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Delegate Pack - Foundation

The document provides official training materials for the PRINCE2 7 Foundation course, detailing its structure, content, and learning objectives. It includes information on the course modules, key concepts of project management, and the principles and practices of PRINCE2. Additionally, it outlines the benefits of PRINCE2 certification for individuals and the integrated elements of the PRINCE2 methodology.

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100% found this document useful (1 vote)

107 views393 pages

Delegate Pack - Foundation

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PRINCE2 7

Foundation

Official Training Materials

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
Copyright
Published by PeopleCert International Ltd.
Publication printed in Greece or reproduced electronically in Greece
Copyright© 2023 PeopleCert International Ltd.

All rights reserved. No part of this publication may be reproduced or transmitted in any form and by any means (electronic,
photocopying, recording or otherwise) except as permitted in writing by PeopleCert International Ltd. Enquiries for permission
to reproduce, transmit or use for any purpose this material should be directed to the publisher.

Disclaimer
This publication is designed to provide helpful information to the reader. Although every care has been taken by PeopleCert
International Ltd in the preparation of this publication, no representation or warranty (express or implied) is given by PeopleCert
International Ltd as publisher with respect as to the completeness, accuracy, reliability, suitability or availability of the
information contained within it and neither shall PeopleCert International Ltd be responsible or liable for any loss or damage
whatsoever (indicatively but not limited to, special, indirect, consequential) arising or resulting of virtue of information,
instructions or advice contained within this publication.

First edition PeopleCert International Ltd. copyright 2023

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
Copyright
Published by PeopleCert International Ltd.
Publication printed in Greece or reproduced electronically in Greece
Copyright© 2023 PeopleCert International Ltd.

First edition PeopleCert International Ltd. copyright 2023

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Detailed PRINCE2
Book reference Practice Question

Review multiple choice

Configuration/Setting Key learning points
question

Discuss/Reflect/ Learning Objectives

Syllabus
Activity / Objectives

Icons indicate specific actions and/or items. Timing

Please refer to the list for each icon’s meaning.
|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Reason for
Name
attending

Job role
Common
challenges

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
Learner materials
What is included in the Official Training Materials
for the learner?
• Learner Workbook
• Quick Reference Guide (QRG)
• Syllabus
• Sample exams
• Post-course survey

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

People
Organizing
Starting up and initiating a project
Business case
Plans

Quality
Risk

Controlling a stage and managing product delivery

Managing a stage boundary
Issues
Progress

Closing a project
Directing a project
Course review

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

• understand the main ‘rules’ and

guidelines of the course
• understand the background to the
PRINCE2® 7 Foundation course
• be aware of the key elements of
the training approach.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Globally recognized
Licensed trainers and PRINCE2: Foundation and
project management People become qualified
consultants Practitioner
method

Legacy of over 25
years, tried and Best Practice PeopleCert
tested

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Answering
sample test Short
questions quizzes

Working on
case studies
|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

• the main rules and guidelines of the course

• the background to PRINCE2 Foundation
• the key aspects of the course.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Introduction
Activity 1
What makes a good
project?
on
time

A good
project

Use your
Learner
Workbook
to note
down your
ideas.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

delivers
A good
value/ project
benefits
engaged
stakeholders
well
planned meets
meets a need
objectives

|PRINCE2 7 Foundation
®

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©
Overview of PRINCE2®
Project Management
Module 2
Syllabus (1/2)
1. Understand key concepts relating to project and PRINCE2:
1.1 Recall key concepts related to project management:
a) The definition of a project and project management. (1.3).
b) The aspects of project performance to be managed. (1.3.2).
c) The definition of the integrated elements of PRINCE2:
principles, people, practices, processes and the project
context. (1.2, Fig 1.1).
d) The definition of delivery approaches: iterative, linear, hybrid.
(1.4.3).

1.2 Describe key concepts related to project management:

a) The characteristics of a project. (1.3.1).
b) The common reasons why project management is used. (1.2.2).
c) The common challenges that PRINCE2 is designed to address.
(1.2.2).
d) The features and benefits of PRINCE2.
e) Projects in context/project environment. (1.4 excl 1.4.3).

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
Syllabus (2/2)
2. Understand how the PRINCE2 principles underpin the PRINCE2
method.
2.1 Explain the PRINCE2 principles:
continued business justification, learn from experience, defined
roles and responsibilities, manage by stages, manage by
exception, focus on products, tailor to suit the project. (2.1-2.7).
2.2 Explain how and why the principles provide the basis of applying
PRINCE2, and which factors influence the way the PRINCE2
method can be tailored and applied, who is responsible, and how
tailoring decisions are documented. (Section 2, Ref 2.7, fig 2.1).

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
What you will learn
In this session, we’re going to cover:
• the definitions and characteristics of a
project
• what makes a project a PRINCE2 project
• the features and benefits of PRINCE2
• the role of project management
• the seven aspects of project performance
to be managed
• the PRINCE2 principles
• the integrated elements of PRINCE2
• overview of PRINCE2 processes
• the user/supplier context
• applying and tailoring PRINCE2.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

A temporary organization that is

created for the purpose of delivering
one or more business products
according to an agreed business case.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

cross-functional change

PROJECT

uncertainty unique

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

temporary
Topics not included in PRINCE2

specialist detailed
aspects techniques

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Practices People Processes

Principles

Figure 1.1 The five integrated elements of PRINCE2

|Copyright 72023
PRINCE2®
©
Foundation
PeopleCert International Ltd.
Features and benefits of
PRINCE2

Common
universal language and Increased
concepts organizational
maturity

flexible Part of an
proven integrated suite
Outcome of methods
focused

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
Benefits of PRINCE2 for
an individual
You will:
learn
common clearly
improve
project understand
your
management your role as
gain a career
terminology project
globally prospects
manager
recognized
certification

know how
to start, know how
improve
manage the to
your
steps, and structure
standing
close a a project
within your
project organization

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

The application
of methods,
tools, Controlling Motivating Delegating
techniques, and
competencies

Monitoring

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
Is this a project?
A new production line is being
Project characteristics
installed in a factory requiring a
significant investment in new Cross functional
equipment, resources, systems
Uncertainty
and infrastructure, and bringing
new product and market Temporary
opportunities.
Unique

Introduce change

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
Is this a project?
The Communications Manager
Project characteristics
in a large not-for-profit
organization is reviewing the Cross functional
approach to internal and
Uncertainty
external communication,
including stakeholder mapping, Temporary
communication systems and
Unique
tools and staffing.
Introduce change

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
Is this a project?
The finance team of a large
Project characteristics
manufacturing company have
been asked to investigate how Cross functional
they can better integrate
Uncertainty
financial systems with other
management systems in the Temporary ?
company.
Unique ?
Introduce change

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

risk time

scope
quality

sustainability
|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Organizational Delivery Scale

context method

Commercial Sustainability
context

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

A user who will A supplier who will The business

specify the provide provides the
desired outputs the resources and project mandate
expertise to and
deliver the structure for project
products governance

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Portfolio

Programme Programme

Project A Project B Project C Project D Project E

Figure 1.2 Various project contexts

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
Delivery methods
Linear-sequential approach Steps
occur in sequence and product is
available during or at the end of the
project.
Iterative-incremental approach Steps
occur iteratively throughout the project.
Also referred to as the agile approach.

Hybrid approach Different elements

of the project use either of the two
approaches.
|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Practices People Processes

Principles

Figure 1.1 The five integrated elements of PRINCE2

|Copyright 72023
PRINCE2®
©
Foundation
PeopleCert International Ltd.
People in PRINCE2
Project
context
Those working on the project

Practices People Processes

Those affected by the project

Principles

Figure 1.1 The five integrated elements of PRINCE2

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
PRINCE2 principles
Project
context
Ensure
continued
business
justification Learn from
experience
Define roles,
responsibilities,
and
relationships Practices People Processes
Manage
by
Manage
exception
by
stages

Tailor to Principles
Focus on
suit the
products
project

Figure 1.1 The five integrated elements of PRINCE2

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Plans

Quality Practices People Processes

Risks

Issues Progress
Principles

Figure 1.1 The five integrated elements of PRINCE2

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Directing Directing a project

A process-based Starting
approach for Up a
project Managing Managing
Closing
project A stage
boundary
A stage
boundary a project

management Managing

Initiating Controlling Controlling

a project a stage a stage

Managing Managing
Delivering
product delivery product delivery

Note
• Starting up a project is used by both the directing and managing levels.
• There should be at least two stages, the first of which is the initiation stage.
• Managing a stage boundary is first used at the end of the initiation stage and repeated at the end of each subsequent stage
except the final stage. It is also used to prepare exception plans, which can be done at any time including in the final stage .

Figure 12.1 The PRINCE2 processes

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Assess previous This is an activity within a PRINCE2 process. Each activity

lessons contains a number of actions.

This is an event or decision that triggers a PRINCE2 process.

The direction of the arrow indicates which process is being
Project initiation triggered. Where the arrow goes to the business layer, it serves
request to notify the business of an update or request. Double triggers
indicate that there are alternative triggers for a process.

Figure 12.3 Key to process diagrams

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
The PRINCE2 journey
Project board: “Should we agree
Pre-project Initiation Subsequent Final
to authorize the next stage or
Can we authorize
stage(s)the stage
stage stop the project here?”
project and stage 2 plan?
Project authorization notification
Do we have a project?

Directing Directing a project

Outline Stage authorization Customer
Starting Authorization to initiate a project acceptance
business case, Stage authorization
Next
Up a follow-up actions
project brief, Managing Managing stage
project and project
organizational A stage A stage plan Closing
structure a project evaluation
boundary The heart of day-to-day
boundary
Managing Stage project management
Plan 2
Initiating Controlling Controlling
a project Work
a stage package accepted and
a stage
work executed
Project manager Authority to deliver a
Define the project
gives Managing Managing work package
Work package
Delivering environment – PID
team manager product delivery completed
product delivery and
Completed work
authority to deliver a handed backpackage
to
work package project manager

Figure 12.1 The PRINCE2 processes

|Copyright 72023
PRINCE2®
Foundation
© PeopleCert International Ltd.
Tailoring a project
The purpose of tailoring is
to ensure that:

● the project management method used

is appropriate to the project
● project controls are appropriate to the
project’s scale, complexity, importance,
team capability, and level of risk.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Project specific arrangements

Organizational context documented in...
e.g. sector, capability,
culture, policies Changing the Project initiation
method. For documentation
example, (e.g. management
Sustainability context Tailor using alternative approaches)
e.g. business drivers terminology or
and priorities replacing a PRINCE2
technique
Typical contexts

Project plan

Commercial context
e.g. contracts,
relationships
Using the method. Stage plans
For example,
Delivery method assigning roles,
Internal (to project)

e.g. lifecycle model, number of stages,

development techniques, number of teams/
terminology Apply work packages,
setting tolerances Team plans
or choice of
Project scale supporting
e.g. complexity, techniques
duration

|PRINCE2 7 Foundation Figure 2.1 How to apply and tailor PRINCE2 to a project
®

Copyright 2023 PeopleCert International Ltd.

