Business Documents in Project Management

PMBOK v8 Definition

Business documents are documents that generally originate outside of the project but are used as inputs to the project. They include the business case and the benefits management plan, which contain information about the project's objectives and how the project will contribute to the business goals. Both documents are developed prior to the project being initiated and are referenced after the project has been completed, making them business documents rather than project documents or components of the project management plan.

Why It Matters for the Exam

This concept appears frequently in PMI exam questions testing your understanding of what originates before the project charter versus what is created during the project. Expect questions that ask you to distinguish business documents from project documents, identify who is accountable for the business case, and recognize when these documents are used throughout the project life cycle.

Key Points to Remember (for the exam)

• Two Business Documents: Business case and benefits management plan are the ONLY two business documents
• Developed Before Project Initiation: Both are created prior to the project being initiated
• Not Part of Project Management Plan: They are NOT components of the project management plan
• Not Project Documents: They are NOT considered project documents
• Input to Develop Project Charter: These business documents may be inputs to processes like developing the project charter
• Used Throughout Life Cycle: The business case is used throughout the project life cycle and may result in a go/no-go decision
• Sponsor Accountability: The project sponsor is generally accountable for the development and maintenance of the project's business case document
• Business Case Definition: A documented economic feasibility study used to establish validity of the benefits to be delivered
• Periodic Review: Both documents are reviewed periodically throughout the project

Typical PMI Exam Example

A project manager is preparing to develop the project charter. The sponsor provides a document that includes the economic feasibility study and justification for project initiation. Which document has the sponsor provided?

Answer: The business case, which is a business document developed prior to project initiation and used as an input to developing the project charter.

PMI Exam Traps

• Trap: Confusing business documents with project documents Reality: Business documents (business case, benefits management plan) originate outside the project and are developed before initiation; project documents are created during the project

• Trap: Thinking the project manager creates the business case Reality: The project sponsor is generally accountable for the business case; the project manager may be involved but does not own it

• Trap: Believing business documents are part of the project management plan Reality: Business documents are separate from and not components of the project management plan

• Trap: Assuming the business case is only used at the start of the project Reality: The business case is used throughout the project life cycle and may be used before project initiation for go/no-go decisions

Important PMI Connections

Quick Review Questions

1. What are the two documents classified as business documents in PMBOK v8?

2. Who is generally accountable for the development and maintenance of the project's business case document?

3. Are business documents considered part of the project management plan or project documents?

4. When are the business case and benefits management plan developed relative to project initiation?

5. Can the business case be used after the project has been completed?

PMBOK v8 Reference

Section 2.3 - Business Documents (PMBOK v8)