9/15/2019 Developing a Team Charter

Developing a team charter

ARTICLE ǀ Teams ǀ August 1997
PM Network
Knutson, Joan

How to cite this article:

Knutson, J. (1997). Developing a team charter. PM Network, 11(8), 15–16.
Reprints and Permissions

Log in or join PMI to gain access

YOU ARE CORRECT. The title does not say Corporate Charter or Department Charter or even Project Charter, but Team Charter. This article takes
the concept of a “charter” down to the team level.

A charter is defined as “a document issued by a (body) outlining the conditions under which a (body) is organized, and defining its rights and
privileges” or as “a document defining the formal organization of a body.” The Project Management Institute, in its Guide to the Project
Management Body of Knowledge, defines a project charter as “a document issued by senior management that provides the project manager with
the authority to apply organizational resources to project activities.”

It is not unusual to prepare a charter document that defines the mission and the deliverables of the project. But how often do we recognize that
the team as an entity also needs a charter of their raison d'être, their goals or mission as a group, their roles as individuals within the team, and
the operating agreement under which the entire team will work?

Let's work through a process that would lead to a team charter.

Positioning. In the first session to develop a team charter, the team needs to start creating the atmosphere and the attitudes for the deeper
discussions yet to come. This should take on two aspects: the first is to address the project, i.e., the forum in which the team is going to work; the
second is to start getting to know one another as future team members.

The first part of this icebreaker session is to state (or restate) the project's charter or mission statement. It is crucial that all members of the
team are clear on the background, goal, and deliverables of the project itself.

Once a comfort level has been reached around the tangible focus of the job that needs to be done, move on to the team relationships and
dynamics. Some ways to set the tone: Have each person describe the best and the worst team that they have ever been on—for example, the
best team always treated each other with respect, or the worst team always felt tense and unfamiliar. Draw a picture of what a team looks like—
for example, a ship with a captain, a navigator, a crew, etc. Provide a metaphor for a successful team and what makes it successful—possibly
related to sports or family or music. Ask each person to tell something personal about themselves—are they skydivers? addicted to M&M‘s? It's
amazing how these small tidbits become a recurring and friendly theme.

https://www.pmi.org/learning/library/team-charter-development-5128 1/4
9/15/2019 Developing a Team Charter

One part of the first session has the team members look at what makes effective or ineffective teams and how this team is different from their
day-to-day operational environment. Take the description of an effective team and make it the “model statement” of this team.

The next part of the agenda needs to set expectations and to address why the team needs a charter, what areas will be covered during the
following sessions, and how the charter will be used as the project evolves.

Why the team needs a charter. Share with the team the appropriate rationales described above and add any others you can think of.

What areas will be covered. The team will develop a values statement, a mission statement, and an operating agreement.

How the charter will be used. This charter will be made into posters and will hang on the wall during team meetings, and if any of these values,
mission or operating agreements are violated, the team will change their charter or correct their actions to comply with the charter.

Values Statement. If you ask people, out of the blue, “What are your values?” they often respond with statements like “To be successful” or “To
create the best end product.” These are laudable, but they are not values. In the second session, to help people focus on values, direct them to
finish the following sentences: The three people that I most admire are…; The characteristics that I most admire in each of these three people
are…; The following traits in people irritate me…; The values of the company in which I want to work are…; The qualities that I most appreciate
in people with whom I work are…; I am most proud of myself when I…; I am trying to improve the following personality traits in myself… .

From this self-analysis, each of the team members should see a recurring theme and thus have isolated the characteristics and values that are
important to them. These values might be respect, or professionalism, or common courtesy. We would hope that the team members now feel
comfortable enough with the group to share these personal values.

From these values, first comes further insight into each of the team member's likes and dislikes, and also comes the ability to compile and
consolidate these values into a “team value statement.” The team value statement might include something like this: We will follow the Golden
Rule: do unto others as you would have them do unto you. We will attempt to leave our silos and work for the good of the team. We will support
other people, even if there is no direct credit to come our way.

Mission Statement. The mission statement is the vision of what the team is trying to accomplish—not project deliverables, but the unique
chemistry that the team can create. In the third session, the team needs to answer questions about mission: What are we doing as a team,
beyond the obvious creation of a thing or service or a system? Why have we been chosen as a team to do this particular project? What can we
uniquely do to affect the success of this project?

This might be a perfect time to have the team members go away and consider how they would write the team's mission statement and return
with a strawman from which to work. The various strawmen are reviewed, consolidated, refined and wordsmithed by the team until a final team
mission statement is completed. The team mission statement might include statements such as the following: We will set a company precedent
for good communication by providing our project stakeholders with the most timely and accurate information concerning the project. We will
create an environment in which lessons learned are shared and captured for future projects within the firm.