Simple two-stage project

● project mandate sent by email
● simple PID
● one log for risks, issues, lessons
● verbal highlight and checkpoint
reports
● no stage plans, work packages,
team plans, end of stage reports
or issue reports.
|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
Review
• the definition and characteristics of a project
• the seven aspects of a project that need to be managed
• the integrated elements of PRINCE2: people, principles, practices,
processes, and the project context
• what makes a project a PRINCE2 project
• the three different delivery methods
• the features and benefits of PRINCE2
• the user/supplier/business context on which PRINCE2 is based
• tailoring PRINCE2

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

A It should be understood by stakeholders so that the

principles are applied appropriately
B It explains how each aspect of project management
should be applied for the processes to be effective
C It guides the progression from pre-project activity
through the stages of the project lifecycle
D It ensures an understanding of the needs of
stakeholders, and the relationships between them

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

A Projects continue after business as usual resumes

B Projects include ongoing management of operations

C Every project will be different to previous projects

D Project work is generally less risky than business as usual work

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

A That the project has a business stakeholder to ensure the

investment continues to be justified

B That the project remains desirable, viable and achievable as

the project progresses

C That products delivered by the project meet their quality

requirements

D That the PRINCE2 project management method is suited to

the scale of investment

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

A The project management team should consist

exclusively of internal stakeholders
B An organization's day-to-day management structures
are likely to be suited to control the project work
C The project board should exclude external supplier
representatives
D Suppliers are stakeholders that can be external to the
business

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

A Decisions to be made by the right people, at the right time

B The project to deliver benefits required by the business

C The project team members to understand their contribution to

the project

D The project team to define the scope to be delivered by the

project

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

A They allow the project team to decide how the method

should be applied on the project

B They take into account industry-specific models as PRINCE2

is generic

C They rely on a common vocabulary that should be applied as

defined in PRINCE2
They should be applied in the same way across projects
D
within an organization

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Overview of PRINCE2®
project management
Activity 1
Analysing project viability

Scenario: Task: Hint:

You are the project Discuss with your Consider the
manager for the campaign team. What aspects of project
at NowByou. Your director questions do you performance.
is concerned about need to ask yourself
whether the organization to check project
can deliver a campaign that viability?
will achieve the desired
impact.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Cost Quality Benefits Sustainability

Is the project How will we Why are we What is the
affordable? confirm the doing this? environmental
deliverables are fit impact?
for purpose?

Timescale Scope Risk

When will it be Is the project scope How much risk
finished? clear for both partner can we accept?
companies?
|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
People
Module 3
Syllabus
3. Understand the importance of people in successful project.
3.1 Define key concepts related to the people elements:
stakeholder; leadership; management; change management; culture;
collaboration and co-creation; project ecosystem. organizational ecosystem.
3.2 Explain the difference between concepts related to the
people element:
people within the project and people affected by the project;
leadership and management.
3.3 Explain key concepts related to the people element:
change management and why it’s important; stakeholder
engagement; communications; effective teams, including diversity,
capability and competence.
3.4 Explain the purpose of the management products required to
support the people elements of projects:
PID communications management approach; PID change
management approach.
3.5 Explain how people aspects integrate with other PRINCE2
elements.
|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

• explain who is involved in the organizational and

project ecosystems
• explain who is involved in the organizational and
project ecosystems
• explain the concept of change management and
how to lead change through a project
• distinguish between leadership and management
• describe key people concepts, including culture,
collaboration, diversity, capability and
competence
• explain the importance of communication and
how to manage it for successful projects
• identify how the people aspects are integrated
with other PRINCE2 elements.
|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Leading
successful
change

People People
central tocentral to
the method
the method
Leading
Communication successful
teams

Figure 3.3 People central to the method

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Leadership and change management

Current
Target state
state

PID: Change management approach

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

To establish the target organizational

state required for the project to meet its
objectives together with the means by
which the business will shift from the
current state and through any interim
states.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Senior
executives

The end user

The supplier

|PRINCE2 7 Foundation
®

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Any individual, group or organization

that can affect, be affected by, or
perceive itself to be affected by, the
project.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Contractor Union
Public Finance
Industry regulator
Legal team
|PRINCE2 7 Foundation
®

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©
Auditor
Stakeholder buy-in
Stakeholders may…
support or oppose the gain or lose as a result see the project as a become active supporters
project of project delivery threat or enhancement or blockers of the project
to their position and its progress.

|PRINCE2 7 Foundation
®

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A project culture may be distinct

Culture is the set of from the business but aligned
shared attitudes, with the wider ecosystem
values, goals, and
ways of working that Shared understanding must be
characterize a developed with key influencers
group of people. to establish ways of working,
align behaviours and set the
culture.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Formal
Competing
authority vs
priorities
influence
Multiple
Hierarchical
reporting
tension
lines

|PRINCE2 7 Foundation
®

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©
Leadership vs management
Activity Leadership Management
Developing a common understanding of
the project objectives and ways of
working
Explaining how a specific task needs to
be executed
Following up on completion of an activity
Gathering project team members to
agree ways of working
Eliciting feedback to confirm alignment
and commitment

|PRINCE2 7 Foundation
®

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Leadership Collaboration Co-creation Management

Motivating people People from across the A specific form of Instructing the
to achieve a project ecosystem collaboration involving execution of tasks in
project’s objectives working together to users and key influencers line with agreed ways
achieve the project’s in the design of products of working.
objectives. and agreed ways of
working to ensure they are
adopted by the project and
organizational ecosystems.

|PRINCE2 7 Foundation
®

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PRINCE2 support Different

Five key management perspectives
products support Exercises to build
building effective teams self-awareness, trust
and ways of working

Culture Roles and

Acceptance, respect and responsibilities
psychological safety Reflect capability, authority,
|PRINCE2 7 Foundation
® and availability and
Copyright 2023 PeopleCert International Ltd.
consider key relationships
©
Bringing the team together
How do you build social cohesion, particularly when teams are
virtual?

Meeting Co-locating
regularly in a an office-
purposeful based
way Developing project team Supporting virtual
and teams eg:
• Syncing co-
maintaining location days
key • Holding ‘away
relationships days’
• Using virtual
collaboration

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
The communication management
approach
Defines and describes the means and
frequency of communication with and
receiving of feedback from across the
project ecosystem.

The project manager is responsible for

documenting the communication
management approach during the
‘initiating a project’ process.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

• a stand-alone product or a section of

the project initiation documentation
(PID)
• a document, spreadsheet, or mind
map
• an entry in a project
management tool.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

People factors are

represented in all People interface
Practices People Processes
practices, with a focus on between the four layers
the ‘organising’ practice into which processes
are organized

Principles

Figure 1.1 The five integrated elements of PRINCE2

People factors permeate

all principles, particularly
roles, responsibilities and
|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

relationships
©
Review
You should now understand:
• the stakeholders in the project ecosystem
• the three people-focused activities
• the approach to change management
• the concepts of management, leadership, collaboration and
co-creation and their role in building teams
• the importance of communication and defining a
communication management approach.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

A It is best done through collaboration across the project

ecosystem

B It is the set of shared attitudes, values and goals for the

project

C It is a control that takes place when a specific event occurs

It is instructing the execution of tasks in line with agreed ways

D
of working

|PRINCE2 7 Foundation
®

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Working with key influencers to ensure the agreed ways of

A working are adopted by all areas of the project ecosystem

Modifying any of the approved management products that

B
are part of the project baseline
Ensuring decisions made at stage boundaries are informed
C
by continued business justification
Applying management control whenever a specific event
D
takes place

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

A Instructing the execution of tasks in line with agreed ways of

working

B Motivating people to achieve a project’s objectives

C Persuading, influencing, and co-creating with stakeholders

D Seeking regular feedback to remain aligned to the project’s objectives

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
Question 4 | Answer
Which activity should be managed carefully as part of 'leading across organizational
boundaries', because it is likely to be performed by people outside the project team?

A Securing funding from the business layer for the business case

B Integrating new products into each impacted area of the business

C Gaining commitment for the realization of benefits post-project

D Delivering the products to the agreed quality specifications

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

A Because stakeholders should understand which organizational

areas are impacted by the project

B Because the project products should be described and subject to

change control

C Because confidence is needed that the project can meet its objectives
and continues to be justified

Because user’s quality expectations of the project products should be

D
understood

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

A Teams should consist of members with similar capabilities and

competencies

B Team members are likely to perform differently depending on the

structure of the team

C Standard roles and responsibilities should be used, focused on the

project's needs

Career progression of project team members is often the responsibility

D
of the project manager

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

A To describe how proposals to change the project baseline should

be recorded and approved

B To describe the standards required to deliver products that meet

user's expectations

C To define how the business will need to operate in the future to meet
the project objectives

To describe the processes and procedures required to manage

D uncertainty

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
Question 8 | Answer
Which principle is being applied by the 'people' element when the level
of confidence and trust determines the amount of delegation?

A Manage by exception

B Manage by stages

C Focus on products

D Tailor to suit the project context

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

People
Activity 1
Project stakeholders
Look at the potential NowByou
stakeholders in the scenario.
Which stakeholders would you
consider to be influential because
they are at the interface between
the two ecosystems?
Use your
Learner
Workbook to
note down
your ideas.
|PRINCE2 7 Foundation
®

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|PRINCE2 7 Foundation
®

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People
Activity 2
Communication
management approach
Develop an outline for the
communication approach the
project team could consider.
Use the list of stakeholders that you
have identified, and the prompts on
the next slide.

Use your Learner

Workbook to note
down your ideas.

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Responsibilities Standards
What will be and resources and
communicated guidelines
and how this will
be tailored to
stakeholder
groups

Tools and
Frequency techniques

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Organizing
Module 4
Syllabus
4. Understand the PRINCE2 practices and how they are applied
throughout the project.
4.2 Organizing practice:
4.2.1 Explain the purpose of the ‘organizing’ practice. (6.1).
4.2.2 Describe the key relationships between the ‘organizing’
practice and the principles. (6.7, tab 6.5).
4.2.3 Explain the purpose of the key management products
required to support the ‘organization’ practice: PID – Project
management team structure; role descriptions; commercial
management approach. (6.5).
4.2.4 Define key concepts related to the ‘organizing’ practice:
Project board; project approach; project team.
4.2.5 Describe the guidance for effective organizing of: the three
project interests; PRINCE2 roles; work breakdown structure.
4.2.6 Describe the PRINCE2 technique for the ‘organizing’
practice. (6.3.1).

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What you will learn
By the end of this topic, you will be able to:
• explore and understand the
purpose of the organizing practice
• know and understand the three
project interests and the project
management team structure
• understand the organization
design and development process
• know how the principles apply to
the organizing practice.

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Plans

Practices People Processes

Quality

Manage by
exception
Risks

Issues Progress Principles

Adapted from Figure 1.1 The five integrated elements of PRINCE2

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All 7 practices
Designed to
should be
support
applied, varied
application
according to
and tailoring
context
Management
approaches define
procedures,
techniques,
standards and
responsibilities

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PRINCE2
management
products describe
the information that
will be required to
manage the project

Project initiation Project log

documentation
(PID)

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Project initiation documentation (PID)
• Sound basis for commitment
• Base document for ongoing assessment
• Single source of reference

Project Business Role Project plan

definition case descriptions

Project Project team Management

Tailoring
approach structure approaches

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Project log
The purpose of the project log is to capture the continually
changing records of issues, lessons, products, quality, risk,
and other informal actions or events.

Issue Product Quality Risk

Lessons log Daily log
register register register register

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The purpose of the organizing practice is to

define and establish the project’s structure of
accountability and responsibilities (the
‘who’).

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Business

Project

User Supplier

|PRINCE2 7 Foundation Figure 6.1 The three project stakeholder groups

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Meet a business need Ensure value for money

ROLE
The executive represents the business
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will use the will operate, the outputs of

outputs of the maintain, or the project will
project to realize support the impact them.
the benefits project’s
outputs

ROLE
Senior user(s) is needed to represent user
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• The creation of the project’s outputs will need resources with

certain skills.
• The supplier viewpoint should represent those who will
provide the necessary skills and produce the project product.

