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Develop Project Charter

The process of creating a project charter that officially launches the project and empowers the project manager to commit organizational resources to project work.

Key Points

  • Produces the project charter, which authorizes the project at a high level.
  • Typically initiated and approved by a sponsor; approval grants PM authority.
  • Occurs in the Initiating process group; may repeat at phase gates.
  • Relies on the business case and agreements; expert judgment and facilitation are common tools; an assumptions log is started.

Example

A company plans to roll out a new CRM system. The sales VP sponsors the effort. The project manager works with key stakeholders to draft the charter covering the purpose, high-level scope, major milestones, budget ceiling, key risks, and success criteria. After the sponsor signs the charter, the PM is authorized to engage teams and use funds to begin planning.

PMP Example Question

Which process formally authorizes a project and gives the project manager the authority to use organizational resources?

  1. Develop Project Charter
  2. Develop Project Management Plan
  3. Direct and Manage Project Work
  4. Identify Stakeholders

Correct Answer: A — Develop Project Charter

Explanation: Develop Project Charter creates the charter, which authorizes the project and empowers the project manager to apply organizational resources.

Project Management Bootcamp

Embark on a transformative journey with our Project Management Bootcamp at HK School of Management. Elevate from beginner to pro using the latest PMBOK and Process Groups Practice Guide. Our unique, engaging approach makes learning interactive and fun, replacing dull slides with dynamic doodles and real-life scenarios.

This hands-on program includes working on two full project plans. The first evolves as you learn, while the second culminates in a comprehensive plan, solidifying your expertise. You'll navigate real-world challenges, backed by quizzes and in-depth analysis, avoiding common pitfalls and setting you on a path to success.

Enhance your learning with downloadable materials and templates, invaluable for your future projects. The course covers essential topics like PMI, PMO, PMBOK, and project management ethics, delving into critical process groups and key areas such as scope, schedule, cost, and stakeholder management.

Learn from seasoned professionals and join a community of enthusiastic lifelong learners. Ready to master project management and lead with confidence? Enroll now and start your transformation!



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