Directing Projects with PRINCE2

• Introduction
• Overview of PRINCE2
  • Key definitions
  • Structure of PRINCE2
  • The role of senior management in PRINCE2
  • Overview of PRINCE2
• Project Board duties and behaviours
  • Overview
  • Be accountable for the project
  • Provide unified direction
  • Delegate effectively
  • Facilitate cross functional integration
  • Commit resources
  • Ensure effective decision making
  • Support the Project Manager
  • Ensure effective communication
• Starting up a Project
  • Purpose
  • Context
  • Confirm the understanding of the project mandate
  • Appoint the Executive and Project Manager
  • Capture previous lessons
  • Design and appoint the project management team
  • Prepare the outline Business Case
  • Prepare the Project Brief
  • Prepare the Initiation Stage Plan
  • Summary
• Authorize initiation
  • Purpose
  • Context
  • Approve the Project Brief
  • Approve the Initiation Stage Plan
  • Communication
  • Suggested Project Board agenda
  • Summary
• Authorize the project
  • Purpose
  • Context part 1
  • Context part 2
  • Context part 3
  • Communication
  • Review the End Stage Report for initiation
  • Approve the Project Initiation Documentation
  • Approve the next Stage Plan
  • Suggested Project Board agenda
  • Summary
• Authorize a Stage or Exception Plan
  • Purpose
  • Context part 1
  • Context part 2
  • Review End Stage Reports
  • Approve Stage or Exception Plans
  • Assess project viability
  • Suggested Project Board agenda
  • Summary
• Give ad hoc direction
  • Purpose
  • Context
  • Respond to requests
  • Respond to reports
  • Respond to external influences
  • Focus of individual board members
  • Communication
  • Summary
• Authorize project closure
  • Purpose
  • Context
  • Confirm handover and acceptance
  • Approve the End Project Report
  • Approve the Benefits Review Plan
  • Communication
  • Suggested Project Board agenda
  • Summary
• Reviewing benefits
  • Purpose
  • Context
  • Hold benefits reviews
  • Close the Business Case
  • Communication
  • Suggested agenda for benefit reviews
  • Summary
• Tailoring PRINCE2
  • Purpose
  • Introduction
  • Environmental factors
  • Project related factors
  • What does tailoring involve?Adapting the themes

Key sections

• Introduction
• Business case
• Organization
• Quality
• Plans
• Risk
• Change
• Progress
• Introduction to processes
• Starting up a projectDirecting a project
• Initiating a project
• Controlling a stage
• Managing Product Delivery
• Managing a Stage Boundary
• Closing a Project
• Tailoring PRINCE2 to the project environment
• Directing Projects with PRINCE2

Authorize project closure

Context

© Crown copyright 2005 Reproduced under licence from OGC

The final stage of a PRINCE2® project should include the activities (and products) required for an orderly project closure (see the diagram).
Sometimes organizations choose to mandate ‘closure stages’ after the specialist delivery work of the project is complete, but this is not a requirement of the method.

In fact, project closure can occur in two broad contexts:

• When all the products have been delivered and accepted
• When the project is terminated prematurely, for whatever reason

Closing a project prematurely does not necessarily imply failure - and often represents good project management practice.
The project may need to be terminated for any number of reasons:

• Change of corporate/programme strategy
• Changing corporate/programme priorities
• Changing market, social, regulatory or legislative environment
• Technology changes and innovations
• Change of corporate management

As well as:

• Weakening Business Case
• Resources no longer available
• Escalating costs
• Delays and loss of momentum

Whether the project has been successful or not, whether the reasons for closure are perceived as positive or negative, it is always good practice to implement an orderly closure.

There are three priorities to consider:

• The realization of operational benefits from the project. Normally this depends on organizational capabilities:
• To operate and maintain the solution after the project has closed
• To derive the resulting business benefits.
• The measurement and analysis of the project’s performance - its strengths and weaknesses - in order to promote organizational learning and continual improvement
• The systematic decommissioning of the project - reassignment of personnel, equipment, accommodation; contractual formalities; promotional, sales and marketing collateral etc

These three factors need to be provided for in the Stage Plan for the final stage (or, in the event of early termination, in the Exception Plan).
The key products concerned are:

• The End Project Report
• Lessons Report
• Follow-on action recommendations
• The Benefits Review Plan

The Project Board must ensure that these activities are covered when authorizing the relevant plans.
(see the section covering ‘Authorize a Stage or Exception Plan’).

Even a failed project may yield significant benefits - the Advanced Passenger Train (APT) example given in the section covering ‘Authorize a Stage or Exception Plan’ illustrates this potential.
It is always worthwhile to identify lessons that can be learned from project failures.

Note that the Project Board activity described in this chapter occurs after the closure work has been completed.
Its purpose is for the Project Board to ensure that an orderly closure has been achieved - and, effectively, it constitutes the last act of the project.

All references above are in Directing Successful Projects with PRINCE2 unless stated otherwise.

PRINCE2® is a Registered Trade Mark of the Office of Government Commerce in the United Kingdom and other countries.