HKSM
Continuous Value Justification
An ongoing practice of routinely reviewing expected business value to confirm the project still has a valid business case and should proceed, pivot, or stop.
Key Points
- Performed at regular intervals (e.g., each iteration, release, or stage gate) to test the project's viability.
- Relies on measurable outcomes such as benefits, costs, ROI/NPV, customer impact, and strategic alignment.
- Drives go, pivot, or stop decisions to prevent sunk-cost bias and maximize value delivery.
- Engages sponsors, product owners, and stakeholders to keep the business case current and transparent.
Example
After each sprint, the product owner and stakeholders compare delivered outcomes with expected benefits and updated costs. Seeing reduced market demand and a lower NPV than alternatives, they decide to halt the project and reallocate the team to a higher-value initiative.
PMP Example Question
During a sprint review, the team finds that projected benefits have dropped while costs are rising. The product owner recommends ending the project to focus on a more valuable opportunity. Which practice best describes this decision process?
- Rolling wave planning
- Continuous value justification
- Earned value management
- Integrated change control
Correct Answer: B — Continuous value justification
Explanation: It is the ongoing reassessment of business value to confirm the project remains justified, leading to continue, pivot, or terminate decisions.