ROLE
Senior supplier(s) is needed to represent
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Directing
(project board)

Project
Managing
Figure 6.2 The four organizational layers management
(project manager)
team

Delivering
(team managers)

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Project management
team roles Senior
user(s)
Executive
Senior
supplier(s)

Project
assurance

Inside the project

Project
management team
manager
From the business Lines of authority

From the supplier Project assurance

responsibility Project
Other roles in a project
Lines of support/advice support
management team
Outside the project
management team
Team
manager(s)

Figure 6.3 Project management team structure

Team members
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Has business, user, Ensures appropriate Reviews the project Has an effective
and supplier governance by roles throughout approach to manage
stakeholder defining the project. communication flows
representation. responsibilities at to and from
each level. stakeholders.

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Project board Senior

user(s)
Executive
Senior
supplier(s)

Project
assurance

Project
manager

Project
support

Team

Senior user(s) Project executive Senior supplier(s)

manager(s)

Team members

Represents the user Appointed by the Is accountable for

community and is business as the single the quality of the
accountable for the point of products delivered
approach taken to capture accountability for the by the suppliers and
user requirements and for the technical
specification of benefits project. This
accountability cannot integrity of the
aligned to business case. project.
be delegated.

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Project manager
Senior Senior
Executive
user(s) supplier(s)

Project
assurance

Project

How would you define the project manager’s role?

manager

Project
support

Team
manager(s)

The project manager is

responsible for day-to-day
costs Team members

benefits
management of a project. time
Has authority to run the project
on behalf of the project board
within agreed project risk quality
tolerances and constraints.

scope sustainability
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Team manager
Senior Senior
Executive
user(s) supplier(s)

Project
assurance

Project
manager

Responsible for delivering the work to agreed Project

support

specifications and within the tolerances and

Team
manager(s)

constraints agreed with the project manager. Team members

The project manager allocates work to a team

manager through work package descriptions, in
line with the commercial management approach.

Manages relationships in their teams and

interfaces with other teams.

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Other roles
Senior Senior
Executive
user(s) supplier(s)

Project
assurance

Project assurance Project support

Project
manager

Project
support

Team
manager(s)

• Project board members • Includes services such as

administrative support,
Team members

accountable for assurance

guidance on project tools,
of respective areas
planning etc
• May appoint separate • Responsibility of project
individuals, but not project manager but may be
manager, team members delegated
or project support • A project office may be
established

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Projects must have an explicit project

management team structure.

People involved in the project should have

defined roles and responsibilities.

There should be a means for effective communication

between them.

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• Useful in managing a mix of

internal and external work A hierarchy of all
packages work to be done
during a project that
forms a link between
the product
breakdown
structure and the
work packages.

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The PRINCE2 technique for
organizing
• People • Implementing • Time – feedback
management • Structure design loops
• Governance • People needed • Adapting and • Capabilities
• Approaches • Working practices evolving required will • Products
• Transition of • Behaviours and • Continuous change • People
team members culture improvement • Transition points • Learning

Manage Transition
Understand Design project Develop project project into
changes to
organizational ecosystem ecosystem organizational
project
ecosystem ecosystem
ecosystem

Adapted from Figure 6.5 PRINCE2 technique for organizational design and development
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Management products
Commercial Project management Role descriptions
management approach team structure
Describes the roles of
Describes the procedures, Defines who is involved in those in the project
techniques, and the project, their management team
standards and the relationships, and how and their specific
responsibilities for they will work together. responsibilities.
effective commercial
management.
Covers the approach to
secure, service, and
maintain all commercial
agreements required for
the project to be a success.
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Applying the principles
Assigning a business Focus on Tailor to suit
representative to the Ensure products the project
Manage
continued
project executive role business by stages
with the right authority justification

and availability

Define roles,
responsibilities, Manage by
Using lessons to Learn from
experience
and exception
relationships
inform the team
structure and ensure
the right people in the
right roles to deliver
the project
Ensuring those who will use the project
product are on the project management
team to support acceptance and ready
use of the end product.
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Review
You should now know:
• the purpose of the organization practice
• the three project interests and how these are represented in
the four management levels
• the roles and responsibilities of the different parts of the
project management team
• the management products specific to the organizing practice
• the application of the principles within the organizing practice.

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Knowledge
Check
Question 1 | Answer
The project manager has received feedback from stakeholders identifying the need to
change the project team structure.
Which principle is being applied by the ‘organizing’ practice when actioning this feedback?

A Learn from experience

B Define roles, responsibilities, and relationships

C Manage by stages

D Tailor to suit the project

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A Role descriptions

B Project management team structure

C Product description

D Business case

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Question 3 | Answer
What is defined as having the authority to direct the project within the
remit set by the business?

A Project manager

B Project executive

C Project management team

D Project board

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Question 4 | Answer
How should the senior user fulfil their responsibility for continued
realization of benefits post-project?

By representing the work needed in a hierarchy to help organize

A
the project

B By ensuring commitment from people in the user community to

adopting the new products

C By defining how to assure the continued justification of the project

D By ensuring the technical integrity of the project products delivered to

the users

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Question 5 | Answer
A new team member has just joined the project team and will be going on a site visit.
In which step of the organizational design and development technique should this
occur?

A Develop the project ecosystem

B Understand the organizational ecosystem

C Design the project ecosystem

D Manage the ongoing changes to the project ecosystem

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Organizing
Activity 1
Design a project
management team

Look at the NowByou employees

and stakeholders in the scenario.
What roles could they have in a
project team?

Use your
Learner
Workbook to
note down
your ideas.
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NowByou employees and
stakeholders
The Contracted Project Manager has worked with many NGO’s
The Chief Executive Officer (CEO) of NowByou was one of the across the world successfully helping them manage and deliver
founders of NowByou and has been CEO for the whole of its projects. This contract is initially for 50% of her time but this is
existence. She is very experienced in the not-for-profit sector. expected to decrease to 25% after the first three months.

The Chief Finance Officer (CFO) of NowByou was appointed 6 The Police Liaison Officer joined NowByou five years ago after
months ago and has been very active with donors and partners to retiring from a successful career with the national police force.
increase the financial standing of the organization. Was previously a He has worked closely with the HR Director on past initiatives
senior executive with a major bank and is keen to bring good and has been establishing a close professional relationship with
portfolio and project management practices to NowByou. the new Director of Campaigns.
Head of Fund-Raising reports to the CFO and previously worked within
Graduate Trainees the HR Director instigated a graduate trainee
an organization with good portfolio, programme and project
programme two years ago. The first four trainees will reach the end
management practices and helped to gain approval for the appointment
of their two-year training programme in two months’ time and have
of the external professional project manager and the establishment of a
all received PRINCE2 training.
Portfolio Office within NowByou. Is PRINCE2 qualified.

The NowByou Director of Campaigns has recently joined Head of Publicity and Social Media he reports to the Director of
NowByou having previously been a senior marketing manager with Campaigns and is responsible for Brand management, press
a commercial manufacturing organization. He has overall release and social media.
responsibilities for all campaigns.

A Portfolio Office Manager, previously a senior administrative officer Marketing Agency Director NowByou have a relationship with a
within NowByou has been appointed to set up the portfolio office and commercial marketing agency, CharityM, who work with the Head
work with the Contracted Project Manager to implement and establish of Publicity and Social Media in developing and placing
the initial project management documentation and processes. advertising on TV and Radio stations.

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Senior user
Director of Senior supplier
Campaigns Marketing Agency
director

Project manager
Graduate trainee

Project assurance Project support

Head of Portfolio office
fundraising/police manager
liaison officer Team manager
marketing agency
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© staff member/
Starting up a project
Module 5
Syllabus
5. Understand the PRINCE2 processes and how they are carried out
throughout the project.
5.1 Explain the purpose of the PRINCE2 processes:
• starting up a project, including the purpose of
the project brief
• initiating a project.

5.2 Explain the objectives of the PRINCE2 processes:

• starting up a project
• initiating a project.

5.3 Explain the context of the PRINCE2 processes:

• starting up a project
• initiating a project.

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What you will learn
By the end of this topic, you will be able to:
• explore and understand the
purpose, objectives, and context of
starting up a project
• explore and understand the
purpose of the project brief.

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Starting up a Directing Directing a project

project is the first Starting

process in PRINCE2
up a
project Managing Managing
a stage a stage Closing
boundary boundary a project
Managing

Initiating Controlling Controlling

a project a stage a stage

Managing Managing
Delivering
product delivery product delivery

Figure 12.1 The PRINCE2 processes

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To ensure that the prerequisites

for initiating a project are
established by answering the
question, ‘do we have a viable
and worthwhile project?’

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The objectives of starting up a
project Confirm
assumptions
are sound
Project
Business
initiation
justification
planned

Project team
identified and Authorities
appointed exist

Project
Sufficient
approach
information
selected
available
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Project Business Project initiation

mandate layer request

Appoint the Starting up

executive and
project manager
a project

Assess previous Appoint the project

lessons management team

Prepare the Select the project

outline business approach
case

Assemble the
project brief

Plan the Request

initiation stage project initiation

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© Figure 13.1 Overview of starting up a project
Initiating a project
What you will learn
By the end of this topic, you will be able to:
• explore and understand the
purpose, objectives, and context of
initiating a project
• explore and understand the
purpose of the project initiation
documentation.

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Initiating a project: stage stage(s) stage

the process used for Directing Directing a project

the initiation stage Starting

of a PRINCE2 project
up a
project Managing Managing
a stage a stage Closing
boundary boundary a project
Managing

Initiating Controlling Controlling

a project a stage a stage

Managing Managing
Delivering
product delivery product delivery

Figure 12.1 The PRINCE2 processes

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The purpose of initiating a project
The purpose of initiating a project is to establish a
solid baseline for the project.
It assures a common understanding of all aspects of
the proposed project: reasons, scope, timescales,
decision-making, quality, risk management,
change, communication, monitoring,
and tailoring.

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Reasons Scope Delivery Decisions Quality

Benefits The products How and when the project Who is to be How the quality
expected, and to be product will be delivered involved in the required will be
associated risks delivered and at what cost decision-making achieved

Baselines Risks Progress Information Application

How baselines will be How risks, issues, and How progress will be Who needs the How the project
established and changes will be monitored and information in applies business
controlled identified, assessed, controlled what format and policies, methods,
and controlled at what time and guidance

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Overview of
a project

initiating a project
Initiate a Project
project authorization
authorization request

Agree tailoring
requirements

Agree the
management
approaches

Establish Prepare the

project controls project plan

Prepare the
full business
case

Assemble the Request

Initiating a
project initiation project
project documentation authorization
Figure 15.1 Overview of initiating a project

Stage
Managing a
boundary
stage boundary
approaching
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This is the focal point at which

all information relating to the
‘what, why, how, where,
when and how much’ of the
project is collated.

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Review
You should now know:
• the purpose and objectives of starting up a project
• the purpose and objectives of initiating a project
• the purpose of the project initiation documentation
• the purpose of the project brief.

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1. What is the purpose of starting up a project? (1 point)

2. Name three activities involved in the initiating a project process.
(3 points)
3. Name two elements contained in a project brief. (2 points)
4. What is the baseline? (1 point)

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To define how long it will take for the project to deliver what is
A
required to gain acceptance
To enable control between the project manager and team
B
managers
To review, at a high level, whether the project will add value to an
C
organization
To assess whether a project has been delivered on time and that
D
it has nothing more to contribute

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To assess whether a project is likely to be valuable to the

A
organization

B To analyse the work required before committing to

implement the project initiation documentation

C To provide the opportunity for the users to confirm that they

accept the project product

D To delegate the management of the project in a controlled way

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Question 3 | Answer
Which process should ensure that an organization does not proceed to
establish solid foundations for unsuitable projects?

