WHY SOME BUSINESS PROJECTS FAILS

It is important that project managers are both familiar with and follow established tools and techniques of project management. Good leadership at management level is crucial. Poor management skills will undermine established methodologies. It is very tempting to take so-called 'short-cuts' instead of applying the methodology.

This can happen for several reasons:

1 - 'Catching up' when the project is behind schedule 'catch up.'
2 - Costs are over-running budget and some steps are skipped over.
3 - Team members are untrained in the methodology and do not
know they are taking short cuts.

Cost overruns:

If the scheduling and technical details are too precisely defined before project start then there may be insufficient time and money to implement the project methodology properly - creating cost overruns relative to the budget.

Poor people management:

People need to be managed appropriately to ensure that they remain motivated,committed and able to perform well during the project.

Uncertainty and Change:

In an ever-changing world the most successful organizations are those which can adapt to deal with emerging contingencies. Not all projects are robust enough to absorb these changes. It is important that any change management processes in the organisation generally be applied to the management of these projects.

Unresolved Problems:

It is most important that we deal with problems quickly and fairly rather than ignoring them or being arbitrary in our problem-resolution processed. This shows others that we want things done right, but that it is also OK to make mistakes.

Rewards:

We need to acknowledge what rewards people expect and to understand that they cannot be expected to actively engage in the project if they feel under-rewarded.

Risks and New Ideas:

We need to foster new ideas and risk-taking within agreed parameters, rather than a culture of fear and risk-aversion.

There are some key ways that we can help to avoid failure:

Have a plan and know what we are doing. Understand change management and how people deal with change. Make sure that the people in top management whose support we need support us. Listen carefully to any concerns stakeholders have and deal with these to their satisfaction.

Make sure that project objectives dovetail with overall business objectives and remember no business enterprise or project is completely devoid of risks we need to be able to analyse possible risks and have measure in place to prevent them or to deal appropriately with them should they occur.

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