Team Charter

What is a Team Charter

When starting any project, it is necessary that information like -

what are we here to do ( problem statement),
where do we want to go ( goal statement),
why are we doing this ( business case),
whats our scope
by when, how ( milestones and method),
who all are involved and their roles (ARMI)

Is captured and agreed upon by the team.

The team charter is a template that helps us capture this information

When to use a Team Charter

At the start of any project
Should be displayed in the project area
Should be reviewed and revised throughout the project life-cycle ( with approvals as required)
A charter

Clarifies what is expected of the team

Keeps the team focused

Keeps the team aligned with organizational priorities

Transfers the project from the champion/sponsor to the improvement team

How to create a Team Charter

Charter may be created by the project manager with help of the sponsor
You may use the attached template
Problem Statement: refer here
Business case: should answer the question - why is the project worth doing NOW over other projects. Beyond the statement in the charter, there would be a requirement of doing financial / prioritization analysis of the project to substantiate/ feed to the business case
Goal Statement: is your improvement objective

Should start with a verb

At the start of the improvement project - you state a broad improvement target / eventually as the project progresses, you should write a measurable target with date

Should not presume cause of the problem ( for DMAIC project) - if you know the cause, just do it - why write a charter for a known solution unless its an implementation project

Should be SMART - Specific, Measurable, Attainable, Relevant, Time-bound

Scope: is your focus area

Specific process area you want to work on - start and end point

What's out of scope

Milestone: preliminary, high-level project plan with dates

At the minimum start and end date

Include phases and dates for each to end - depending on the project type e.g. DMAIC or as the method you are following

ARMI: many projects are cross-functional and resources need to be secured, for that we need to know time commitment and what roles will they play. ARMI is a tool that can help.