A Starting up a project

B Directing a project

C Initiating a project

D Managing a stage boundary

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Question 4 | Answer
Which TWO are objectives of the 'initiating a project' process?
1. To ensure that the project team focuses on delivering the approved products in the stage plan
2. To ensure that the project team is authorized to proceed with the initiation stage
3. To understand how changes to the agreed project products will be approved
4. To plan and estimate the costs for the work to deliver the products

A 1 and 2

B 2 and 3

C 3 and 4

D 1 and 4

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Starting up a project
Activity 1
Project brief task
Objective: To explain the role of
the project brief.

Task: Suggest the type of information to

be included in the following elements of a
project brief.
• outline business case
• project product description
Use your
• project approach Learner
Workbook to
• references. note down
your ideas.
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Outline Project product Project

business case description approach References
• Reasons • Purpose • Delivery method • Associated
• Benefits • Major products (for example documents
• Time • User’s quality sequential, • Associated
• Cost expectations hybrid, or agile) products
• Major risks • Acceptance criteria • Delivery solution
with tolerances (for example in-
• Acceptance method house or
and responsibilities contracted)
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Project definition Outline business Project product Project approach

case description

Project management Role descriptions References

team structure
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Business case
Module 6
Syllabus
4. Understand the PRINCE2 practices and how they are applied
throughout the project.
4.1 Business case practice.
4.1.1 Explain the purpose of the business case practice.
4.1.2 Describe the key relationships between the business case
practice and the principles.
4.1.3 Explain the purpose of the key management products
required to support the business case practice: project
brief; business case; PID sustainability management
approach; PID benefits management approach.
4.1.4 Define key concepts related to the business case practice:
output; outcome; benefit; dis-benefit; business objective.
4.1.5 Describe the guidance for effective management of the
business case including: business case lifecycle; aligning
products to business objectives and tolerances; establishing
business justification.
4.1.6 Describe the PRINCE2 technique for the business case
practice.

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What you will learn
By the end of this topic, you will be able to:
• explore and understand the
business case practice
• know and understand the key
concepts related to business
justification
• understand the benefits
management approach
• understand the business case
management process.

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The purpose of the business case

practice is to establish mechanisms
to judge whether a project is (and
remains) desirable, viable,
and achievable.

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Measured
by

Outputs Capabilities Outcomes Beneﬁts

Deliver Embed

Lead
to

Figure 5.1 Relationship between outputs, outcomes, and benefits Business

objectives

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Project Contains the outline business

brief case in response to the
mandate

Business Provides the full business case

case in response to the project brief

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Figure 5.2 Evolution of the business case
Effective business case management
Aligning products to business Establishing business
objectives and tolerances justification

To realize the benefits, the There will be trade-offs between

outcomes must be achieved the seven aspects of the project’s
through the outputs being used as performance targets.
intended, new capability defined
and barriers overcome. The business case considers
options to achieve the required
The benefits management outcomes or ‘business options’ and
approach includes the forecast selects the one that is the best
amount and timing of benefits and balance between the
tolerances against these targets. different performance aspects.

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Subsequent Final
Initiation
Pre-project delivery delivery Post-project
stage
stage stage

Check outline Check full Check updated

business case business case business case

Develop business Maintain business

case case
Outside the project lifecycle
Within the project lifecycle

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© Figure 5.3 Business case through the project lifecycle
Business case
Documents the business justification for a project, based on:

Offset by
associated
risks

Estimated Expected
costs against benefits

How and
when
benefits
can be
measured

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Sustainability
Project brief management
approach

Benefits
Business case management
approach

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The benefits management

approach defines the
management actions that will
be put in place to ensure that
the project’s outcomes are
achieved and to confirm that the
project’s benefits are realized.

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Achievement
of project
Reviews sustainability
performance
targets

Controls

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Applying the principles
Focus on Tailor to
Ensure products suit the
continued project Manage
business by
justification stages
Reviewing and
maintaining the
business case
throughout the Define roles, Manage
by
project lifecycle Learn from
responsibilities,
exception
and
experience
relationships

Reducing the level of

Assigning formality and level of
accountability for control for developing the
managing the business case for a smaller,
business case less complex project
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©
Review
You should now know:
• the purpose of the business case practice
• the key concepts of outputs, outcomes, and benefits
• the management of the business case through the project lifecycle
• management products which support the business case practice.

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Output
B. Costs
A. New sales systemby 10% and
are reduced
revenue increased by 10% annually
Outcome D. Sales orders are processed more
B. New sales
quickly andsystem
accurately
Benefit C.A. Some
Costscustomers
are reduced by 10%
perceive and
that therevenue
new
increased
system by 10%
provides annually
poorer customer service
Dis-benefit C. Sales
D. Someorders
customers perceivemore
are processed that the
quickly and accurately
new system provides poorer
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® customer service
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©
Question 1 | Answer
What is a purpose of the business case practice?

A To enable the project executive to decide whether to

continue with the project

B To identify the user’s quality expectations to meet the

business need

C To prevent the planned outcomes from causing dis-benefits

to the business

D To define the products and how and when they will be

delivered to satisfy the business case

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A Project brief and benefits management approach

B Highlight report and benefits management approach

C Business case and highlight report

D Project brief and business case

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©
Question 3 | Answer
Identify the missing word(s) in the following sentence:
A business objective is the measurable outcomes that demonstrate progress in
relation to ___________ and to which the project should contribute.

A organizations’ strategy

B the outputs desired by the business

C the benefits desired by the business

D the business justification

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©
Question 4 | Answer
A government department has a target to reduce its carbon footprint by
8-12%. How should this requirement be captured?

A As a benefits tolerance

B As a sustainability tolerance

C As outcomes to be achieved

D As a quality tolerance

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Question 5 | Answer
During a stage, the project manager recorded a new risk on the risk register.
In which step of the business case management technique should its impact
on the business case be assessed?

A Develop

B Check

C Maintain

D Confirm

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Business case
Activity 1
The business case

Objective: Describe the key concepts

related to business justification and
the differences between them.

Task: Draft the outline business case

for NowByou, focusing on the
reasons, benefits, and major risks of Use your
Learner
the project Workbook to
note down
your ideas.
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Reason
• Discrimination is growing at a
concerning rate

Benefits
• Raising awareness
• Increased brand recognition

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Financial aid from donors High-level requirements The low project

and partners may gathering could be flawed management maturity may
decrease due to external resulting in an awareness result poor control over the
factors campaign delivering wrong project and resultant
messages delays and overspend

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Plans
Module 7
Syllabus
4. Understand the PRINCE2 practices and how they are applied
throughout the project.
4.3 Plans practice
4.3.1 Explain the purpose of the ‘plans’ practice.
4.3.2 Describe the key relationships between the ‘plans’ practice
and the principles.
4.3.3 Explain the purpose of the key management products required to
support the ‘plans’ practice: work package description; project product
description; plan (incl project, stage, team and exception plan).
4.3.4 Define key concepts related to the ‘plans’ practice: schedule;
dependency; project plan; stage plan; team plan; exception plan;
scope.
4.3.5 Describe the guidance for effective management of plans:
the planning horizon; project stages; product-based
planning; using tolerances to manage constraints; delivery
sustainability.
4.3.6 Describe the PRINCE2 technique for the ‘plans’ practice.

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What you will learn
By the end of this topic, you will be able to:
• explore and understand the purpose of
the plans practice
• understand the different types of plan:
project plan, stage plan, team plan, and
exception plan
• know about structuring the project into
management stages
• describe the planning procedure based on
a product-based planning technique
• define and analyse the management
products.
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Purpose of the
plans practice
The purpose of the plans practice
is to facilitate communication and
control by defining the products
and the means of delivering them:

What? By whom? How?

Where? When? Why?

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A proposal that outlines the

what, where, when, how, who
and cost of the project as a
whole (or a subset of activities).

Planning
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Plans in PRINCE2

project stage
plan plans

team exception
plans plans

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Project
plan

Initiation Subsequent Exception Outside the project

stage plan stage plans plans Within the project

Dependent on
(as necessary) Infuenced by

Team
plans
Figure 7.1 Relationship between PRINCE2 plans
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Factors to balance: Number of stages Length of stages

• delivery method based on: determined by:
• sequence of activities • nature of products • complexity
• people and resources and necessary • risk
• key decision points delivery activities • planning horizon
• risk • trade-off between • decision points
• time horizon degree of control and • alignment with
management programme activities
involvement
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High-level Detailed
Good
design design practice to
avoid work
Site Ground
Project work preparation works Utilities packages
organized spanning
into logical
Substructure
stage
groups of Superstructure boundaries
Public
work Fit-out Mobilised
Mobilized
realm
operations
packages operations

Operations plan Mobilised operations

Figure 7.2 Illustration of stages and work packages

Work packages may run in

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Costs

Time
Manage
constraints at
Quality
each level of
the plan. Scope

Sustainability

Risk
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• Identify the required products first and then

determine the best way to deliver them

Easier to Simplifies
Avoids determine the Reduces the
identification
activities approach, risk of
and
which do not people and neglecting or
sequencing
contribute to resources, overlooking
timelines, risks of work
outputs scope
and issues packages

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•
PRINCE2 technique for planning
Throughout
procedure • For project plan –
• Decisions on inherent write a project product
Deﬁning and analysing products
risks description
• For all levels of plan
Organizing work packages
– create a product
• Graphical breakdown structure,

Analysing risks
representation Preparing estimates Repeated for: write product
• Sequence • Project plan • Products/activities
descriptions and
Resource allocations Stage plan
create a product work
organized into
• •
• Team plan flow
• Costs of activities Preparing schedule
packages
diagram
• Risk budget • Closely related
• Change budget Preparing the budget people, resources,
• Cost tolerances activities
Documenting the plan • At least one product
• Plan has various parts • Dependencies –
• Narrative document • Resources
documented
helps explain at high • People
• No overlap
level Figure 7.3 the PRINCE2 planning procedure • Duration
• Cost
• Benefits
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Mechanical,
Utilities Substructure Superstructure
Electrical, Plumbing

Cleared &
System Fit-out for tenants Tenants ready
Secured site

Tenants secured

Operations needs Mobilised

Operations plan
assessment operations

Revised rail Revised bus routes

timetable and timetable

Figure 7.6 Product breakdown

Start
Park & ride structure for LouisShopping project
established

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Work
Plan package
description

Project
product
description

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Applying the principles
Aligning plan’s Ensure
Focus on
products
Tailor to suit
the project Manage
performance targets continued
by
business
to the business case justification
stages
objectives

Manage
Define roles,
by
Learn from responsibilities,
exception
Sharing planning experience and
relationships
lessons for
future projects

Defining levels of plan

and establishing targets
and tolerances for them
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Review
You should now know:
• the purpose of the plans practice
• the purpose of the project plan, stage plan, team
plan, and exception plan
• PRINCE2’s technique for planning
• the factors to consider when structuring the project
into management stages
• the management products which support
planning.
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To enable the project manager to control the project by defining

A
who will deliver the products, and when to deliver them
To enable the project executive to monitor whether the project is
B
desirable, viable and achievable and should continue
To allow the project executive to define which role in the project
C
management team is responsible for producing the plan
To allow the project manager to plan how to respond to
D
uncertainties and who should action the agreed responses

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Question 2 | Answer
The business strategy has changed, requiring the scope of the project to be
increased beyond the tolerances that have been agreed by the business
layer. Which plan should be produced to include this change?

