Project progress reports often use the traffic light rating system or RAG status definition as a visual cue to project performance.
However, the effectiveness of this project tracking tool is wholly dependent on the integrity of the project manager and the accuracy of the assigned RAG status.
An inappropriate RAG rating can lead to issue avoidance and ultimately project failure. Its purpose is to show progress and make it clear when the project manager needs the board’s intervention.
Therefore, it makes much sense to understand the meaning behind the traffic light system and the ratings for red, amber, and green.