The project board, if needed, should contribute to the project by providing direction and guidance to the project sponsor . The role of a project board can differ from organization to organization and project to project, in regard to its authority relative to the project sponsor. For example, a project board can include:
a) either a governance body, representing the higher-level authority to which the project sponsor is accountable;
b) or a board, chaired by the project sponsor, which provides the sponsor with senior-level advice.
The project board should:
— monitor the project’s progress and outlook to confirm that the interests of the organization are being served;
— provide a forum for assisting with strategic decisions and removing obstacles, and for resolving issues.
If a project is a joint undertaking among two or more organizations, a project board can include representatives from each organization .
NOTE Commonly used terms for project boards include, but are not limited to, “project steering group”, “project steering board”, “project steering committee” or “governance committee”.
A Project Board is a governance structure responsible for overseeing a project. It plays a crucial role in providing direction, making key decisions, and ensuring that the project aligns with the organization’s strategic objectives. The Project Board typically includes key stakeholders who have a vested interest in the project’s success.The Project Board is a fundamental element of project governance, providing a structured and collaborative approach to decision-making and oversight. It ensures that the project is aligned with organizational goals and delivers value to stakeholders.Here are the key components and functions of a Project Board:
- Composition: The Project Board is typically composed of individuals who represent different perspectives and interests related to the project. Common roles on a Project Board include:
- Project Executive or Project Sponsor: The senior executive with overall accountability for the project’s success.
- Senior User(s): Representing the end-users or beneficiaries of the project’s outcomes.
- Senior Supplier(s): Representing those providing resources or services to the project.
- Responsibilities: The Project Board is responsible for overseeing and guiding the project throughout its life cycle. Key responsibilities include:
- Approving the project initiation and project closure.
- Providing direction and setting strategic objectives.
- Approving major project deliverables and milestones.
- Managing risks and issues that are escalated beyond the project manager’s authority.
- Decision-Making: The Project Board is the ultimate decision-making authority for the project. It makes decisions on matters that impact the project’s scope, budget, timeline, and overall success. The decisions are typically based on the recommendations and information provided by the project manager.
- Project Assurance: The Project Board ensures project assurance by overseeing the project manager’s work and providing guidance. It ensures that the project is on track to deliver its intended benefits, adheres to quality standards, and complies with organizational policies.
- Monitoring and Reporting: The Project Board monitors the progress of the project and receives regular status reports from the project manager. It reviews project performance against planned objectives and takes corrective actions as necessary.
- Stakeholder Management: The Project Board manages relationships with key stakeholders and ensures that their interests and expectations are considered in project decision-making. It may engage with stakeholders to address concerns or gather input.
- Escalation Point: The Project Board serves as an escalation point for issues or decisions that cannot be resolved at the project manager’s level. If there are challenges that require higher-level attention, they are escalated to the Project Board for resolution.
- Change Control: The Project Board is typically involved in change control processes. It reviews and approves changes to project scope, requirements, or other critical elements, ensuring that changes align with the project’s objectives.
- Project Closure: The Project Board plays a key role in approving the closure of the project. This includes verifying that project objectives have been met, benefits have been realized, and necessary closure activities are completed.
- Communication: The Project Board communicates with stakeholders, sponsors, and the broader organization to keep them informed about the project’s progress, challenges, and achievements.
The Project Board, by fulfilling these roles and responsibilities, contributes to the success of the project by providing strategic direction, guidance, and oversight. It ensures that the project is aligned with organizational objectives and delivers value to stakeholders.Here are the key roles and responsibilities of a Project Board:
- Approving Project Initiation:
- Role: Evaluate and approve the initiation of the project.
- Responsibilities:
- Review the project initiation documentation, including the business case and project initiation plan.
- Approve the project based on alignment with organizational objectives and strategic goals.
- Setting Strategic Objectives:
- Role: Define and communicate the strategic objectives of the project.
- Responsibilities:
- Establish clear and measurable project objectives aligned with organizational goals.
