Principal Function of a Project Steering Group
A Project Steering Group plays a distinct and focused role in project governance, and it's quite different from a board of senior stakeholders or a corporate board.
Any Steering Group is primarily responsible for guiding and overseeing a specific project to ensure it stays aligned with strategic objectives, delivers value to the business, and manages its risks effectively.
the Steering Group's Remit Is Tighter than a Corporate Board
There is a narrower focus - it deals only with the success of a defined project, not the entire business.
It meets for a defined timeline - only for the duration of the project.
It has a specific accountability and success criteria - it is accountable for project outcomes, not broader business performance.
Its key functions include:
Ensuring the project aligns with business goals and delivers intended benefits.
Providing the resources the project needs to actually deliver
Helping resolve escalated risks and issues (that the project team cannot resolve on their own)
Sanctioning a decision made by the project team that needs it
Ensuring stakeholders that are outside of the project (especially ones more senior again, but not always) are informed and engaged appropriately.
Monitoring quality of delivery from the outside - reviewing project reports, performance to milestones, and the team’s effectiveness in delivering
Project Steering Group vs. Senior Stakeholder Board
GROUP
Project Steering Group
Senior Stakeholder Board
SCOPE
Focused on a single project or program
Broad business-wide scope
REMIT
Tactical and strategic decisions within the project, to keep it on track, delivering on agreed outcomes and value, and minimsing risks that prevent either of these from occuring
Strategic direction of the entire organization
DECISION-FOCUS
Project-specific: scope, budget, timeline, risks, issues, benefits, resource allocation
Business-wide: strategy, finance, operations, compliance
MEMBERS
Project sponsor, project lead, senior users of whatever is being delivered
C-suite executives, directors, department heads, shareholders
FREQUENCY
Meets regularly during the project lifecycle (usually monthly, but can be fortnightly or weekly)
Meets periodically (often quarterly)
DURATION
Exists for the duration of the project
Permanent governance body
Why does this matter to a project manager?
You need to know what you’re taking to the Steering Group, what you’re not, and how to ensure the right people are in the room for the right reasons. A PM doesn’t always get to decide who attends the Steering Group, but a PM is often the one to set them up, so there’s influence.
Sometimes people ask to be on the Steering Group who serve no function there - this wastes time and muddies the decision-making.
Examples of what to take to Steering
A key supplier is failing to deliver, and it's threatening the timeline. Steering group intervention is needed to renegotiate contracts or approve a contingency plan.
Unexpected costs have emerged due to regulatory changes. Approval is needed for additional funding or scope reduction to stay within budget.
A critical team member has been reassigned, and delivery is at risk. Help is needed from senior stakeholders to secure or reallocate resources.
A missed business requirement has emerged that could shift the project’s focus. A decision is needed on whether to adjust scope, timeline, or benefits.
The project is entering a critical phase e.g., rollout. Steering group need to approve communications.
Another project is delayed, affecting shared systems or resources. Steering group coordination is needed across portfolios or programs.
Conflicting stakeholder views are stalling progress. Steering group is needed to align expectations or make a final call.
The project is delivering outputs, but benefits depend on business adoption. Help is needed from the steering group to drive adoption.