PRINCE2
PRINCE2 (PRojects IN Controlled Environments) is a structured, process-based project management method — widely used in the UK, Europe and government — organised around seven principles, seven themes and seven processes.
PRINCE2 is a scalable, process-driven project management methodology that describes how to organise, manage and control a project from start to finish. It is built on seven principles (such as continued business justification and manage by exception), seven themes (business case, organisation, quality, plans, risk, change, progress) that must be addressed throughout, and seven processes that map to the project lifecycle. PRINCE2 is deliberately method-agnostic about delivery technique — it can wrap Agile or plan-driven work — and emphasises governance, defined roles and business justification at every stage.
PRINCE2 at a glance
- Category
- Methodologies & Frameworks
- Type
- Methodology / framework
- Appears in
- 1 section
- Related
- Lean Six Sigma, PRINCE2 Agile, Six Sigma
Why it matters
PRINCE2 provides a common, teachable governance framework that scales from small to very large projects and is method-neutral about how the work itself is done. Its stage-gate structure and "manage by exception" model give senior management control without micromanagement: they set tolerances and are only pulled in when those are breached. Its clear roles and mandatory business case keep projects justified and accountable.
When to use it
PRINCE2 suits organisations that need consistent governance across a portfolio of projects, and environments — especially UK/EU public sector — where it is a de facto standard. It fits projects that benefit from formal stages and defined roles. Very small or highly informal efforts may find its full apparatus heavy, though it is designed to be tailored down.
How to use it
- Apply the seven principles as non-negotiable checks (e.g. continued business justification).
- Address the seven themes continuously — business case, organisation, quality, plans, risk, change, progress.
- Run the seven processes: starting up, directing, initiating, controlling a stage, managing product delivery, managing stage boundaries, closing.
- Manage by exception: set tolerances for each stage and escalate only when they are threatened.
- Tailor the method to the project’s size and context rather than applying it wholesale.
Example
A government department runs a records-digitisation project under PRINCE2. The project board (executive, senior user, senior supplier) sets stage tolerances; the project manager runs each stage and reports by exception. At each stage boundary the business case is re-checked before the board authorises the next stage — so funding is committed one stage at a time.
Template
PRINCE2 uses defined management products: a Project Initiation Documentation (PID), business case, risk register, quality register and highlight/exception reports.
Tools
FAQs
What is the difference between PRINCE2 and PMP?
What does "manage by exception" mean?
Can PRINCE2 be used with Agile?
Alternatives
- PMBOK / PMP — knowledge-based standard rather than a method
- PRINCE2 Agile — the Agile-integrated variant
- ISO 21502 — international project management guidance