Evaluating and Terminating the Project

1. Evaluating and Terminating the Project Key Concepts Evaluation Measurement Auditing the Project

2. Background • A project evaluation appraises the progress and performance relative to the project’s initial or revised plan. • Also appraises project against goals and objectives set for it during selection process. • Projects should be evaluated at a number of crucial points. • Purpose is to improve process of carrying out project.

3. Evaluation Criteria • Original criteria for selecting and funding project • Success to date • Business/Direct Success • Future Potential • Contribution to Organisation’s Goals • Contribution to Team Member Objectives

4. Measurement • Measuring performance against planned budgets and schedules straightforward • Earned value analysis more complicated

5. Project Auditing • The Audit Process • Timing depends on purpose • Three Levels • general audit • detailed audit • technical audit

6. Steps in Project Audit • Familiarise audit team with requirements of project • Audit project on-site • Write up audit report • Distribute report

7. Behaviour Aspects • Audit team must have free access to anyone with knowledge of the project • Project team members rarely trust auditors • Audit team must understand politics of project team • Information must be confirmed • Project team should be made award of in-process audit • No judgmental comments

8. The Audit Report • Introduction • Current Status • Future Project Status • Critical Management Issues • Risk Analysis and Risk Management • Final Comments

9. Project Termination • When to Terminate a Project • Sunk Cost Approach • whether organisation is willing to invest the time and cost required to complete the project • Two Other Criteria • the degree to which the project has met its goals • the degree to which the project qualifies against a set of factors associated with success or failure

10. Types of Project Termination • Project Extinction • Termination-By-Addition • Termination-By-Integration • Termination-By-Starvation

11. The Termination Process • Decision made by broad based committee of senior managers • Termination process should be specified in project plan • Termination manager

12. The Project Final Report • Project Performance • Administrative Performance • Organisational Structure • Project Management Techniques