- Communicate the strategic intent of the project to the project manager and the project team.
- Approving Major Deliverables:
- Role: Review and approve major project deliverables and milestones.
- Responsibilities:
- Evaluate project plans, schedules, and key deliverables.
- Provide approval for significant project milestones and outputs.
- Managing Risks and Issues:
- Role: Oversee the management of risks and issues within the project.
- Responsibilities:
- Review risk and issue registers provided by the project manager.
- Make decisions on escalated risks and issues that impact project objectives.
- Decision-Making Authority:
- Role: Serve as the ultimate decision-making authority for the project.
- Responsibilities:
- Make decisions on critical project issues, changes to scope, and resource allocations.
- Ensure decisions are consistent with organizational objectives.
- Project Assurance:
- Role: Provide project assurance by overseeing project activities and adherence to standards.
- Responsibilities:
- Review project performance against established criteria.
- Ensure that the project follows organizational policies and meets quality standards.
- Monitoring and Reporting:
- Role: Monitor the progress of the project and receive regular status reports.
- Responsibilities:
- Receive and review regular project status reports from the project manager.
- Monitor key performance indicators and project metrics.
- Stakeholder Management:
- Role: Manage relationships with key stakeholders and represent their interests.
- Responsibilities:
- Engage with stakeholders to understand their expectations.
- Address concerns and ensure that stakeholder needs are considered.
- Escalation Point:
- Role: Serve as an escalation point for issues or decisions beyond the project manager’s authority.
- Responsibilities:
- Resolve issues or decisions that cannot be resolved at the project manager’s level.
- Provide guidance and direction on escalated matters.
- Change Control:
- Role: Review and approve changes to project scope, requirements, or other critical elements.
- Responsibilities:
- Evaluate change requests and their impact on project objectives.
- Approve or reject changes based on alignment with project goals.
- Project Closure:
- Role: Approve the closure of the project.
- Responsibilities:
- Ensure that project objectives have been met.
- Approve the completion of project closure activities.
- Communication:
- Role: Communicate with stakeholders, sponsors, and the organization.
- Responsibilities:
- Keep stakeholders informed about the project’s progress, challenges, and achievements.
- Communicate decisions and key information to relevant parties.
The project board, if needed, should contribute to the project by providing direction and guidance to the project sponsor .
The Project Board, if needed, can contribute to the project by providing direction and guidance to the project sponsor. While the project sponsor typically serves as the primary advocate for the project within the organization, there may be situations where the Project Board, as a collective entity, plays a supportive role in helping guide the project sponsor.It’s important to note that the level of involvement of the Project Board in providing guidance to the project sponsor can vary based on the specific needs and complexities of the project. This collaborative relationship between the Project Board and the project sponsor enhances the overall governance and leadership support for the project, contributing to its success. Here’s how this contribution may occur:
- Strategic Direction: The Project Board may collaborate with the project sponsor to ensure that the project’s strategic direction aligns with the broader organizational goals. This could involve discussions about changes in organizational priorities or adjustments to the project’s objectives.
- Reviewing Major Decisions: The Project Board can assist the project sponsor by reviewing major decisions and providing input. This collaborative approach ensures that decisions are well-informed and have the support of key stakeholders on the Project Board.
- Risk Management: If the project sponsor encounters significant risks or challenges that impact the project, the Project Board can provide guidance on risk management strategies. This collaboration helps address complex issues that may require collective expertise.
- Resource Allocation: In situations where resource allocation decisions become challenging or complex, the Project Board can contribute by providing insights and recommendations. This collaborative effort ensures that resource decisions align with organizational priorities.
- Overseeing Project Progress: The Project Board monitors the overall progress of the project and collaborates with the project sponsor to ensure that the project is on track. This collaboration may involve periodic reviews and discussions to address any emerging issues or challenges.
