What Is a Project Sponsor?

The project sponsor is generally an equity investor, that is, the actual investor of the project. It obtains investment benefits through the investment activities and operating activities of the project, and organizes project financing to achieve the comprehensive objectives and requirements of the investment project. Because project financing is more than infrastructure and public projects, and such projects have the characteristics of large investment, large returns and high risks, the project sponsor is generally the highest creditor and beneficiary of the country where the project is located-government agency or state-owned enterprise Sometimes, it can also be an investment consortium made up of many companies related to the project, or a mixture of government agencies and private companies.

Project sponsor

Right!

The project sponsor is generally an equity investor, that is, the actual investor of the project. It obtains investment benefits through the investment activities and operating activities of the project, and organizes project financing to achieve the comprehensive objectives and requirements of the investment project. Because project financing is more than infrastructure and public projects, and such projects have the characteristics of large investment, large returns and high risks, the project sponsor is generally the highest creditor and beneficiary of the country where the project is located-government agency or state-owned enterprise Sometimes, it can also be an investment consortium made up of many companies related to the project, or a mixture of government agencies and private companies.

Chinese name

Project sponsor

Solid

Equity investor

Roles and responsibilities

Define the organization's needs for the project

Use of financial models

Establish an early project financial model

The roles and responsibilities of the project sponsors at each stage of the project are as follows: ^[1]

1. Establish the early financial model of the project ^[2]

In the eyes of the vast majority of project managers, the project sponsor is the person for whom the project manager needs to submit a phased report for the project. The project sponsor is the person who drives the project forward, and they are also the senior personnel that the project manager contacts on the project client side. The project sponsor may or may not be the beneficiary of the project, but they are usually responsible for the final outcome of the project. They will give guidance to the work of the project manager, and provide opinions and suggestions on the daily work of the project as the main customer. ^[3]

The relationship between the project manager and the sponsor is dual. On the one hand, the sponsor will give guidance and suggestions on the work of the project manager. On the other hand, they are also reliable resources that can help the project manager. For example, the project manager is undertaking a project to build a new production line for the enterprise. In this case, the project sponsor may be the production leader of the enterprise-that is, because the production is responsible for In order to ensure that the company has sufficient production capacity, people submitted a project application for the construction of a new production line and started this project. Naturally, the person in charge will give the scope of work for the entire project, and will provide the project manager with the necessary help to solve problems when the project manager encounters problems that cannot be solved by himself.