The project aims to consolidate all customer relationship management processes (CRMPs) and databases across HLR Inc.'s divisions into a new standardized customer relationship management process (SCRMP) system. Key goals include identifying best CRMP practices, developing new unified SCRMP practices, building a secure worldwide SCRMP database, and implementing the new system within 18 months for $500,000. The project impacts HLR Inc.'s IT, sales, fulfillment, service, billing, and marketing departments, and relies on involvement from business unit managers and a contracted software vendor.

1. HLR Inc. SCRMP Project
Project Charter Document
Project Name: Standard Customer Relationship Management Processes (SCRMP)
Departments: IT, Sales, Product Fulfillment, Customer Service, Billing, Marketing
Focus Area: Customer Relationship Management
Product/Process: Information Systems and Process Reengineering
Prepared By
Document Owner(s) Project/Organization Role
Loren Karl Schwappach PM600 Author of Project Charter (Team Lead)
Brett Carlsen PM600 Team Member
Martin Moxley PM600 Team Member
Steven Rowe Dropped PM600 Class – No longer involved in
project.
Project Charter Version Control
Version Date Author Change Description
1 23 Jul 11 Loren K Document created and completed using a
Schwappach Project Charter template from Microsoft
Confidential
HLR, Inc. Internet Technology (IT) Department
Last printed on 8/9/2011 11:36:00 PM

2. Project Charter
TABLE OF CONTENTS
1 PROJECT CHARTER PURPOSE 3
2 PROJECT EXECUTIVE SUMMARY 3
3 PROJECT JUSTIFICTION 6
4 PROJECT SCOPE 6
4.1 GOALS AND OBJECTIVES 6
4.2 DEPARTMENTAL STATEMENTS OF WORK (SOW) 7
4.3 ORGANIZATIONAL IMPACTS 7
4.4 PROJECT DELIVERABLES 8
4.5 PROJECT ESTIMATED COSTS & DURATION 9
5 PROJECT CONDITIONS 11
5.1 PROJECT ASSUMPTIONS 11
5.2 PROJECT ISSUES 12
5.3 PROJECT RISKS 12
6 PROJECT TEAM ORGANIZATION PLANS 14
7 APPROVALS 15
Confidential Page 2 8/9/2011

3. Project Charter
1 PROJECT CHARTER PURPOSE
The project charter explains the scope, objectives, and overall approach for the work to be
completed on the SCRMP project. It is a critical element for initiating, planning, executing,
controlling, and assessing the project. It should be the single point of reference on the
project for project goals and objectives, scope, organization, estimates, work plan, and
budget. In addition, it serves as a contract between the Project Team and the Project
Sponsors, stating what will be delivered according to the budget, time constraints, risks,
resources, and standards agreed upon for the project.
2 PROJECT EXECUTIVE SUMMARY
 Project Background:
The Standard Customer Relationship Management Processes (SCRMP) project was is a
major incentive by HLR Inc. as solution to create an accurate, shared, standardized
customer information system and customer management process database and business
process reengineering for consolidating management and market research data into a
globally sharable and secure system shared by HLR Inc. divisions. SCRMP is the largest
project ever undertaken by HLR Inc. and is imperative for the continual growth in sales
development that is expected at HLR Inc. next year.
The SCRMP project will be lead by HLR Inc’s Internet Technology (IT) Department and will
focus on updating the software and information systems of several departments to include
IT, sales, product fulfillment, customer service, billing, and marketing. The project will also
involve cooperative work between IT, current business unit managers, sales, product
fulfillment, customer service, billing, marketing, and a software vender contracted for
developing and installing the new information system required for the project.
The software vender will play a large role in the SCRMP project and has been contracted
to provide essential personnel with the skill and experience needed to develop and install
the SCRMP software at all HLR Inc’s locations to include foreign locations and will be
assigned to work with business unit managers and low level staff towards the project’s
completion.
 Project Purpose:
The purpose of the SCRMP project is to secure and unify all incompatible customer
relationship management process systems at HLR Inc. into a reliable, accurate and secure
standard information system database that can be utilized for obtaining reliable customer
information and marketing data and making timely and critical business decisions.
Confidential Page 3 8/9/2011

