Renee ScottProject Portfolio Manager| Brotherhood Mutual Insurance CompanyFort Wayne, In, United States
In our old process, management did project planning based on a calendar year, so any initiative that crossed over a year would end up being two separate projects on the Op Plan each in it's calendar year--one to start the initiative and one to finish it. We were able to get that process changed so that a project runs it's natural course, but we want to revisit the old closure statuses.
Currently, we classify closed projects as 1) Complete as Planned, 2) Complete but Modified, 3) Incomplete and Dropped, and 4) Incomplete and Carried Over. The latter reflected a project that was planned to end in the previous year, but didn't. This was helpful since we were artificially closing projects that were't done.
Since in the new process, we won't close a project unless it is Complete or Dropped, is it as simple as those two closure statuses? Where we are getting into discussion is a project that had some work done. It could have been analysis leading to a "no-go" decision or a situation where work was done, but the business environment changed, like a 3rd party provider emerged. Are these complete or dropped or do we have a third status? As, the PMO we're trying to avoid having to make a judgement call on whether value was produced by the partial work. I'm just curious how others handle this and whether Completed and Dropped is sufficient.
Cancelled, On Hold or Completed are three end states for most of the clients I've worked with. They may add a qualified for these to provide further detail. Saving Changes...
Sergio Luis ConteHelping to create solutions for everyone| Worldwide based OrganizationsBuenos Aires, Argentina
We follow a governance model based on Stage Gate process. Into each Stage Gate you have a simple method to decide about the project/program which is: -it has strategical, tactic and finance sense? NO, then KILL -expected quality can be achieved? NO, then REDIRECT -do we have required resources available? NO, then --if the project/program is "high priority" then CONTINUE --if the project/program is "low priority" then put in ON HOLD. Saving Changes...
Thomas WalentaGlobal Project Economy ExpertHackenheim, Germany
Hi Renee,
as for the stati, I would recommend to enjoy the new simplicity and stay with complete/dropped. I assume you still have a mechanism to align annual budgeting with multiyear project durations - my experience is this can be an accounting exercise.
As for projects that are closed but did not deliver the original scope, this could be handled by a project change request (and reflected in the business case) and then the status would be complete (with new scope). Dropped would be a project that is killed from the outside, e.g. the PMO or the Steering Group.
If you have dropped projects, this could be a sign of portfolio maturity, many organizations do not kill projects at all. Saving Changes...
Renee,
You can certainly have other classifications if it fits your business. We have created our own terminology to be more descriptive in a variety of cases. Some projects are implemented on products and delivered, but there is post-delivery follow-up work required. Some projects affect families of products and are implemented sequentially over extended periods. There are a variety of other business scenarios in which a project is not completely completed.
Depending on how the specifics of your projects, your charging and accounting methods, and your change management processes, you have options. You can close a project and open a new project for work left over, break projects into parts of phases which can be closed, or create different classifications for what "complete" or "closed" means. Saving Changes...
MOHAMED ANSARI M AIndependent Consultant| FreelanceKozhikode, Kerala, India
What i usually under those situations are to designate the project as either (1) completed (2) abandoned or (3) partially completed. Any project that has not been achieved its intention cannot be grouped under (1) and those which has no value or impossible to execute / complete due to any EEFs can be grouped under (2) And those that has produced some value but could not take further can come under (3). Life is simple so is management.
Also it's usual in a construction industry to span the projects in more than a year and carry over the same to the next financial year, but budgeting would be planned for the requirements for each year Saving Changes...
Renee ScottProject Portfolio Manager| Brotherhood Mutual Insurance CompanyFort Wayne, In, United States
Thanks everyone! Great input. I think we're all set. Saving Changes...
In our case, there is an option to go into what we refer to as "effective project closure". Meaning the project is not completely finished in terms of providing all "deliverables", but for various internal/ "political" reasons it has been agreed between the parties to "close" the project with the understanding that the remaining deliverables will be forth coming within a mutually agreed timeline (usually less than 3 months). At this point, the project staff turn over the remaining effort to complete/ manage the outstanding deliverables to the "matrix' staff. Saving Changes...
I have developed PMOs for numerous companies from the ground up. I consistently apply the following straightforward classification of project statuses: (1) Initiated – The project is officially activated within the PMO. (2) In Progress – This status encompasses all work performed during the Initiating, Planning, and Executing phases. The Monitoring & Controlling phase spans these three, with limited involvement during Initiating. From the "In Progress" status, a project can follow one of three possible paths: (3) Completed – All project work has been completed, whether it aligns with the original scope or includes changes approved through the formal change control process. (4) Pended – The project has been temporarily put on hold due to various reasons (e.g., weather conditions, resource unavailability, or delays in upstream dependencies). From this status, a project can return to "In Progress" or move to "Cancelled". (5) Cancelled – The project has been permanently discontinued due to reasons such as shifting priorities, strategic realignment, regulatory changes, or other organizational factors. (6) Completed and Closed – All project work is completed, and the project has undergone a formal closure process, including final documentation, lessons learned, and stakeholder sign-off. (7) Cancelled and Closed – The project was cancelled but has also gone through the same rigorous closure process applied to completed projects.
We intentionally separate "Completed and Closed" from "Cancelled and Closed" to clearly distinguish between projects that were successfully completed versus those that were terminated. However, we apply the same structured closing process to all projects regardless of how they ended.
Great question, Renee. You could simplify to “Completed” and “Dropped,” but add subcategories like “Dropped – Early No-Go” or “Dropped – Business Shift” to capture context without value judgment. This keeps reporting clear and helps inform future decisions without overcomplicating closure.
Saving Changes...
Luis BrancoCEO| Business Insight, Consultores de Gestão, LdªCarcavelos, Lisboa, Portugal
While simplifying to "Completed" and "Dropped" seems appealing, it can mask important distinctions. A useful middle ground is to classify closures based on decision context, not perceived value. For example:
- Completed as Planned
- Completed with Modifications
- Cancelled – Strategic/External Reason (e.g., market change, new vendor)
- Cancelled – “No-Go” after Initial Analysis
- Cancelled – Unrecoverable Issues
This keeps it objective, avoids judgment on value delivered, and enriches portfolio insights and lessons learned.
Stopping a project early can be a smart outcome, and your classification model should reflect that.
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