Project Closure

Question 1

What are some reasons for closing a project?

Answer 1

• Project contractor has run out of money/gone into liquidation
• Project owner has run out of money
• Project owner has major changes and wants to scrap current project
• Customer asks for project to be put on hold
• Act of God (flooding, fire etc)
• Government policy changes
• Hostile environment (internal, external, international etc)

Question 2

What is the main reason for the project closure announcement?

Answer 2

Forbid further expenditure against cost codes

Question 3

What should be in the project closure form?

Answer 3

project title;
project number;
the effective closure date;
reason for closure;
any special instructions;
signature authorizing the closure;
distribution, which should at least include all those who received the
authorization notice when the project was opened

Question 4

Project close down should be treated as what kind of expense?

Answer 4

Overhead expense

Question 5

What should be done with surplus material?

Answer 5

• Consider re selling

- Consider storing for future project

Question 6

What should be in a case history?

Answer 6

Chronological list recording every significant event and list all serious problems that had to be over come along with solutions.
In addition, other project documents such as project specs, risk register, schedules, minutes etc should be included

Question 7

Why do a case history?

Answer 7

Vital for any legal proceedings

Strategies for new projects