Value is the ultimate success indicator and driver of projects and a sound business case can help you understand the value of a project. All lessons are based on the PMBOK®, 7th Edition.
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I’m your host, Kaye B and we are focusing on value.
Value is the ultimate success indicator and driver of projects. Value focuses on the outcome of the deliverables and may be expressed as a financial; contribution to the sponsoring or receiving organization.
Value can also be realized throughout the project, at the end of the project, or after the project is completed. The benefits contributing to value can be defined in quantitative and/or qualitative terms.
When you focus on the value of what the project can deliver, it allows the project team to support the intended benefits that lead to value creation.
Many projects state the intended value in a document called a business case. In the business case, there are at least three supporting elements: The business need, which provides the rationale for the project and why the project needs to be done, the project justification, which explains why the business need is worth the investment of the project and the business strategy, which is the reason for the project and the strategy needed to achieve the value. Together, along with any benefits and possible agreements with the project team, desired outcomes can help evaluate the project value.
That is your PMP in 60 seconds. Next week we are talking about recognize, evaluate, and respond to system interactions.