ISO/TR 21506:2018

Overview

ISO/TR 21506:2018 is an internationally recognized technical report that provides a standardized vocabulary for project, programme, and portfolio management. Developed by ISO Technical Committee ISO/TC 258, this document establishes clear and consistent definitions of key terms used across all types of organizations, sectors, and project complexities. By aligning terminology, ISO/TR 21506:2018 facilitates effective communication, understanding, and collaboration among project stakeholders globally.

This comprehensive vocabulary is essential for professionals involved in managing projects, programmes, and portfolios to ensure clarity, reduce ambiguities, and improve decision-making processes. It complements related ISO management standards and aligns with international lexicographic best practices.

Key Topics

ISO/TR 21506:2018 covers a wide array of terms fundamental to project management disciplines, including:

• Project and Programme Management Terms

  • Project: A temporary endeavour to produce agreed deliverables.
  • Programme: A coordinated set of programme components managed to realize benefits.
  • Portfolio: A collection of projects, programmes, or other related work grouped to meet strategic objectives.

• Planning and Control Concepts

  • Work Breakdown Structure (WBS): Hierarchical decomposition of project work.
  • Budget at Completion: Forecasted total cost for completing work packages or activities.
  • Baseline: Reference for monitoring and controlling performance against plans.

• Performance Measurement and Reporting

  • Earned Value Management: Integrates scope, cost, and schedule to assess progress.
  • Cost Variance and Schedule Variance: Indicators for evaluating project performance.
  • Progress Report: Regular status documentation of work accomplished.

• Governance and Organizational Roles

  • Governance: Principles and framework directing organizational activities.
  • Sponsor, Project Manager, Programme Manager, Portfolio Manager: Key roles with defined responsibilities.

• Risk and Change Management

  • Risk: An uncertain event with potential positive (opportunity) or negative (threat) impacts.
  • Change Request and Change Register: Tools for documenting and controlling alterations.
  • Risk Response and Risk Tolerance: Strategies and thresholds guiding risk handling.

• Quality and Resource Management

  • Quality Control and Quality Assurance: Processes to ensure conformity and prevent deficiencies.
  • Resource Breakdown Structure: Representation of personnel, materials, equipment allocated to projects.

Applications

ISO/TR 21506:2018 serves diverse practical purposes across industries and organizational types:

• Standardizing Communication: Offers a unified project management language crucial for multinational teams, consultants, and clients to avoid misunderstandings and ensure consistent terminology.

• Supporting Training and Certification: Forms the basis for educational materials and certifications in project, programme, and portfolio management.

• Improving Governance and Decision Making: Assists executives and sponsors in understanding roles, responsibilities, and terminology to make informed decisions and better oversee project outcomes.

• Enhancing Documentation and Reporting: Guides the preparation of project plans, business cases, progress updates, and risk assessments with clear definitions.

• Facilitating Organizational Process Development: Helps organizations establish or align their project management frameworks and standards with international best practices.

• Assisting Standard Developers: Provides a reliable glossary for professionals developing related national or organizational standards in project management.

Related Standards

ISO/TR 21506:2018 complements and aligns with several important ISO standards that collectively support project, programme, and portfolio management best practices:

• ISO 21500:2012 - Guidance on project management principles and processes.
• ISO 21503:2017 - Guidance on programme management.
• ISO 21504:2015 - Guidance on portfolio management.
• ISO 21505:2017 - Governance of projects, programmes, and portfolios.
• ISO 21508:2018 - Project risk management.
• ISO 21511:2018 - Work breakdown structures for project management.

Additionally, it adheres to terminology development principles in ISO 704:2009 and integrates with existing ISO lexicons like ISO 860:2007.

Adopting the ISO/TR 21506:2018 vocabulary ensures organizations benefit from a harmonized understanding of core project management concepts, foster productive stakeholder collaboration, and enhance the likelihood of project and programme success. This standard is indispensable for organizations striving for excellence in managing complex initiatives within today’s dynamic business environments.