Governance is the project’s “constitution.” It defines the powers (Steering Committee, PMO) and the rules (RACI, decision rights). Rushing into execution without this ratified framework inevitably leads to power struggles (e.g., Business vs. IT) and decision gridlock.

Compliance

Engagement

The “Why”

“I have to”

“I want to”

Motivation

External
(reward & punishment)

Internal
(pursues purpose)

Focus

Rules and policies

Goals and mission

Results

Meets standards

Exceeds standards

Behavior

Follows instructions

Take initiative & innovates

Outcome

Stability

Growth, innovation, higher productivity