PRINCE2® principles: Free ebook
PRINCE2 is composed of 4 integrated elements: principles, themes, processes and tailoring. This study guide describes the PRINCE2 principles.It’s the first in a series of three study guides designed to prepare students for attending a PRINCE2 course. The other two - the PRINCE2 themes and the PRINCE2 processes- are available to download as ebooks. They are all based upon the 2017 version of PRINCE2. We recommend you read all 3 articles.
Read on to learn all about the PRINCE2 principles and prepare yourself for the Foundation exam.
PRINCE2 principles
The PRINCE2 methodology is based upon a set of 7 principles. The principles are the foundations upon which everything else in the methodology is based.There are 7 principles in PRINCE2:
- Continued business justification
- Learn from experience
- Defined roles and responsibilities
- Manage by stages
- Manage by exception
- Focus on products
- Tailor to suit the environment
Universal
PRINCE2 is based upon these principles for a very simple reason. By being principles-based, it means that the framework can be applied to any type, size or scale of project. In this way, the principles can be universally applied, both to a small in-house company project based here in London, or equally to a massive international aid project spanning many borders commissioned by the United Nations.
Best practices
These principles have also been proven in practice over many years to be the most effective ways of managing projects i.e. they are based upon modern best practices in project management. This means they can be applied directly on projects and the project management team does not need to "re-invent the wheel" by creating their own project management method from scratch.
Empowering
The principles are also empowering to the project management team because they can give them added confidence and an ability to shape and manage their projects.
So, let’s look at each of these principles in turn.
1. Continued business justification
The first principle of PRINCE2 emphasizes that the project must always remain desirable, viable and achievable, otherwise it must be closed. Desirable refers to the balance of costs, benefits and risks; viable refers to the ability to deliver the products; and achievable refers to whether the use of the project’s products is likely to result in the outcomes and benefits expected. The word ‘continued’ in this principle emphasizes these are questions to be asked not only when the project starts up, but must be asked continuously throughout the project.
Business case
The business case is updated throughout the project, as well as being used when starting up the project. If the factors underlying the business case change in such a way that the expected benefits are no longer likely to be realised, then the project should be closed prematurely.
Changes detrimental to the business case are often linked to the economy; for example, in 2008 the credit crunch led to many major building projects being brought to a halt.
Applies to compulsory projects
This principle also applies if the project is compulsory (e.g. required to achieve compliance with new legislation) - the organization will require justification of the chosen project, as there may be several options available that yield different costs, benefits and risks.
