Question

A project milestone identifies a success point in a project. How do you determine what they are? Should milestones be based on project value or Sponsor expectations? Why?

Answer 1

Project milestones are determined on the basis of actionable goalposts that they provide and hence can involve several different things. It may be the completion of a highly significant task, reaching a significant and critical phase in the project lifecycle, achieving a specific percentage complete for a task, etc. Thus project milestones as well as success points are determined on the basis of importance of the task concerned, the likely impact of the task on the overall project, and the degree or quantum to which the task can be used as an indicator of project success.

Milestones should be based on sponsor expectations. This is because milestones, in essence, are minimal points of control for the sponsors, the stakeholders as well as the executives of the organization. When milestones are based on sponsor expectations then managing the expectations of the sponsors becomes easier as the sponsors gets more involved. The milestones, when based on sponsor expectations, serve as a stopping point even for the sponsor to reflect on the progress of the project in a tangible and realistic manner.