- Guidance on Stakeholder Management: Stakeholder management is a critical aspect of project success. The Project Board can provide guidance to the project sponsor on effective stakeholder engagement, ensuring that key relationships are managed effectively.
- Change Management: If significant changes are proposed within the project, the Project Board can contribute to the change management process. This may involve evaluating the impact of changes on the project’s objectives and providing recommendations.
- Reviewing Project Plans: The Project Board may be involved in reviewing and providing feedback on project plans, ensuring that these plans align with organizational strategy and objectives.
The role of a project board can differ from organization to organization and project to project, in regard to its authority relative to the project sponsor. For example, a project board can include either a governance body, representing the higher-level authority to which the project sponsor is accountable; or a board, chaired by the project sponsor, which provides the sponsor with senior-level advice.
The role and authority of a Project Board can indeed vary from one organization to another and from project to project. The Project Board’s composition, structure, and relationship with the project sponsor depend on factors such as organizational culture, project complexity, and the specific governance model in place. Ultimately, the key is to establish a Project Board structure that aligns with the organization’s goals, the nature of the project, and the desired level of oversight and support. Clear communication and agreement on the roles, responsibilities, and authority of the Project Board contribute to effective project governance.Two common variations involve:
- Governance Body with Higher-Level Authority:In this scenario, the Project Board serves as a governance body representing the higher-level authority to which the project sponsor is accountable. The members of the Project Board may include executives or senior leaders from various parts of the organization. The board’s primary responsibility is to provide oversight, make key decisions, and ensure alignment with organizational strategy.
- Board Chaired by the Project Sponsor:In this variation, the Project Board is chaired by the project sponsor. The board may include key stakeholders, experts, or senior advisers who provide the project sponsor with senior-level advice and guidance. While the project sponsor retains a leadership role, the board’s collective input contributes to informed decision-making and strategic direction.
These two variations highlight different approaches to structuring the Project Board and defining its relationship with the project sponsor:
- Governance Model with Independent Oversight:The Project Board operates as an independent governance body with the authority to make decisions and provide oversight. It ensures that the project aligns with organizational objectives and delivers value.
- Advisory Model with Senior-Level Guidance:The Project Board, chaired by the project sponsor, operates more as an advisory body. While the project sponsor remains accountable, the board provides senior-level advice and input, enhancing decision-making and strategic direction.
Key considerations influencing the choice of governance model include:
- Organizational Culture:The prevailing culture within the organization may favor a more centralized governance model with a clear chain of command, or a more collaborative model with shared decision-making.
- Project Complexity:The complexity of the project may influence the need for independent oversight or advisory support. More complex projects may benefit from a dedicated governance body.
- Stakeholder Dynamics:The nature of stakeholder relationships and their influence on the project may also shape the Project Board’s role. In some cases, external stakeholders may prefer an independent oversight model.
- Organizational Structure:The existing organizational structure and governance framework may dictate the most suitable approach. Some organizations naturally gravitate towards one model over the other.
The project board should monitor the project’s progress and outlook to confirm that the interests of the organization are being served.
Monitoring the project’s progress and outlook is an essential function to confirm that the interests of the organization are being served.By actively monitoring the project’s progress and outlook, the Project Board plays a vital role in safeguarding the organization’s interests and promoting the successful delivery of projects within the established parameters. Here’s why this monitoring is crucial and how the Project Board typically carries out this responsibility:
- Alignment with Organizational Objectives: The Project Board ensures that the project remains aligned with the strategic objectives and goals of the organization. Regular monitoring helps confirm that the project’s activities contribute to the overall mission and vision.
- Risk Management: Monitoring allows the Project Board to assess the status of identified risks and issues. By staying informed about potential challenges, the board can take proactive measures to mitigate risks and ensure that the project stays on course.
- Quality Assurance: The Project Board oversees the quality of project deliverables and outcomes. Monitoring progress helps confirm that the project adheres to established quality standards and that the final results will meet the organization’s expectations.
