The Close Project or Phase: Termination Procedures and Archival Activities

PMBOK v8 Definition

The Close Project or Phase process involves finalizing all activities related to both successful and unsuccessful projects, phases, releases, iterations, or contracts. The primary benefits include archiving project or phase information, completing planned work, and releasing organizational resources for new projects. This process also includes establishing procedures to investigate and document reasons that the project may have been terminated before completion.

Process Group: Closing Process Group
Knowledge Area: Project Integration Management

Why It Matters for the Exam

The Close Project or Phase process appears frequently on the PMI exam because it tests your understanding of what happens at the end of ANY project—whether successful or terminated early. Exam questions often focus on the specific closure activities, the distinction between closing a phase versus closing an entire project, and the documentation requirements for terminated projects. Expect scenario-based questions where you must identify which closure activities are mandatory.

Key Points to Remember (for the exam)

• Scope of Application: Applies to both successful AND unsuccessful projects, phases, releases, iterations, or contracts
• Primary Benefits: (1) Archiving project or phase information, (2) Completing planned work, (3) Releasing organizational resources for new projects
• Termination Procedures: Must establish procedures to investigate and document reasons for early termination or cancellation
• Exit Criteria Satisfaction: Must ensure all documents and deliverables are updated, all issues are resolved, and measurable project value was delivered with a plan to maintain this value
• Deliverable Confirmation: Must confirm deliverables have been delivered and formally accepted by the customer
• Financial Closure: Must verify all costs have been charged to the project, close project accounts
• Resource Release: Must reassign or release project personnel, address excess materials, reallocate or release facilities and equipment

Typical PMI Exam Example

A construction project is terminated after 60% completion because the client lost funding. The project manager must now close the project. What should the project manager do FIRST?
Answer: Investigate and document the reasons for termination, then proceed with all standard closure activities including archiving records, releasing resources, and closing project accounts.

PMI Exam Traps

• Trap: Thinking closure only applies to successful projects
  Reality: Close Project or Phase applies to BOTH successful and unsuccessful projects

• Trap: Confusing Close Project or Phase with Close Procurement
  Reality: Close Project or Phase is the overall process; Close Procurement is a separate process focused only on contractual agreements

• Trap: Believing lessons learned are only documented at the end of the project
  Reality: Lessons learned are identified and documented throughout the project, but the Close Project or Phase process includes a final review and archival

• Trap: Assuming resource release happens before deliverable acceptance
  Reality: Deliverable acceptance must be confirmed BEFORE releasing resources

Important PMI Connections

Quick Review Questions

1. A project is cancelled after the initiation phase. Which process should the project manager execute?

2. What are the three primary benefits of the Close Project or Phase process?

3. What must be confirmed before releasing project personnel during closure?

4. Which documents should be updated and archived during project closure?

5. What procedures must be established for projects terminated before completion?

PMBOK v8 Reference

Section 2.1.6.9 - Close Project or Phase (Pages 30-32)