A Project plan

B Stage plan

C Team plan

D Exception plan

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Question 3 | Answer
Identify the missing word in the following sentence:
When planning, there are at least two types of __________relevant to a project:
internal and external.

A dependency

B plan

C exception

D scope

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By having multiple delivery stages that allow acceptance criteria

A
to be refined as the products are delivered
By ensuring that product descriptions are complete before the
B
project is approved by the project board
By breaking down the work of the stage to the level of detail
C
required for day-to-day control by the project manager
By dividing the project into two stages to enable iterative delivery
D
of products during the project

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Question 5 | Answer
The project manager needs to capture the user’s quality expectations.
In which step of the planning technique should the expectations be
captured?

A Defining and analysing the products

B Organizing work packages

C Preparing estimates

D Preparing a schedule

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Plans
Activity 1
Create a product
breakdown structure
Create a draft product breakdown
structure using the information
in the NowByou scenario.

Use your
Learner
Workbook to
note down
your ideas.
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Connections Shopping mall Pathways, Plaza, Gardens

Revised bus routes

and timetable
Operational
Enabling works Mall Mall tenants readiness

Revised rail
timetable
Cleared & Operations needs
Substructure Tenants secured assessment
Secured site

Park & ride

Fit-out for
Utilities Superstructure Operations plan
tenants

Mechanical, Mobilised
External Systems Tenants ready
Electrical, Plumbing operations
product

|PRINCE2 7 Foundation Figure 7.5 Product breakdown structure

Copyright 2023 PeopleCert International Ltd.

High-level Marketing
Campaign options Campaign strategy
campaign definition campaign

Donors and
Options’
partners HL Creative concept TV campaign
description
requirements

Options
Brand recognition
assessment Campaign plan Press campaign
HL requirements
workshop

Business HL Key campaign

Option decision Outdoor campaign
requirements messages

High-level
Campaign visual Social media
requirements
identity guidelines campaign
document

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Quality
Module 8
Syllabus
4. Understand the PRINCE2 practices and how they are applied
throughout the project.
4.4 Quality practice
4.4.1 Explain the purpose of the ‘quality’ practice.
4.4.2 Describe the key relationships between the ‘quality’ practice
and the principles.
4.4.3 Explain the purpose of the key management products required to
support the ‘quality’ practice: project log: product register; product
description; PID: quality management approach; project log: quality
register.
4.4.4 Define key concepts related to the ‘quality’ practice: quality
assurance; user quality expectations; acceptance criteria; quality
specifications; requirements.
4.4.5 Describe the guidance for effective management of quality:
describing products; quality in subordinate plans; product
sustainability.
4.4.6 Describe the PRINCE2 technique for the ‘quality’ practice.

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What you will learn
By the end of this topic, you will be able to:
• explore and understand the purpose
of the quality practice
• understand the key concepts related
to quality
• understand the product description
and project product description
• understand the quality management
approach and quality register
• understand the PRINCE2 technique
for quality management.

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The purpose of the quality

practice is to document the
user’s requirements of the
project products and to
establish the means by which
they will be met.

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Quality terminology
A. Quality
1. A statement about the quality expected from the project
product, captured in the project product description.

B. Requirement
2. The degree to which a set of inherent characteristics of a product, service,
process, person, organization, system, or resource fulfils requirements.

C. User’s quality
expectations 3. A prioritized list of criteria that the project product must meet
before the user will accept it.
D. Acceptance
criteria 4. A description of the quality measures that will be applied by
those performing quality control and the levels that the
finished product must meet.
E. Quality
specifications 5. A need or expectation that is documented in an approved
management product.
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Avoids work that

cannot be traced back
Aims to translate
to the project’s business
requirements into justification
acceptance criteria and
quality specifications
for project products
and the activities to Clear traceability of
deliver them. quality specifications
and control to required
products

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Quality
management

Quality Quality
assurance control

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Quality planning
The capturing of quality specifications
for the project products and generating
the associated product descriptions
and quality management approach
Identify major
products of the
project in terms Obtain project
of user’s quality board approval
expectations and
acceptance Elicit user Develop the
criteria requirements and quality
detail them as management
quality approach
specifications

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Quality control
The procedures to monitor the specific products
of a project and their development or delivery
activities to determine whether they comply with
relevant standards and of identifying ways to
minimize causes of unsatisfactory performance.

Assess quality
Implement
issues and Obtain user
quality
raise approval of
management
exceptions if products
approach
necessary

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Quality assurance
A planned and systematic activity that provides
confidence that products will meet their defined
quality specifications when tested under quality
control. Quality assurance is typically a function
managed independently from the project team.

Ensures the quality

control techniques Quality assurance
are sufficient to is not the same as
confirm that the project assurance
quality
requirements can
be met

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Quality planning
Project product
description Quality management approach

Product descriptions

Quality specifcations
Quality methods
and tolerances

Quality control

Quality control
Quality register
activities

Product register

Acceptance Product

Figure 8.1 Product quality lifecycle

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Quality Quality
Product Product
register management
description register
approach

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Applying the principles
Basing all quality
planning and control Focus on Tailor to suit
activities on the Ensure
continued
products the project Manage
by
project products business stages
justification

Manage
Define roles,
by
Learn from responsibilities,
exception
experience and
relationships
Aligning quality
controls and
techniques
with stage
boundary
controls
Establishing the quality
tolerances approved by the
project board in the project
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initiation documentation
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Review
You should now know:

• the purpose of the quality practice

• the key concepts related to quality
• the product description, product register, quality management
approach, and quality register
• the differences between quality planning, quality control and
quality assurance.
• PRINCE2’s procedure for applying the quality practice.

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To enable control by defining how the project will deliver

A
the products to satisfy the business case

B To document the user requirements and ensure they

remain unchanged throughout the project

C To identify how the project will ensure that the user’s

requirements of the project’s products are met
To agree to deliver products that were not part of the
D
project’s business justification

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Question 2 | Answer
The team manager needs to record that a product needs to be tested but
has not yet been approved. Where should this information be recorded?

A Quality register

B Quality specifications

C Product register

D Project product description

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A It is independent of the project manager but not the project

It monitors the project's quality control measures used to

B
assess the project's products
It is independent of the project team and may be part of the
C
user's quality management system
It describes the documented expectations for the project
D
products

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How should this be managed?

A By preparing new product descriptions

B By using the issue management approach

C By updating the project product description

D By updating the quality management approach

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Question 5 | Answer
A system has been tested and the user needs to take ownership of the system.
In which step of the quality management technique should this occur?

A Gathering user inputs

B Accepting products

C Describing the quality management approach

D Controlling quality

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Quality
Activity 1
Quality specifications and Use your
Learner
tolerances in NowByou Workbook to
note down
your ideas.

Task: Identify two products from the

product breakdown structure in the activity
from the Plans module.
Write 2-3 quality specifications for the
products with tolerances for each.

Quality
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Considerations
your Learner
Learner
Workbook to
Workbook
complete theto
note down
activity
your ideas.
Quality specification Quality tolerance
A description of the quality Permissible deviation in
measures that will be
applied by those quality before escalation is
performing quality control required
and the levels that the
finished product must Consider:
meet.
• Prioritized specifications
Consider:
• User’s quality
expectations
• Business or operational
context
Quality
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Risk
Module 9
Syllabus
4. Understand the PRINCE2 practices and how they are applied
throughout the project.
4.5 Risk practice
4.5.1 Explain the purpose of the ‘risk’ practice.
4.5.2 Describe the key relationships between the ‘risk’ practice
and the principles.
4.5.3 Explain the purpose of the key management products required to
support the ‘risk’ practice: PID: risk management approach; project log:
risk register.
4.5.4 Define key concepts related to the ‘risk’ practice: risk; risk appetite;
risk tolerance; risk cause, event and effect; risk exposure; risk owner
and risk action owner; risk likelihood; risk impact.
4.5.5 Describe the guidance for effective management of risk: risk
analysis; use of data; risk control; risk culture; understand
decision bias; align with organizational and other policies
and processes; recommended risk response types.
4.5.6 Describe the PRINCE2 technique for the ‘risk’ practice.
.

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What you will learn
By the end of this topic, you will be able to:
• explore and understand the purpose of
the risk practice
• understand the purpose of the risk
budget
• know and understand the key concepts
related to risk
• understand the recommended risk
management procedure
• understand the purpose of the risk
management approach and risk
register.
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An uncertain event or set of events

that, should it occur, will affect the
achievement of objectives. A risk is
measured by a combination of the
likelihood of a perceived threat or
opportunity occurring, and the
magnitude of its impact on objectives.

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The purpose of the
risk practice
The purpose of the PRINCE2 risk
practice is to identify, assess, and
control uncertainties and, as a
result, improve the ability of the
project to succeed.

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exposure

budget

likelihood

tolerance

impact
appetite
proximity
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Identify and
prioritize risks Risk Risk Risk
using risk cause event effect
categories

Threat

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Numbers High 11 4 Risks in this

represent unique marked area are
risk identifiers those the
Medium 8 6 business will not
used in the risk
register tolerate, except
Low 10 7 under special
circumstances
Probability

Very low 9 2 5

Very low Low Medium High Very high

Impact
Risk tolerance line

Threat Opportunity
Figure 9.1 Risk matrix

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• risk response depends on the situation

and type of risk
• may lead to residual or secondary
risks
• risk owners and risk action owners
should be clearly identified
• an explicit risk budget should be ring-
fenced within the project’s budget
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Types of risk responses
Change the Threats Opportunities
probability or
impact of the risk Avoid Exploit Make uncertain
situation certain
Reduce Enhance
Part of the risk
to a third party Transfer
Pain or gain
Share share basis
‘Take the chance’
that the risk will Accept
occur Prepare plan but
Prepare contingent plans wait to take
action
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Managing risk in NowByou
NowByou has decided to implement
some changes to their structure and
to also introduce an automated
fundraising app. However, none of
the charity trustees has any
experience of restructuring or
fundraising technology. This has
been identified a project risk.
Here are four possible responses.
Select the type that each one most
closely represents:
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Managing risk in NowByou
A. Reduce 1. 3.Rely
Contract
on the a restructuring
selected specialist
supplier to act intoa take a consulting
reliable role to
and conscientious
provide
manner to advice tothe
provide thesupport
project and
manager.
advice that will protect the
charity’s interests.
B. Transfer 2. Include a clause in the contract with the selected technology supplier
2. Include
statinga that,
clause in the
if the contract with
functionality thesolution
of the selectedistechnology supplier
not appropriate, the
stating that,
selected if the functionality
supplier of thefees
will reduce their solution is not appropriate, the
accordingly.
selected supplier will reduce their fees accordingly.
C. Accept 1. Rely on the selected supplier to act in a reliable and conscientious
manneratorestructuring
3. Contract provide the support
specialistand advice
to take that will protect
a consulting role tothe
charity’s
provide interests.
advice to the project manager.
D. Contingent plan
4. Request assistance from a consultancy with restructuring
expertise
4. Request if difficulties
assistance fromarise in understanding
a consultancy what is
with restructuring
happening.
expertise if difficulties arise in understanding what is
happening.

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• The risk culture of the

business should be
Loss
reflected in its risk aversion
appetite.
• Decisions and risk
management can be
affected by decision Groupthink

bias.

Proximity

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Communicate

Figure 9.2 PRINCE2 technique for risk management

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1 Maintain the risk register. Ensure that project risks are being
identified, assessed, and controlled throughout the project lifecycle.

