
19.1 What is tailoring? 215
19.2 General approach to tailoring 215
19.3 Examples of tailoring PRINCE2 217
19.4 Projects in a programme
environment 217
19.5 Project scale 221
19.6 Commercial custome
supplier
environment 224
19.7 Multi-organization projects 227
19.8 Project type 228
19.9 Sector differences 229
XXXXXXXXXXProject management Bodies of
Knowledge 230
Appendix A: Product Description
outlines 233
A.1 Benefits Review Plan 235
A.2 Business Case 237
A.3 Checkpoint Report 238
A.4 Communication Management
Strategy 239
A.5 Configuration Item Record 240
A.6 Configuration Management
Strategy 241
A.7 Daily Log 242
A.8 End Project Report 243
A.9 End Stage Report 244
A.10 Exception Report 245
A.11 Highlight Report 245
A.12 Issue Register 246
A.13 Issue Report 247
A.14 Lessons Log 248
A.15 Lessons Report 249
Contents | v
A.16 Plan 250
A.17 Product Description 251
A.18 Product Status Account 253
A.19 Project Brief 253
A.20 Project Initiation Documentation 254
A.21 Project Product Description 256
A.22 Quality Management Strategy 257
A.23 Quality Register 258
A.24 Risk Management Strategy 259
A.25 Risk Register 260
A.26 Work Package 261
Appendix B: Governance 263
Appendix C: Roles and responsibilities 267
C.1 Project Board 269
C.2 Executive 270
C.3 Senior User 270
C.4 Senior Supplier 271
C.5 Project Manager 271
C.6 Team Manager 272
C.7 Project Assurance 273
C.8 Change Authority 274
C.9 Project Support 274
Appendix D: Product-based planning
example 277
D.1 Scenario 279
D.2 Example of a Project Product
Description 279
D.3 Examples of a product
eakdown
structure 281
D.4 Example of a Product Description 282
D.5 Product flow diagram 283
Appendix E: Health check 285
E.1 Starting up a Project 287
E.2 Directing a Project 288
E.3 Initiating a Project 291
E.4 Controlling a Stage 291
E.5 Managing Product Delivery 292
E.6 Managing a Stage Boundary 292
E.7 Closing a Project 293
Further information 295
Glossary 301
Index 315
Figure 1.1 Project management
Figure 1.2 The structure of PRINCE2
Figure 1.3 OGC best-practice guidance
Figure 4.1 Relationship between outputs,
outcomes and benefits
Figure 4.2 The development path of the
Business Case
Figure 5.1 The three project interests
Figure 5.2 The four levels of management
within the project management
team
Figure 5.3 Project management team structure
Figure 5.4 Possible reporting structure using
user and supplier groups
Figure 5.5 The many facets of the Project
Manager role
Figure 6.1 The quality audit trail
Figure 7.1 PRINCE2’s planning levels
Figure 7.2 The PRINCE2 approach to plans
Figure 7.3 Product-based planning technique
Figure 7.4 Simple activity-on-node diagram
Figure 8.1 Organizational perspectives
Figure 8.2 The risk management procedure
Figure 8.3 Example of a risk
eakdown
structure
Figure 8.4 Risk cause, event and effect
Figure 8.5 Probability impact grid
Figure 8.6 Summary risk profile
Figure 8.7 Threat and opportunity responses
Figure 9.1 Issue and change control procedure
Figure 9.2 Options analysis
Figure 10.1 Delegating tolerance and reporting
actual and forecast progress
Figure 10.2 Specialist work defined in technical
stages
Figure 10.3 Specialist work crossing management
stage boundaries
List of figures
Figure 10.4 Specialist work aligned to
management stages
Figure 11.1 The PRINCE2 processes
Figure 11.2 PRINCE2 process model
Figure 11.3 Relationship between processes,
activities and actions
Figure 12.1 Overview of Starting up a Project
Figure 12.2 Appoint the Executive and the
Project Manager: activity summary
Figure 12.3 Capture