- Resource Allocation: Monitoring the project’s progress includes reviewing resource utilization. The Project Board ensures that resources, including budget and personnel, are allocated efficiently to support project activities.
- Timeline Adherence: The Project Board assesses whether the project is adhering to its schedule and timeline. Monitoring progress helps identify potential delays or bottlenecks, allowing the board to address issues promptly.
- Decision-Making Support: As the ultimate decision-making authority for the project, the Project Board relies on real-time information about the project’s progress. Monitoring provides the data needed for informed decision-making and adjustments to the project’s direction.
- Benefit Realization: The Project Board ensures that the project is on track to deliver the anticipated benefits. Monitoring includes assessing whether the project’s outcomes will fulfill the intended objectives and provide value to the organization.
- Communication with Stakeholders: The Project Board communicates the project’s progress to stakeholders, ensuring transparency and maintaining stakeholder confidence. Regular updates help manage expectations and foster positive relationships with key stakeholders.
- Adaptation to Changes: Monitoring allows the Project Board to assess the impact of changes, both internal and external, on the project. This adaptability ensures that the project remains responsive to evolving circumstances.
- Continuous Improvement: Through ongoing monitoring, the Project Board identifies lessons learned and areas for improvement. This iterative process contributes to the organization’s overall ability to manage and execute projects effectively.
- Project Closure Considerations: As the project approaches closure, the Project Board ensures that all necessary closure activities are completed, and the project’s outcomes are formally accepted.
The project board should provide a forum for assisting with strategic decisions and removing obstacles, and for resolving issues.
The Project Board serves as a vital forum for strategic decision-making, obstacle removal, and issue resolution. This collaborative approach ensures that projects receive the necessary guidance and support at a senior level, contributing to their overall success. Providing a forum for assisting with strategic decisions, removing obstacles, and resolving issues is a key role of the Project Board in project management. Here’s a breakdown of why this is crucial and how the Project Board fulfills these responsibilities:
- Strategic Decision-Making: The Project Board serves as a forum for discussing and making strategic decisions related to the project. This involves evaluating options, considering the alignment with organizational goals, and making decisions that have a broader impact on the project’s success.
- Obstacle Removal: The Project Board identifies and addresses obstacles or challenges that may impede the project’s progress. By providing a forum for discussion, the board can facilitate the sharing of information and expertise, leading to the removal of obstacles hindering the project team.
- Issue Resolution: The Project Board acts as a decision-making body for resolving escalated issues. When project issues cannot be resolved at lower levels, they are brought to the attention of the Project Board, which reviews, discusses, and makes decisions to address the issues effectively.
- Collective Expertise: The Project Board brings together individuals with diverse expertise and perspectives. This collective knowledge enhances the quality of decision-making, obstacle removal, and issue resolution, ensuring that the project benefits from a comprehensive understanding of challenges and opportunities.
- Guidance for the Project Sponsor: The Project Board serves as a source of guidance for the project sponsor. When strategic decisions need to be made, or when obstacles and issues arise, the board provides senior-level advice and support to the project sponsor, ensuring that decisions align with organizational strategy.
- Communication Platform: The Project Board provides a formal platform for communication between the project team and senior management. It ensures that key strategic decisions and actions are communicated effectively to stakeholders, promoting transparency and organizational alignment.
- Decision Accountability: The Project Board takes accountability for major decisions related to the project. This accountability ensures that decisions are well-considered, consistent with organizational objectives, and have the necessary support from key stakeholders.
- Resource Allocation Discussions: Strategic decisions often involve resource allocation, and the Project Board is involved in discussions related to the allocation of budget, personnel, and other resources. This helps ensure that resources are aligned with strategic goals.
- Timely Decision-Making: By providing a dedicated forum, the Project Board facilitates timely decision-making. This is crucial for addressing obstacles, resolving issues, and ensuring that the project remains on track and aligned with organizational objectives.