2 Review risk management practices to ensure that they are

performed in line with the project’s risk management approach.

Ensure that risk management approach is appropriate. Risks

3 associated with the business case are identified, assessed, and

controlled. Escalate risks as needed to programme manager or
customer.

4 Participate in the identification, assessment, and control of risks.

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Responsibilities
Maintain the risk register. Ensure that project risks are being
Project manager identified, assessed, and controlled throughout the project lifecycle.

Review risk management practices to ensure that they are

Project assurance performed in line with the project’s risk management approach.

Ensure that risk management approach is appropriate. Risks

associated with the business case are identified, assessed, and
Project executive controlled. Escalate risks as needed to programme manager or
customer.

Team manager Participate in the identification, assessment, and control of risks.

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Executive
Senior supplier
Senior user

Business layer

Project manager
Project assurance

Team manager Project support

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Risk Risk register

management Record of identified
approach risks (threats and
How risk will be opportunities)
managed on the related to the
project project

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Applying the principles
Assessing whether Aligning the risk
identified risks have management
a material impact approach to the
on the business project size and
case complexity

Ensure
continued Focus on Tailor to suit Manage by
business products the project stages
justification

De-risking the
Define roles,
Learn from responsibilities, Manage by project by having
experience exception
and
relationships
‘stop-go’ decisions
at critical points at
the end of project
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Review
You should now know:
• the purpose of the risk practice
• key concepts related to risk
• risk planning, risk analysis and risk control
• the recommended risk management
procedure
• the purpose of the risk management approach
and the risk register

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To address concerns about standards that are to be applied

A
to products

B To identify the likelihood of a threat occurring and its possible

impact on the project

C To guarantee delivery of the agreed scope on time, to cost

and quality

D To ensure that problems are resolved before they have a

chance to negatively impact the project

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A Risk management approach

B Risk register

C Digital and data management approach

D Work package description

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A Risk owner

B Risk action owner

C Project support

D Project assurance

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By valuing the need to keep what you have, rather than to get
A
something new
By discounting downside risk, believing that things will go
B
according to plan

C By valuing team unity, rather than reaching the right decision

D By viewing risks that are more likely to occur soon as riskier

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Question 5 | Answer
The project manager needs to understand the project environment and
define how to manage the risk on the project. In which step of the risk
management technique should this be defined?

A Identify

B Assess

C Plan

D Implement

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Risk
Activity
Identifying and analysing
risks
Identify and analyse three
possible risks for NowByou.

Communicate

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Risk Risk Risk

cause event effect

Probability Impact
(High/Medium/Low) (High/Medium/Low)

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Controlling a stage and
managing product delivery
Module 10
Syllabus
5. Understand the PRINCE2 processes and how they are
carried out throughout the project.
5.1 Explain the purpose of the PRINCE2 processes:
• controlling a stage
• managing product delivery.

5.2 Explain the objectives of the PRINCE2 processes:

• controlling a stage
• managing product delivery.

5.3 Explain the context of the PRINCE2

• controlling a stage
• managing product delivery.

|PRIINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
What you will learn
By the end of this topic, you will be able to:
• explore and understand the purpose,
objectives, and context of controlling a
stage.
• explore and understand the purpose,
objectives, and context of managing
product delivery.
• explore and understand the activities in
the managing product delivery process.
• explore and understand how work
packages are controlled, managed, and
delivered.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

● Views the project from

the project manager’s
perspective.

Managing product delivery

● Views the project from

the team manager’s
perspective.

|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

Directing Directing a project

Starting
up a
project Managing Managing
a stage a stage Closing
boundary boundary a project
Managing

Initiating Controlling Controlling

a project a stage a stage

Managing Managing
Delivering
product delivery product delivery

|PRINCE2 7 Foundation
®
Figure 12.1 The PRINCE2 processes
Copyright 2023 PeopleCert International Ltd.
©
Purpose of controlling a stage process
assign work to be done

monitor such work

The purpose
of the
deal with issues
controlling a
stage process
report progress to the project board
is to:

take corrective actions to ensure

that the management stage
remains within tolerance.
|PRINCE2 7 Foundation
®

Copyright 2023 PeopleCert International Ltd.

©
Objectives of controlling
a stage process
The objectives of the controlling
a stage process are to ensure
that: the
business
case is kept
the project under
management review
team is focused
on delivery
within the the agreed
established products for the
attention is
stage meet the
focused on tolerances
agreed quality
delivery of
expectations and
the stage’s
risks and are accepted
products
issues are
kept under
control

|PRINCE2 7 Foundation
®

Overview of
Exception plan
authorized
OR

controlling a
Stage Exception Request for Project board’s
authorized raised advice advice
Managing a Closing a
boundary project

stage Stage boundary Project and

approaching
approaching

Escalate issues Report

Controlling and risks highlights
a stage

Take corrective Evaluate stage

action status

Capture issues New issue

and risks or risk

Evaluate Receive
Authorize a work package completed work
work package status package

Work package Completed work

Figure 16.1 Overview of controlling a stage authorized package notice

Managing
|
PRINCE2® 7 Foundation
Copyright© 2023 PeopleCert International Ltd.
product delivery
Controlling a stage activities
The activities of the project
Work
manager in controlling a packages
stage involve:
Issues
Escalate issues and Report highlights
Controlling a risks
stage

and risks
Take corrective action Evaluate stage status

Capture issues and risks

Authorize a work Evaluate work Receive completed work

Monitoring
package package status package
and
reporting
Adapted from Figure 16.1 Overview of controlling a stage

|PRINCE2 7 Foundation
®

©
Managing product delivery
This process considers the project from
the team manager’s perspective.
The team manager(s) or team members
execute assigned work packages.

|PRINCE2 7 Foundation
®

To control the link between the

project manager and the team
manager by agreeing
the requirements for acceptance,
execution, reporting and delivery
of products.

|PRINCE2 7 Foundation
®

©
Objectives of managing
product delivery
Ensure that work on Ensure that team Ensure that the Ensure that accurate
products allocated to managers and their planned products progress information
the team is teams are clear as to are delivered to is provided to the
authorized and what is to be produced quality project manager at an
agreed. and what is the expected expectations and agreed frequency to
effort, cost, or timescales. within tolerance. manage expectations.

|PRINCE2 7 Foundation
®

Work package Completed work Execute a

authorized package noticeí work package

Notify work
Package Evaluate a
completion
work package

Accept a Execute a Evaluate a

work package work package work package Notify work package
Managing product delivery completion
Figure 17.1 Overview of managing product delivery

|PRINCE2 7 Foundation
®

• authorizes a work package • accepts a work package

• checks on work package progress • executes a work package
• receives a completed work package • delivers a work package

|PRINCE2 7 Foundation
®

agreement team manager or person authorized

product descriptions
approval
Work
package
techniques and procedures
references

change control requirements

targets and tolerances

constraints

monitoring, control, and reporting

|PRINCE2 7 Foundation
®

©
Review
You should now know:
• the purpose and objectives of the controlling a stage process
• controlling a stage activities
• the purpose and objectives of the managing the product
delivery process
• managing product delivery activities
• how work packages are controlled, managed, and delivered.

|PRINCE2 7 Foundation
®

A 1 and 2 Which TWO are objectives of the 'controlling a stage' process?

1. To respond to risks and issues as they are raised

B 2 and 3 2. To plan the detailed activities for the next stage of the
project

3. To define the controls for the project

C 3 and 4
4. To continually assess the business justification

D 1 and 4

|PRINCE2 7 Foundation
®

Any from Slide 265

Managing product delivery shows the
2
viewpoint of the _________. (1 point)

Team manager
3 Who authorizes a work package? (1 point)

Project manager
4 Who executes a work package? (1 point)

Team manager
5 What else does this person do? (3 points)

Accepts a work package

Evaluates a work package
|PRINCE2 7 Foundation
®

Controlling a stage and

managing product delivery
Activity 1
Describe controlling stage activities
You are the project manager on a new project.
You’ve been asked to keep a task diary so that your
process can be shared with the junior project
manager.

Describe your typical day while controlling a stage.

Make notes
in your
Learner
Workbook

|PRINCE2 7 Foundation
®

©
Controlling a stage activities
checking authorizing dealing
reviewing
communication work, as with issues
work package
(such as emails, needed and risks
status
messages)

checking in initiating a taking

with team new work reporting corrective
manager package, highlights action/
as needed escalating risks
|PRINCE2 7 Foundation
®

©
Managing a stage
boundary
Module 11
Syllabus
5. Understand the PRINCE2 processes and how they are
carried out throughout the project.
5.1 Explain the purpose of the PRINCE2 processes:
• managing a stage boundary.

5.2 Explain the objectives of the PRINCE2 processes:

• managing a stage boundary.

5.3 Explain the context of the PRINCE2 processes:

• managing a stage boundary.

|PRIINCE2 7 Foundation
®

©
What you will learn
By the end of this topic, you will be able to:
• explore and understand the
purpose, objectives and context of
the managing a stage boundary
process
• explore and understand the
activities in the managing a stage
boundary process.

|PRINCE2 7 Foundation
®

©
Purpose of managing a stage
boundary
To enable the project manager to provide the project
board with sufficient information to be able to:

• review the success of the current management stage;

• approve the next stage plan;
• review the updated project plan;
• confirm continued business justification and
acceptability of the risks.

|PRINCE2 7 Foundation
®

Review and Request

Prepare authorization
update the
stage or to start the
PID next stage
exception
plan

Assure
project Record
board Provide information
information to help later
to assess stages or
viability projects

|PRINCE2 7 Foundation
®

Business
The project can Provides a means
justification should
be redirected or for implementing
be reconfirmed at
stopped if an exception
the end of each
necessary procedure
stage

|PRINCE2 7 Foundation
®

managing
Exception plan
Exception plan
approval
request
request

a stage Next stage

request

boundary Request next

stage

Evaluate the Update the Prepare

stage business case exception plan

Update the
project plan

Prepare next
stage plan Managing a
Figure 18.1 Overview of stage boundary
managing a stage boundary
Stage
Initiating a Controlling a
boundary
|
PRINCE2® 7 Foundation
Copyright© 2023 PeopleCert International Ltd.
project
approaching
stage
Review
You should now know:
• The purpose, objectives and context of the managing a
stage boundary process
• The activities in the managing a stage boundary process.

|PRINCE2 7 Foundation
®

Preparing a replacement for the current stage plan for approval

A
by the project board
Constantly reviewing the business justification against the
B
business case

C Reporting stage progress regularly to the project board

Preparing the project for premature closure following project

D
board direction

|PRINCE2 7 Foundation
®

A The work of the project needs to be broken down into sections

B Each stage needs to deliver project benefits incrementally

C The project needs to have a predictable end date

D Every stage needs to be in exception

|PRINCE2 7 Foundation
®

Managing a stage
boundary
Activity 1
Create a checklist
Objective: Understand the
management products that are
relevant to this process.

