PRINCE2™ For Dummies®, 2nd Edition

Table of Contents

Introduction

About This Book

Foolish Assumptions

How This Book Is Organised

Part I: How PRINCE2 Can Help You

Part II: Working Through Your Project

Part III: Help with PRINCE2 Project Management

Part IV: The Part of Tens

Part V: Appendices

Icons Used in This Book

Where to Go from Here

Part I: How PRINCE2 Can Help You

Chapter 1: So What’s a Project Method and Why Do I Need to Use One?

Getting the Low-Down on PRINCE2

Giving You Some Facts about Projects

Fact 1: A lot of projects go wrong

Fact 2: We know why projects go wrong

Fact 3: We know good ways of preventing a lot of those things

Fact 4: PRINCE2 is free to use

Making Your Life Easier with PRINCE2

Clearing Up Some Misunderstandings about PRINCE2

Working Through Your Project

Chapter 2: Outlining the Structure of PRINCE2

Getting to Know the Process Model

Getting things going

Repeating as necessary

Shutting down: Closing a Project

Introducing the Themes

Understanding the themes

Working in Line with the Principles

Appreciating the Six Control Variables

Fitting in Project Techniques

Putting It All Together

The environment of a PRINCE2 project

Chapter 3: Getting Real Power from PRINCE2

Understanding the Problems

Remembering that PRINCE2 Is a Tool

Leaving out activities

Adjusting the degree to which you do activities

Altering the sequence of activities within a PRINCE2 process

Shifting activities between processes

Using PRINCE2 in a hurry – parallel initiation

Running the project without a project plan, just stage plans

Fitting PRINCE2 to the Project

Taking It Seriously: Being Professional

Part II: Working Through Your Project

Chapter 4: Checking the Idea Before You Start

Understanding ‘Starting Up a Project’

Seeing Why You Really Need Start Up

Getting Start Up Done Fast

Starting Up Start Up – a Mandate

Filling Project Roles

Appointing the first two key people

Appointing more Project Board roles

Deciding on the remaining roles

Creating the Daily Log

Learning Lessons from the Past

Checking the Project’s Viability

Writing the Outline Business Case

Checking the Approach and Writing the Project Brief

Thinking through the Project Approach

Writing the Project Brief

Getting it together with the brief

Planning the Planning: Initiation

Deciding to Plan in Detail – or Not

Chapter 5: Planning the Whole Project: Initiation

Getting to Grips with Initiating a Project

Understanding Why You Need Plans

Looking at What’s in the PID

Getting Strategic

Thinking about risk management

Thinking about quality management

Thinking about Configuration Management

Thinking about communications

Deciding on Controls

Breaking the project into blocks

Setting up the other controls

Planning Your Project

Working on the Business Case

Building the full Business Case

Planning the measurement of benefits

Preparing for the First Delivery Stage

Fitting PRINCE2 to the Project

Writing the Extra Bits of the PID

Putting the PID Together

Looking at How You Use the PID

Asking the Project Board to commit to the whole project

Chapter 6: Preparing for a Stage in the Project

Understanding the Process of ‘Managing a Stage Boundary’

Providing Key Information at End Stage

Triggering an End Stage

Stage planning in Start Up and Initiation

More about exceptions and stages

Planning the Next Stage

Using product planning in more detail

Preparing the Product Checklist

Getting detailed with quality

Updating the Project Management Team

Building an Exception Plan

Updating Project Documents and Plans

Updating the Project Plan

Updating the Project Approach

Reviewing Risk

Checking the Business Case

Preparing an End Stage Report

Reporting any lessons

Asking for Sign-Off and Authority to Proceed with the Next Stage

Chapter 7: Controlling a Stage

Understanding the Process Controlling a Stage

Controlling the Flow of Work to Teams

Dealing with Risks and Issues

Monitoring and Progress Reporting

Correcting a Stage or Reporting an Exception

Correcting the stage

Reporting an Exception

Chapter 8: Building the Deliverables

Understanding the Process Managing Product Delivery

Unpacking the Work Package

Building the Work Package Products

Receiving the Work Package

Building the products

Returning completed products

Chapter 9: Finishing the Project

Closing a Project

Planning the Planned Closure

Making sure that you’ve done everything

Checking for sign-offs and acceptances

Planning a Premature Closure

Handing Over the Final Product(s)

