kill-criteria-exit-ramps

To avoid the sunk cost fallacy, kill criteria require setting objective, measurable conditions and thresholds that trigger project termination based on future value rather than past investment. You document success metrics, time horizons, and decision rights to establish clear go/no-go gates.

A kill criteria framework establishes objective stopping rules and exit ramps for projects to prevent inefficient resource allocation. You need it when launching initiatives where changing market conditions or low adoption rates might require pivot vs. kill decisions.

Deciding between pivot vs. kill involves analyzing whether changing direction offers better future value than stopping entirely. The framework requires predefined success metrics and wind-down plans to evaluate if thresholds are missed and termination is justified.

Yes, you can use this framework to set go/no-go gates by defining upfront thresholds, such as specifying that if adoption rates fall below 10% after 6 months, the project will be killed. This ensures rational resource allocation regardless of development cost.

The best way to document decision rights for project termination is to establish clear ownership within the kill criteria framework. This involves specifying who has the authority to trigger wind-down plans and execute exit ramps when predefined thresholds are breached.

You should avoid using predefined kill criteria in portfolio management when projects lack clear success metrics or measurable thresholds. Without objective stopping rules and documented time horizons, forcing exit ramps may lead to premature termination of initiatives.