Task: Which management

reports and plans should (or
may) be updated or created
Use the
during the managing a stage table in your
boundary process? Learner
Workbook to
note your
ideas
|PRINCE2 7 Foundation
®

©
Create a checklist
• exception plan
• project plan
• business case
• quality register
• project initiation document
• stage plan
• risk register
• issue register

|PRINCE2 7 Foundation
®

©
Issues
Module 12
Syllabus
4. Understand the PRINCE2 practices and how they are applied
throughout the project.
4.6 The issues practice:
4.6.1 Explain the purpose of the ‘issues’ practice.
4.6.2 Describe the key relationships between the ‘issues’ practice
and the principles.
4.6.3 Explain the purpose of the key management products
required to support the ‘issues’ practice: issue report; PID:
issue management approach; project log: issue register.
4.6.4 Define key concepts related to the ‘issues’ practice: issue;
project baseline; change control.
4.6.5 Describe the guidance for effective management of issues:
baselines; issue resolution; change control; delegating
authority for changes; change budget.
4.6.6 Describe the PRINCE2 technique for the ‘issues’ practice.

|PRIINCE2 7 Foundation
®

©
What you will learn
By the end of this topic, you will be able to:
• explore and understand the
purpose of the issues practice
• understand types of issues
• explain the issue management
approach
• understand the issue management
procedure
• know the management products
which support the issues practice.

|PRINCE2 7 Foundation
®

An issue is an Event Request

event relevant to external to for change
the project that
requires project
project
management
consideration

Business Off-
opportunity specification
Problem or
concern
|PRINCE2 7 Foundation
®

A change is defined as The project baseline is

a modification to any of the current approved
the approved products versions of the
that constitute the management products
project baseline and project’s products that
are subject to change
|PRINCE2 7 Foundation
®
control
Copyright 2023 PeopleCert International Ltd.
©
Issue resolution

Often
presented
informally
Categorize by
issue type

Monitor the
external
Apply environment
judgement

Identify
issues early

|PRINCE2 7 Foundation
®

©
Change control
The process by which changes that may affect the project baseline
are identified, assessed, and then approved, rejected, or deferred.

Request for Off-

change specification Concession

Change Project board or delegated authority

budget
to review or approve change

|PRINCE2 7 Foundation
®

Request for advice

Request for advice
or exception report

Capture Assess Recommend Decide Implement

• Determine • Assess • Identify • Escalate if • Take

issue type impacton options beyond corrective
project delegated action
• Determine business case • Evaluate authority
severity/ and project options • Update
priority risk profile • Approve, records and
• Recommend reject, ask for project
• Register • Check options an exception baseline, if
the issue severity/ plan, and necessary
priority request more
information

Project log: Issue register

|PRINCE2 7 Foundation
®

Issues

Issue
report

|PRINCE2 7 Foundation
®

©
Relationships with principles
• Provide two examples of ways in which the
principle assigned to you may be achieved
through the issues practice.
• What will these activities result in?

|PRINCE2 7 Foundation
®

©
Review
You should now know:
• the purpose of the issues practice
• types of issue
• the definition of change and the change budget
• the recommended issue and change control techniques.

|PRINCE2 7 Foundation
®

A By identifying events that might positively impact the

project objectives

B By controlling modifications to the current approved

versions of the management products

C By adjusting the level of approval required according to

the user’s expectations

D By making the uncertain situation certain by addressing

its cause

|PRINCE2 7 Foundation
®

©
Question 2 | Answer
Project support needs to understand how to make changes to approved
versions of the project products. Which management product should
project support review?

A Issue management approach

B Risk management approach

C Benefits management approach

D Quality management approach

|PRINCE2 7 Foundation
®

A An event relevant to the project that requires project

management consideration

B An uncertain event that, should it occur, will have an

effect on the project

C A description of the impact an uncertain event would

have on the objectives

D A measurable threshold to represent the tolerable range

of outcomes for each impacted objective

|PRINCE2 7 Foundation
®

©
Question 4 | Answer
A change has been approved and needs to be implemented. Which part of
the guidance for effective issue management should enable the change to
be implemented?

A The delegation of authority by the project for deciding

on changes to the appropriate level

B The application of the change budget within the

authorized constraints to make trade-offs

C The audit of whether the actual product status reflects

the status recorded in the product register

D The definition of an appropriate level at which products

need to be baselined

|PRINCE2 7 Foundation
®

©
Question 5 | Answer
An issue has been identified and its impact on the project scope needs to
be understood. In which step of the issue management technique should
the impact be understood?

A Assessing issues

B Capturing issues

C Deciding on issues

D Implementing changes

|PRINCE2 7 Foundation
®

Issues
Activity
Identifying issues for
NowByou
Objective: To describe types of
issue.

Task: Refer to the NowByou scenario.

Brainstorm ideas of the types of issue

Use the
that could arise in the scenario. table in your
Learner
Workbook to
note your
ideas
|PRINCE2 7 Foundation
®

Request for change

Something that should be provided by
the project, but currently is not (or is
forecast not to be).

Off-specification
An issue with an immediate and negative
impact / An issue whose timeliness and
impact need to be considered.

|PRINCE2 7 Foundation
®

©
Problem/concern
Progress
Module 13
Syllabus
4. Understand the PRINCE2 practices and how they are applied
throughout the project.
4.7 Progress practice:
4.7.1 Explain the purpose of the ‘progress’ practice.
4.7.2 Describe the key relationships between the ‘progress’
practice and the principles.
4.7.3 Explain the purpose of the key management products required to
support the ‘progress’ practice: checkpoint report; highlight report; end
stage report; lessons report; exception report; project log: daily log;
project log: lesson register; PID: data management.
4.7.4 Define key concepts related to the ‘progress’ practice:
forecast; tolerance; exception; event-driven and time-driven
controls.
4.7.5 Describe the guidance for effective management of progress:
tolerances for progress control; types of control; reviewing
progress and lessons; reporting progress and lessons; forecasting;
escalating; use of data and systems in progress management.
4.7.6 Describe the PRINCE2 technique for the ‘progress’ practice.

|PRIINCE2 7 Foundation
®

©
What you will learn
By the end of this topic, you will be able to:
• explore and understand the purpose of
the progress practice
• know and understand key concepts
relating to progress
• know and understand the documents
used for progress control
• understand the PRINCE2 technique for
progress management.

|PRINCE2 7 Foundation
®

control any
establish unacceptable
mechanisms to deviations
monitor and
compare actual
achievements
against those provide a
planned forecast for
the project’s
objectives and
continued
viability

|PRINCE2 7 Foundation
®

Forecast
Exception
A prediction
made by A situation where it can
studying be forecast that there
historical data will be a deviation
and past beyond the
patterns tolerance levels agreed
between the project
manager and the
project board

|PRINCE2 7 Foundation
®

Apply further actions Understand situation

Continual What/how to
improvement respond

Validate results
Perform specific steps
Identify further actions

|PRINCE2 7 Foundation Figure 11.1 Plan-do-check-act cycle

Benefits Time
Cost

Risk
Quality

progress Project
plan
Project
tolerances
Project progress
/exceptions
Project
status/
Exception
Reporting
format and
frequency to
report be confirmed
with business
layer

Project board

Highlight Reporting
Stage Stage Stage progress report/ format and
plan tolerances /exceptions Exception frequency to
report be confirmed
with the
project board

Project manager

Work Checkpoint Reporting

Work package Work package
Figure 11.2 Delegating tolerance and package report/ format and
tolerances progress/issues
Issue frequency to
reporting actual and forecast progress description
be confirmed
with project
manager

Event-driven controls
Control (decision-making) is an event-based activity.

Time-driven controls
Monitoring and reporting requires a time-
based approach.

|PRINCE2 7 Foundation
®

©
Lessons What did we
expect to
occur?
What actually
happened?
A lesson is information to
facilitate the future of the
project or other projects and What worked
actively well and why?
promote learning from
experience. The experience
may be positive, as in a
successful test or What didn’t work
outcome, or negative, as in a well and why?
mishap or failure.

What needs to be
done differently or
be repeated?
|PRINCE2 7 Foundation
®

1 A log is an informal document.

2 A _________ provides a snapshot of certain aspects of the project.

2 A report provides a snapshot of certain aspects of the project.

3 How many logs does PRINCE2 have?

3 How many logs does PRINCE2 have? 2

|PRINCE2 7 Foundation
®

PRINCE2 does
Frequency of
not define
reporting
report
should reflect
composition,
required level
format, or
of control
presentation

|PRINCE2 7 Foundation
®

What role does

forecasting play in
progress and
exception
management?

|PRINCE2 7 Foundation
®

Stage-level exceptions
Project manager should produce an issue report and then an
exception report for the project board. The board may then
request an exception plan or take other action.

Project-level exceptions
If project tolerances are forecast to be exceeded the project
board must refer this to the business layer for a decision.

|PRINCE2 7 Foundation
®

Digital
Data analytics systems
Greater supports support work
accuracy decision- across
making multiple
locations

Automation
Solutions must
Digital allows a
fit
technology professional
requirements
has supported focus on
and business
data collection value-adding
maturity
activities

|PRINCE2 7 Foundation
®

Directing a project

2 3 5 4

Exception Exception New stage

report plan plan 6
2 4
Managing a stage
Controlling a stage
boundary
6 Controlling a stage

!
Issue 1
1
Managing product
delivery Figure 11.3 PRINCE2 technique for exception management
|Copyright 72023
PRINCE2®
©
Foundation
PeopleCert International Ltd.
Applying the principles
Know the status of Clarify reporting
each product and requirements and
the project product progress
during delivery management
responsibility

Focus on Tailor to suit

Ensure the project
products
continued Manage
business by stages
justification

Manage
Define roles,
by
Learn from responsibilities,
exception
experience and
relationships

|PRINCE2 7 Foundation
®

©
Review
You should now know:
• the purpose of the progress practice
• key concepts relating to progress
• the purposes of documents that can be used for progress control
• the PRINCE2 procedure for exception management.

|PRINCE2 7 Foundation
®

To forecast whether the stage is on track to deliver on time

A
and within budget
To capture information to enable past mistakes to be avoided
B
by this project, or other projects
To decide what to do about a product that does not meet
C
quality specifications
To ensure that the user’s quality expectations are met by the
D
delivery of the outputs

|PRINCE2 7 Foundation
®

©
Question 2 | Answer
Which should be reviewed by the project board when making the
decision about what to do next with the project?

A Digital and data management approach

B End stage report

C Highlight report

D Checkpoint report

|PRINCE2 7 Foundation
®

A forecast that there will be a deviation beyond agreed

A
tolerance levels
An uncertain event that, should it occur, will have an effect
B
on the achievement of objectives

C A product that will not meet its quality specifications

A report to the project manager on the status of the work

D
package

|PRINCE2 7 Foundation
®

By focusing the efforts of the project management team on

A
collecting data about what has happened in the past
By providing accurate data to assist in predicting future project
B
performance
By focusing the efforts of the project management team on
C
manual data collection
By defining the tolerances against the seven performance
D
targets for each management level

|PRINCE2 7 Foundation
®

©
Question 5 | Answer
According to the exception management procedure, at which levels are
projects MOST LIKELY to face issues that exceed stage tolerances?

A Commissioning AND directing

B Directing AND managing

C Directing AND delivering

D Managing AND delivering

|PRINCE2 7 Foundation
®

Definition Term
A Responsible for setting work package tolerances 6 Project manager
B The result of change normally affecting real-world behaviour and/or circumstances 5 Outcome
C To list all the products required of a plan and the status of those products 9 Product register
D To provide a full and firm foundation for the initiation of the project 10 Project Brief
E The process that controls the link between the project manager and the team manager 3 Managing product delivery
F To report where tolerances have or are forecast to be breached 8 Exception report
G Doing the minimum necessary to decide whether it is worthwhile to initiate the project 1 Starting up a project
H Accountable for the quality of the products delivered 7 Senior supplier
I The measurable improvement resulting from an outcome, perceived as an advantage
2 Benefit
by the investing organization
J A guiding obligation that ensures effective application and tailoring of PRINCE2 to any 4 Principle
project

|PRINCE2 7 Foundation
®

Definition Term
K Maintains information on all the identified threats and opportunities 15 Risk register
L A problem, concern, change request, or off-specification 18 Issue
M Any individual or group that can affect or be affected by the project 20 Stakeholder
N The process that covers the activities of the project board 17 Directing a project
O A diagram showing the sequence of production of products and interdependencies 12 Product flow diagram
P The single point of accountability for the project 14 Project executive
Q People from across the project ecosystem working together to achieve the project’s
19 Collaboration
objectives
R The section of a project that the project manager is managing on behalf of the project
11 Stage
board at any one time.
S to provide a progress and status update of the stage/project at pre-determined intervals 16 Highlight report
T Providing services such as administration, planning support, and guidance on project
13 Project support
tools

|PRINCE2 7 Foundation
®

Progress
Activity 2
Document task
Prepare an explanation of the document(s) you are assigned.