4. Project Charter
 Project Organization:
HLR Inc. is a large business headquartered in Chicago responsible for purchasing,
establishing, and maintaining leasing and rental arrangements for small businesses all
over the world.
 Project Goals:
The project goals for the SCRMP project include: consolidate all customer relationship
processes (CRPs) used by each division, identify top CRPs, incorporate top CRPs into
processes utilized in each division, perform CRP test runs in each division, consolidate
CRP informational databases at each division into unified database, developing a
secure worldwide CRP database to act as new SCRMP database, integrating all
combined CRP data into SCRMP database, perform developmental testing of SCRMP
database, receive customer approval of SCRMP database, install SCRMP database at
specified locations, perform HLR employee system testing, conduct software and
system implementation troubleshooting, perform system patching, complete SCRMP
project within time and budget constraints.
 Project Objectives:
The objectives of the SCRMP project include: assign a CRMP process collection team
made composed of at least one CRMP knowledge expert from each division and
business unit managers for each unit to include IT, sales, product fulfillment, customer
service, billing, and marketing, identify best/top CRMP practices used by each unit,
incorporate top CRMPs into processes utilized in each division, combine CRMPs
business practices into new SCRMP practices, perform test run of new SCRMP
business practices, provide corporate training of new SCRMP practices, provide
corporate guidelines and policies for using new SCRMP, set mandatory date for
enforcement of new SCRMP practices to 6 months from project start date., assign a
SCRMP database specification, development, and testing team that includes members
from the CRMP business process reengineering team, collect CRMP informational
databases from each division, consolidate CRMP informational databases at each
division into unified database, create a requirements specification document outlining
the requirements of the new SCRMP database, ensure SCRMP database corresponds
with guidelines and information requirements from new SCRMP business practices,
engineer a secure, worldwide, SCRMP database unifying all divisional CRMP
databases, integrate combined CRMP data into SCRMP database, receive approval for
each division of new SCRMP database, install SCRMP database at specified locations,
perform HLR Inc. employee system testing, conduct software and system
implementation troubleshooting, perform system patching, receive project approval for
the project within 10 days of proposed project start date and obtain resources
necessary to begin project work, complete the project within 18 months (18 mo.) of
receiving project approval, and complete the project without exceeding project budget
of 5 hundred thousand US dollars ($500,000.00 USD).
Confidential Page 4 8/9/2011

5. Project Charter
 Project Costs:
The budget given for the completion of the SCRMP project is five hundred thousand
United States dollars and zero cents ($500,000.00 US dollars). The software vender
has been contracted to provide the development, engineering, testing, implementation,
troubleshooting, and installation of the new SCRMP software as well as for providing
for 90% of the technical staff needed to ensure the project is completed within the first
twelve months after the approved project start date and will be paid the total of one
hundred and fifty thousand United States dollars and zero cents ($150,000.00) at
project completion with penalties as outlined in the detailed SOW.
 Project Timeline
The entire project is expected to be completed within as outlined in the SOW within
fifteen months (15mo.), with the project business improvement process team required
to complete all related tasks within 6 months (6 mo.), and the SCRMP database
development, installation, and testing team and software vender tasks required to be
completed with twelve months (10 mo.).
 Project Approach
Although the project will be lead by the IT Department it will require involvement from
each business unit of HLR Inc. The project manager has been assigned a knowledge
level expert and business unit manager from each major division. The project team will
have weekly progress and status meetings in which the division head of each unit and
the project stakeholders will review project status results, current project requirements,
develop human resource plans, review upcoming activities and resource forecasts, and
to ensure the project is receiving full corporate support. The project manager will have
full authority over all project decisions and will work closely with the division lower level
staff members and the software vender to ensure the project stays on course and
meets project milestone requirements.
 Project Assumptions
It is assumed that: the project manager will have full authority and support of project
stakeholders and HLR Inc. management and leader for assuring the project’s success,
the project manager will have full power to create SCRM and SCRMP project teams
from the most knowledgeable personnel represented by at least one business unit
manager from each department, the director of each business unit and managers will
offer their full support and resources towards ensuring the successful implementation of
the new SCRMP business restructuring plans and the new SCRMP software, that the
software vender will provide enough expert personnel as specified in the SOW to
ensure projects success, that adequate training and procedures will be created to allow
all current and new personnel to incorporate the new SCRMP practices, and that
delays the project management teams will account for unexpected delays and costs to
ensure the project remains safe from exceeding time and budget constraints.
Confidential Page 5 8/9/2011

