Illustrating Project Methodology based on PRINCE2

Ver. 5 - Updated on Dec. 1, 2016

Yuko Soma

(Remarks) This contents were customized based on the following person’s personal perspective and project experiences; however, she tried to follow official textbook for PRINCE2 Practitioner Exam as much as she can so that these help people to use for taking the exam purpose

1. Basic Structure

Organization Theme

6 Tolerance / Variables

7 Themes (+1 Theme)

7 Principles

7 Processes

Change Theme

Quality Theme

Risk Theme

Business Case Theme Progress Theme

Plan Theme

Quality Benefits Risk Cost Time

Tailoring Theme

Continued BusinessJustification

Learn fromExperience

Defied Roles and Responsibilities

Manage by Stages

Manage byException

Focus onProduct Tailoring

Scope

(SU) Starting up a Project, (DP) Directing a Project, (IP) Initiating a Project, (CS) Controlling a Stage, (MP) Managing Product Delivery, (SB) Managing a Stage Boundary, (CP) Closing a Project

S U D P I P S B M PC S C P

M P

2. TimelineDe

liver

ing

Man

agem

ent

Dire

ction

Corp

AuthorizePrematureClosure

ExecuteWork Package

CompleteWork Package

Initiation Post-ProjectFinal StageDelivery Stages

Escalate to Corp if exceed tolerance

Pre-Project

Authorize a Project

Project Brief

Project Initiation Document

(PID)

Project ProductDescription (PPD)

Check Point Report

Daily Log

Highlight Report

Draft Closure Notification

Report to Project Board

Follow-on Action Recommendations

Risk Register

Issue Report

Quality Register

(SU) Starting up a Project, (DP) Directing a Project, (IP) Initiating a Project, (CS) Controlling a Stage, (MP) Managing Product Delivery, (SB) Managing a Stage Boundary, (CP) Closing a Project

C P

AuthorizeInitiationOutline

Business Case

I P

C SFinal Stage

C S

Management Product

Product Status

Account

Work Package

ProjectPlan

ExceptionPlan

Communication/Quality/

Configuration/Risk Management Strategy

Accept Work Package

・ ApproveFinalBenefit

Configuration Item Records

AuthorizeWork Package

PM Team Role/Structure

Descriptions

Benefit Review

PlanDetailedBusiness

Case

LessonReport

Additional Work Estimates

Product Breakdown Structure

ProductFlow

Diagram

End StageReport

Lesson Log

Authorize an Exception

TeamPlan

Executive Role

Descriptions

Project Mandate

Project Manager Role

Descriptions

Initiation StagePlan

Exception Report

・ ApproveBenefit

・ ApproveBenefit

S BStage 2-3

S BStage 1-2

End StageReport

Authorize a Stage

・ AssessUpdated Benefit

・ AssessUpdatedBenefit

Project Approach

Project ControlsPD

Issue Register

AuthorizeFinal Stage

Authorize a Stage 2

D P

Stage 2

C SEnd Project

Report

StagePlan

StagePlan

S U

AuthorizeProject Closure

3. Roles and Responsibilities Corporate/Program Manager0) Appoint only one Executive 1) Set corporate tolerances 2) Produce Project Mandate

Project Board

Customer SupplierSenior User (User)・ Realize post-project benefits・ Specify user requirements then raise RFC if any

Executive (Business)・ Create and verify , responsible for Business Case・ Appoint Project Manager

Project Manager・ Manage the project on a day to day basis・ Appoint the team member・ Create/approve “Exception Plan”, then report this to Project Board・ Assist Executive to create “Outline Business Case”・ Create “Detailed Business Case”, “Daily log”, “Issue Report”, “Project Plan” and other so called “Management Products”

Team Manager・ Admin support for Project Manager to Produce products consistent with “Product Description”・ Manage Team Members・ Issue “Change Request (CRs)”・ Create “Check Point Report”

User Project Assurance (U)

Senior Supplier (Supplier)・ Ensure that products will be delivered as expected in aspect of Timeframe and Cost

Project Managem

ent Team

0) Specify customer’s quality expectations and acceptance criteria 1) Verifying the BC 2) Approve “Exception Plan” then replace “Stage Plan” Escalate the “Exception Report” to higher management as required 3) Approve RFC and off-specification 4) Accountable for project success or failure.

