Project Charter: Definition, How to Create it, and Its Benefits for Project Management

By Aulia Fajriyati Dzikriyah | Published On: 7 November 2023
Project Charter: Definition, How to Create it, and Its Benefits for Project Management

One of the important documents in project management is the Project Charter. This Project Charter serves as a basis for initiating and directing the project. This document provides a general understanding of the project's objectives, scope, stakeholders, and other important elements. This article will discuss in more depth the meaning of a project charter, the steps for creating it, and the benefits of a Project Charter in project management.

Understanding Project Charter As previously mentioned, the Project Charter is an important document as a basis for starting and directing a project. Based on one of the article sources published by Medan Area University, Project Charter is a document that contains information starting from a project description, project requirements, risks, objectives, limitations, time, assumptions, costs and opportunities. In simple terms, a Project Charter is a project road map intended for project managers to understand the vision and goals of the project and guide all subsequent decisions and actions in the project. This document serves to communicate what will be done in the project, who is involved, and how the project will be carried out. The Project Charter serves as the ultimate guide for all project decisions, helping to keep the project on track and aligned with its initial goals.

Who is Responsible for Creating a Project Charter? According to stackexchange, the Project Charter should authorize the Project Manager to act on behalf of the sponsor and define the Project Manager's level of authority. So, the Project Manager is responsible for creating the Project Charter. However, the Project Manager must work closely with the project sponsor and other stakeholders to ensure that the Project Charter accurately reflects the project vision and goals.

What is the difference between a Project Charter and a Project Plan? Project Charter and Project Plan are often confused, even though they have differences. A Project Charter is a document that only contains information in concise form, aka not too detailed. This document contains information about the goal, scope, stakeholders, objectives, and comprehensive plan of a project. Whereas Project Plan is a more detailed and detailed document. This document contains information about the tasks, schedule, budget, and resources required to complete the project. In other words, the Project Charter provides the basis and initial approval for the project, while the Project Plan details how the objectives will be achieved in detail. Both complement each other to help the smoothness and success of the project.

How to Make a Project Charter When making an important document such as a Project Charter, you need to take the right steps to avoid mistakes. The following are the steps in creating a Project Charter: 1. Identify the Project Vision and Determine the Project Scope The first step in creating a Project Charter is identifying the project vision and determining the project scope. This step is very important because it sets the tone for the entire project by establishing the goals that must be achieved as well as the constraints and limitations that exist within the scope of the project. The project vision must be clear and easy to understand by all parties involved in the project. 2. Determine the Project Organization The next step which is no less important is to determine the project organization. This includes determining who is responsible for the project and who will be involved in it. Then determine the project structure that includes sponsors, managers, and team members in the project. 3. Determine Project Goals Once the project vision and project scope are determined, the next step is to determine the project objectives. Project goals must be specific, measurable, achievable, relevant, and time-bound. The project objectives must be described in detail in the Project Charter. 4. Identify Stakeholders The next step is to identify project stakeholders. This involves determining who will be affected by the project and who will be involved in the project. Stakeholders must be described in detail in the Project Charter. 5. Determine the Project Plan The final step in creating a Project Charter is determining the project plan. This involves determining how the project will be carried out, including the project schedule, project budget, and project resources. The project plan must be described in detail in the Project Charter.

Additionally, here are some additional tips for creating an effective Project Charter: -Use language that is clear and easy to understand by all project stakeholders. -Make a Project Charter that is simple and easy to read. -Ensure all project stakeholders have agreed to the Project Charter before starting the project. -Set a schedule to update the Project Charter periodically throughout the project. -Use examples of Project Charters that have been proven successful as a guide.

By following the steps and tips above, you can create a Project Charter that is effective and helps guide all subsequent decisions and actions in the project.

Benefits of Project Charter in Project Management Project Charter has many benefits in project management. Here are some of the benefits of creating a Project Charter: 1. Clearly define the initial project The Project Charter helps define the initial project clearly and in depth. This document contains information about the goal, scope, stakeholders, objectives, and overall project plan. This way, everyone involved in the project will have a clear understanding of the direction and goals of the project. 2. Recognizing Aspects in a Project Project charters help identify various aspects of a project. This document covers all aspects of project preparation, including what is included and what is not. Therefore, everyone involved in the project will have a clear understanding of the project constraints and limitations. 3. Identify Stakeholders The Project Charter helps assist in determining project stakeholders. This document includes information about who will be affected and who will be involved in the project, so that everyone involved in the project can understand their roles and responsibilities. 4. Provide clear project work guidelines The Project Charter provides clear project work guidelines. This document includes information about the global strategy for project implementation, final deliverables from the project phases, rough time calculations, and project resources. This way, all project team members can clearly understand their duties and responsibilities in the project. 5. Saves Time and Clarifies the Budget Project Charter helps save time and clarify budgets. This document includes information about the project schedule, project budget, and project resources. This way, all project stakeholders can clearly understand the project time and budget constraints. 6. Increase Team Spirit Project Charter helps improve team spirit. This document includes information about the project objectives and expected final results. In this way, all project team members can understand the importance of the project and feel motivated to achieve the project goals. 7. Marketing Documents A Project Charter can take on the role of a marketing document. This document includes information about the project objectives, expected end results, and benefits to be gained from the project. Thus, this document can be used to promote the project to stakeholders and potential clients.

Conclusion A Project Charter is an important document in project management that helps guide all subsequent decisions and actions in a project. The steps in creating a Project Charter include identifying the project vision and project scope, determining the project organization, determining project objectives, identifying stakeholders, and determining the project plan. Although the Project Manager is responsible for creating the Project Charter, he or she must work closely with the project sponsor and other stakeholders to ensure that the Project Charter accurately reflects the project vision and goals. By following the steps for creating a Project Charter and understanding the benefits of this document, you can ensure that your project runs smoothly and meets its initial goals.

If you want to start a project that is more structured and effective, you can consider using the Tomps Project application.Tomps Project is an application that provides project management services to help you start projects more organized and effective. This application allows you to quickly and easily create a Project Charter, which includes information about the objectives, stakeholders and overall project plan. Apart from that, Tomps Project can also help you to identify project risks and estimates. By using Tomps Project, you can save more time in creating a Project Charter. Use Tomps Project now and visit the website at www.tomps.id!

Reference Penjelasan Lengkap Tentang Project Charter. (2023). sipil.uma.ac.id. https://sipil.uma.ac.id/penjelasan-lengkap-tentang-project-charter/ Whose Responsibility Is It To Create The Project Charter?. (2020). Stackexchange. https://pm.stackexchange.com/questions/30091/whose-responsibility-is-it-to-create-the-project-charter Margaret Rouse. (2023). What Is a Project Plan?. Techopedia. https://www.techopedia.com/definition/24775/project-plan Yunitatitisari. (2018). Apakah Keuntungan Menggunakan Project Charter?. Dictio.id. https://www.dictio.id/t/apakah-keuntungan-menggunakan-project-charter/18680/2

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