PMP - Project Governance - Page-10

🏛️ Project Governance (PMP)

Decision Making, Accountability & Control Framework

What is Project Governance?

In PMP terminology, Project Governance is: The framework of rules, policies, procedures, and decision-making structures that guide how a project is directed and controlled.

It defines who makes decisions, how decisions are made, and how accountability is ensured throughout the project.

📘 Project Governance (PMP)

Project governance ensures that a project is:

Aligned with organizational strategy

Properly controlled and monitored

Transparent and accountable

Following defined standards and policies

🔑 Key Elements of Project Governance

1. Decision-Making Structure
Who approves scope, budget, changes, deliverables
Example: Steering committee, sponsor

2. Roles & Responsibilities
Project sponsor, Project manager, PMO, Stakeholders

3. Policies & Standards
Risk rules, quality standards, change control process

4. Oversight & Control
Performance monitoring, stage gates, audits, reviews

🧠 Example

A company is building a new IT system:

• The Project Manager runs daily work
• The Sponsor approves funding and major decisions
• A Steering Committee reviews progress monthly
• The PMO ensures standards are followed

👉 All these together form project governance.

Project Governance vs Project Management

Project Governance	Project Management
Defines direction and rules	Executes the work
Focus on “what & why”	Focus on “how”
Strategic oversight	Day-to-day management
Sponsor / Steering Committee	Project Manager

🎯 PMP Exam Tip

If a question mentions:

• Approvals
• Oversight
• Decision authority
• Compliance with policies

👉 It is referring to Project Governance

📊 Why Governance is Important

Ensures alignment with business goals

Reduces risk of failure

Improves accountability

Ensures consistent decision-making

Supports transparency

Project Governance ensures structured decision-making, accountability, and control for successful project delivery.