Team MemberTeam Member

Project Assurance0) Monitors performance & Quality of the PROJECT (NOT Product) 1) Help Project Manager to create Risk/Quality Management Strategy

Business Assurance (Business)User Assurance (User) Supplier Assurance (Supplier)・ Ensure that “Team Plan” is viable

Project Support・ Create/Update “CI Records” including master data copies, “Risk Register”, Issue Register”, “Product Status Account” and “Quality Register” with actual to “Work package”

0) Covers User, Business and Supplier’s interests 1) Control Change Requests (CRs), RFC, and off-specifications then make a decision if Project Board delegates2) Approve change budget according to severity rating level 3) Project Manager could take this role

Change Authority

Independent from Any Team

4. Business Case

Heading Description

1. Executive Summary Install new ERP applications on new public cloud services rather than on-premised inside of the office then restructure Internal IT organization to improve Profit and Loss.

2. Reasons ・ Boise Potato Firm needs to deal with the increasing pressure to cut costs.・ The inadequate controls and outdated technology must be addressed.

3. Business Options(address the business problem to be solved)

Option 1. Do nothing Option 2. Do minimum Option 3. Do something・ The contracting of an external supplier to deliver selected business functions would not provide the required outcome.・ The reduction of staff and the updating of technology used means a re-engineering of existing services will deliver the performance improvements required.

4. Expected Benefits ・ There is an expected saving of 10m over 5 years

・ 20m sales increase from 2nd year after the project endROI : 2000 - (300+500+1000)/1100 = 0.18 for the first year. 2000 - (300+500)/100 = 1992 for the 2nd year.

5. Expected Dis-benefits ・ Internal IT staff morale will be negatively affected:

・ New software may require enhancement after go-live then require to use 2 software for a while to keep data correctly

6. Timescale ・ The expected benefits will be realized over a 5 years period. ・ The expected benefits will be realized as soon as the new software package become BAU at the end of stage 3

7. Cost Project Cost: 1000 USD Maintenance Cost: 100 USD/ year

8. Investment Appraisal

9. Major risks ・ Due to 2 months later market conditions, a suitable external supplier may not be found, which may lead to premature closure of the project (Probability 30% x Impact 1000 USD = 300 USD)・ Due to Internal IT staff’s resistance for the change, the progress of this project may be delayed (Probability 10% x Impact 2000 USD = 200 USD)

Output:New Oracle EBS packageson New clouds service( now in on-premised)

Outcome :Restructuring internal IT Organization and its servicesTo make our business faster

Benefit :Saving of 10m over 5 years and 20m sales increase

6

5. ReferencesBooks:

Murray, Andy and AXELOS, Managing Successful Projects with PRINCE2, United Kingdom, 2009

Bentley, Colin, PRINCE 2 for Beginners, New York: Routledge, 2015

PRINCE2 Templates:

on Management Plaza Site

http://mplaza.pm/prince2-templates/ and

on APMG International Site

https://www.apmg-businessbooks.com/free-resources?f[0]=field_qualification%3A7

PRINCE2 Case Studies:

Konica Minolta on AXELOS site

https://www.axelos.com/CMSPages/GetFile.aspx?guid=f6d2e4cb-61c4-4184-8c99-5de1bf63411e

PRINCE2 Exam Sample:

For Foundation: https://youtu.be/w-F1WlsFpbY

For Practitioner: http://www.bestpracticelms.com/content/lessons/7/SCORM-P2Passport-931_EP/sharableassets/sm/P2_Practitioner_Sample_Papers.pdf