What’s the Importance of PRINCE2?

An organized project equates to effective communication, negotiation, and distribution of proper tasks. There are countless methods to choose from when it comes to project organization, but sometimes it always pays to rely on methods that are already equipped with features that you don’t need to manually implement anymore. And that’s where PRINCE2® comes in.

Project IN Controlled Environments or PRINCE2® is basically a direct approach to the proper organization of projects; it comprises of key features that are based on PRINCE2®’s well recognized seven principles and seven concepts.  The project management structure still needs its own method makeover and with PRINCE2®, the structure will be more in-depth, detailed, and there will be no trouble tracking scope creep and risks.

PRINCE2® levels are important to help you outline its requirements to submit the project successfully. These PRINCE2® levels are divided based on their performance (delivery and management).

The following approach indicates the different PRINCE2® levels that are embedded in the project management structure.

Importance of PRINCE2

PRINCE2® Level 1 – Program Management:

This PRINCE2® level delegates the project, determining the executive board and their capabilities, and record the project policies. The overall program management should comprise the outline, list of resources, cost, schedules, and a standard governance to effectively launch the project life cycle.

Importance of PRINCE2

PRINCE2® Level 2 –Direction:

The board is made up senior managers, executives, vendors and others that are involved and accountable for the project’s results wherein they direct and manage the project. For success to be possible the board must come to a conclusion on what will be the project’s direction and they need to merge the skills and capabilities through their authority, availability, and credibility.

The following traits in the second PRINCE2® level are essential to carry out such direction; credibility basically means seniority, authority is the capability to come up with a strategic decision and availability makes sure that the board can give the needs and decisions of the project manager. All of these must be possessed by the executive managers to be able for them steer the project in the right direction. Incapability on their part simply means a collapse in the project’s entire structure.

Importance of PRINCE2

PRINCE2® Level 3 –Management:

The project manager is solely responsible for the project’s daily task and guidelines facilitated by the project board. He or she has to make sure that the project is able to produce the expected results within the limitations of schedule, budget, scope, risk, and performance. He or she has to make it a point to delegate the tasks to the proper team members; it’s always a given that you need to identify the skills of each team member before deploying them to the tasks of the project.

Importance of PRINCE2

PRINCE2® Level 4 –Delivery:

Depending on the project’s size and levels of difficulty, the team manager is the person overall in charge when it comes to delivery requirements and ensuring its quality and performance during the process and within time constraints. This PRINCE2® level must be taken with care since we’re talking about deliverables that we need to submit to the stakeholders; these products must be free of risks, has a good quality, and properly undergoes an intensive life cycle and process evaluation.

By identifying these PRINCE2® levels, you will be able to make your project more organized for proper implementation and execution. Even with these given levels, you still need to do the usual engagements and negotiations with your team members, as well as the higher-ups and the stakeholders to properly prophet your project.

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PRINCE2® method can be applied in any type of project, under any type of industry. Whatever complexity that a project may have, it will be very applicable.

Many Companies fail to understand the importance of using project methodologies in managing their business values. The field of project management requires systematic implementation of rules and tasks in order to achieve the organizational objectives. The idea of using project management methodologies creates contradicting opinions and ideas of people when it comes to having certifications in relation to project management. They fail to realize that having a method would greatly affect the whole organization.

It would be one of the great advantages of the companies if they would use PRINCE2® methodology. Little did they know that there are a lot of desirable effects that they could get from implementing it. This will undoubtedly help everyone to optimize every business process.

What is PRINCE2®?

It is one of the most widely used project management methodologies that been developed and improved over the years. It has a common language which can be used across all the units in an organization, to be able to deliver good products, create good marketing and business transformations. This is also known as one of the best ways to deliver project through its power which is based on interlinking connections of the business components. This provides as a framework to work with and techniques to be utilized. This method does not overburden any project, in fact, this method promotes harmony on both external factors, like the corporate standards, and the project factors like the size and the complexity of the project.

