project evaluation and closure

8/2/2019 Project Evaluation and Closure

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Evaluating andEvaluating andTerminating the ProjectTerminating the Project


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EVALUATIONEVALUATION


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BackgroundBackgroundAAproject evaluationproject evaluation appraises theappraises the

progress and performance relative toprogress and performance relative tothe projects initial or revised plan.the projects initial or revised plan.

and objectives set for it duringand objectives set for it duringselection process.selection process.

Projects should be evaluated at aProjects should be evaluated at anumber of crucial points.number of crucial points.

Purpose is to improve process ofPurpose is to improve process ofcarrying out project.carrying out project.


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Evaluation CriteriaEvaluation CriteriaOriginal criteria for selecting andOriginal criteria for selecting and

funding projectfunding project

Success to dateSuccess to date

us ness rect uccessus ness rect uccessFuture PotentialFuture Potential

Contribution to Organizations GoalsContribution to Organizations Goals

Contribution to Team MemberContribution to Team MemberObjectivesObjectives


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MeasurementMeasurementMeasuring performance againstMeasuring performance against

planned budgets and schedulesplanned budgets and schedulesstraightforwardstraightforward

complicatedcomplicated


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PROJECT AUDITINGPROJECT AUDITING


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The Audit ProcessThe Audit ProcessTiming depends on purposeTiming depends on purpose

Three LevelsThree Levels

general auditgeneral audit

e a e aue a e au technical audittechnical audit


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Steps in Project AuditSteps in Project AuditFamiliarize audit team withFamiliarize audit team with

requirements of projectrequirements of projectAudit project onAudit project on--sitesite

r te up au t reportr te up au t reportDistribute reportDistribute report


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Behavior AspectsBehavior Aspects Audit team must have free access toAudit team must have free access to

anyone with knowledge of the projectanyone with knowledge of the project Project team members rarely trustProject team members rarely trust

auditorsauditors

Audit team must understand politics ofAudit team must understand politics ofproject teamproject team

Information must be confirmedInformation must be confirmed

Project team should be made award ofProject team should be made award ofinin--process auditprocess audit

No judgmental commentsNo judgmental comments


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The Audit ReportThe Audit Report IntroductionIntroduction

description of project and its goalsdescription of project and its goals

Current StatusCurrent Status

compar son o wor comp e e ancompar son o wor comp e e anplannedplanned

Future Project StatusFuture Project Status

conclusions regarding project progressconclusions regarding project progress

recommendations for changesrecommendations for changes


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The Audit ReportThe Audit Report continuedcontinued

Critical Management IssuesCritical Management Issues

issues senior management shouldissues senior management shouldmonitormonitor

potential for project failure andpotential for project failure andmonetary lossmonetary loss

Final CommentsFinal Commentscaveats, assumptions, limitationscaveats, assumptions, limitations


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PROEJCTPROEJCTTERMINATIONTERMINATION


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When to Terminate a ProjectWhen to Terminate a ProjectSunk Cost ApproachSunk Cost Approach

whether organization is willing to investwhether organization is willing to investthe time and cost required to completethe time and cost required to completethe ro ectthe ro ect

Two Other CriteriaTwo Other Criteria

the degree to which the project has metthe degree to which the project has met

its goalsits goals the degree to which the project qualifiesthe degree to which the project qualifies

against a set of factors associated withagainst a set of factors associated with

success or failuresuccess or failure


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Types of Project TerminationTypes of Project Termination

Project ExtinctionProject Extinction

project activity suddenly stopsproject activity suddenly stops

either successfully completed oreither successfully completed or

TerminationTermination--ByBy--AdditionAddition

becomes a new formal part ofbecomes a new formal part of

organizationorganizationTerminationTermination--ByBy--IntegrationIntegration

becomes standard part of operatingbecomes standard part of operatingsystemssystems


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Types of Project TerminationTypes of Project Terminationcontinuedcontinued

TerminationTermination--ByBy--StarvationStarvation

a project in name onlya project in name only


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The Termination ProcessThe Termination ProcessDecision made by broad basedDecision made by broad based

committee of senior managerscommittee of senior managersTermination process should beTermination process should be

Termination managerTermination manager


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A Termination ProjectA Termination Project


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The Project Final ReportThe Project Final ReportProject PerformanceProject Performance

what was achieved and reasons forwhat was achieved and reasons forresulting performanceresulting performance

review of how well administrativereview of how well administrativepractices workedpractices worked

Organizational StructureOrganizational Structure identify modifications to help futureidentify modifications to help future

projectsprojects


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The Project Final ReportThe Project Final Reportcontinuedcontinued

Project Management TechniquesProject Management Techniques

recommendations for improvements inrecommendations for improvements infuture projectsfuture projects

project evaluation and closure

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