An activity can be executed effectively if its objectives and the method of execution are documented properly. In case of a project, this document is called project charter, which serves as a framework for executing activities. In simple words, a project charter refers to a formal document that mentions the various important aspects of a project such as project objectives, project deliverables, key stakeholders and their role, etc. It defines various high level requirements in a project and establishes the relationship of the project with an organisation.