Project Management & PRINCE2

PRINCE2® (Projects in Controlled Environments) is an originally English method created by combining practical experience (so-called best practices). The OGC (the Office of Government Commerce), owns the method and the application and use of PRINCE2 is monitored by the APM Group. APMG describes PRINCE2 as follows;

PRINCE2 is a process-based approach for project management providing an easily tailored and scalable method for the management of all types of projects. The method is the de-facto standard for project management in the UK and is practiced worldwide.

The continued international development of PRINCE2 examinations, training and course material is contributing significantly to the recognition of PRINCE2 as a truly international standard. More and more people are having the opportunity to benefit from the training courses and qualifications that are available worldwide.

The Origin of PRINCE

In 1989, Prince appeared on the market and in 1996 there are many improvements and enhancements implemented leading to PRINCE2. Prince was initially intended to improve the running of projects within the ICT sector. The changes in 1996, resulting in PRINCE2 created a much broader application, and in addition to the ICT sector the different sectors using PRINCE2 are increasing.

In 2002 and 2005 there were updates with the latest insights into best practices and recently in 2009 a comprehensive review. The name PRINCE2 is not changed but the changes are clearly present (see also "Why PRINCE2: 2009"). Meanwhile, the methodology is used in many countries in Europe and the interest from the rest of the world is also increasing. The PRINCE2 manuals are available in several languages. PRINCE2 is a flexible method and although originally designed for the management of IT projects it is now suitable for all other types of projects.

What is PRINCE2?

PRINCE2 is applicable to all projects from small to big and has great flexibility. Aspects of the method which are not applicable to (or not useful for) a particular project, can be left out. The question, "How extensively should this process be applied on this project?" is often asked. In the latest version, PRINCE2: 2009, this question is present all over to make sure that PRINCE2 is always applicable when there is a project.

There are two different levels of PRINCE2 certification;

PRINCE2® Foundation level, provides detailed knowledge and understanding of the methodology and terminology
PRINCE2® Practitioner level, provides the skills to apply knowledge in a practical way to apply in a project situation

Before we continue about the specifics of PRINCE2, there are some general points about the subject of project management, which should help to put everything into context...

The importance of project management

When we need to do something, go somewhere, build something or achieve something a couple of questions and decisions need to be answered and made.

What is it what we are trying to do?
When will we start?
What do we need?
Are we able to do it, or do we need help?
How long will it take?
How much will it cost?

The answers to these questions are the building blocks of project management - defining what we want to do and working out the best way to do it (try thinking of project management as something usefull, not just as difficult management language).

Structured project management means managing the project in a logical, organized way. This is done by following defined steps and processes. A structured project management method is the written description of this logical, organized approach. PRINCE2 is such a structured project management method.

Now you know what is meant by structured project management lets talk about the PRINCE2 method.

Coverage of PRINCE2

From the manual “Managing Successful Projects with PRINCE2”

A project is:

"A management environment that is created for the purpose of delivering one or more business products according to a specified Business Case."

PRINCE2 says that a project should have:

An organized and controlled start, i.e. organize and plan things properly before leaping in.
An organized and controlled middle, i.e. when the project has started, make sure it continues to be organized and controlled.
An organized and controlled end, i.e. when you've got what you want and the project has finished, tidy up the loose ends.

In order to describe what should happen when in a project, PRINCE2 has a series of processes which cover all the activities needed on a project from starting up to closing down.

The Project roles

Organizing and controlling a project means that we need to have someone responsible for doing the organising and controlling - the Project Manager. The Project Manager will select people to do the work on the project and will be responsible for making sure the work is done properly and on-time. The Project Manager draws up the plans that describe what the project team will actually be doing and when they expect to finish.The person who is paying for the project is the customer or executive.

And the person who is going to use the results or outcome of the project, or who will be impacted by the outcome of a project, is called the user. On some projects, the customer and user may be the same person. The person who provides the expertise to do the actual work on the project (i.e. will be designing and building the outcome) is the supplier or specialist.

All of these roles need to be organised and coordinated so that the project delivers the required outcome within budget, on time and to the appropriate quality.

The Project Board

Each PRINCE2 project will have a Project Board made up of representatives of the customer (or executive) side, the user side and the supplier or specialist side.

In PRINCE2, these representatives are called Customer, Senior User and Senior Supplier respectively. The Project Manager reports regularly to the Project Board, keeping them informed of progress and highlighting any problems he/she can foresee. The Project Board is responsible for providing the Project Manager with the necessary decisions for the project to proceed and to overcome any problems.

Project Assurance

Providing an independent view of how the project is progressing is the job of Project Assurance. In PRINCE2, there are three views of assurance; business, user and specialist. Each view reflects the interests of the three Project Board members. Assurance is about checking that the project remains viable in terms of costs and benefits (business assurance), checking that the users' requirements are being met (user assurance), and that the project is delivering a suitable solution (specialist or technical assurance). On some projects, the assurance is done by a separate team of people called the Project Assurance Team, but the assurance job can be done by the individual members of the Project Board themselves.

The Project Support office

On most projects there is a lot of administrative work needed, keeping everyone informed, arranging meetings, keeping plans up-to-date, chasing things up, keeping files, etc. Project Managers often do all this work themselves, particularly on smaller projects. But if there are a number of projects going on at the same time, a Project Support Office can be setup to help the Project Managers with this work.

Management techniques

Apart from describing the different people involved in a PRINCE2 project, and what they are responsible for, the method also explains how to manage risk, how to manage quality, and how to control change on the project. Risk Management is about working out what could go wrong and planning what to do if it does. Quality Management is about checking the quality of work done on the project, either by testing it or reviewing the work in some way. There are always lots of changes during the life of a project; people change their minds, other things happen, which affect what the project is doing. PRINCE2 has a technique of controlling the way changes impact the project in order to prevent the project going off in the wrong direction.

So, PRINCE2 is a method for managing projects. It helps you work out who should be involved and what they will be responsible for. It gives you a set of processes to work through and explains what information you should be gathering along the way. But PRINCE2 doesn't do the work for you, it cannot guarantee that your projects will be successful. Good projects, which deliver quality results, on-time and within budget are dependent on the quality of people involved from Project Board down to individual team members.

What can PRINCE2 Deliver?

Firstly, it will help you manage projects so that they deliver the greatest possible organisational benefits. These include:

Minimised risk of project failure
Reduced waste and increased productivity
Higher levels of customer satisfaction
Confidence to take on all change programmes

Secondly, the framework is scalable, systematic and can be used for a huge variety of different projects. It takes you through key project stages: starting up, initiation, controlling a stage, managing product delivery, managing stage boundaries and closing a project.

Who uses PRINCE2?

PRINCE2 has been adopted by hundreds of organizations worldwide. Equally applicable to large and small organisations in the public and private sectors.

And finally

Having read this brief introduction to project management and PRINCE2, the next thing to do is go on a training course and find out more! PRINCE2online & Metier Academy offer a wide range of possibilities to create further growth and development not only on PRINCE2 but also other Project management skills. This to develop yourself to a truly Project management Professional.

More information about PRINCE2?