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The Importance of Project Closeout and Review in Project Management.

DescriptionThe well known English phrasePlanning the reviews should include the
"last but not least" could not betterappropriate time and place for the workshops
describe how important the project closeoutand most important the people that will be
phase is. Being the very last part of theinvited. Choosing the right people for the
project life-cycle it is often ignored evenreview will enhance the value of the meeting
by large organizations, especially when theyand help the learning process while having an
operate in multi-project environments. Theyobjective critique not only by the team
tend to jump from one project to another andmembers but also from a neutral external
rush into finishing each project because timeauditor. The outcome of this review should be
is pressing and resources are costly. Thena final report which will be presented to the
projects keep failing and organizations takesenior management and the project sponsor.
no corrective actions, simply because they doWhitten (2003) also notices that "often just
not have the time to think about what wentpreparing a review presentation forces a
wrong and what should be fixed next time.project team to think through and solve many
Lessons learned can be discussed at projectof the problems publicly exposing the state
reviews as part of the closeout phase.of their work".5. Disband the project
Closure also deals with the final details ofteamBefore reallocating the staff amongst
the project and provides a normal ending forother resources, closeout phase provides an
all procedures, including the delivery of theexcellent opportunity to assess the effort,
final product. This paper identifies thethe commitment and the results of each team
reasons that closeout is neglected, analyzesmember individually. Extra-ordinary
the best practices that could enhance itsperformance should be complemented in public
position within the business environment andand symbolic rewards could be granted for
suggest additional steps for a completeinnovation and creativity (Gannon, 1994).
project closeout through continuousThis process can be vital for team
improvement.Project managers often know whensatisfaction and can improve commitment for
to finish a projects but they forget how tofuture projects (Reed, 2001). Reviewing a
do it. They are so eager to complete aproject can be in the form of a reflective
project that they hardly miss the completionprocess, as illustrated in the next figure,
indicators. "Ideally, the project ends whenwhere project managers "record and critically
the project goal has been achieved and isreflect upon their own work with the aim of
ready to hand over to customer" (Wellace et.improving their management skills and
al, 2004, p156). In times of big booms andperformance" (Loo, 2002). It can also be
bubbles, senior management could order theapplied in problematic project teams in order
immediate termination of costly projects. Ato identify the roots of possible conflicts
characteristic example of that is Bangkok'sand bring them into an open
over investment in construction ofdiscussion.Ignoring the established point of
sky-scrapers, where most of them leftview of disbanding the project team as soon
abandoned without finishing the last floorsas possible to avoid unnecessary overheads,
due to enormous costs (Tvede, 2001, p267).Meredith and Mandel (2003, p660) imply that
Projects heavily attached to time can beit's best to wait as much as you can for two
terminated before normal finishing point ifmain reasons. First it helps to minimize the
they miss a critical deadline, such as anfrustration that might generate a team
invitation to tender. Kerzner (2001, p594)member's reassignment with unfavourable
adds some behavioural reasons for earlyprospects. Second it keeps the interest and
termination such as "poor morale, humanthe professionalism of the team members high
relations or labour productivity". Theas it is common ground that during the
violent nature of early termination is alsoclosing stages, some slacking is likely to
known as 'killing a project' because itappear.6. Stakeholder satisfaction PMI's
"involves serious career and economicPMBoK (2004, p102) defines that "actions and
consequences" (Futrel, Shafer D & Shafer L,activities are necessary to confirm that the
2002, 1078). Killing a project can be aproject has met all the sponsor, customer and
difficult decision since emotional issuesother stakeholders' requirements". Such
create pride within an organization and aactions can be a final presentation of the
fear of being viewed as quitters blursproject review which includes all the
managerial decisions (Heerkens, 2002,important information that should be
p229).RecognitionThe most direct reason thatpublished to the stakeholders. This
Project Closeout phase is neglected is lackinformation can include a timeline showing
of resources, time and budget. Even thoughthe progress of the project from the
most of project-based organizations have abeginning until the end, the milestones that
review process formally planned, most of thewere met or missed, the problems encountered
times "given the pressure of work, projectand a brief financial presentation. A well
team member found themselves being assignedprepared presentation which is focused on the
to new projects as soon as a current projectstrong aspects of the projects can cover some
is completed" (Newell, 2004). Moreover, theflaws from the stakeholders and make a
senior management often considers the cost offailure look like an unexpected success.Next
project closeout unnecessary. Sowards (2005)StepsEven when the client accepts the
implies this added cost as an effort "indelivery of the final product or service with
planning, holding and documenting effectivea formal sign-off (Dvir, 2005), the closeout
post project reviews". He draws a parallelphase should not be seen as an effort to get
between reviews and investments because bothrid of a project. Instead, the key issue in
require a start-up expenditure but they canthis phase is "finding follow-up business
also pay dividends in the future.Human naturedevelopment potential from the project
avoids accountability for serious defects.deliverable" (Barkley & Saylor, 2001, p214).
