Project audits enhance individual and organizational change and improvement. In this chapter processes for conducting project audits and developing the report were examined. Project closures and the importance of conducting team and individual evaluations were also reviewed. Key points of the chapter include the following:

• It is better to have automatic times or points when audits will take place. Surprises should be avoided.
• Audits of projects (especially those in process) need to be conducted carefully and with sensitivity to human reactions. The audit should focus on issues, problems, and successes and avoid references to groups or individuals.
• The audit is best staffed with individuals independent of the project.
• Audit reports need to be used and accessible.
• Audits support an organizational culture that vigorously promotes continuous improvement and organizational learning.
• Project closures should be planned and orderly regardless of the type of closure.
• Certain "core conditions" should be in place to support team and individual evaluation.
• Both individual and team evaluations should be conducted, and performance reviews should be separated from pay or merit reviews.

Competitive conditions appear to be forcing more organizations to adopt continuous improvement and organizational learning. Regular use of project audits has yielded dramatic improvements in the way projects are managed. As more members of these organizations are learning from project mistakes and what is contributing to project successes, the process of managing projects is continuously improving in their respective organizations. The major instrument for implementing this philosophy will be the project audit and report.

Since the purpose of the audit it to improve performance, the project maturity model is a good approach for checking project management performance and improvement for the organization over the long haul. Using the model as a starting benchmark, improvements can easily be tracked to higher levels.