What are the features of PRINCE2® Method?

• It is a generic method. This provides a specific platform where the project can be managed carefully and successfully. It does not matter what kind of culture does a company have, the number of its people, and the scope of it.
  The specialist activities involve here are separated from those of the management activities, which makes it generic, and another important feature of it is that it can be tailored with other activities to meet the needs of any project.

• PRINCE2® Method is benefits focused. The focus of this method is on the project’s product and the benefits that the customers will be having by purchasing it. Throughout the project, there is Business Case to be done. Business Case will outline the criteria for the product and these must be established before the project starts. However, if these benefits are not met, or not justifiable, the project will be closed and the unused resources will be exhausted.

• PRINCE2® Method Outlines define Roles and Responsibilities. This provides a complete outlines on how to delegate the tasks to the people. The roles, tasks or activities to be distributed are clearly defined and provides clarity that the doers will be able to comprehend. This is proven to save time and effort of people and making them more productive and functional.

• Sound Decision making. This method promotes accountability. The people who are asked to make decisions will make it and not anyone else in the company. Not all small or petty things will be escalated. These are already filtered before it reaches the top management. There is Project Board that will approve the decision of each team. This exception of PRINCE2® saves time on the project as a whole.

• Stakeholder involvement. Stakeholders like the user, the supplier, the customers and many others take part in the decision making process. Facts are gathered through them and the expectation that they have are being simplified to come up with a decision to make the pre requisites of the project more manageable. This also ensures that all their concerns are heard and their needs are met.

PRINCE2® method is known to provide a roadmap on how the project needs to be done. The key is that, the stakeholders involve in the project should be able to understand every detail in the project.

The ability to implement this method effectively will reap the following:

• PRINCE2® method can be applied in any type of project, under any type of industry. Whatever scale or complexity or culture that a project may have, it will be very applicable. It also has a feature of standing alone.
• Specific roles are given to chosen people who can perform the responsibilities because they are knowledgeable of the assigned task to them. It promotes definite structure on liabilities and authority in the company. This also serves as a tool to meet the growing needs of both company and its stakeholders.
• PRINCE2® method also promotes continuous improvement and innovations in the project. This provides a common language that is intelligible and comprehensible to all the stakeholders. This simplicity of the language helps the communication to be more efficient.
• The main focus of this project is the validity of all the processes that the product underwent and its efficiency and good quality.

PRINCE2® method is internationally recognized system and had already proven itself when it comes to credibility. The people who are trained under this program are highly regarded and recognized because of their knowledge on this methodology. This ensures that the people who underwent it will become valuable assets of the company. It also promotes consistency of project management and facilitates stall mobility and reduces the chances of high turnovers.  This methodology also provides explicit definition of the activities to be accomplished.

 PRINCE2® is a registered trademark of AXELOS Limited.

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PRINCE2® and PMP® certifications are the most important certifications in project management. Getting to know them and their differences will help…

Certifications are now becoming valuable tools if you want to grow in your career. With so many certifications emerging in the IT industry, most project managers are having a tough time in deciding which certifications are actually worth pursuing. Depending on your career plans and the kind of project you are associated with, you need to be careful in choosing the right certifications to take, so as not to waste your time and resources. Aim for those that come from reputable sources and those that will truly help enhance your skills to meet the ever-changing demands of projects and employers across the world.

In project management, PRINCE2® and PMP® certifications are considered the most important certifications. Getting to know them and their differences will help you identify which one will suit your career needs.

PMP® and PRINCE2® certifications : Definition

• PMP® or Project Management Professional is a certification offered by the prestigious PMI or Project Management Institute. It is globally recognized and tests your knowledge in effective project implementation. Being PMP® certified is an indication that you have sufficient project management experience and education which is very sought after in the industry.

