Project governance model

From CEOpedia | Management online

Project governance model is a set of tools and processes used to ensure that a project is executed according to the objectives and goals established by the stakeholders. It is a framework for decision-making, monitoring, controlling and evaluating the progress of a project. It is designed to ensure that the project is delivered on time, within budget and to the required quality standards. It is also used to ensure that the project aligns with the organization's objectives and strategies.

Example of project governance model

  • Project Steering Committee: A project steering committee is a body of stakeholders that provides oversight and guidance over a project. This committee is typically composed of representatives from the various stakeholders involved in the project, such as the project sponsor, project manager, and key stakeholders. The purpose of this committee is to provide guidance and direction to the project manager and ensure that the project is meeting its objectives and staying within scope.
  • Project Management Office (PMO): A project management office (PMO) is a centralized organization responsible for managing multiple projects within an organization. The PMO provides oversight, coordination, and guidance to ensure that projects are executed in accordance with organizational goals and objectives. The PMO is responsible for developing and implementing project governance models and processes, as well as providing support and monitoring of projects.
  • Project Risk Management: Project risk management is the process of identifying, assessing, and mitigating risks associated with a project. It involves identifying, analyzing, and responding to potential risks that may have a negative impact on the project's success. The goal of project risk management is to minimize potential losses and maximize potential gains associated with the project.
  • Change Management: Change management is the process of managing changes to the scope, objectives, and resources of a project. This process involves the identification of potential changes, the analysis of the impact of the change, and the implementation of the changes. Change management is important in ensuring that the project is delivered on time, within budget, and to the required quality standards.

Best practices of project governance model

  1. Establish a clear governance structure: The governance structure should be designed to ensure that all project decisions are made in the best interests of the project, and that all stakeholders are consulted and represented.
  2. Define roles, responsibilities and authority: The project governance model should identify who has the authority to make decisions and who is responsible for implementing them. It should also outline the roles and responsibilities of each stakeholder.
  3. Set clear objectives and goals: The project governance model should define the goals and objectives of the project, as well as how they will be achieved.
  4. Monitor progress: The project governance model should include processes for monitoring progress to ensure that the project is on track.
  5. Establish effective communication channels: The project governance model should include processes for communicating with stakeholders to ensure that everyone involved in the project is kept informed.
  6. Document all decisions: All decisions should be documented to ensure that everyone involved in the project is aware of them.
  7. Create a risk management plan: A risk management plan should be developed to identify potential risks and how they can be mitigated.
  8. Establish a change control process: The project governance model should include a process for managing and controlling changes to the project.
  9. Implement project closure process: The project governance model should include processes for closing the project, such as archiving documents, evaluating the project's performance, and preparing a final report.

When to use project governance model

Project governance model should be used when an organization needs to ensure that a project is delivered on time, within budget and to the required quality standards. It also helps to ensure that the project aligns with the organization's objectives and strategies. Here are some of the applications of project governance model:

  • Organizations that need to provide structure, direction and control to the project management process.
  • Projects that require multiple stakeholders to come together and work collaboratively to achieve a common goal.
  • Projects where the risks are high and decisions need to be taken quickly.
  • Projects that require a clear understanding of the roles and responsibilities of all stakeholders.
  • Projects where the scope of the project must be managed and monitored to ensure that it is delivered on time and within budget.
  • Projects where a clear governance framework is needed to ensure that all stakeholders are accountable for their actions.

Advantages of project governance model

Project governance model has many advantages, including:

  • Improved clarity of roles and responsibilities: A project governance model clearly defines the roles and responsibilities of all involved parties. This structure helps to ensure that everyone involved understands their role and has a clear understanding of the project’s objectives and the expected results.
  • Improved communication: A project governance model helps to facilitate communication between all stakeholders. Everyone involved in the project is kept up to date and can provide feedback, discuss issues, and provide support as needed.
  • Increased transparency: A project governance model helps to ensure that everyone involved in the project is aware of what is expected of them and that decisions are made in an open and transparent way.
  • Improved monitoring and control: A project governance model helps to ensure that the project is monitored and controlled throughout the duration of the project. This helps to ensure that the project is delivered on time and to the required quality standards.
  • Improved decision-making: A project governance model helps to ensure that decisions are made in a timely manner and that decisions are based on the most current information available. This helps to ensure that decisions are made in a responsible and efficient manner.

Limitations of project governance model

Project governance models have the following limitations:

  • They can be overly complex and difficult to understand, leading to confusion and delays in decision-making.
  • They can be costly to implement, as well as time-consuming.
  • They may be too rigid and not adaptable to changing circumstances.
  • They can be difficult to monitor, making it difficult to detect any problems or deviations from the agreed plan.
  • They can be too rigid and may not allow for the consideration of innovative ideas or solutions.
  • They can be difficult to enforce, making it difficult to ensure that everyone follows the guidelines.
  • If the governance model is not properly implemented, it may not achieve its desired objectives.

Other approaches related to project governance model

Project governance model is a set of tools and processes used to ensure that a project is executed according to the objectives and goals established by the stakeholders. Other approaches related to project governance model include:

  • Project charter: A project charter is a document that outlines the goals, resources, timeline, and stakeholders of a project. It is typically created by the project manager in collaboration with the stakeholders and serves as a basis for the project governance model.
  • Risk management: Risk management is a key component of project governance model. Risk management involves identifying, assessing, and managing potential risks associated with the project. It is essential for ensuring the project stays on track and within budget.
  • Stakeholder management: Stakeholder management is the process of engaging and managing the stakeholders in a project. It involves understanding the interests, needs, and expectations of stakeholders and taking steps to ensure their needs are met.
  • Communication: Effective communication is critical to a successful project and is a key element of the project governance model. It involves providing project updates, responding to questions, and addressing any concerns in a timely manner.

In summary, project governance model is a set of tools and processes used to ensure that a project is executed according to the objectives and goals established by the stakeholders. Other related approaches include project charter, risk management, stakeholder management, and communication.


Project governance model — recommended articles
Project change management — Importance of project management — Traditional project management — Applications of project management — Monitoring and control — Programme planning — Program management office — Project management governance — Aspects of project management

References

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