The Project Charter has the target to set expectations for the project. It comprises a Business Case, the impacted Process, Problem Statement, Goal Statement, and Project Scope.

The Business Case is the financial driver behind the project and gives a short reason (WHY) for the project’s need to be undertaken. In a Business case, you need to provide:

  • How I will give a description to the management?
  • What’s the customer benefit?
  • How it’s linked to the company function or initiative?
Example: As an IT Company, by reducing the upfront analysis for the new Project, we can shorten the time needed to make a new offer for the client and start the work (Description + Customer benefit). This raises client satisfaction and reduces time wasted on the proposal that will not be accepted (linking to company function).

The impacted process is the “Estimation of a new project” in the example.

For the problem statement add to the WHY of the Business Case, the WHERE, WHEN and HOW, so you need to replay the question:

  • WHERE is it hurt?
  • WHEN is it occur?
  • HOW big is the problem?
Example: In the last year (WHEN) the 20% of the project request was required more than 30 days in estimation, as agreed with the customer (HOW). This causes dissatisfaction of the 10% of the client review about the new project estimation (WHERE).

The goal statement is about what we want to achieve with this project.

Example: Reduce the dissatisfaction in the client from 10% to 5%

The project scope help to understand the start and the end of the process or the problem considered. You can also add some item or activities that are in scope or out of scope.

Example: All the projects estimation about the area XYZ (this because it is of a particular kind that is most affected), starting from the arrival of the customer request arriving at the proposal on the customer's table. The part of the process about the price negotiation is out of scope. 

Other important information are:

  • The schedule is at least defined with the phase milestone (Project Start, Define Complete, Measure Complete, Analyze Complete, Improve Complete, Control Complete, Implement Complete). Valuables tools for developing the schedule are the Critical Path Method and Gantt chart that you can learn on this page;
  • The resources and team roles for the project.

In all parts of the project charter, it’s essential to give a measurable and well-defined statement because only in this way can we measure if we will meet the project’s target at the end.

For the exam you need to remember that:

  • The project charter helps to set the expectation;
  • The Project charter companies the Business Case, the impacted process, the Problem Statement, the goal statement, the project scope, the schedule, and the resources;
  • The business case needs to replay to the WHY of the project;
  • The Problem Statement need to reply to HOW, WHERE, and WHEN;
  • The goal statement needs to quantify the improvement;
  • The project Scope needs to limit the project’s scope, even with inclusion and exclusion.


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