What does the term 'project baseline' refer to?

The term 'project baseline' refers to the approved version of a project plan that serves as a standard for measuring and assessing project performance. Specifically, it encompasses key aspects such as scope, schedule, and budget, establishing a clear reference point against which progress can be tracked and performance evaluated throughout the project’s lifecycle. By having a baseline, project managers can identify variances and make informed decisions to steer the project back on track if necessary.

A project baseline is crucial because it allows for an objective assessment of whether the project is staying within its prescribed parameters. This contrasts with options that focus on narrower aspects, such as just the budget estimate or the project scope alone. While stakeholders are essential for project success, they do not define the baseline, which is fundamentally a component of project management methodology.