Six Sigma Project Charter – Main elements

A Six Sigma Project Charter is essentially a planning document. The document also serves as an agreement between the project team and the management for the project. This is the essential record through which the management accepts and supports the project. This document is essentially an agreement between the Management and the project team on what is expected from both the sides. This is used to

  • Keep the project team aligned with the organizational Goals.
  • Clarifies what is expected out of the team
  • Keeps the team focussed on the objective
  • the project teams role is in fact increased from the champion after the charter is agreed.
A charter is prepared, once you have defined the problem, to communicate and confirm agreement between the problem-solving team and management.
There can be many other forms to use for a project charter. The most important information needed for management to approve the project must be captured here.
Here are the essential elements of the Project Charter
  • Project Name
  • Project Goal
  • Problem Statement
  • Business Case
  • Milestones
  • Support Needed
  • Estimated Cost
  • Signatures/Approvals.
These will define the complete description of the project in the language fo Management.
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Originally posted 2013-09-16 23:59:00.

Key Components of a Project Charter

image  In the earlier sections I have covered the list of key components and the problem statement in the following articles. I will continue this discussion on the Project Charter so that the problem is well understood at all levels and support wherever needed in clearly identified. A good start is half done. Same way in a Six sigma Project, A good project charter becomes heart of the project and to achieve the goals.
Once you have defined the problem clearly the other sections of the charter need to be completed.  Follow these sections in the order so that the logical flow is available. However, this is not mandatory. The details are below.
Project Goal or Goal Statement: The Goal statement is linked to resolution of the problem. Important consideration here is to set a goal which is achievable in a period of about 120 to 160 days. The goal is agreed by the team and team champion as achievable. This really helps in setting the scope of the project.
Business Case & Estimated cost: This section is for the Management to understand the Return on Investment. This shall be as realistic as possible since this is commitment to the Management on the benefits of the project. The business case shall be linked to resolving the problem and the benefit shall be in line with reducing the losses as outlined in the problem statement and achieving the goal in the goal statement.
Support Needed: This will help the management to understand allocation of resources and support. This shall outline the likely support needed from outside the project team.
Milestones: Clearly define the timelines for the phase of the project. This will help to see if the project is in the right direction and correct course by both management and the project team.
Signatures/Approvals : This is just a commitment for the project both from management and the project team.
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Originally posted 2013-08-11 02:59:00.