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Project Cancellation Checklist

 

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Project Cancellation Checklist Project Cancellation Checklist is composed to help project managers in terminating their projects before the appointed time (shutting their projects down) due to some reasons. With a help of this checklist you can identify your reasons, try to prevent cancellation, and actually shut your project down appropriately.


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Identify reasons to terminate a project:

  • Project have lost its competitiveness or relevance of its benefits (probably because it suffers from enormously growing costs or shifting duration);
  • Cardinal change of underlying assumptions and needs, so they are not relevant yet (a project is no more an effective solution for targeted problems, or they appear already solved);
  • Change in the project external environment, so the risks increase drastically;
  • An organization owning and sponsoring a project does not longer exist (sponsorship is lost);
  • Force majeure or other emergency conditions (a project’s site or equipment are destroyed or no longer accessible);
  • Critical project resources are no more accessible (let’s say the sponsor cannot provide funding);
  • Project has lost management support (organization doesn’t want to realize it anymore);
  • Project is considered as no longer feasible, reasonable, or realistic;

What to try to avoid project cancellation:

  • Review and adjust project assumptions to fit another purposes (conversion of the project);
  • Find another sponsor (to obtain another ownership instead of the lost one);
  • Put a project on hold until new resources, instead of lost ones, are found;

What to do during a project cancellation process:

  • Investigate and approve that the project cancellation is really unavoidable;
  • Discuss this issue profoundly with the whole project management team and sponsor;
  • Identify the main problems and seek for possible solutions or alternatives;
  • Evaluate loses that project cancellation will bring to the organization;
  • Consider how to cancel the project in the least painful way (model all possible effects);
  • Create a project cancellation strategy to reason and manage project cancellation event;
  • Review everything already achieved in context of this project and define how these results can be incorporated into other projects being implemented by the organization;
  • Cancel all unwanted contracts with suppliers and consider returning upfront payments;
  • Consider how to cease project operations safely and with minimal loses;
  • Sell or rent out any unclaimed project assets to compensate for uncollected income;
  • Evaluate possibility of selling project ideas, concepts or deliverables to competitors;
  • Ensure the team members are fairly compensated and rewarded for their labour;
  • Disband the project team and release borrowed materials and equipment;
  • Reassign people and resources to other tasks, projects and alternate duties;
  • Reintegrate available project results, if any, into other projects or activities of the organization;
  • Consider the project insurance options, if any, to find out how they can compensate for loses;
  • Contact all minor stakeholders and interested community to announce project cancellation;
  • Archive the major project documentation, along ..


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