Project plan Stage plan Exception plan Work package

Checkpoint report Highlight report End stage report End project report

|PRINCE2 7 Foundation
®

©
Closing a project
Module 14
Syllabus
5. Understand the Understand the PRINCE2 processes and
how they are carried out throughout the project.
5.1 Explain the purpose of the PRINCE2 processes:
• closing a project.
5.2 Explain the objectives of the PRINCE2 processes:
• closing a project.
5.3 Explain the context of the PRINCE2 processes:
• closing a project.

|PRINCE2 7 Foundation
®

©
What you will learn
By the end of this topic, you will be able to:
• explore and understand the
purpose and objectives of closing a
project
• understand the context of closing a
project
• understand how to prepare for
planned and premature closures
• know and understand the final
activities in closing a project.

|PRINCE2 7 Foundation
®

• provide a fixed point at which acceptance

of the project product is confirmed

• recognize that objectives set out (or

approved changes) have been achieved

• close the project in an orderly way where

there is cause for a premature close.

|PRINCE2 7 Foundation
®

©
Objectives of closing
a project
Ensure that
business is Review
Check user
performance
acceptance able to
of the
support the project
products

All open issues Ensure project

Assess any and risks is closed in an
benefits addressed orderly way

|PRINCE2 7 Foundation
®

Project end Premature

approaching close request

Prepare Prepare
Planned closure Premature closure

Confirm project
acceptance

Request project Evaluate the

closure project
Figure 19.1 Overview of closing a project
Closing a
project
Project
| PRINCE2® 7 Foundation
Copyright© 2023 PeopleCert International Ltd.
Closure request
Review
You should now know:
• the purpose and objectives of closing a project
• the context of closing a project
• how to prepare for planned and premature closures
• the final activities in the closing a project process.

|PRINCE2 7 Foundation
®

The project manager should still use the 'closing a

A
project' process to deal with the situation
The project manager should ensure no additional work is
B
undertaken before the project is closed
The project manager should trigger premature close, if the
C
business case is no longer valid
The project board should approve the use of the remaining
D
project budget to fund operational costs

|PRINCE2 7 Foundation
®

Closing a project
Activity
How to prepare for
planned closures

Task: You are the project manager on

the NowByou project, and the project
is coming to an end.

List the activities you need to carry

out...

|PRINCE2 7 Foundation
®

©
Answers
● update the project plan with actuals
● update the project log
● confirm the project is as defined in the
project initiation documentation
● update the benefits management
approach
● prepare any follow-on action
recommendations
● create an end project report
● create a lessons report
● send the board a draft closure
notification to request closure.
|PRINCE2 7 Foundation
®

©
Directing a project
Module 15
Syllabus
2. Understand how the PRINCE2 principles underpin the
PRINCE2 method.
2.2 Explain how and why the principles provide the basis of
applying PRINCE2, and which factors influence the way the
PRINCE2 method can be tailored and applied, who is
responsible, and how tailoring decisions are documented.
5. Understand the PRINCE2 processes and how they are
carried out throughout the project.
5.1 Explain the purpose of the PRINCE2 processes:
• directing a project.
5.2 Explain the objectives of the PRINCE2 processes:
• directing a project.
5.3 Explain the context of the PRINCE2 processes:
• directing a project.
|PRINCE2 7 Foundation
®

©
What you will learn
By the end of this topic, you will be able to:
• explore and understand the
purpose and objectives of the
directing a project process
• understand the context of the
directing a project process
• understand the project board’s role
in different stages of a project.

|PRINCE2 7 Foundation
®

The purpose of the process of directing

a project is to enable the project board
to be accountable for the project’s
success, by making key decisions and
exercising overall control while
delegating day-to-day management
of the project to the project manager.

|PRINCE2 7 Foundation
®

©
Objectives of directing a project
Ensure authority to initiate
Ensure the project remains Ensure authority to close the
the project and deliver the
viable. project.
project product.

Provide management Ensure the business layer Ensure plans for realizing
direction and control has a connection to the the post-project benefits are
throughout the project. project. managed and reviewed.

|PRINCE2 7 Foundation
®

©
The project board…
Provides unified
Engages direction and
Ensures two-way
with the support to the
communication
business project manager
with the business
layer
layer

Manages by Ensures
exception continued
business
justification

Informal advice and guidance

|PRINCE2 7 Foundation
®

©
Overview of directing a project
Initiation Project Project board Advice and
notice authorization request for decisions from Closure notice
notice advice the business

Authorize Authorize the Directing a project

initiation project

Authorize a stage or Give ongoing direction Authorize

exception plan project closure

Stage Next stage Advice Project board’s

authorized request request advice and
decisions
OR OR OR

Exception plan Exception plan Exception plan Exception

authorized approval request request raised

Project initiation Project initiation Project Premature Project closure

request authorized authorization close notice request
request

Starting up Initiating Managing a Closing a project

a project a project stage boundary

|PRINCE2 7 Foundation Controlling

|PRINCE2 7 Foundation
®

© Adapted from Figure 14.1 Overview of directing a project
Review
You should now know:
• the purpose and objectives of the PRINCE2 directing a
project process
• the context of the PRINCE2 directing a project process
• the project board’s activities.

|PRINCE2 7 Foundation
®

A To retain accountability of the project board while

delegating the detailed management work
B To prevent any projects with poor justification from being
undertaken by the organization

C To manage the work of a stage by implementing effective

corrective actions

D To provide information so that the commissioning authority

can commit to delivery of the project

|PRINCE2 7 Foundation
®

1. To ensure that the project is only closed when properly authorized

2. To ensure that post-project benefit reviews have been scheduled
3. To ensure that the business is ready to use the products after the project is closed
4. To ensure that users have accepted the project product

A 1 and 2

B 2 and 3

C 3 and 4

D 1 and 4

|PRINCE2 7 Foundation
®

Directing a project
Activity 1
Make notes

Quiz: Processes and activities

in your
Learner
Workbook
Activity Process
1 Establish project controls Initiating a project
2 Execute a work package Managing product delivery
3 Authorize project closure Directing a project
4 Assemble the project brief Starting up a project
5 Report highlights Controlling a stage
6 Prepare exception plan Managing a stage boundary
7 Evaluate stage status Controlling a stage
8 Evaluate the project Closing a project
9 Prepare the outline business case Starting up a project
10 Request next stage Managing a stage boundary
11 Prepare the project plan Initiating a project
12 Prepare premature closure Closing a project
13 Agree tailoring requirements Initiating a project
14 Authorize the project Directing a project
15 Authorize a work package Controlling a stage

|PRINCE2 7 Foundation
®

Directing a project
Activity 2
Project board activities

Task: What are the key activities of the

project board?

Project board
?
|PRINCE2 7 Foundation
®

Answers Manages by
exception
business
justification

Authorize
project
Authorize a
closure
stage or
exception
pan

Give ad hoc
direction

Informal advice and guidance

|PRINCE2 7 Foundation
®

©
Course review
Module 16
What you will learn
By the end of this topic, you will be able to:
• recall key terms and concepts covered
in the PRINCE2 Foundation course
• provide feedback on courseware and
the course delivery
• prepare for the PRINCE2 Foundation
exam
• look at how to continue your journey
beyond the foundation level.

|PRINCE2 7 Foundation
®

Practices People Processes

Principles

Figure 1.1 The five integrated elements of PRINCE2

|PRINCE2 7 Foundation
®

©
Course review
The PRINCE2 principles:
1. ensure continued business justification
2. learn from experience
3. define roles, responsibilities, and
relationships
4. manage by stages
5. manage by exception
6. focus on products
7. tailor to suit the project.
|PRINCE2 7 Foundation
®

Plans

Quality Practices People Processes

Risks

Issues Progress
Principles

Adapted from Figure 1.1 The five integrated elements of PRINCE2

|PRINCE2 7 Foundation
®

management Directing Directing a project

Starting
up a
Managing Managing
project Closing
a stage a stage
a project
boundary boundary
Managing

Initiating Controlling Controlling

a project a stage a stage

Managing Managing
Delivering product delivery product delivery

Adapted from Figure 12.1 The PRINCE2 processes

risk time

scope
quality

sustainability
|PRINCE2 7 Foundation
®

Read the four answers carefully

Select the correct answer

Be careful when changing an answer Digital exam

Manage your time have a blank sheet of
paper to write notes on.

|PRINCE2 7 Foundation
®

©
What’s next?
Sample papers
• choice of two one-hour sample papers
• multiple-choice questions (only one answer per question)
• closed book (please do not use any notes or resources)
• self-marked
• in the actual exam, you will need to score 36 out of 60
questions correctly to pass

|PRINCE2 7 Foundation
®

©
Exam information
The PRINCE2 Foundation exam specifications are:
• closed book
• 60 minutes
• 60 questions
• 60% pass mark (36/60)
• multiple choice.

|PRINCE2 7 Foundation
®

©
Official mock exams
You can try an official mock exam prior
to sitting the live exam!
• Choice of two one-hour mock exam
papers.
• Multiple-choice questions (only one
answer per question).
• Closed book (please do not use any
notes or resources).
• You can check your score on the
spot.

|PRINCE2 7 Foundation
®

©
Take2
• PeopleCert’s Re-sit Exam Option.
• An affordable solution that means
you can retake an unsuccessful
exam without having to purchase
it again at full price.
• Schedule your re-sit at your
convenience.

|PRINCE2 7 Foundation
®

©
Top takeaways
• What three ideas from what you have
learnt on this course will you take back to
your role?
• What is your first step when you get back?

|PRINCE2 7 Foundation
®

©
What’s next?
• register for the exam
• claim your digital badge in MyAxelos
• log your Continuing Professional Development points
• apply your learning in your everyday work
• learn more about PRINCE2

|PRINCE2 7 Foundation
®

Combining the Proven programme Tried and tested strategic

responsiveness of agile with management best practice portfolio management
PeopleCert’s the clearly defined method of leading to the successful guidance for the effective
extensive range PRINCE2® to improve delivery of transformational management of change
of sought- capability to react and adapt. change. projects and programmes.
after certifications
enable professionals
to boost their
career and realise Universally applicable Management of Risk is a An agile framework that help
guidance that facilitates robust yet flexible framework teams work together to
their life ambitions. effective portfolio, that allows accurate risk develop, deliver and manage
programme and project assessment bringing a complex products.
management to successfully magnitude of benefits to all
deliver business benefits. organisations.

|PRINCE2 7 Foundation
®

Community Previews
White papers
forum

Career Exam papers

development

|PRINCE2 7 Foundation
®

Like the course?

Have something to say?

|PRINCE2 7 Foundation
®

Where will you use this best

practice for your professional
career development?

Thank you!
|PRINCE2 7 Foundation
®

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