Projects are temporary organizations to achieve goals that do not fit the company's core task. There is a challenging cutting edge there. Because how do you ensure a successful project that actually contributes to the success of your company? Project governance is what you need. Thoughtful project governance helps to launch, adjust and properly secure the project in a successful way. You will achieve project results faster and you will be able to better prioritize your invested euros. These are the 4 points of attention for making a rock-solid project governance.
1. Clear distinction between permanent (company) and temporary organization (project)
Make it clear what the company's core task is and what the project assignment is. It's important to keep both things clean so that people know whether they're doing work for the core task (and accountable to the department manager) or the project assignment (and accountable to the project manager). Because of this distinction, you can set up the interconnection; the project governance. This project governance has the following tasks:
A. Project initiation: giving the project assignment to the project manager and providing resources
B. Prioritizing and adjusting the project assignment and allocating resources during the transition phase
C. Supporting the project manager and promoting the project within the company
D. Transfer of project results to the company
E. Project termination (discharge)
2. Safeguarding the business interest with decision makers (A, B and E)
Changes in the world, the market or within the organization can affect the strategic and business importance of the project for the company. These considerations transcend the project team and are beyond their purview. This is part of project governance. By involving the right decision makers from the company during the transition phases of the project, you always put the company's priorities first. This is because these decision-makers are able to properly assess the added value of the project for the company. During transition phases, the decision makers also evaluate whether the business case is still positive and whether it needs to be adjusted.
3. Ensuring project execution with project sponsor (C)
You need a project sponsor in project governance to support the project's interests within the company. The decision makers of the transition phases often do not have time for this role. A good project sponsor belongs to a business unit that has an interest in the project result. And the project sponsor has enough stature to get things done.
4. Securing the project result (D)
For a good acceptance of the project in the company, acceptance of the project result is necessary. Therefore, involve business units and any external stakeholders who take over the project after completion as early as possible. These are usually the ones who get back to work with the result of the project, such as the management organization, building users or the service department.
Setting up and implementing project governance properly is not easy in practice. Thinking about starting a project? Review these four points of interest to create strong project governance. And if you have any questions, we are here for you.
