Project Scope Statement
Date
Table of Contents
Introduction 3
Project Purpose and Justification 3
Scope Description 3
High Level Requirements 3
Boundaries 3
Strategy 4
Deliverables 4
Acceptance Criteria 4
Constraints 4
Assumptions 4
Cost Estimate 4
Cost Benefit Analysis 5
Introduction
The green text in this document is guidance for you on filling out this template. Please replace it with your own words.
The purpose of the project scope statement is to provide a baseline understanding of the scope of a project, including the project’s scope and deliverables and the work required to complete the deliverables, and ensure a common understanding of the project’s scope among all stakeholders.
The project scope statement defines the following:
Project purpose and justification
Scope description
High-level project requirements
Project boundaries
Project strategy
Project deliverables
Acceptance criteria
Project constraints
Project assumptions
Cost estimates
Cost benefit analysis
Project Purpose and Justification
It is important that project stakeholders understand the purpose and justification of a project. Projects are conceived to support various business goals and objectives and these must be communicated to ensure understanding of how the project will improve business. This also helps stakeholders understand the investments being made and how this translates into better business performance.
Scope Description
The scope description should include all known characteristics of the project’s product or service. It is important to note that as the project moves further along in its life cycle, this scope description will become more defined. All details may not be known at the onset of the project, and it may be progressively elaborated as the project moves forward. This section is key as it serves as a primary reference for project planning and execution later in the life cycle. This section should contain descriptions of what is included in the product or service as well as the desired outcome of the project.
High-Level Project Requirements
This section should describe the capabilities to be met by successful completion of the project. Depending on the size of the project, there may be very many or very few requirements. However, during the creation of the project scope statement, it is important to capture, at least, the high-level requirements as many detailed requirements may not yet be known.
Project Boundaries
Project boundaries are an important part of the project scope statement as they identify what should be included in the project as well as what should not be included. Without specific boundaries as a part of the project scope statement, it is possible to introduce scope creep as stakeholders may assume certain items to be included in the project that are not clearly stated.
Project Strategy
This section should describe the strategy the project team will use in executing the project. Depending on the size and complexity of the project, strategy can differ significantly. As the number of stakeholders, deliverables, and complexity grow, the strategy may become more difficult to plan. Strategy is sometimes referred to as the approach the team will take to complete the project.
Project Deliverables
Project deliverables are the products or outputs that the project is intended to produce. Deliverables may also include various reports or documentation. This section should describe the project’s deliverables, which may appear in general terms and not a high level of detail. During the project life cycle, more detail can be added as it is determined.
Acceptance Criteria
Acceptance criteria must be met for the project to be considered complete and accepted by management. This section is important as it sets the expectations of what will and will not constitute acceptance of the project. Without clear definition of what will be accepted, there may be uncertainty across the project team and stakeholders. Acceptance criteria may be both qualitative and quantitative.
Project Constraints
Project constraints are limitations that the project faces due to funding, scheduling/time, technology, or resources. Constraints may also be physical (i.e., inadequate space or facilities). Constraints must be carefully planned for and communicated to all stakeholders as they may require an elevated level of urgency or flexibility to work within and successfully complete the project. This section should describe the project’s constraints to ensure that all stakeholders understand the limitations within which the project must be completed.
Project Assumptions
Project assumptions are factors affecting the project that are believed to be true but that have not been verified. It is important to document these assumptions because there is a level of uncertainty associated with them that introduces risk to a project. This section should describe the assumptions for the project so all stakeholders are aware and so that they can be analyzed going forward in order to mitigate risk.
Cost Estimates
The project cost estimate is the foundation for budgeting for the project. It represents an estimate of the funding that will be needed to successfully complete the project. While all costs may not be exactly known until later in the project life cycle, it is extremely important to develop as accurate an estimate as possible. This section should provide a project cost estimate with all known details so that there is a common understanding among all stakeholders.
Expense Estimated Budget Expended to Date Estimate to Complete Variance
Cost Benefit Analysis
The project cost benefit analysis is a measure of a project’s costs vs. its benefits to determine a course of action that is most beneficial to an organization in terms of cost. Projects are undertaken to provide some benefit to an organization assuming the project is completed successfully. If there is no benefit provided by a project, then it will not be approved. However, there must be a quantitative way to measure the benefit provided by the project. This section must provide this quantitative analysis and ensure all stakeholders understand why the project has been approved as well as the benefits.
Sponsor Acceptance
Approved by the Project Sponsor:
Date:
<Project Sponsor>
<Project Sponsor Title>
