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Differences Between PRINCE2 7th and 6th Edition

Tecknologia News & Blog

Publised On:Aug 08, 2023

PRINCE2-7th-Edition-Handbook.webp

PRINCE2® was first launched in 1996, and has had six editions (before current release), the last update was released in 2017 referred to as PRINCE2 6th edition.  PRINCE2 7th edition (latest edition of PRINCE2) seeks to respond to a number of changes that have taken place in the world and in the discipline of project management since then.

What’s New in PRINCE2 7th Edition?

  • Integration of People: People are central to successful projects and now they are integrated into the PRINCE2 method.
  • Project performance: Sustainability has been added as a seventh aspect of project performance to reflect modern organisational needs.
  • Digital and data: To meet the evolving needs of project management professionals the addition of a digital and data management approach.

What has not changed in PRINCE2 7th Edition?

The essence of what a project is remains the same – it is temporary, it is product-focused, and there should always be an ongoing business justification.

The overall structure of PRINCE2 is clearly recognisable, as the new edition has principles, practices (what were previously called themes) and a set of processes that make up the lifecycle of a project in the way that the previous version also did. However, within and alongside those principles, practices and processes there has been a number of changes, additions and deletions. This document aims to explain what has changed.

Diagrams have been updated, and four project scenarios added to illustrate how PRINCE2 can be used in practice for different types of projects.

Below is the summary comparison between PRINCE2 6th and PRINCE2 7th editions:

Topic AreaPRINCE2 6th EditionPRINCE2 7th Edition
Manual pages405 pages343 pages
PRINCE2 does not guide on
  • Leadership capabilities
  • Specialist aspects of project work
  • Detailed project management techniques
  • Specialist aspects of project work
  • Detailed project management techniques
PRINCE2 Integrated Elements

4 integrated elements:

  • Project context
  • Principles
  • Themes
  • Processes

5 integrated elements:

  • People
  • Project context
  • Principles
  • Practices
  • Processes
Project ManagementProject management is the planning, delegating, monitoring and control of all aspects of the project, and the motivation of those involved, to achieve the project objectives within the expected performance targets for time, cost, quality, scope, benefits and risk.Project management is the application of methods, tools, techniques, and competencies to enable the project to meet its objectives.
Performance Targets

6 performance targets:

  • Benefit
  • Costs
  • Timescales
  • Quality
  • Scope
  • Risk

7 performance targets:

  • Benefit
  • Costs
  • Time
  • Quality
  • Scope
  • Sustainability
  • Risk
Delivery method (approach)
  • Waterfall
  • Agile
  • Linear-sequential approach
  • Iterative-incremental approach
  • Hybrid approach
Principles

The principles are the guiding obligations and good practices which determine whether the project is genuinely being managed using PRINCE2.

  • continued business justification
  • learn from experience
  • defined roles and responsibilities
  • manage by stages
  • manage by exception
  • focus on products
  • tailor to suit the project.

The PRINCE2 principles are the guiding obligations that determine whether the project is genuinely being managed using PRINCE2 and ensure effective application and tailoring of PRINCE2 to any project.

  • ensure continued business justification
  • learn from experience
  • define roles, responsibilities, and relationships
  • manage by stages
  • manage by exception
  • focus on products
  • tailor to suit the project.

 

Management StageThe section of a project that the project manager is managing on behalf of the project board at any one time, at the end of which the project board will wish to review progress to date, the state of the project plan, the business case and risks and the next stage plan, in order to decide whether to continue with the project.

Refers to it as a “stage” only:

The section of a project that the project manager is managing on behalf of the project board at any one time.

PeopleNot used

Key message:

The purpose of a project is to deliver change, which will affect people in their business as usual (BAU) activities, routines, and responsibilities. How well the change is implemented, and therefore how well the project performs, depends on the capabilities of the project team, the strength of the relationships between them, and the people impacted by the change.

Change Management & Change Management ApproachNot used

Change management is the means by which an organization transitions from the current state to the target state.

The change management approach is part of the project initiation documentation.

Its purpose is to establish the target organizational state required for the project to meet its objectives together with the means by which the business will shift from the current state and through any interim states.

Practices (formerly Themes)

The themes describe aspects of project management that must be addressed continually and in parallel throughout the project.

  • Business case
  • Organisation
  • Quality
  • Plans
  • Risk
  • Change
  • Progress

An aspect of project management that must be applied consistently and throughout the project lifecycle. The practices require specific treatment of that aspect of project management for the PRINCE2 processes to be effective.