6. Project Charter
3 PROJECT JUSTIFICATION
Senior management of HLR Inc. has identified this project as the critical cornerstone for
the continued growth and financial success of HLR Inc. Significant business and
development opportunities are continually being lost due to the incompatibility between
divisional information systems responsible for documenting customer relationship
management process. HLR has experienced a twenty five percent (25%) growth in sales
development over the past year with a growth in sales next year estimated at thirty five
percent (35%). This growth can only be achieved by targeting new markets through the
use of the company’s market research data which is useless to marketing due to the
current system incompatibilities between divisions.
4 PROJECT SCOPE
4.1 Goals and Objectives
Goals Objectives
Consolidate all 1. Assign a CRMP process collection team made composed of at least one CRMP
customer relationship knowledge expert from each division and business unit managers for each unit to
management include IT, sales, product fulfillment, customer service, billing, and marketing.
processes (CRMPs)
used by each division 2. Identify best/top CRMP practices used by each unit.
into best CRMP 3. Incorporate top CRMPs into processes utilized in each division.
practices for new 4. Combine CRMPs business practices into new SCRMP practices.
SCRMP
5. Perform test run of new SCRMP business practices.
6. Provide corporate training of new SCRMP practices.
7. Provide corporate guidelines and policies for using new SCRMP
8. Set mandatory date for enforcement of new SCRMP practices to 6 months from
project start date.
Consolidate CRMP 9. Assign a SCRMP database specification, development, and testing team that
informational includes members from the CRMP business process reengineering team.
databases at each
division into unified 10. Collect CRMP informational databases from each division.
database. 11. Consolidate CRMP informational databases at each division into unified
database.
12. Create a requirements specification document outlining the requirements of the
new SCRMP database.
13. Ensure SCRMP database corresponds with guidelines and information
requirements from new SCRMP business practices.
14. Engineer a secure, worldwide, SCRMP database unifying all divisional CRMP
databases.
15. Integrate combined CRMP data into SCRMP database.
16. Receive approval for each division of new SCRMP database.
17. Install SCRMP database at specified locations.
18. Perform HLR Inc. employee system testing.
Confidential Page 6 8/9/2011

7. Project Charter
19. Conduct software and system implementation troubleshooting.
20. Perform system patching
21. Complete all tasks within 10 months.
Complete SCRMP 22. Receive project approval within 10 days of proposed project start date and
project within time and resources necessary to begin project work.
budget constraints.
23. Complete project within 18 months of receiving project approval.
24. Complete project without exceeding project budget of $500,000.00 US dollars.
4.2 Departmental Statements of Work (SOW)
Departmental SOW Owner/Prime Due Date/Sequence
HLR IT Department Mr. Smarty Pants 30 July 11 / Phase 1
HLR Sales Mr. Jim McNappy 30 July 11 / Phase 1
Division Head
HLR Product Fullfillment Mr. Stevie Stevenson 30 July 11 / Phase 1
Division Head
HLR Customer Service Mr. Data StarshipEnterprise 30 July 11 / Phase 1
Division Head
HLR Billing Mr. Johny Cash 30 July 11 / Phase 1
HLR Marketing Mr. Ubotit Ugotit 30 July 11 / Phase 1
SCRMP Software Vender Mr. Crabby Pants 30 July 11 / Phase 1
Project Management Team Mr. Brett Carlson 30 July 11 / Phase 1
Project Manager
Confidential Page 7 8/9/2011

