← PRINCE2 Foundation: IT project governance
03 / 6 · 25 MIN

Justification, organization, and sustainability

Connect products to benefits and make interests and responsibilities explicit.

Concept and mechanism

Practices address management aspects recurring throughout the project. Business case and organizing connect investment, value, and responsibilities. A product is something delivered, such as reconciliation automation. Its use can change the process; a benefit is a measurable improvement considered valuable, such as reducing resolution time without increasing errors. Forecast savings need a baseline and measurement method. Operating costs, negative effects, and uncertainty also affect decisions. Do not declare a benefit realized merely because code was installed or the supplier was paid.

Guided application

Organization should represent business, user, and supplier interests with clear roles and authority limits. If two teams approve incompatible versions, more meetings do not resolve overlapping decisions. Clarify decision ownership and escalation. Also define who measures benefits after closure. In Version 7, sustainability joins time, cost, scope, quality, risk, and benefits in performance management. When comparing infrastructure, include relevant lifecycle impacts and agreed targets. A cheap purchase option can have higher operating costs and consumption; make that trade-off visible.

IN PRACTICE

The business case forecasts 20 fewer minutes per reconciliation. The owner agrees measurement before and three months after, controlling for volume and errors so comparison is meaningful.

Common pitfalls

Output treated as benefit; no measurement owner; omitted RUN costs; duplicated authority; sustainability treated as a label without criteria.

Related topics: Plan products and demonstrate quality · Risks, issues, and progress

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Justification and organization should retain a checkable link between investment, use, and value.

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Reference: PRINCE2 7: a new chapter · PRINCE2 Project Management Version 7