Checking the working environment

Looking at business benefits

Reviewing How the Project Went

Recording the follow-on actions

Writing the End Project Report

Writing the Lessons Report

Recommending Closure

Closing down the logs and registers

Storing the project records

Chapter 10: Running Effective Project Boards

Introducing the Process Directing a Project

Understanding Five Key Responsibilities for the Project Board

Taking ownership of the project

Managing, not working

Getting sufficient authority

Checking availability

Appointing small boards

Taking Individual Responsibility

Business viewpoint – the Executive

User viewpoint – the Senior User(s)

Supplier viewpoint – the Senior Supplier(s)

Taking Joint Responsibility

Making decisions without stepping over the line

Listening to the Project Manager

Deciding the Level of Control

Setting Project Manager authority levels

Deciding on the management stages

Fixing the level of risk acceptance

Determining highlight reporting

Sorting out project and quality assurance

Giving Advice When Asked

Getting Involved at Specific Points

Starting up

Initiating the project

Getting involved during a delivery stage

Ending a stage

Ending the project

Part III: Help with PRINCE2 Project Management

Chapter 11: Producing and Updating the Business Case

Understanding Two Key Documents

Knowing Who’s Responsible for the Business Case

Justifying the Project

Compliance projects

Benefits-driven projects

Hybrid justifications

Keeping It Current: A ‘Living Document’

Getting Help When It Gets Complicated

Dealing with Organisational Finance

Writing a Business Case

Setting down best case and worst case

Being sensitive

Checking If a Benefit Really Is a Benefit

Being Sure That You Can Deliver

Not claiming benefits that don’t exist

Being prudent

Avoiding benefits contamination

Actually Measuring Benefits Delivery

Measuring during the project, at the end of the project and after the project

Understanding the responsibilities

Chapter 12: Deciding Roles and Responsibilities

Getting the Right People Involved

Understanding PRINCE2 Management

Having roles, not jobs

Sticking to small Project Boards

Seeing the project from three viewpoints

Viewing the Project Board as central

Keeping the Project Organisation stable

Structuring the Organisation of PRINCE2

The PRINCE2 Project Management Team

Examining the Project Board

Understanding the three Project Board roles

Looking at Project Assurance

Knowing that Project Assurance isn’t optional

Deciding how to do Project Assurance

Working with, and not against, the Project Manager

Blowing the whistle

Understanding Organisational Assurance

Changing Things – Board Authority

Getting to Know the Project Manager

Considering Team Manager(s)

Knowing How Project Support Helps

Setting up a Project Office

Chapter 13: Managing Project Quality

Product Planning with Quality Built In

Taking Quality Seriously, Very Seriously

Delivering appropriate quality

Sticking to quality

Specifying Criteria for Project Acceptance

Customer quality expectations

Acceptance criteria

Writing a Quality Management Strategy

Planning Stage- (and Team-) Level Quality

Controlling and Auditing Quality

Controlling quality

Auditing and the Quality Register

Making sure of assurance

Checking Products with Quality Review

Roles in the quality review

Finding, not correcting, errors

Staying ‘ego-less’

Signing off – the three options

Recording Quality

PRINCE2 quality records

Generic quality records

Chapter 14: Planning the Project, Stages and Work Packages

Thinking about the Planning

Considering organisational requirements

Thinking about money

Planning with Products

Looking at the planning problem

Focusing first on what you must produce

Identifying products in the project

Using the Product Flow Diagram

Writing Product Descriptions

Defining the project

Giving the product list some structure

Moving On to Activity Planning

Estimating – the Easy Bit

Scheduling and Resourcing

Activity networking and precedence networks

Activities with Gantt charts

Activities and resource levelling

Checking Risk

Explaining the Plan

Adding explanations for those who read the plan

Financial planning

Planning at Three Levels

The Project Plan

The Stage Plan

Team Plans

Chapter 15: Managing Project Risk

Starting with the Basics: What Is Risk?

