Project reports are valuable tools to both project teams and stakeholders. It provides several benefits. Through these reports, all those involved are able to track the current progress of the project and compare it against the original plan. They can identify risks early on, and take corrective action. Reports make it easy for everybody to see expenses and manage the budget with more visibility. In fact, reporting increases visibility in all aspects of the project, including team performance.
With greater visibility from reports, the project manager can be in more control to act on progress, stagnation, regression, team performance, or quality of work. Project reports are sources of learning. With enough information, those involved can decide to stop what is not working, to continue doing what is working, and to consider reviewing the rest. Finally, reporting is a process that requires completeness and accuracy. It promotes thoroughness, and ensures all aspects of the project are covered.
At the following link you can find some frequently questions about project reporting: