Which factors go into a project plan? Key elements explained

Successful project execution relies on a solid plan. The better the plan, the better the result.

Project planning occurs during the second stage of the project lifecycle, between the initiation and execution phases. It’s a complex, labor-intensive process that tasks project teams with creating essential documents, such as timelines, communication plans, and scope statements. 

With so much to do, many project managers may be tempted to skip some steps – and that’s OK. Not every project requires a detailed work breakdown structure or quality management plan. However, every planning phase must address the seven essential factors that go into a project plan.

Whether you’re new to project planning or looking to sharpen your skills, mastering these factors sets you up for long-term success. 

What is project planning?

Project planning produces a blueprint that outlines the initiative’s requirements and the team’s strategy to achieve its desired outcomes. A project plan defines and communicates:

• Project scope and deliverables

• Goals and objectives

• Project schedule (including timelines, milestones, and deadlines)

• Budget

• Roles and responsibilities

• Resource allocation

An effective plan aligns stakeholders and the project team. It clarifies common goals and expected deliverables, providing a clear path for successful execution.

Why are project plans important?

A project plan lays the foundation for success by defining the initiative’s goals and objectives. Once the project manager establishes these criteria, they can develop a work strategy that supports team morale and addresses potential risks, like scope creep, to promote successful delivery. 

In addition, drafting a project plan yields the following benefits:

• Confirms team members have the required resources before the project begins

• Assigns tasks and responsibilities to the appropriate team members

• Forecasts potential risks and challenges

• Confirms the project’s goals and objectives are realistic and achievable

Which factors go into a project plan?

A project plan includes seven components that outline how and when the team will deliver the desired outcomes. 

1. Goals and objectives

Goals are broad, high-level intentions for the project, whereas objectives are specific deliverables. For example, an event planner’s project goal might be to host a four-day conference, and their objectives might include attracting 1,500 attendees and securing 20 presenters. 

Goals provide focus for the project, aligning the team with a clear scope and confirming outcomes support the organization’s long-term strategies. Objectives define the specific deliverables, guiding tasks and workflows. Together, they make sure the project stays on track and meets stakeholder expectations. 

2. Success metrics

Once the project manager defines the project’s goals, they need a way to measure progress and effectiveness. This is where success metrics come in. Setting and tracking SMART (specific, measurable, achievable, relevant, and time-bound) goals with precise, quantifiable metrics keeps project team members informed about their progress and helps them stay on track to deliver the desired results. 

Upon delivery, the project manager can review activities to determine whether the team successfully met the goals. If not, a thorough evaluation can pinpoint areas for improvement and guide future projects. 

3. Roles and responsibilities

The next step in creating a project plan is to define each team member's roles and responsibilities. The project manager determines who will be involved and outlines their duties using a RACI (responsible, accountable, consulted, and informed) chart, a key project management planning tool. The chart also identifies which stakeholders are responsible for approvals, who will contribute to the project, and who needs regular updates on its progress. 

Once the project manager finalizes roles, the document becomes an official part of the plan. It’s stored with other critical project documentation and serves as a reference to eliminate any confusion about responsibilities.  

4. Budget and resource allocations

After defining the project scope and roles, project leadership can estimate the budget. Establishing the budget during the planning phase streamlines the approval process and helps the team secure funds by demonstrating to stakeholders that the project is financially feasible. The budget also allows the team to track progress and make informed financial decisions throughout implementation, keeping the project on course and within budget.

Additionally, the budget sets clear limits on resource capacity and allocation by identifying how much funding is available for key resources. This prevents unexpected cost overruns or resource shortages by keeping the project within its financial scope.  

5. Milestones, deliverables, and dependencies

The next essential planning task is establishing milestones, deliverables, and dependencies. A milestone represents a significant achievement in the project, marking the completion of an important objective. Although it doesn’t have a definite start or end date, its accomplishment signals progress on a project deliverable. Deliverables are specific outputs the team must produce throughout the project.

Dependencies are tasks that can’t begin until the team completes a previous task. Including dependencies in the project plan ensures work progresses in the correct sequence, with tasks starting only after all necessary conditions are met.

For example, in a product development project, a prototype is a deliverable, and stakeholder approval is a milestone. Prototype testing, which can only start after approval, is a dependency.

Project managers use these three factors to structure the project execution schedule.

6. Project schedule, including timelines and deadlines

Milestones, deliverables, and dependencies shape the project schedule by defining the tasks within the project scope and providing clear markers to track progress. The schedule removes uncertainty for stakeholders and team members by establishing task priorities and deadlines. 

Project managers typically start by creating a high-level roadmap that visualizes the project’s overall flow. This roadmap outlines task order without specifying firm deadlines. They then move on to a more detailed work plan, which breaks the project into smaller tasks. 

For each task, the project manager assigns responsibility to team members, along with start dates and deadlines. These details form a comprehensive project timeline team members and stakeholders can reference for key milestones and delivery dates.  

7. Communication plan

A communication plan is the final component of the project plan. It addresses stakeholders’ and team members’ communication needs in the following ways:

• Clarifies project objectives and goals for stakeholders and team members

• Sets expectations for the type and frequency of updates

• Outlines how project managers track and report progress

• Details how project managers communicate risks and roadblocks

• Defines the appropriate communication channels for different scenarios

Stakeholders and team members can reference the communication plan as needed to find answers to common questions.

Examples of project plans

Plans vary in format depending on the project management approach or framework. Here are a few common options to help you understand how to write a project plan: 

Agile sprint project plan

An agile sprint plan defines the tasks the Scrum team will deliver during the time-boxed period. It maintains efficiency and progress in an agile environment.

Gantt Chart for timeline management

A Gantt chart visualizes the project timeline, helping teams track progress, identify dependencies, and monitor key milestones and deadlines.

Resource allocation plan

A resource allocation plan enables project managers to optimize resource utilization by assigning team members, funds, or equipment to specific tasks. It guarantees efficient resource use and minimizes costs.

Enhancing project planning with Tempo

Knowing how to make a project plan puts you on the path to success, and the right tools simplify the process even further. Project management tools, like Tempo’s Strategic Portfolio Management and online project plan templates, are designed to streamline planning. 

Strategic Portfolio Management allows you to model different scenarios, providing precise forecasts that enhance decision-making. Combined with advanced capacity planning and real-time monitoring, this tool enables quick adjustments as conditions evolve. 

By leveraging these data-driven insights, you can proactively adjust resource allocation to address potential risks and roadblocks before they impact project delivery. 

With Tempo, you get a targeted project plan without the guesswork.