What Is the Project Lifecycle? [Phases, Benefits & More]

Someone who hasn’t managed projects before may not probably understand the importance of a project lifecycle. 

At least, that was me before I started working closely with project managers and team leads. Over the last few years, I experienced the hurdles of dealing with complex projects and the recurring mad rush of trying to wrap them up before tight deadlines. 

I realized that defining tasks, setting due dates, and allocating resources is only half the job. There’s a lot more to it when you learn about the project lifecycle in project management.

Whether you are starting a career as a team leader or are a seasoned project manager, this blog should help you manage the lifecycle of your projects. 

Just in case you happen to be starting your career in project management, this video will be worth your time –

What Is the Project Life Cycle?

“A project management life cycle is a framework comprising a set of distinct high­-level stages required to transform an idea of concept into reality in an orderly and efficient manner.”

– Association for Project Management.

You’ve probably read many such definitions before, so I’ll try to explain things in simple terms.

Imagine a project as a journey. The project lifecycle is the roadmap for that journey, outlining the phases your project should pass through from start to completion. Each phase serves a specific purpose, ensuring you have a clear plan, effectively manage tasks, and ultimately achieve project goals.

But why does this matter?

Well, it provides a logical sequence of steps that help you plan, organize, execute, monitor, and close the project. It also helps you identify the key stakeholders, tasks, resources, risks, and deliverables involved in each phase.

What Are the Phases in the Project Lifecycle?

While there are different project life cycle models and approaches, one of the most widely used and recognized ones is the five-phase project lifecycle. 

This model divides a project’s lifecycle into five distinct but interrelated phases: 

• Initiation
• Planning
• Execution
• Monitoring
• Closing

Each phase has its own purpose, goals, and deliverables, as well as its own challenges and risks. Let’s take a closer look at each phase and see what it entails.

PHASE 1

Initiation: Defining the Project Scope & Objectives

As the name suggests, this is the phase when you, as a project manager/team leader, are supposed to initiate the project. It is this phase where you should have common queries, such as – 

• What are you aiming to achieve? 
• Is the project viable?
• What’s the scope of your endeavor?

Defining clear, achievable objectives and understanding the project’s boundaries are crucial steps that set the stage for everything that follows. 

To simplify things for you, here’s what you need to do in this first phase of the project lifecycle –

• Identify the Need: What problem are you trying to solve, or what opportunity are you trying to seize? Every project starts with a need or a problem to solve. Engage stakeholders in discussions to understand core objectives and expected outcomes.
• Define the Scope: Establish the boundaries of your project, outlining what’s included and excluded.
• Setting Clear Objectives: What are the specific, measurable, achievable, relevant, and time-bound (SMART) goals you want to achieve?
• Identifying Stakeholders: Who are the individuals and groups impacted by the project, and what are their interests?
• Develop the Project Charter: This document formally authorizes the project, outlining its objectives, key stakeholders, and the project manager’s authority (think of it as the project’s birth certificate).

PHASE 2

Planning: Creating a Detailed Project Plan

“The more time you spend contemplating what you should have done… you lose valuable time planning what you can and will do.”

– Lil Wayne, American Rapper.

With the groundwork laid, it’s time to delve into the meticulous art of planning. This phase is the second and the most extensive one of the project lifecycle. So, what happens here?

Well, here, you need to –

• Develop a work breakdown structure (WBS) by breaking down the project into manageable tasks and subtasks
• Outline how you plan to execute the project and achieve objectives
• Define and allocate the tasks, timelines, and resources that are required for the project
• Establish quality standards, risk management strategies, communication protocols, etc.

Here are some challenges that may bring bad news if not checked before time. Have a look at those below –

• Overlooking/underestimating some aspects of the project can lead to gaps or errors in the project plan.
• Overplanning/underplanning the project can result in an unrealistic or unachievable project plan.
• Conflicting stakeholder expectations can lead to frequent revisions or modifications in the project plan.
• Not conducting a kickoff meeting with everyone in the project before moving to the next phase can lead to knowledge gaps.
• Neglecting the project budget for minor changes (like poor resource management) may lead to a loss in the end.