8. Project Charter
4.3 Organizational Impacts
Organization Impact to and Participation of Organization
HLR IT Department Maintains all HLR Inc. information systems.
(Colorado Springs, CO)
HLR Sales Creates and maintains the relationship with the
(Chicago Headquarters and Ottawa, Canada) lease customer and needs to be aware of the status
of lease arrangements.
HLR Product Fullfillment Processes, evaluates, and approves development
(Denver and Ottawa) and leasing contracts while recommending change
requests to customers and updating project scope
information if approved by change control board.
HLR Customer Service Resolves problems for customers by implementing
(Denver) conflict management process to handle customer
issues and updates approved changes to customer
information.
HLR Billing Deals with rental payments, invoice issues, and
(Chicago) follow ups; updates approved changes to customer
information, provides financial information to sales
and executive management.
HLR Marketing Reviews sales and future developmental data and
(Chicago) determines marketing opportunity.
Confidential Page 8 8/9/2011

9. Project Charter
4.4 Project Deliverables
Milestone Deliverable
#1: Consolidate all  Assign a CRMP process collection team made composed of at
customer least one CRMP knowledge expert from each division and
relationship business unit managers for each unit to include IT, sales,
management product fulfillment, customer service, billing, and marketing.
processes (CRMPs)  Identify best/top CRMP practices used by each unit.
used by each
division into best  Incorporate top CRMPs into processes utilized in each division.
CRMP practices for  Combine CRMPs business practices into new SCRMP
new SCRMP practices.
 Perform test run of new SCRMP business practices.
 Provide corporate training of new SCRMP practices.
 Provide corporate guidelines and policies for using new SCRMP
 Set mandatory date for enforcement of new SCRMP practices to
6 months from project start date.
#2: Consolidate  Assign a SCRMP database specification, development, and
CRMP informational testing team that includes members from the CRMP business
databases at each process reengineering team.
division into unified  Collect CRMP informational databases from each division.
database.
 Consolidate CRMP informational databases at each division into
unified database.
 Create a requirements specification document outlining the
requirements of the new SCRMP database.
 Ensure SCRMP database corresponds with guidelines and
information requirements from new SCRMP business practices.
 Engineer a secure, worldwide, SCRMP database unifying all
divisional CRMP databases.
 Integrate combined CRMP data into SCRMP database.
 Receive approval for each division of new SCRMP database.
 Install SCRMP database at specified locations.
 Perform HLR Inc. employee system testing.
 Conduct software and system implementation troubleshooting.
 Perform system patching
 Complete all tasks within 10 months.
#3: Complete  Receive project approval within 10 days of proposed project
SCRMP project start date and resources necessary to begin project work.
within time and  Complete project within 18 months of receiving project approval.
budget constraints.
 Complete project without exceeding project budget of
$500,000.00 US dollars.
Confidential Page 9 8/9/2011

10. Project Charter
4.5 Project Estimated Costs & Duration
Date
Project Milestone Estimate Deliverable(s) Included Confidence Level
#1: Consolidate all 1/30/12  Assign a CRMP process collection team High
customer relationship made composed of at least one CRMP
management knowledge expert from each division and
processes (CRMPs) business unit managers for each unit to
used by each division include IT, sales, product fulfillment,
into best CRMP customer service, billing, and marketing.
practices for new  Identify best/top CRMP practices used by
SCRMP each unit.
 Incorporate top CRMPs into processes
utilized in each division.
 Combine CRMPs business practices into
new SCRMP practices.
 Perform test run of new SCRMP
business practices.
 Provide corporate training of new
SCRMP practices.
 Provide corporate guidelines and policies
for using new SCRMP
 Set mandatory date for enforcement of
new SCRMP practices to 6 months from
project start date.
#2: Consolidate 5/30/12  Assign a SCRMP database specification, Medium
CRMP informational development, and testing team that
databases at each includes members from the CRMP
division into unified business process reengineering team.
database.  Collect CRMP informational databases
from each division.
 Consolidate CRMP informational
databases at each division into unified
database.
 Create a requirements specification
document outlining the requirements of
the new SCRMP database.
 Ensure SCRMP database corresponds
with guidelines and information
requirements from new SCRMP business
practices.
 Engineer a secure, worldwide, SCRMP
database unifying all divisional CRMP
databases.
 Integrate combined CRMP data into
Confidential Page 10 8/9/2011

11. Project Charter
SCRMP database.
 Receive approval for each division of new
SCRMP database.
 Install SCRMP database at specified
locations.
 Perform HLR Inc. employee system
testing.
 Conduct software and system
implementation troubleshooting.
 Perform system patching
 Complete all tasks within 10 months.
#3: Complete SCRMP 1/30/13  Receive project approval within 10 days High
project within time and of proposed project start date and
budget constraints. resources necessary to begin project
work.
 Complete project within 18 months of
receiving project approval.
 Complete project without exceeding
project budget of $500,000.00 US dollars.
5 PROJECT CONDITIONS
5.1 Project Assumptions
 The project manager will have full authority and support of project stakeholders and
HLR Inc. management and leader for assuring the project’s success
 The project manager will have full power to create SCRM and SCRMP project teams
from the most knowledgeable personnel represented by at least one business unit
manager from each department
 The director of each business unit and managers will offer their full support and
resources towards ensuring the successful implementation of the new SCRMP
business restructuring plans and the new SCRMP software
 That the software vender will provide enough expert personnel as specified in the SOW
to ensure projects success
 That adequate training and procedures will be created to allow all current and new
personnel to incorporate the new SCRMP practices.
 That delays the project management teams will account for unexpected delays and
costs to ensure the project remains safe from exceeding time and budget constraints.
Confidential Page 11 8/9/2011

12. Project Charter
5.2 Project Issues
Priority Criteria
1 − High-priority/critical-path issue; requires immediate follow-up and resolution.
2 − Medium-priority issue; requires follow-up before completion of next project milestone.
3 − Low-priority issue; to be resolved prior to project completion.
4 − Closed issue.
# Date Priority Owner Description Status & Resolution
1 7/24/11 1 Loren K Awaiting approval from HLR In Progress
Schwappach CEO to begin project.
5.3 Project Risks
# Risk Area Likelihood Risk Owner
1 Schedule, resources, and product definition have all been High Project Manager
dictated upper management and are not in balance.
2 Schedule is optimistic, "best case," rather than realistic, Medium Project Manger
"expected case."
3 Schedule omits necessary tasks. High Project Manager
4 Schedule was based on the use of specific team members, but High Project Manager and
those team members were not available. Department Heads
5 Product is larger than estimated (in lines of code, function Medium Software Vender
points, or percentage of previous project’s size).
6 Effort is greater than estimated (per line of code, function point, Medium Software Vender
module, etc.).
7 Re-estimation in response to schedule slips is overly optimistic Medium Software Vender
or ignores project history
8 Excessive schedule pressure reduces productivity. Low Project Manager
9 Target date is moved up with no corresponding adjustment to Low Project Manager
the product scope or available resources.
10 A delay in one task causes cascading delays in dependent High Project Manager
tasks.
11 Unfamiliar areas of the product take more time than expected to Medium Software Vender
design and implement.
12 Project lacks an effective top-management sponsor. Low Project Manager
13 Layoffs and cutbacks reduce team’s capacity. Low Project Manager
14 Management or marketing insists on technical decisions that High Project Manager
lengthen the schedule.
15 Inefficient team structure reduces productivity. Low Project Manger
16 Management review/decision cycle is slower than expected. Low Project Manager
17 Budget cuts upset project plans. Low Project Manger
18 Management makes decisions that reduce the development Low Project Manger
Confidential Page 12 8/9/2011

