B03 – Make a go/no-go decision
This management activity belongs to the Monthly Initiation group. The activities in this group revise the plans and decide whether it’s a good idea to continue the program.
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What
At this point, the sponsor has to decide whether to continue the program based on the updated Scenarios.
Why
A program that was justifiable at the beginning may lose its justification after a while. Instead of pouring more resources into it, the sponsor must stop it.
Who
This decision is the responsibility of the sponsor. Other people may be involved behind the scenes, but for the program, everything goes through the sponsor.
How
The program manager provides all the information to the sponsor and waits for their decision.
When there’s a Business Case for the program at higher levels such as portfolio management, the sponsor would use the data related to the updated Scenarios, and especially the range of time and money needed for them, to update the Business Case. Having updated forecasts for investment and benefits, it’s possible to judge whether to continue the program.
The sponsor may have to discuss the justification of the program with others, such as the portfolio management board. When the decision is made, the sponsor will inform the program manager. Sometimes, the program may be justifiable, but better opportunities may arise, and the organization may cancel the program to pursue them instead. That’s why it’s important for the go/no-go decisions to be led by a high-level entity such as the portfolio management board, which monitors and directs all programs and projects.
If the decision is to stop the program, the Program Closure activities will be activated.