Project Closure and Auditing
Closing Out a Project
Project closure is traditionally considered the final phase of a project. It includes tasks such as
- Transferring deliverables to the customer
- Cancelling supplier contracts
- Reassigning staff, equipment, and other resources
- Finalizing project documentation by adding an analysis summarizing the project's ups and downs
- Making the documentation accessible to other people in your organization as a reference for future projects
- Holding a close-out meeting
- Celebrating the completed project
Seen from a geometric order perspective, these tasks do mark the definitive end of a project. However,
in the broader, living order vision of a project's life cycle, project closure often merely marks the conclusion of one stage and the transition to another stage of the project's overall life cycle, as shown in Figure 13-2. Seen from this perspective,
project closure is actually an extension of the learning and adjusting process that goes on throughout a project. This is true in virtually all industries, although the actual time it takes to cycle through from a plan to the idea for the next version
can vary from weeks to years.
The close-out meeting is an opportunity to end a project the way you started it - by getting the team together. During this important event, the team should review what went well, what didn't go well, and identify
areas for improvement. All of this should be summarized in the final close-out report. A final close-out meeting with the customer is also essential. This allows the organization to formally complete the project and lay the groundwork for potential
future work.
The close-out report provides a final summary of the project performance. It should include the following:
- Summary of the project and deliverables
- Data on performance related to schedule, cost, and quality
- Summary of the final product, service, or project and how it supports the organization's business goals
- Risks encountered and how they were mitigated
- Lessons learnedFigure 13-2: Seen from a living order perspective, closure is an extension of the learning and adjusting process that goes on throughout a project
Exactly where your work falls in the project's life cycle depends on your perspective
as to what constitutes "the project" in the first place. The designers and constructors of a building might consider the acceptance of the building by the owner as project closure. However, the results of the project - that is, the building - lives
on. Another contractor might be hired later to modify the building or one of its systems, thus starting a new project limited to that work.
If project closure is done thoughtfully and systematically, it can help ensure a smooth transition to
the next stage of the project's life cycle, or to subsequent related projects. A well-done project closure can also generate useful lessons learned that can have far-reaching ramifications for future projects and business sustainability. The closeout
information at the end of a project should always form the basis of initial planning for any future, similar projects.
Although most project managers spend time and resources on planning for project start-up, they tend to neglect the proper
planning required for project closure. Ideally, project closure includes documentation of results, transferring responsibility, reassignment of personnel and other resources, closing out work orders, preparing for financial payments, and evaluating
customer satisfaction. Of course, less complicated projects will require a less complicated close-out procedure. As with project audits, the smooth unfolding of the project closure phase depends to a great degree on the manager's ability to handle
personnel issues thoughtfully and sensitively. In large, on-going projects, the team may conduct phase closures at the end of significant phases in addition to a culminating project closure.
Source: Board of Regents of the University of Wisconsin System, https://wisc.pb.unizin.org/technicalpm/chapter/project-reviews/
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