13. Project Charter
# Risk Area Likelihood Risk Owner
team’s motivation.
19 Non-technical third-party tasks take longer than expected Low Project Manager
(budget approval, equipment purchase approval, legal reviews,
security clearances, etc.).
20 Planning is too poor to support the desired development speed. Low Project Manager
21 Project plans are abandoned under pressure, resulting in High Project Manager
chaotic, inefficient development.
22 Management places more emphasis on heroics than accurate Medium Project Manager
status reporting, which undercuts its ability to detect and correct
problems.
23 End user insists on new requirements. High Software Vender
24 End user ultimately finds product to be unsatisfactory, requiring High Software Vender
redesign and rework.
25 End user does not buy into the project and consequently does High Project Manager
not provide needed support.
26 Contractor does not deliver components when promised. High Project Manager
27 Contractor delivers components of unacceptably low quality, Low Project Manager
and time must be added to improve quality.
28 Contractor does not buy into the project and consequently does Medium Project Manager
not provide the level of performance needed.
29 Requirements have been base lined but continue to change. Medium Project Manager
30 Requirements are poorly defined, and further definition expands High Project Manager
the scope of the project.
31 Additional requirements are added. High Project Manager
32 Task prerequisites (e.g., training, completion of other projects, Low Project Manager
acquisition of work permit) cannot be completed on time.
33 Poor relationships between developers and management slow Medium Project Manager
decision-making and follow through.
34 Team members do not buy into the project and consequently High Project Manager
does not provide the level of performance needed.
35 Low motivation and morale reduce productivity. Medium Project Manager
36 Lack of needed specialization increases defects and rework. Medium Project Manager
37 Personnel need extra time to learn unfamiliar software tools or Medium Project Manager
environment.
38 Personnel need extra time to learn unfamiliar hardware Medium Project Manager
environment.
39 Contract personnel leave before project is complete. Medium Software Vender
40 Permanent employees leave before project is complete. Low Project Manager
41 New development personnel are added late in the project and Low Project Manager
additional training and communications overhead reduces
existing team members’ effectiveness.
42 Team members do not work together efficiently. Low Project Manager
Confidential Page 13 8/9/2011

14. Project Charter
# Risk Area Likelihood Risk Owner
43 Conflicts among team members result in poor communication, Low Project Manager
poor designs, interface errors and extra rework.
44 The personnel most qualified to work on the project are not High Project Manager and
available for the project. Division Heads
45 Personnel with critical skills needed for the project cannot be Medium Project Manager
found.
46 Key personnel are available only part time. High Project Manager
47 Not enough personnel are available for the project. High Project Manager
6 Project Team Organization Plans
Project Team Role Project Team Member(s) Responsibilities
SCRMP Project Manager Mr. Brett Carlsen Project Manager
Software Vender SCRMP Project Lead Mr. Bill Ted Software developer / contracted to
Developer provide tech staff
IT current information systems specialist Mr. Loren Schwappach System/Process expert
Sales unit manager / process expert Ms. Alice Wonderland System/Process expert
Product fulfillment unit manager / process Mr. Ace Ventura System/Process expert
expert
Customer service unit manager / process Mr. Bobby Boogerton System/Process expert
expert
Billing unit manager / process expert Mr. Kooky Kink System/Process expert
Marketing unit manager / process expert Mr. Marin Moxley System/Process expert
HLR Inc. Division Lead Mr. Rumpelstiltskin Ensures PM receives full assistance
and resource use from IT / sales /
product fulfillment / customer service /
billing / and marketing department
division heads.
Confidential Page 14 8/9/2011

15. Project Charter
7 APPROVALS
Prepared by __________________________________
Project Manager
Approved by __________________________________
Project Sponsor
__________________________________
Executive Sponsor
__________________________________
Client Sponsor
Confidential Page 15 8/9/2011