PM · 8 chapters · CHAPTER 02

Initiation, Business Case & Project Charter

Give the project a reason to exist before giving it tasks

Chapter 02 of 8Read as a practical lesson

Initiation is about authorization and direction

Before a team builds a detailed schedule, someone needs to establish why the project exists, what success means, who owns it, and what authority the project manager has.

Business case vs charter

QuestionPractical answer
Business caseWhy the investment makes sense; options, value, costs, risks and expected benefits
Project charterFormal project authorization and high-level direction
Project planHow the project will be organized and delivered in enough detail for the chosen approach

Good objectives

Objectives should describe the result the project is expected to achieve. “Build a new store” is an activity. “Launch a store that supports subscriptions and reduces manual repeat ordering” is closer to an outcome.

01Business need
02Options
03Recommendation
04Authorization
05High-level objectives
06Initial stakeholders

Early assumptions and constraints

Record what you believe to be true and what limits the project. A constraint may be budget, date, technology, regulation, capacity or contractual commitment. An assumption is something treated as true for planning purposes until it is validated.

Portfolio artifact

Create a one-page project charter for a fictional eCommerce migration. Keep it readable enough to use in an executive meeting.