  • Business case
  • Organizing
  • Plans
  • Quality
  • Risk
  • Issues
  • Progress
PRINCE2’s requirements for each themeDescribed in each theme chapter.Themes have been renamed as practices and this section has been omitted. 
Business case management technique

Not specifically mentioned as a technique but has following elements:

  • Develop
  • Verify
  • Maintain
  • Confirm
  • Develop
  • Check
  • Maintain
  • Confirm
Investment Appraisal
  • Whole-life costs
  • Net benefits
  • Return on investment (ROI)
  • Payback period
  • Net present value
  • Sensitivity analysis
  • Whole-life costs
  • Net benefits
  • Return on investment (ROI)
  • Payback
  • Net present value (NPV)
  • Internal rate of return
  • Options analysis
  • Sensitivity analysis
Multi-case ModelNot used

Evaluating investments from different perspectives, rather than focusing solely on financial return, gives a rounded view of whether an investment is desirable, viable, and achievable. Examples of some different investment perspectives include:

  • Strategic perspective
  • Economic perspective
  • Financial perspective
  • Implementation and commercial perspective
Roles and responsibilities of each practice (formerly Theme)

Cover the responsibilities of:

  • Corporate, programme management or customer
  • Executive
  • Senior user(s)
  • Senior supplier(s)
  • Project manager
  • Project assurance
  • Project support

Cover the responsibilities of:

  • Business layer
  • Project executive
  • Senior user
  • Senior supplier
  • Project manager
  • Team manager
  • Project assurance
  • Project support
Practices key relationship of principles Not coveredSection in each practice chapter covering the details of key relationship of practice with principles. 
Organisational levels (formerly four levels of management)
  • Corporate, programme management or the customer
  • Directing
  • Managing
  • Delivering
  • Commissioning (business layer)
  • Directing (project board)
  • Managing (project manager)
  • Delivering (team managers)
Change Authority

Part of the organizational structure diagram as a role. 

It is the project board’s responsibility to agree to each potential change before it is implemented. In a project where few changes are envisaged, it may be reasonable to leave this authority in the hands of the project board.

Not part of the organizational structure diagram. 

The project board may choose to establish a change authority, distinct from the project manager, which reports to the project board.

The use and composition of a change authority is documented in the issue management approach.

Work breakdown structureA work breakdown structure is a hierarchical breakdown of the entire work that needs to be completed during a plan; in PRINCE2 a work breakdown structure contains just activities.A hierarchy of all work to be done during a project that forms a link between the product breakdown structure and the work packages.
Technique for organizational design and developmentNone

Five-step organizational design and development technique:

  • Understand organizational ecosystem
  • Design project ecosystem
  • Develop project ecosystem
  • Manage changes to project ecosystem
  • Transition project into organizational ecosystem
Scope

Defined as:

For a plan, the sum total of its products and the extent of their requirements. It is described by the product breakdown structure for the plan and associated product descriptions.

Defined as:

The sum of the product, delivery, and management activities represented by an approved plan and its product descriptions and work package descriptions.

Project product description

Defined as:

A special type of product description used to gain agreement from the user on the project’s scope and requirements, to define the customer’s quality expectations and the acceptance criteria for the project.

Defined as:

A description of the project’s major products or outcomes, including the user’s quality expectations, together with the acceptance criteria and acceptance methods for the project.

Quality specifications (formerly quality criteria)

Defined as:

A description of the quality specification that the product must meet, and the quality measurements that will be applied by those inspecting the finished product.

Defined as:

A description of the quality measures that will be applied by those performing quality control and the levels that a finished product must meet.

PRINCE2 focus of quality management

Focus on two elements:

  • Quality planning
  • Quality control

Quality assurance is described as a separate topic

Focus on three elements:

  • Quality planning
  • Quality control
  • Quality assurance
PRINCE2 technique for risk management

Contains following five steps:

  • Identify
    • Identify context
    • Identify the risk
  • Assess
    • Estimate
    • Evaluate
  • Plan
  • Implement
  • Communicate

Contains following five steps:

  • Identify
    • Define context and objectives
    • Identify threats and opportunities
  • Assess
    • Prioritize risks
    • Assess combined risk profile
  • Plan
  • Implement
  • Communicate
Risk management supporting techniques
  • Risk Models
  • Expected monetary value
  • Probability impact grid
  • Expected value
  • Probability trees
  • Pareto analysis
  • Review lessons
  • Risk checklist
  • Brainstorming
  • Risk breakdown structure
  • Cause and effect diagram
  • Horizon scanning/ PESTLE/ SWOT analysis
  • Prompt lists
  • Pre-mortem analysis
  • Swiss cheese model
  • Use of data
Off-specification

Defined as:

Something that should be provided by the project, but currently is not (or is forecast not to be). It might be a missing product or a product not meeting its specifications. 

Defined as:

A product that will not meet its quality specifications.

Problem or concern

Defined as:

Any other issue that the project manager needs to resolve or escalate.

  • A problem is an issue with an immediate and negative impact.
  • A concern is an issue whose timeliness and impact need to be assessed.
Change budget

Defined as:

A change budget is a sum of money that the customer and supplier agree will be used to fund the cost of requests for change, and possibly also their analysis costs.

Defined as:

The money or authorized constraints set aside in a plan to cover changes. It is allocated by those with delegated authority to deliver authorized changes.

