module 12 session 12.1 visual 1 module 12 terminating the project session 12.1: terminating the...

Module 12 Session 12.1 Visual 1

Module 12

Terminating the Project

Session 12.1: Terminating the Project


Instructional Objectives

At the end of the session, the learner will able to

1. List at least five tasks a project manager typically

must perform during termination.

2. Describe at least three problems commonly encountered during project termination.

3. Describe at least three best practices that may make the transition from project to operations more successful.


Steps Involved in Closing a Project

Step 1. Ensure that project deliverables and objectives have been achieved.

Step 2. Complete close-out activities: Complete paperwork. Plan for the operational phase. Transfer personnel.

Step 3. Carry out postproject audit.


Step 1: Ensure That Project Objectives

are Achieved.

Agree with contractors and consultants on remaining deliverables.

Agree with suppliers on outstanding commitments.


Step 2: Complete Close-Out Activities

Responsibility of Project Management

Responsibility of Contractors or Consultants

Joint Responsibility

• Plan for maintenance (done jointly with contractor or supplier and your organization’s maintenance department).

• Close out contracts and settle disputes.

• Transfer files and documentation.

• Obtain needed government approvals and certification.

• Plan inspection and acceptance procedures.

• Inspect and accept deliverables.

• Plan for ex post evaluation; design monitoring system.

• Close out project accounts, including work orders and work packages.

• Close project facilities.

• Arrange for transfer of personnel.

• Coordinate planning for commissioning of facilities and start-up of operations, including training.

• Perform postproject audit.

• Notify affected communities.

• Close contractor facilities.

• Prepare as-built drawings (or the equivalent) and other project documentation.

• Prepare operational manuals.

• Complete punch list.


Project Termination Paperwork

Review and agree on termination checklist with contractors, consultants, and suppliers.

Prepare termination plan of action, including all activities that need to be carried out, who is responsible, and dates: Project accounts Contracts Drawings, files, reports, and other documents Approvals and certifications


Planning for Start-Up of Operations

Project management’s role:

Coordinate transition to operations Notify those responsible for operations. Assist in preparation of operational plan. Ensure training needs are known and addressed. Ensure operational policies, systems, and

procedures are prepared. Transfer any files, documents, or materials

necessary for operations, such as maintenance manuals.


Step 3: Postproject Audit

Purpose: To learn from experience Identify mistakes. Determine impact of mistakes. Identify how mistakes can be avoided on future

projects. Make appropriate changes and improvements in

project management and functional policies and procedures.

Source: Russell Archibald. 1992. Managing High Technology Projects and Programs, 2nd ed. New York:John Wiley Publishers.


Components of a Postproject Audit

1. What were the original and final objectives? Performance (Scope) Cost Schedule

2. Were the objectives met?

3. Were there problems in the process of implementation?

4. What factors contributed to successful aspects?

5. What factors contributed to problems and mistakes?

6. What policy or procedural changes could avert future problems?

7. Implement any necessary changes.


Step 2: Complete Close-Out Activities

Responsibility of Project Management

Responsibility of Contractors or Consultants

Joint Responsibility

• Plan for maintenance (done jointly with contractor or supplier and your organization’s maintenance department).

• Close out contracts and settle disputes.

• Transfer files and documentation.

• Obtain needed government approvals and certification.

• Plan inspection and acceptance procedures.

• Inspect and accept deliverables.

• Plan for ex post evaluation; design monitoring system.

• Close out project accounts, including work orders and work packages.

• Close project facilities.

• Arrange for transfer of personnel.

• Coordinate planning for commissioning of facilities and start-up of operations, including training.

• Perform postproject audit.

• Notify affected communities.

• Close contractor facilities.

• Prepare as-built drawings (or the equivalent) and other project documentation.• Prepare operational manuals.

• Complete punch list.


Potential Behavioral Problems

1. Fear of no future work

2. Loss of interest in tasks remaining

3. Loss of project-derived motivation

4. Loss of team identity

5. The effect of personnel reassignment

6. Reassignment methodology

7. Diversion of effort

Source: Herbert F. Spirer and David H. Hamburger. 1990. “Phasing Out the Project,” in Project Management Handbook, David I. Cleland and William R. King, eds., New York: Van Nostrand Reinhold.



Contractors’ and consultants’ concerns at project termination

1. Changes in attitude

2. Loss of interest

3. Change of personnel

4. Unavailability of key personnel




Dealing with low interest and lack of team identity

1. Define termination as a project.

2. Provide a team identity.

3. Bring the team together frequently.




Dealing with project staff’s concerns about reassignment

1. Be honest about reassignment and future work.

2. Make each reassignment decision a conscious, deliberate choice.

3. Hold the right personnel.

4. Carry out reassignments openly.

5. Play an active role in reassignment.



Staff Characteristics Needed at Termination

Flexibility Independence Attention to detail Highly developed skills




Things the contractor, supplier, and consultant should do:

1. Outline availability of future support for the project’s deliverables.

2. Identify warranty obligations and the start and completion dates.

3. Be willing to negotiate.

Source: Herbert F. Spirer and David H. Hamburger. 1990. “Phasing Out the Project,” in Project Management Handbook, David I. Cleland and William R. King, eds.. New York: Van Nostrand Reinhold.


Technical Problemsat

Termination

Have To Do WithDetails


Technical Problems: Close-Out Activities Identifying and agreeing on remaining deliverables Certifying and accepting Identifying and agreeing on outstanding commitments Controlling charges to the project Screening uncompleted tasks that are no longer needed Closing work orders and work packages Identifying, closing, and/or transferring physical facilities Accumulating and structuring project historical data:

post-project audit Disposing of project material Implementing the warranty program and other

postcontract efforts Communicating closures



Dealing With Potential Technical Problems

Analytical Tools

Tree Diagrams

Matrixes

List



Tree Diagram for Termination

Source: Herbert F. Spirer and David H. Hamburger. 1990. “Phasing Out the Project,” in Project Management Handbook, David I. Cleland and William R. King, eds., NewYork: Van Nostrand Reinhold.

Project close-out

Organization Financial Purchasing Site

Close-out meeting

Reassignment plan

Personnel reports

Collect receivables

Supplier notifications

Final payments

Compliance documents

Charge audits

Final report

Close down facilities

Equipment/material disposal


Matrix Model for Relationship Among Commitments, Vendors, and Status

Co

mp

any

1

Co

mp

any

2

Co

mp

any

3

Co

mp

any

4

Co

mp

any

5

Stand pipes

I

Note:

D - To take delivery

N - In negotiation

I - Awaiting information

C - Closed

Blank indicates no commitment, past or present


Pumps D

CChemical

Water tanks

Vehicles

I

D

D

C

C I

N

D

DN CMeters

N


Matrix Model for Assignment of Records in Project Termination


Note:

P - Prepare

A - Approve

R - Review

E - Execute

Quality assurance manual P

PQA procedures index

Drawings, auto equipment

Drawings, calibration blocks

A

A

P/E R

Spare parts specifications

Calculation notebooks

QA audit schedule

A

A

A

P R

P

P

R

A

P

R P

Dir

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r o

f p

roje

cts

Tas

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Au

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anag

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Vic

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iden

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Pro

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Qu

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A Project Manager Needs

Knowledge of financial systems and accounting

Technical knowledge of project

Negotiating skills

A sense of urgency about details

module 12 session 12.1 visual 1 module 12 terminating the project session 12.1: terminating the...

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