In addition, aside from the well-known PMP® other certifications offered by PMI are the following; PMI Agile Certified Practitioner ( PMI-ACP )®, Program Management Professional, PMI Scheduling Professional, Portfolio Management Professional, OPM3 Professional Certification, Certified Associate in Project Management ( CAPM )® which is the junior level of PMP® and PMI Risk Management Professional.

• PRINCE2® or Project IN Controlled Environment Certification is a standard developed and used by the UK government and is now widely recognized in different IT sectors, both in the UK and internationally. Currently, it is owned by AXELOS. It provides a systematic approach to project management. It provides a well-defined methodology that outlines in details the steps needed to complete the project. It uses tools like templates and charts to show the processes that should be followed in order to achieve successful project delivery. PRINCE2® also defines clearly the roles and responsibilities of each team members.

PRINCE2® is categorized into different levels namely; PRINCE2® Professional, PRINCE2® Agile, PRINCE2® Practitioner and PRINCE2® Foundation.

PMP® and PRINCE2® Certifications : Comparison

1. INDUSTRY DISTRIBUTION

One factor to consider before getting a certification is your area or location. You need to make a thorough research as to which certification in your area will increase your employability. Although PMP® and PRINCE2® are both globally recognized, there are some countries where PMP® is preferred than the latter.

PMP® is widely popular in the USA, Canada, Middle East and Australia while PRINCE2® is highly recognized in the UK, Australia and European countries.

2. SALARY PERSPECTIVE

Being a PMP® or PRINCE2® certified professional will benefit you primarily in your income. If you have a PMP® or PRINCE2® certification, this entitles you to a bigger salary compared to those who are not.

In the USA the average yearly salary of a certified PMP® is $105,000. Meanwhile, the average annual salary for PRINCE2® certified professionals is $77,540.

3. PMBoK® – Guide and PRINCE2® CONFLICT

 The knowledge of the PMBoK®-Guide or Project Management Book of Knowledge is the main focus of the PMP® exam. As such, to pass the PMP® exam you need to have in depth knowledge and understanding of the PMBoK®-Guide. Basically, PMP® focuses on the ‘How’ in project management. It deals with the terminologies, standards and skills necessary for a successful project delivery.

On the other hand, PRINCE2® is process-focused. It mostly answers the W questions – What, When, Who. PRINCE2® is primarily focused on the steps, methods, framework, and processes needed for a successful project execution.

Therefore, effective project managers should have both certifications. Having both certifications make you well-rounded enough to meet the demands of the project and the employers.

4. THE EXAM FORMAT

The PMP® exam is a 200-item multiple choice test. You will need to complete the exam in four hours. The exam is split into areas that deal with the five major project management process groups: Project Initiation, Project Planning, Project Execution, Project Monitoring and Controlling, and Project Closing.

The PRINCE2® exam type depends on the level. PRINCE2® foundation exam is a 75 multiple choice questions. You will need to finish the test in 60 minutes. The passing percentage of the exam is 50.

PRINCE2® Practitioner is a scenario based exam. There are only nine questions that you need to answer within 2.5 hours. The passing percentage is 55 percent.

5. THE PREREQUISITES

In order to qualify for a PMP® certification you need to have at least a secondary degree or equivalent associate program. If you are secondary degree holder you need to have a minimum of 7,500 hours of experience in managing projects. If you have a bachelor’s degree you need to have 4,500 hours of experience in managing projects. In both cases you should have 35 hours of formal project management education.

PRINCE2® exams do not have a predefined prerequisite. However, for PRINCE2® Practitioner exam you need to pass the PRINCE2® Foundation test first.

6. THE COST OF THE EXAM

To register for a PMP® exam you need to log on to the PMI website. The exam costs $405 for PMI members and $555 for non-PMI members.

The cost of PRINCE2® exam depends on the region where you will take the exam. Although usually for PRINCE2® Foundation the cost is around $365 and for PRINCE2® Practitioner it is $485.

7. CREDENTIAL MAINTENANCE

For you to maintain your PMP® credential you need to attain 60 PDUs or Professional Development Units every three years.

PRINCE2® certification does not need a renewal. However, for PRINCE2® Practitioner the certification is valid only for five years.

8. THE BENEFITS

The Advantages of being PMP® certified:

1. Bigger Paycheck. PMP® certified professionals have a higher salary compared to non-certified managers.
2. Enhanced Skills. Passing the PMP® exam requires that you have thorough understanding of the PMBoK®-Guide. PMP® helps equip you with knowledge and skills in efficient project management.
3. Networking Opportunities. Being PMP® certified will link you to other PMI members globally. This will increase your market scope, help you find better job opportunities and get bigger projects.
4. Recognition. PMP® certified professionals are recognized and trusted by employers. Their skills are sought after and their project ideas are much valued not only by the employers but also by other seniors and project team members and colleagues.

The advantages of being PRINCE2® certified:

1. Bigger Salary. PRINCE2® certified professionals have bigger pay especially in the UK.
2. Bigger Job Opportunities. PRINCE2® skills are much needed for easier and successful project execution which is valuable to employers.
3. Solid Project Execution Body of knowledge. Skills acquired from PRINCE2® enable you to be equipped with strong skills needed in project management. You will be knowledgeable in using different tools and techniques to better handle a project.

So as you can see, PMP® and PRINCE2® certifications are actually non-competing credentials. If you want to be a well rounded project manager you will benefit from the knowledge and skills you will reap from both certifications. Both certifications will accelerate your career and enhance your effectiveness as a project manager.

PMP and PMBoK are registered trademarks of the Project Management Institute, Inc.

PRINCE2® is a registered trademark of AXELOS Limited.

The post PRINCE2® vs PMP® Certifications: 8 Important Differences appeared first on Management Square.

All organizations need to cope with the rapid changes that happen in the business world. The ability to survive is one of the needed skills to ensure success in the race.Technological advancement, globalization, economy fluctuations contribute to the fear of the business all around the world: the fear of losing the game.

Organizations need to continually adapt new strategies and methodologies to make sure that they will not struggle. Getting the best, quickest, and most effective methodologies become so popular due to this kind of situation. Companies invest lots of money to these methodologies to ensure maintenance of their service, good reputation, increasing profits and the ability to stay ahead among other competitors.

With this concept, the organizations need change management programs in place which are led by skilled and experienced people more specifically with project managers who can assess and identify changes within the business and implement measures to take full control of them. Having a system consisting of controlled and consistent structure must be the common goal of every organization. Organization would need to set up management program to enable the business to control every aspect of the business as changes occur. This can help the business to success and with the project managers who are capable of devising new strategies will also help minimize the risks, and maximizing success.

In this method, the project managers who are skilled and knowledgeable in PRINCE2® methodology will help the business to succeed because of putting up systems based on solid information and training. The project managers who are PRINCE2® certified, will lead the change management program to control the processes, organize them, and thrive through changes. PRINCE2® methodology will help the management to focus on business justification, a defined organization project structure, and emphasis on separating project into controllable stages.  It gives the companies consistent and well trained leaders who are equipped in controlled leadership which is vital to success in managing the business processes.

Organizational changes occur especially when the structures and rigor of the conventional project management methodologies and techniques are outdated and normally misunderstood by employees. The methodologies that will be implemented must be providing links which are required to attain practical and sustainable outcomes.

PRINCE2® methodology has known for its project management standards and had been widely used as well by both private and public sectors.  This will be effectively applied in task delegation and individual accountability by knowing its basic principles:

It promotes individual accountability on accomplishing a project and letting the people have a clear understanding on what to do when changes occur; Authority must be assumed and must be justified in order to promote harmony in the workplace; Trust must be clearly observed by letting the people do their tasks independently and this trust must be highly maintained.

PRINCE2® methodology governs themes which are essential in decision making. These themes guide the project manager in coming up with solutions. This does not focus entirely on the meetings, reports and logs. These also provide parameters by which the ongoing accountability is justified.