Therefore, members of project teams andThus, the project can produce valuable
especially the project manager who has thecustomer partnerships that will expand the
overall responsibility, will unsurprisinglybusiness opportunities of the organization.
avoid such a critique of their work if theyBeing the last phase, the project closeout
can. As Kerzner (2001, p110) observe,plays a crucial role in sponsor satisfaction
"documenting successes is easy. Documentingsince it is a common ground that the last
mistakes is more troublesome because peopleimpression is the one that eventually stays
do not want their names attached to mistakesin people's mind.Continuous improvement is a
for fear of retribution". Thomset (2002,notion that we often hear the last decade and
p260) compares project reviews with thereview workshops should be involved in it.
'witch hunts' saying that they can be "one ofThe idea behind this theory is that companies
the most political and cynical of allhave to find new ways to sustain their
organizational practices where the victimscompetitive advantage in order to be amongst
(the project manager and the team) are blamedthe market leaders. To do so, they must have
by senior management". While he identifiesa well-structured approach to organizational
top management as the main responsible partylearning which in project-based corporations
for a failure, Murray (2001) suggest that theis materialized in the project review.
project manager "must accept ultimateGarratt (1987 in Kempster, 2005) highlighted
responsibility, regardless of the factorsthe significance of organizational learning
involved". A fair-minded stance on thesesaying that "it is not a luxury, it is how
different viewpoints would evoke that theorganizations discover their future". Linking
purpose of the project review is not to findorganizational learning with Kerzner's (2001,
a scapegoat but to learn from the mistakes.p111) five factors for continuous improvement
After all, "the only true project failureswe can a define a structured approach for
are those from which nothing is learned"understanding projects.This approach can be
(Kerzner, 2004, p303).AnalysisWhen theimplemented in the closeout phase, with
project is finished, the closeout phase mustsystematic reviews for each of the above
be implemented as planned. "A general rule isfactors. Doing so, project closure could
that project closing should take no more thanreceive the attention it deserves and be a
2% of the total effort required for thetruly powerful method for continuous
project" (Crawford, 2002, p163). The projectimprovement within an organization. Finally,
management literature has many different setsproject closeout phase should be linked with
of actions for the last phase of the projectPMI's Organizational Project Management
life cycle. Maylor (2005, p345) groups theMaturity (OPM3) model where the lessons
necessary activities into a six steplearned from one project are extremely
procedure, which can differ depending on thevaluable to other projects of the same
size and the scope of theprogram in order to achieve the highest
project:1. CompletionFirst of all, theproject management maturity
project manager must ensure the project isheight.References1. A Guide to Project
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original statement of requirements, it isDekker, USA, p1636. Department of Veteran
often part of the contract closeout. RosenauAffairs, 2004, Project Management Guide,
and Githens (2005, p300) suggest that "theOffice of Information and Technology - USA
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support as an opportunity and not merely asprojects to their final users: The effect of
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each other by exchangingon project success, International Journal of
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things happen (better) with project
The project review comes usually comes aftermanagement, May/Jun 2001 issue, 21, 3,
all the project systems are closed. It is a[Electronic], pp 42-4624. Rosenau & Githens,
bridge that connects two projects that come2005, Successful Project Management, 4th
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eliminate the need for project managers toPM Network, October 2003 issue,
'invent the wheel' from scratch every time[Electronic]28. Young, 2003, The Handbook of
they start a new project. The reuse ofProject Management: A Practical Guide to
existing tools and experience can be expandedEffective Policies and Procedures, 2nd
to different project teams of the sameEdition, Kogan Page, UK, p256Dimitris
organization in order to enhance projectLitsikakis is currently studying MSc Project
results (Bucero, 2005). Reviews have aManagement in one of the top business schools
holistic nature which investigate the impactin UK, Lancaster University. He has published
of the project on the environment as a whole.a series of articles in Ne.O (New Technology
Audits can also be helpful but they areObserver).
focused on the internal of the organization.



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