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Establishing clear project objectives and goals is critical at the outset. A project justification (why is it required or what are the benefits?) and a project scope (what is applicable?) are examples of project objectives. The project justification specifies the reason for pursuing the project and is expressed in quantitative, or measurable terms, often sales volume or dollars. The project justification should relate to a Business Plan, and is typically developed not by Engineering but by Marketing or Product Management.

Completion of the first phase of the Business Plan lets engineers move ahead with planning the project development/design. Typical steps are to:
   

Choose a basic strategy for achieving the objective.

Break the project down into sub-units or steps ("Work Breakdown Structure" or "WBS").
Determine the performance standards for each sub-unit (deliverables).
Determine how much time is required to complete each sub-unit (resources and schedule).
Determine the proper sequence for completing the sub-units and aggregate the information into a schedule for the total project (critical path chart).
Identify codes and standards which apply. (Some of these should be in the Business Plan).
Develop the cost of each sub-unit and aggregate costs into the project budget.
Design the necessary staff organization, including the number and kind of positions, and the duties and responsibilities of each, within the project team.
Determine what training, if any, is required for project team members.
Develop the necessary policies and procedures.
   
  A good project plan is understandable to all users to facilitate inputs on scope (quality), schedule (time) and budget (cost).