Committees may be known as a project review or steering committee; however, consider the following (proposed) objectives as follows:
The project approval committee (PAC) would comprise of a team of senior management with the responsibility and authority to approve, prioritize new projects, and allocate resources accordingly. Ideally, each PAC member votes his or her go/no-go or redirect decision.
Note from my previous article, the proposed product life cycle phase and gate structure lends itself to a gate (PAC) approval process.
Also note that the gate review (go/no-go/redirect) decision is not a technical decision; it is a business decision to proceed with the investment in the project.
While the scope of this article provides a (proposed) overview of a PAC role and responsibility, there are several additional considerations including:
While you may not have (or need) a project management organization (PMO), an experienced PAC process owner and facilitator can establish process clarity and build infrastructure for enhancing PAC effectiveness and improved business decision-making, This is a key role and responsibility which can ensure effectiveness of the leadership team and, accordingly, should have support (for the process) from the highest levels of the organization.
Most organizations welcome clarity in project governance processes, especially with multiple projects and competing resources. A project approval committee can be a significant step in the right direction.