When to close out a project 3

[Bellbell]

At what point should you officially close a project ou?
We are an EPCM company and find on most projects that even once a plant is commissioned the client just wants "one more thing".

Even though a change order is processed and the client pays for the additional hours etc., "just to order one more spare pump", it causes havoc with closeout documentation and signoff of projects, as well as resource planning.

How do you prevent the continuation of that "never ending project"?

Does anyone have any experience with this problem?
Any advice?

 

[IRstuff]

If the plant is commissioned and accepted and signed off, anything new is a new contract, not a continuation of the old.

At that point, you should start up a service contract at a higher rate, commensurate with the perturbation to your company's other activities. Is that so hard for your company to do?

TTFN

FAQ731-376

 

[babynus]

This is a reccurent question. When to stop a Project.

In most cases (and, soory, I think it's your's), the question of the end raises because the project has not been corretly started.

I explain...
Just refere to any definition of a project (Wikipedia's for instance) :

A project is a temporary endeavor, having a defined beginning and end (usually constrained by date, but can be by funding or deliverables), undertaken to meet particular goals and objectives

... "to meet goals and objectives ...
Think about it.
Have you clearly defined goals and objectives at the start of your project ?
If so, when goals and objectives are reached, the project has ended and it should be closed.
Any other continuation on the subject is a new Project...


Babynus
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