• PRINCE2® has Business Case. A business case controls all the decision makings in the project. It gives justification on the investment made and may also bring organizational change to contribute to the achievement of the goals. A business case may be done qualitatively or quantitatively.
• Quality matters. PRINCE2® methodology gives focus on ensuring that the outcome fits the desired goals and needs of the customer. The wants and needs are given through feedback and these are done without compromising the standards set. It provides changes for the improvement of the product and services.
• It is organized. PRINCE2® promotes an organized environment. This methodology makes sure that all the stakeholders are listened to and their needs are attended to. The delivery team understands what they should be delivering.
• Risks are evaluated and monitored in this methodology. Risk forces the organization to take a shift and constantly check the possible outcomes.
• Plans are made. Plans are made to guide the stakeholders on what they should expect at the end of the project. Plans give mechanism to inform and consult the business on the route to sustainable organizational change.
• Change provides controls. Sometimes there is a need of trade off and compromising some of the aspect of the business process. This provides escalation of stages and extension of parameters in some situations.
• PRINCE2® observes progress. Stakeholders are update and informed about the changes and new rules. 

PRINCE2® Methodology

While changes are difficult to manage, having highly trained people in the workforce will totally make a difference. Changes in the workforce would be beneficial to the company as well. Helping them to get out of their comfort zones will enable them to discover their full potentials and making them to function even better. Trying to force people without you trying to explain it to them will make them work just for the sake of working, but the desire to finish it and do it right will lead the whole business into failure.

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Project management methodologies are a series of processes created to assist the project managers and those who are overseeing the projects. It is designed to the tasks and the activities required in a definite time schedule and to manage unforeseen conflicts.

These project management methodologies guide a manager all throughout the project giving the different steps to follow and the targets to meet form the moment a project starts until its completion.

PRINCE2®, What is it?

PRINCE2® or Projects in Controlled Environments is a process based approach focuses on the entire development of the project from the moment it started until its end and the goals are being attained. PRINCE2® has a specific structure, time frames and thoroughly planned before its implementation. This project management methodology revolves in seven principles which are strictly to be followed otherwise; the entire project is bound to fail.

First, the project must have a clear definition. It should have a clear purpose, realistic goals to meet and detailed cost-assessment plan.  It gives direction to the whole project as to where it is going to lead.

Second, the team members are expected to learn in every stage of the process and these lessons are written down for future use. These will become a reminder on how to deal with the unexpected issues just in case it arises again.

Third, the responsibilities are well- distributed and each member is expected to perform the task given to them at their utmost level. They should be dependable enough to do the job even with minimal supervision.

Fourth, the entire process has significant stages to be followed. These stages may or may not have sub-domains.

Fifth, just in case the project manager was not able to handle or things are out of his control anymore, the project board is expected to convene and decide for the whole group.

Sixth, the quality of the product is being checked from time to time.  This ensures that the product was well-kept until its delivery.

Lastly, PRINCE2® may be adjusted whenever there is a need. This methodology may be modified based on the size of the project, the available resources, and the number of parties to be involved in the process.

The Pros and Cons of Management Methodology :

One of the advantages of using PRINCE2® in project management is that its extensive documentation of the whole process helps with performance appraisals, corporate planning and risks mitigation. This project management methodology helps to coordinate different related tasks to be managed easily. This helps the entire team to stay on focus while doing the job. The main reason that everything is documented, these can be used to improve, modify or standardized such processes. However, since that this methodology is a process-based, it may not be able enough to be adjusted, especially when used in software industry. More so, if there are changes, the project team may find it difficult to adjust because they are accustomed to one field of work.

Conclusion :

Project management is about identifying the tasks to be given and maximizing the time and resources available for the team to utilize. There are different types of project management approaches to be applied depending on the project scope and requirements. The project manager is advised to have a thorough research on these methodologies before applying it.

PRINCE2 is a registered Trade Mark of AXELOS Limited.

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