Read More: What Is Project Planning – Steps, Importance, Examples, & More

💡 Pro Tip: A reliable project management platform can help you with most aspects of the project lifecycle – right from resource management to – creating a project charter and more!

PHASE 3

Execution: Implementing the Project Plan & Managing Tasks

It’s time to implement whatever you have planned in the last two project lifecycle phases. The execution phase is where theory meets reality. This is also where you see whether your project plan is working as it should or needs changes.

For example, midway through a project, you might notice a resource overburdened with tasks. In this case, you need to step in and re-allocate tasks for optimal resource management.

That’s why it’s essential to always monitor the ongoing work progress to analyze whether the team is on the right track. 

So, what are the main deliverables of this phase? Well, there are two, to be precise –

• Project Deliverables: Products or services the project produces, such as reports, documents, software, hardware, or training.
• Project Outcomes: The benefits achieved due to the project, such as increased revenue, improved customer satisfaction, or reduced costs.

Also, team communication is something you can’t bargain with. Using a task management tool that comes with built-in team collaboration and communication capabilities can help keep costs down. 

Such software can let you create teams and give/receive feedback via task comments, @mentions, share files, and more.

Let’s now talk about what steps you need to take in the project execution phase –

• Create Project Workflow: Divide intricate tasks into smaller subtasks for more effective management. Delegate these components to team members and establish a timeline for each.
• Prioritize Tasks: In project execution, it’s common to prioritize certain tasks initially. This helps you prioritize the more urgent tasks before the menial ones.
• Run Quality Control: It is paramount to ensure consistent quality throughout the project development process. Conduct regular quality control checks to monitor and maintain standards.
• Manage Project Budget: Monitor expenses closely to avoid exceeding the pre-set budget. 

🔥 Pro Suggestion: When selecting any project management system, ensure it allows automation for project invoices, estimates, and expenses. Trust me, it saves a lot of time!

PHASE 4

Monitoring & Control: Tracking Progress, Managing Risks, & Making Necessary Adjustments

This is where we start moving closer to the end of the project lifecycle. And that means this is the phase where you must keep a vigilant eye. A slight error can cause the project to be derailed even when nearing completion.

Monitoring project progress is easy with Gantt charts Software and Kanban boards. While Gantt charts give you real-time project progress, Kanban boards provide better visibility into all your tasks across workflows.

This fourth phase is also where risk management plays a crucial role. It allows you to anticipate and mitigate potential pitfalls before they threaten the project’s success. It’s a continuous loop of assessment and adjustment, keeping the project on track.

Let’s take a quick look at the prerequisites –

• Performance Measurement: Regularly track progress against established baselines and identify areas for improvement.
• Performance Reporting: Share progress reports with stakeholders to keep them informed and maintain transparency.
• Change Management: Adapt the project plan as needed to address unforeseen challenges or changing project requirements.
• Issue Resolution: Proactively identify and address issues that arise throughout the execution phase.

Read More: 9 Best Risk Management Software in 2024

PHASE 5

Closure: Evaluating Project Success & Capturing Lessons Learned

Congrats! You’re in the fifth and final phase of the project lifecycle management. Does that mean it’s time you can finally sit relaxed and feel accomplished?

As the project finally moves to its endgame, it’s time to reflect on the success and understand the setbacks. Let me walk you through what project managers or team leads should be doing in this phase –

• Analyze Project Performance: Did you achieve the desired objectives within the allocated timeframe and budget? Has the client expressed satisfaction with the deliverables?
• Evaluate Team Performance: Examine employees’ timelines in delivering work and adherence to quality standards. Seek answers to these inquiries to gauge the effectiveness of your team’s performance.
• Document Everything: Maintain a report detailing the steps and tasks involved during the project’s life cycle.
• Capture Lessons Learned: Document valuable insights and knowledge gained throughout the project lifecycle to inform future projects.

Read More: Project Closure Steps and Checklist: The Ultimate Guide

What Are the Benefits of Effective Project Lifecycle Management?

As someone starting a project management career, you already have a lot on your plate. 

You’re probably curious to know if you could skip remembering yet another nuance called the ‘project lifecycle.’ But trust me, it’s better the other way around.

In fact, using a project management system like ProProfs Project to manage this ‘lifecycle’ will help you in different ways. Don’t believe it yet? 

Hear what ‘Erik Florida,’ a freelance designer, has to say –

“I have not seen another online project management program that is simple to use with a flawless interface and tons of features, such as collaboration, email notifications, automated invoicing, and so on. It just lets you keep track of projects and get things done.”

Here are some of the other benefits you will notice after managing the project lifecycle effectively – 

• Enhanced Organization: Each phase provides a structured framework, ensuring a clear and organized approach to project management.
• Improved Communication: Understanding the lifecycle fosters clear communication among stakeholders, keeping everyone on the same page.
• Increased Efficiency: By following well-defined phases, you streamline processes, eliminate wasted efforts, and maximize resource utilization.
• Reduced Risks: Proactive problem-solving and risk identification become integral parts of the process, minimizing potential project setbacks.
• Better Project Outcomes: The structured approach significantly increases the likelihood of achieving project objectives within budget and timelines.

Gain Complete Control Over Project Lifecycle With ProProfs Project

Running a project from start to completion is not a one-shot gig. Sometimes, resources fall short, and sometimes, budgets overrun the initial estimation. That’s why it is so essential to understand the different project lifecycle phases.

So, what’s your best shot at implementing whatever you read in this blog? Get an agile project lifecycle management software. 

ProProfs Project is one of my favorite choices when it comes to software for startups or SMBs. 

It’s a tool that packs all the basics of project management, like a task manager, multiple project progress views, automation, etc. Plus, the software even has advanced features – resource planning, portfolio management, time tracking, reports, and more – all for free for small teams.

If you want to avail the free plan, just sign up here to get started!

Learn More About Project Lifecycle Management

How does Agile differ from traditional project lifecycles?

Agile and traditional project lifecycles (often referred to as Waterfall) differ significantly in their approach, flexibility, and execution. Here’s a brief comparison of the two methodologies:

• Approach: Agile project lifecycle is adaptive and iterative, while Waterfall is predictive and sequential.
• Flexibility: Agile allows for changes throughout the project, whereas Waterfall is rigid once the initial plan is set.
• Customer Involvement: Agile involves customers throughout the project, while Waterfall limits their involvement to the beginning and end.
• Delivery: Agile delivers small increments regularly, while Waterfall delivers the final product at the end.
• Feedback: Agile incorporates continuous feedback, whereas Waterfall has limited feedback opportunities after the initial requirements are gathered.

Agile is ideal for projects where requirements are expected to evolve and customer satisfaction and quick delivery of functional products are critical. Conversely, Waterfall is better suited for projects with well-defined requirements and where the scope is unlikely to change.

For a more detailed understanding of which is better for your business, you can read this article.

How does project lifecycle management contribute to organizational growth?

Project lifecycle management (PLM) is a structured approach to managing projects from inception to completion. By breaking down projects into phases, PLM enhances efficiency, reduces risks, and improves decision-making.

I’ve made a list of what project lifecycle management does to your business –

• Efficiency: Optimizes resource allocation and improves project execution.
• Risk Management: Identifies and mitigates risks, reducing project failures.
• Decision Making: Provides data for informed decisions and enhances project visibility.
• Scalability: Creates a standardized framework for handling increased projects.
• Knowledge Management: Captures lessons learned and develops project talent.

What are the potential challenges faced during the project lifecycle?

Project lifecycle management often encounters obstacles. From my experience, these are some of the most common ones –

• Scope Creep: Uncontrolled expansion of project goals.
• Resource Constraints: Limited budget, personnel, or equipment.
• Risk Management: Unforeseen challenges, delays, or failures.
• Communication Breakdown: Ineffective information sharing among stakeholders.
• Stakeholder Conflict: Disagreements or competing priorities.
• Quality Issues: Failure to meet project standards or customer expectations.
• Change Management: Difficulty adapting to project modifications.

Effective project management involves proactively addressing these challenges to ensure project success.