LESSON 6
CLOSE THE
PROJECT/PHASE
• Project/Phase Closure
• Benefits Realization
• Knowledge Transfer
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Learning Objectives
• Define the reasons and activities related to the closure of a phase or a project.
• Explain the benefits gained from a project or phase, and how they are managed,
sustained, etc.
• Examine the reasons for knowledge transfers and how they relate to the closure of
a phase or project.
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Project/Phase Closure
TOPIC A
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Why Projects
Stakeholders accept deliverables based on acceptance criteria
or Phases established at the beginning of the project in the project management
Close plan
Fulfillment Acceptance criteria may be modified during a project life cycle
Use the requirements traceability matrix to ensure completion and
approval of all requirements
At the end of an iteration, the team and stakeholders assess the
product/service against their mutually agreed definition of done
(DoD)
Final acceptance occurs prior to product release.
Acceptance criteria and definition of done (DoD) express the
same status of stakeholder satisfaction with the product. Teams
may use the terms interchangeably.
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Why Projects
or Phases
Close
Premature or • Requirements/needs change
Forced Closure • Project/deliverable is no longer feasible
• (Internal) Organization makes a change to the business case.
• (External) A legal or regulatory change prohibits progress.
• Project/deliverable is no longer desirable
• Impediment encountered
Can anyone share an
example of a forced • Financial support is not available to complete the requirements
project or phase
closure? • Risks with significant consequences make successful completion
impossible
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Close Project or Phase Activities
• Acceptance of deliverables or product by customer
• Transition of deliverables or product to customer
• Notify enterprise and organizational functions; update OPAs
• Prepare final report
• Conclude external obligations, including legal, regulatory, contractual — e.g., transfer of liability,
closure of all accounts in financial system
• Archive project information
• Release resources (human, financial and physical assets)
These activities are part of the Close Project or Phase process and are typically
included in the project management plan and in the WBS, under the project
management function. ©2023Project Management Institute, Inc. All rights reserved.
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Transitions
(Handovers)
Deliverables are handed to the customer or owner.
Transition/handover specifications for deliverables are in the
• Some project management plan.
organizations
use a rollout or
transition plan. A tailored solution that delivers value — most likely in an
• This is not a incremental way — to the organization.
project
management
plan component.
Every iteration output is handed to the product owner.
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Transition /
Handover
Ensure your customer is ready for change and success!
Readiness
Readiness may require additional change management
activities to ensure adoption and overcome resistance.
Especially critical if an existing product or service is
being upgraded.
Assess the readiness of all parties:
End The Project Support
Users Business Team Staff
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Transition /
Handover Effective transitions or handovers of deliverables or products enable
Activities end-user awareness, increasing the likelihood of successful adoption
and, therefore, of benefits realization.
Transition requirements can include:
• Training on the new product or service
• Documentation for the product/deliverable
• Effective communication between the project team and the
organization
• Post-implementation support (aka “hypercare”)
Where are the transition requirements recorded in a predictive
project?
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Interactive / Activity
Do you remember the difference between
explicit and tacit knowledge?
Discuss the importance of transferring both
kinds of knowledge from the project team
to the customer.
Give an example of how your team has
done it in the past.
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10
Paying and DO DON’T
Closing
Contracts
• Notify the appropriate entity • Delay payments until project or
(usually accounts payable) phase closure, unless specified
when work has been fulfilled in the contract
and contracts can be paid
• Pay suppliers or vendors in
accordance with contract terms
Some payments may have
been made during the
project and the contract may
have been closed
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Finalizing Contracts
Archiving contracts means collecting, indexing
and filing:
• Contract schedule
• Scope
• Quality
• Cost performance
• Contract change documentation
• Payment records and financial documents
• Inspection results
• “As-built” or “as-developed” documents,
manuals, troubleshooting and technical
documentation
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ECO Coverage
1.8 Negotiate project agreements
• Verify objective(s) of the project agreement is met (1.8.3)
2.17 Plan and manage project/phase closure or transitions
• Validate readiness for transition (e.g., operations team or next
phase) (2.17.2)
• Conclude activities to close out project or phase (e.g., final lessons
learned, retrospectives, procurement, financial, resources) (2.17.3)
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Benefits Realization
TOPIC B
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Early and
Long-Term
Benefits Benefits accrue at various stages depending on:
Realization • Project life cycle used
• Nature of the project work
• Intended outcomes
Some benefits are
immediate while others
could take a few months
to years! Can you identify a type of project in which value is delivered
very early?
And a project in which value is delivered months or even years
after transition?