- Continuous Improvement: The Project Board’s involvement in strategic decisions and issue resolution contributes to continuous improvement. Lessons learned from these discussions can be applied to future projects, enhancing the organization’s project management capabilities.
If a project is a joint undertaking among two or more organizations, a project board can include representatives from each organization .
When a project involves collaboration among multiple organizations, a Project Board with representatives from each organization is instrumental in fostering collaboration, aligning interests, and ensuring the successful delivery of the joint undertaking. It provides a structured approach to governance that reflects the collective nature of the project. In a joint undertaking involving two or more organizations, it is common and advisable to have a Project Board that includes representatives from each participating organization. This collaborative approach ensures effective governance, decision-making, and coordination across organizational boundaries.Here are some key considerations in such a scenario:
- Representation from Each Organization: The Project Board should include representatives from each participating organization involved in the joint project. This ensures that the interests, perspectives, and expertise of all organizations are considered in decision-making.
- Collaborative Decision-Making: Having representatives from each organization on the Project Board promotes collaborative decision-making. This is especially important when decisions impact multiple organizations or when resources are shared.
- Alignment of Interests: Representatives from each organization help align the project with the interests and strategic goals of their respective organizations. This alignment is crucial for the success of the joint undertaking.
- Communication and Coordination: The Project Board serves as a platform for effective communication and coordination between the participating organizations. Representatives collaborate to address challenges, share information, and ensure a cohesive approach to project management.
- Resource Allocation and Sharing: In joint projects, resources such as budget, personnel, and facilities may be shared among participating organizations. The Project Board, with representatives from each organization, plays a key role in discussing and approving resource allocations.
- Conflict Resolution: In the case of disagreements or conflicts between organizations, the Project Board provides a forum for resolution. The collective decision-making process helps address issues in a way that considers the interests of all involved parties.
- Risk Management Across Organizations: Joint projects often involve shared risks. The Project Board, with representatives from each organization, is responsible for overseeing risk management efforts, including identifying, assessing, and mitigating risks that may affect any or all of the organizations.
- Decision Accountability: Each organization’s representative on the Project Board is accountable to their respective leadership and stakeholders. This accountability ensures that decisions made by the Project Board are communicated and aligned with the interests of each participating organization.
- Legal and Contractual Considerations: In joint projects, legal and contractual considerations may be involved. The Project Board, with input from legal representatives of each organization, helps navigate these complexities and ensures compliance with agreements and contracts.
- Clear Governance Structure: Establishing a clear governance structure with representation from each organization helps create a unified framework for project management. This structure defines roles, responsibilities, and decision-making processes.
Commonly used terms for project boards include, but are not limited to, “project steering group”, “project steering board”, “project steering committee” or “governance committee”.
Different organizations may use varying terminology to refer to the group responsible for overseeing and providing governance to a project. These terms are often used interchangeably, and the specific term chosen may depend on organizational preferences, industry standards, or historical conventions within a particular organization. Regardless of the term used, the purpose of these groups remains consistent—to provide governance, direction, and support for the successful delivery of projects.It’s important for organizations to define and communicate the roles, responsibilities, and authority of these groups clearly. This helps ensure a shared understanding of the governance structure and promotes effective collaboration among stakeholders involved in the project. Here are some of the commonly used terms:
- Project Steering Group: This term refers to a group of individuals who guide and steer the project in the right direction. The steering group is responsible for making strategic decisions, providing oversight, and ensuring that the project aligns with organizational goals.
- Project Steering Board: Similar to a steering group, a steering board is a governance body that provides direction and guidance to the project. It is typically composed of senior stakeholders who have a vested interest in the project’s success.
- Project Steering Committee: A steering committee is a group of individuals assembled to provide guidance and direction to the project. It is often composed of key stakeholders, executives, and subject matter experts who contribute to decision-making.
- Governance Committee: A governance committee oversees the governance of a project. This committee is responsible for ensuring that the project adheres to established policies, standards, and procedures. It may include representatives from different organizational functions.
