PRINCE2 Practices · Topic 7 of 9
The Issues Practice
PRINCE2 7 issues practice: types of issue, baselines, change control, change authority, change budget, issue register, issue report and technique.
- 6 min
- Purpose: collect and assess issues and control changes to baselines.
- An issue is any event relevant to the project that needs project management consideration.
- Types include request for change, off-specification, problem or concern, and business opportunity.
What it is
The purpose of the issues practice is to collect and assess issues and control changes to the project's baselines. It makes sure that anything relevant to the project is captured, assessed and decided on, and that baselines only change with the right approval.
In PRINCE2 7 an issue is any event relevant to the project that requires project management consideration. Issues can arise at any time and be raised by anyone with an interest in the project.
How it works
Types of issue
| Type | Meaning | Example |
|---|---|---|
| Request for change | A proposal for a change to a baseline | The senior user asks for an extra report |
| Off-specification | Something that should be provided by the project but is not, or is forecast not to be | A product fails one of its quality criteria |
| Problem or concern | A problem has an immediate negative effect; a concern still needs its impact and timing assessed | A key team member is off sick |
| Business opportunity | An unexpected chance to improve the project's outcomes or benefits | A partner offers to share a facility at no cost |
A change is a modification to any of the approved products that make up the project baseline. Requests for change and off-specifications usually lead to a change; problems, concerns and opportunities may or may not. The syllabus lists change alongside these types, so treat the list as the main kinds rather than a closed set.
Key concepts: baselines and change control
A project baseline is the set of approved versions of products, both management products such as the PID and plans and the products being built, that can be changed only through formal change control.
Change control is the procedure that makes sure all changes that may affect the project's agreed objectives are identified, assessed and then approved, rejected or deferred.
Guidance: issue resolution
Not every issue needs formal handling. The project manager may deal with an issue informally, recording it in the daily log, or formally, recording it in the issue register with an issue report where needed.
The decision depends on the issue's impact and whether it can be resolved within the project manager's authority. Issues that would cause a stage tolerance to be exceeded are escalated to the project board.
Guidance: delegating authority for changes
The project board is responsible for approving changes, but it can delegate this to a change authority: a person or group given authority to approve requests for change and off-specifications within agreed limits.
| Change size | Typical decision maker |
|---|---|
| Minor, within agreed limits | Project manager acting as change authority |
| Moderate | Delegated change authority (for example, a senior user's representative) |
| Major or affecting project tolerance | Project board, or the business layer if project tolerance is threatened |
Guidance: change budget
A change budget is a sum of money that the customer and supplier agree will be used to fund the cost of requested changes. It is usually made available to the change authority, so small approved changes can be paid for without going back to the board each time.
Management products
| Product | Purpose |
|---|---|
| Issue management approach (PID) | Describes how issues will be identified, assessed and controlled, including change control and who can approve changes |
| Issue register (project log) | Captures and maintains information on all issues being managed formally |
| Issue report | Contains the description, impact assessment and recommendations for an issue handled formally, and later records the decision |
The issue technique
In outline: capture the issue and decide whether to handle it formally or informally; assess its impact on the project's objectives and business case; recommend options; obtain a decision from the right authority; and implement the chosen action, updating plans and records.
Relationship to the principles
| Principle | Link to issues |
|---|---|
| Ensure continued business justification | Changes are assessed against the business case |
| Manage by exception | Issues threatening tolerance are escalated |
| Define roles, responsibilities and relationships | Change authority and approval limits are defined |
| Focus on products | Off-specifications are judged against product descriptions |
| Manage by stages | Issues may be decided at stage boundaries |
| Learn from experience | Issues often reveal lessons |
| Tailor to suit the project | Formality of change control suits the project |
A worked example
A school's new timetabling software project has an approved PID and product descriptions. A deputy head asks for the software to also manage room bookings: a request for change. The project manager captures it in the issue register, writes an issue report assessing two extra weeks and some extra cost, and recommends approval.
The change exceeds the change authority's limits, so it goes to the project board, which approves it from the change budget and updates the stage plan. Separately, a test shows printouts are unreadable: an off-specification that the team fixes within tolerance.
How the exam asks about this
- "Which type of issue is a proposal for a change to a baseline?" A request for change.
- "What is an off-specification?" Something that should be provided by the project but is not, or is forecast not to be.
- "Which product captures issues being managed formally?" The issue register.
What to remember for the exam
- Purpose: collect and assess issues and control changes to baselines.
- An issue is any event relevant to the project that needs project management consideration.
- Types include request for change, off-specification, problem or concern, and business opportunity.
- Baselines change only through change control.
- The board can delegate approval of changes to a change authority with a change budget.
A risk is an uncertain event that may happen; an issue is already relevant and needs attention now. Do not record an issue in the risk register.
Common mistakes
Logging every issue formally. Minor issues can be handled informally in the daily log.
Thinking change authority must be the board. The board can delegate to a change authority within limits.
Confusing off-specifications with requests for change. An off-specification is a shortfall against what was agreed; a request for change asks to alter what was agreed.
Check yourself
What is a project baseline?
The approved versions of the project's products, including management products such as the PID and plans, that can only be changed through formal change control.
What is a change budget used for?
To fund the cost of approved requests for change, usually made available to the change authority.
Where is an issue handled informally recorded?
In the daily log, within the project log.
Topic 7 of 9 in PRINCE2 Practices
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