Deciding your strategy for handling risk

Understanding the sections of the strategy

Managing the Risk Budget

Using a Risk Cycle

Managing Risk with the Risk Procedure

Identifying Risk

Assessing risk

Making the ‘before or after’ decision

Planning how to deal with a risk

Implementing the Risk Responses

Actually taking the planned action

Communicating Information About Risk

Registering a Risk . . . or Not

Making a Risk Register entry

Safely Leaving Out Risk Management

Chapter 16: Controlling Change and Versions

Allowing Change, but Not Scope Creep

Taking control

Avoiding a change freeze

Defining a Project Issue

Categorising Issues

General Issue or ‘Problem/concern’

Request for Change (RFC)

Off-Specification (Off-Spec)

Conceding a concession

Handling an Issue

Step 1 – capturing the Issue

Step 2 – examining the Issue

Step 3 – proposing action

Step 4 – deciding action

Step 5 – implementing any work

Understanding Authority Levels

Setting up a change budget

Setting up a Change Authority

Controlling Versions – Configuration Management

Deciding How Much CM to Do

Writing the Configuration Management Strategy

Keeping CM Information on Products

Additional CI Information

Seeing that CM Is a Different Control

Chapter 17: Monitoring Progress and Setting Up Effective Controls

Controlling at Different Levels

Reporting: Time-Driven Controls

Highlight reporting

Checkpoint reporting

Using the Event-Driven Controls

Controlling the project with stages

Making decisions at four key points

Ordering Project Closure at Any Time

Managing ‘By Exception’

Specifying the Limits: Tolerances

Setting unequal tolerances

Guarding against wishful thinking – tolerance lines

Outlining the six types of tolerance

Reporting Projections Outside of Tolerance: Exception

Giving an Exception Report

Deciding what to do

Revising the plans

Using Tolerance at Different Levels

Monitoring Progress and Controlling Projects

Controlling teams with Work Packages

Measuring progress with the Product Checklist

Avoiding ‘percentage complete’

Controlling quality

Looking for Financial Controls

Part IV: The Part of Tens

Chapter 18: Ten Ways to Make PRINCE2 Work Well

Staying Flexible – Using PRINCE2 Differently

Keeping the Documentation Down

Making PRINCE2 a Standard

Insisting on PRINCE2

Training People in PRINCE2

Implementing Project Assurance

Actually Doing the Benefit Reviews

Maintaining Product Planning

Using the Product Checklist

Keeping the Plans Up To Date

Chapter 19: Ten Tips for a Good Business Case

Measuring Benefits – Wherever You Can

Understanding that Some Projects Don’t Have Benefits

Reviewing the Business Case Regularly

Being Prudent (1)

Being Prudent (2)

Owning the Business Case

Aligning the Business Case with Corporate Requirements

Standing Firm on the Figures

Updating the Business Case During Stages

Thinking ‘Business Case’ in Issue Handling

Chapter 20: Ten Things for Successful Project Assurance

Making Sure You Do It

Being Flexible about Assurance

Selecting Experienced People

Avoiding List Tickers

Steering Clear of Nit-Pickers

Working Co-operatively

Separating Assurance and Support

Being Careful When Using Other Project Managers

Getting Project Board Ownership

Being Clear on What You’re Assuring

Part V: Appendices

Appendix A: Looking into PRINCE2 Qualifications

Appendix B: Glossary of the Main PRINCE2 Terms

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