PRINCE2 terminology

   PRINCE2 terminology

The following terms are the most important to understand with regard to PRINCE2 and are
all included in the Glossary. Readers should familiarise themselves with them to prevent any
possible confusion when using PRINCE2.

Business Case is used to define the information that justifies the setting up, continuation or
termination of the project. It answers the question: ‘Why should this project be done?’ It is
updated at key points throughout the project.

Customer is used to represent the person or group who has commissioned the work and will
be benefiting from the end results.

Product is used to describe everything that the project has to create or change, however
physical or otherwise this may be. Results of projects can vary enormously from physical
items, such as buildings and machinery, to intangible things such as culture change and
public perception.

Programme is a collection of projects that together achieve a beneficial change for an
organisation.

Supplier is used to mean the group that is providing specialist resources and skills to the
project or is providing goods and services to create the project outcome required by the
customer and user(s).

User is defined as the person or group who will use or operate the final product. In some

situations, the customer and user may be the same group of people.

A PRINCE2 project, therefore, has the following characteristics:

       A finite and defined life cycle

       Defined and measurable business products

       A corresponding set of activities to achieve the business products

       A defined amount of resources

      An organisation structure, with defined responsibilities, to manage the project.
Within any project there are stakeholders with an interest in the project and its product,
including:

        Customers, who have commissioned the work and will be benefiting from the end
       results

       User(s), who will use or operate the final product.The customer and user may be the
        same group of people

        Suppliers, who are providing specialist resources and/or skills to the project or are
       providing goods and services

        Sub-contractors, who provide products or services to the supplier.