Goal Statement. Now that the team has created a lofty mission of what they are contributing to the organization as a whole, during the fourth
session they create goals for the team members themselves. These goals focus on the short term (within the duration of the project) and the
long term (after the team is disbanded). For example:

Short Term. We will enjoy each other and work hard when it's time to work and play when it's time to play. We will support others’ learning
relative to each other's discipline or to each other's organizational unit within the business.

Long Term. We will want to work with each other again after this is all over. We will show the rest of the organization that project management
tools and techniques are helpful when running a project.

https://www.pmi.org/learning/library/team-charter-development-5128 2/4
9/15/2019 Developing a Team Charter
Operating Agreement. In the fifth and last session, the team decides how they will work together. What are the rules? There are often things
that grate on people's nerves that they never really pinpoint or that they never have a forum to articulate after the irritation has been going on
for some time. The beginning of the project is the best time to get these irritations out on the table.

Here are things that the team members ought to think about as they develop the team operating agreement: What do we need to give to and
get from each other in order to be able to do our own individual jobs within the project? What are the rules for meetings? What ways will we or
will we not treat each other?

Some items that might be included in a team operating agreement regarding meetings: Meetings will start and end on time. Food and drink
are/are not allowed. Agendas will/will not be passed out ahead of time. Interruptions will/will not be permitted. (This list can go on and on.)

Regarding communication, the operating agreement should include: Identify and communicate possible conflicts clearly and immediately. Notify
members of any schedules or budgets that may not be met by a 10 percent variance. Don't assume; ask questions. Be responsive to
communications. Be ready to back up all statements with facts. Respect confidentiality.

Personal courtesies are important in any relationship. The operating agreement might include statements such as: Nothing is a fact until proven;
avoid premature conclusions. Treat each other with dignity. Corporate rank does not exist in the team, especially in meetings. Agree to disagree.
Be flexible and willing to change if properly influenced.

THETEAM HAS NOW CREATED a doctrine to work by—a charter that includes a model statement, a values statement, a mission statement, a goal
statement, and an operating agreement.

The process of creating the team charter is equally as important as a team building exercise as it is to create the deliverables enumerated above.
People get to know each other, and become sensitive to each other's likes and dislikes, values and principles. What better way to rivet a group of
people together than to empower them to build their own “civilization”—the norms upon which a body of people organize themselves and the
precepts upon which they operate and grow.

Joan Knutson is founder and president of Project Mentors, a San Francisco-based project management training and consulting firm. She can be
reached at 415/955-5777.

This material has been reproduced with the permission of the copyright owner. Unauthorized reproduction of this material is strictly prohibited.
For permission to reproduce this material, please contact PMI.
PM Network • August 1997

Related Content
ARTICLE ǀ Innovation, Teams ǀ 1 August 2019

Project Management Journal

The Dilemmas of Design Thinking in Innovation Projects
By Hölzle, Katharina | Rhinow, Holger ǀ Organizations have discovered Design Thinking as a promising framework or language for
innovation-focused project teamwork. The goal is to develop new products and services by being customer-centric…

ARTICLE ǀ Innovation, Teams ǀ 1 August 2019

PM Network
Get to the Root of the Problem
By Smits, Karen ǀ Design thinking is all the rage in the business world. An iterative problem-solving approach for designing products
and services, it focuses on end-user needs and challenging assumptions. But oddly,…

ARTICLE ǀ Teams ǀ 1 July 2019

PM Network
Bridge Builders
PM Network queried the project management community about keeping virtual teams engaged

ARTICLE ǀ Career Development, Teams, New Practitioners ǀ 1 June 2019

PM Network
Personal Power
By González, Javier Augusto ǀ It's the first day in your new project management job. You're full of hope and anticipation, but you're
also woefully short on institutional knowledge and control over the organization's procedures.…
https://www.pmi.org/learning/library/team-charter-development-5128 3/4
9/15/2019 Developing a Team Charter

ARTICLE ǀ Teams ǀ 1 June 2019

PM Network
The Next Evolution
By Bucero, Alfonso ǀ Millennials and Generation Z, those born since the early 1980s, are bringing fresh perspectives to projects—
leveraging technological advancements and drawing heightened focus to economic, ecological…

© 2019 Project Management Institute, Inc. USA

https://www.pmi.org/learning/library/team-charter-development-5128 4/4