What is a project baseline?

A project baseline is an approved version of a project plan that serves as a standard for measuring project performance. It includes key components such as the project scope, schedule, and budget as they are approved at a particular point in time. Establishing a baseline is critical for effective project management because it sets the expectations and serves as a reference against which actual project performance can be compared.

When project performance is assessed against the baseline, any variances can be identified, which helps project managers determine if corrective actions are necessary. This established baseline provides a clear framework for assessing progress and making informed decisions throughout the project lifecycle.

In contrast, an initial project budget is just one component of the project baseline. A tool for tracking project risks focuses on identifying and managing potential issues but does not encapsulate the entire project plan. Meanwhile, summarizing stakeholder feedback is valuable for understanding stakeholder needs and expectations but does not establish a formal reference point for project performance. Thus, the correct answer highlights the comprehensive and official nature of a project baseline, emphasizing its importance in the realm of project management.