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Benefits Transition and Sustainment
Responsibilities
Any improvement or modification to delivered
benefits is a new project
• Handover/transition Any improvements or modifications to delivered
• Review of the benefits are proposed as work for the next/future
benefits iteration and placed/reprioritized on the backlog
management plan
Organizations and teams tailor solutions for benefits
realization and sustainment — e.g., post-
implementation support (aka “DevOps” or “hypercare”)
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Benefits Transition and Sustainment
An Explanation
Project Team Product Owner or
Customer
Project Manager
Delivers benefits to customer • Ensures continued generation of
Works with customer to identify work required for
organization improvements and delivered benefits
desired improvements
• Captures additional customer inputs
Provides planned performance Compares actual performance to planned Uses metrics chosen with team to measure
data performance, including KPIs performance
Works with business owner to
suggest benefits realization Implements benefits realization metrics at Collaborates with team to determine suitable
metrics, including frequency suitable intervals, tailored to needs metrics
and monitoring responsibilities
Determines if any remaining • Identifies risks, processes and tools needed
risks might prevent benefit Monitors risks on impediments log and
to ensure continued benefits realization
collaborates with team about response
achievement • Monitors risks affecting delivered benefits
Provides technical information
Collaborates with team to update technical
required to use the product or Updates technical information – e.g., FAQs
service information
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Benefits • Is a major input to authorizing the project
Management • Examines the requested benefits and determines if both the tangible
Plan and intangible business value will be realized from the project
• Determines the time frame for short- and long-term benefits realization
A business document • Identifies a benefits owner responsible for achieving the benefits,
developed by the including:
organization to define
• Metrics or measurements to be used
potential benefits from the
project effort • Which individuals or groups measure results
In the plan, determine whether any remaining project risks might prevent
benefit achievement.
When key stakeholders are identifying desired project benefits, let them
suggest how the benefits should be measured.
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Benefits Owner
• Works with project manager/team
lead during the project to ensure
A benefits owner may be a business
planned benefits are managed as
analyst, sponsor or operations manager.
they are delivered
• Assists in transitioning the
requested benefits to the receiving
organization
• Ensures that measurement metrics
and methods are established and The product owner is responsible for
monitored making sure project work reaps benefits
• Reports to management on the for the organization.
realized results (value) of the
delivered benefits
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Verify Benefits Realization
• Using the chosen metrics, the product owner reports on progress for each tangible
benefit
• For intangible benefits, a subjective (qualitative) determination may be more useful
• Reporting should include:
• For tangible benefits—progress toward being met
• Any benefits at risk of not being realized as planned
• Any resulting negative impact on strategic objectives
• Potential ending of the project team’s support
In a predictive project, once the transition is complete, who is responsible for
verifying that benefits are realized?
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ECO Coverage
3.2 Evaluate and deliver project benefits and
value
• Document agreement on ownership for
ongoing benefit realization (3.2.2)
• Verify measurement system is in place to
track benefits (3.2.3)
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Knowledge Transfer
TOPIC C
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Knowledge Management
During Closing
• Conduct retrospectives or final lessons
learned meetings
• Archive all project information
• Finalize lessons learned register
• Add the lessons learned to the knowledge
management/lessons learned repository
• Transition knowledge from project team to
the customer
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Conduct
Project
• Internalize learning about the work product and process
Retrospective
• Capture key successes and challenges
• Consider qualitative (people’s feelings) and quantitative
(measurements) data
• Use data to find root causes, design countermeasures,
and develop action plans for next time
• Praise, congratulate and motivate the team
An agile team might conduct a final retrospective, while a
project manager holds a final “all-hands” meeting for the team
in a predictive life cycle. These are similar ceremonies for
closing a project or phase.
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Finalize
Lessons
Learned
Include the following topics from the project’s
lessons learned register in the final report:
• Scope changes
• Schedule impacts
• Risks and issues
• Stakeholder relationships
• Vendor relationships
• Artifacts
• Recommendations
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Consolidating Lessons
Learned
The following categories of lessons learned
information are especially important at the end of
a project:
• Scheduling
• Conflict management
• Sellers
• Customers
• Strategic
• Tactical
Transfer these into the lessons learned
repository.
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Final Report: Summary of project/phase performance result
Description Describe activity undertaken, including deliverables or milestones
Scope
objectives Document scope evaluation criteria and give evidence of met completion criteria
Quality Describe evaluation criteria for project and product quality. Verify objectives are met,
objectives give actual milestone delivery dates and reasons for any variances
Cost objectives Restate acceptable cost range, give actual costs and reasons for any variances
Validation Include required approvals for final product, service or result—e.g., user satisfaction
information survey results
Schedule Verify project objectives were completed on time; report on any variance and effects of
objectives the variance
Benefits State how the final product, service or result achieved the business needs and
realization expected benefits; if partial, give details of variance and fulfillment schedule
Risks or issues
encountered List risks and issues and state how they were addressed
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ECO Coverage
2.16 Ensure knowledge transfer for project
continuity
• Confirm approach for knowledge transfers
(2.16.3)
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Don't Hesitate – Accelerate
Earn Your PMP Certification
With your knowledge, experience leading
projects, and the 35 hours of training you’ve
completed, you are eligible and prepared for PMP
exam success!
Start or Continue your PMP Application Today
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End of Lesson 6
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Don't Hesitate – Accelerate
Earn Your PMP Certification
With your knowledge, experience leading projects, and the 35 hours of training you’ve
completed, you are eligible and prepared for PMP exam success!
Start or Continue your PMP Application Today
©2023Project Management Institute, Inc. All rights reserved.
This material is being provided as part of a PMI® course.
31
Don't Hesitate – Accelerate
Earn Your PMP Certification
With your knowledge, experience leading
projects, and the 35 hours of training you’ve
completed, you are eligible and prepared for PMP
exam success!
Start or Continue your PMP Application Today
©2023Project Management Institute, Inc. All rights reserved.
This material is being provided as part of a PMI® course.
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