Project Audit and Closure
Chapter 14
Objectives
• To understand the process of project audit
• To recognize the value of an audit to project
management
• To determine when to terminate a project
• To identify various reasons why a project is
terminated
• To identify checklist
Project Audit
• What is an audit?
– Management
– Methodology and procedures
– Records
– Properties
– Budgets and expenditures
– Degree of completion
Project Audit Tasks
1. Evaluate if the project delivered the expected
benefits to all stakeholders.
Was the project managed well?
Was the customer satisfied?
2. Assess what was done wrong and what
contributed to successes.
3. Identify changes to improve the delivery of
future projects.
Project Audit
• Step 1: Initiation and Staffing
• Step 2: Data Collection and Analysis
• Step 3: Reporting
Project Audit Report
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Actual vs. planned
Schedule changes
Nature of changes
Progress of specific
tasks
• Potential of failure
• Lessons learned
• Data assumptions
Audit Life Cycle
Audit Initiation
Baseline Definition
Audit Database
Preliminary Analysis
Report Preparation
Termination
Reasons for Termination
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By Extinction
By Addition
By Integration
By Starvation
Project Closure
• Conditions for Closure
– Normal
– Premature
– Perpetual
– Failed Project
– Changed Priority
• Close-out Plan:
Questions to be Asked
– What tasks are
required to close the
project?
– Who will be
responsible for these
tasks?
– When will closure
begin and end?
– How will the project
be delivered?
Closure
1. Getting delivery acceptance from the
customer.
2. Shutting down resources and releasing to
new uses.
3. Reassigning project team members.
4. Closing accounts and seeing all bills are
paid.
5. Evaluating the project team, project team
members, and the project manager.
Primary Duties of Project Leader
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Ensure completion of work
Notify essential contacts of project completion
Ensure documentation is complete
Clear final billings and oversee preparation of final
invoices, paperwork, etc.
Redistribute resources
Ensure proper storage and distribution of documents
Ascertain product support requirements
Oversee closing of project notebook and other books