Issue management supporting techniquesNone specified
  • Root cause analysis
  • Pareto analysis
  • Cause and effect analysis
  • Failure mode analysis
  • Five Whys
Configuration item record

Defined as:

A record that describes the status, version and variant of a configuration item, and any details of important relationships between them.

Not specified
Product status account

Defined as:

A report on the status of products. The required products can be specified by identifier or the part of the project in which they were developed.

Not specified
Exception

Defined as:

An exception is a situation where it can be forecast that there will be a deviation beyond agreed tolerance levels.

Defined as:

A situation where it can be forecast that there will be a deviation beyond the tolerance levels agreed between the project manager and the project board (or between the project board and business layer).

Progress evaluation techniques
  • Milestone chart
  • S-curve
  • Earned value management
  • Burn charts
  • Kanban board
  • Dashboards
  • Daily Stand-ups
  • Earned value management
  • Peer review
  • Burn charts
  • Retrospectives
  • Kanban board
Structure of Processes Chapter
  • Purpose
  • Objective
  • Context
  • Activities (detail of each activity follows with separate graphical representation of each activity)
  • Tailoring guidelines
  • Purpose
  • Objectives
  • Context
  • Activities (detail of each activity follows – NO separate graphical representation of each activity)
  • Applying the process
    • General considerations
    • Tailoring roles in the process
  • Responsibilities
  • Application of the practices to this process
Activities in Starting up a project
  • Appoint the executive and project manager
  • Capture previous lessons
  • Design and appoint the project management team
  • Prepare the outline business case
  • Select the project approach and assemble the project brief
  • Plan the initiation stage
  • Appoint the executive and project manager
  • Assess previous lessons
  • Appoint the project management team
  • Prepare the outline business case
  • Select the project approach
  • Assemble the project brief
  • Plan the initiation stage
  • Request project initiation
Activities in Directing a project
  • Authorize initiation
  • Authorize the project
  • Authorize a stage or exception plan
  • Give ad hoc direction
  • Authorize project closure
  • Authorize initiation
  • Authorize the project
  • Authorize a stage or exception plan
  • Give ongoing direction
  • Authorize project closure
Activities in Initiating a project
  • Agree the tailoring requirements
  • Prepare the risk management approach
  • Prepare the quality management approach
  • Prepare the change control approach
  • Prepare the communication management approach
  • Set up the project controls
  • Create the project plan
  • Refine the business case
  • Assemble the project initiation documentation
  • Agree the tailoring requirements
  • Agree the management approaches
  • Establish project controls
  • Create the project plan
  • Prepare the project plan
  • Prepare the full business case
  • Assemble the project initiation documentation
  • Request project authorization
Activities in Controlling a stage
  • Escalate issues and risks
  • Report highlights
  • Take corrective action
  • Review the management stage status
  • Capture and examine issues and risks
  • Authorize a work package
  • Review work package status
  • Receive completed work package
  • Escalate issues and risks
  • Report highlights
  • Take corrective action
  • Evaluate stage status
  • Capture issues and risks
  • Authorize a work package
  • Evaluate work package status
  • Receive completed work package
Activities in Managing product delivery
  • Accept a work package
  • Execute a work package
  • Deliver a work package
  • Accept a work package
  • Execute a work package
  • Evaluate a work package
  • Notify work package completion
Activities in Managing a stage boundary
  • Report management stage end
  • Update the business case
  • Update the project plan
  • Plan the next management stage
  • Produce an exception plan
  • Request the next stage
  • Evaluate the stage
  • Update the business case
  • Update the project plan
  • Prepare the next stage plan
  • Prepare exception plan
Activities in Closing a project
  • Prepare planned closure
  • Prepare premature closure
  • Hand over products
  • Evaluate the project
  • Recommend project closure
  • Prepare planned closure
  • Prepare premature closure
  • Confirm project acceptance
  • Evaluate the project
  • Request project closure
Considerations for organizational adoptionChapter 21 covers the topicRemoved
Appendices
  1. Product description outlines
  2. Standards alignment
  3. Roles and responsibilities
  4. Product-based planning
  5. Health check
  1. Management products
  2. Role descriptions
Management productsCovers 26 productsCovers 15 products
Role descriptions

Covers 9 separate roles:

  1. Project board
  2. Executive
  3. Senior user
  4. Senior supplier
  5. Project manager
  6. Team manager
  7. Project assurance
  8. Change authority
  9. Project support

Covers 7 separate roles:

  1. Project assurance
  2. Project executive
  3. Project manager
  4. Project support
  5. Senior supplier
  6. Senior user
  7. Team manager
Further researchIncludedRemoved
GlossaryIncludedIncluded

PRINCE2 7th Edition Certification Levels:

There is no change in the certification levels offered. Both foundation and practitioner levels will continue to be offered. However, the pass marks for both exams have been increased to 60% (previously 55%). 

PRINCE2 7th Edition Trainings:

Tecknologia will be offering PRINCE2 7th edition training courses from September 2023. Trainings will be offered in virtual classroom, public classroom and in-house formats.