KZN-Project Failure & Succes

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SUCCESS & FAILURE

By Dr E Ramdaloo
What is Project Failure and Project Success

Project failure can be defined as a “project that fails to perform a duty or


an expected action, non-occurrence or non-performance”

Whereas Project success can be defined as the achievement of


something desired, planned or attempted . It is also said that success is
an event that accomplishes its intended purpose . Anything short of that is
failure.
STARTLING FACTS
• Only 2.5% of companies in South Africa successfully completed 100%
of their projects in the last 2 years.
• The average cost overrun of a Project is 27%
• 57% of projects fail due to “breakdown in communications.” ( No 2
cause of Project Failure at the moment)
• 39% of projects fail due to lack of planning, resources, and activities
….simply saying that If you don’t plan, you don’t succeed
• 60% of failed projects have a duration of less than one year.
STARTLING FACTS
• 31% of Development Programmes are cancelled
• 53% of Projects have a cost overrun over 180 % over their Original
Budget.

• By 2020 , 40% of existing infrastructure programmes will be stopped due


to poor execution

• By 2025 , 45% of firms appointed as Consultant Project Managers will


have failed their Clients.
How can you predict the future of your
project? Here are 2 ways that can help.
• Practice Relentless Risk Analysis (RRA) - Every time you have a meeting, use the top ten risks
as your agenda. If you practice management by walking around (even if you do it virtually) you
should always be asking your team and stakeholders questions about the future. For example:
What risks do you see in the near term? What would we do if the top engineer left for another
position? What's the Plan B if we don't receive the materials on time?

After all, risk is a future phenomenon. The more we ask our team about risks, the more we encourage
them to think about the future. Project management is a team sport; use everyone and anyone you can
to help.
2. Identify your project's “Leading” indicators and track them - Many of the progress and performance metrics used on
projects are lagging indicators. They tell us what happened in the past, and, as we know, we can't change the past, we can
only react to it. What metrics could you employ to help tell you about the future? One client used the number of tasks
added to the schedule every two weeks as a possible indication that the scope was increasing, thus impacting cost and
schedule negatively. If the world's top economists believe in lagging indicators, then you should too!

In order to reliably assess what the future holds for your project, you need to gather relevant data on a regular basis at
frequent intervals. This not only instills a discipline in reporting but it enables you, the project manager, and others, to
detect trends. If you are keeping track of trends, then you'll be in a better position to see where those trends lead.

However, the key to such reporting is to ensure that the information we receive is credible. That means it is being provided
by people who are trustworthy and telling the truth. It does you no good whatsoever to have your team members providing
overly optimistic reports. You want the unvarnished truth. As a project manager, you simply cannot be the last to know
critical information that's affecting your project.

Predicting the future isn't easy. But with the right techniques and the right folks on the team, we can provide credible
information to our stakeholders. After all, that's what we're paid to do, isn't it?
SOME CAUSES OF PROJECT FAILURES
• Lack of Senior management support- happens when “Junior” or “ Candidate PMs”
are thrown into the Project and left unattended.
• Poor communication- causes delay or even failure since team members do not
have the information they needed, issues or changes do not get escalated, project
reporting is sluggish
• Inadequate resources- Task take longer than expected to complete, deadlines and
milestones get missed, and project completion date comes into jeopardy, one end
of working more than necessary (double shift) to get the work done
• No one is in control not even the project manager, who is assigned to the project
but not given the free hand to manage the project
• Poor definition of Scope- Project changes from its original objective and goals. This
can occur due to additional requirement from the client.
continued

• Project lacks structure - caused by things such as critical tasks being under rated

• Inaccurate estimates - A top- down plan causes constraints on the prediction of


the cost of the project

• Poor risk management - The project planning stages ( Stage 1 – 3) is not properly
planned

• Unrealistic Milestones - it is not possible for a project to succeed if unrealistic


timeframes and milestones are made available for that project

• Incompetent project management skill - procedures and policies are not adhered
to from inception
10 Characteristic of Good Project Manager
1 Command authority naturally.
In other words, they don’t need borrowed power to enlist the help of others – they just
know how to do it. They are optimistic leaders who are viewed in a favorable light and
are valued by the organization.

2 Possess quick sifting abilities, knowing what to note and what to ignore.
The latter is more important since there’s almost always too much data, and rarely too
little. Ignoring the right things is better than trying to master extraneous data.

3 Set, observe, and re-evaluate project priorities frequently.


They focus and prioritize by handling fewer emails, attending fewer meetings, and
generally limiting their data input.
continued

4 Do not use information as a weapon or a means of control.


They communicate clearly, completely, and concisely. All the while giving others real
information without fear of what they’ll do with it.
5. Set, observe, and re-evaluate project priorities frequently.
They focus and prioritize by handling fewer emails, attending fewer meetings, and
generally limiting their data input.
6. Adhere to predictable communication schedules
Recognizing that it’s the only deliverable early in a project cycle. All this takes place after
very thorough pre-execution planning to eliminate as many variables as possible.
7. Possess domain expertise in project management as applied to a particular field.
It’s not just that they have generic project management skills; they have a deep familiarity
with one or multiple fields that gives them a natural authority and solid strategic insight.
continued

8 Exercise independent and fair consensus-building skills when conflict arises.


But they embrace only as much conflict as is absolutely necessary, neither avoiding
nor seeking grounds for control of a particular project segment

9 Cultivate and rely on extensive informal networks inside and outside the firm
to solve problems that arise.

They identify any critical issues that threaten projects and handle them resolutely (vs.
ignoring them).

10 Look forward to going to work!


They believe that project management is an exciting challenge that’s critical to
success. The truly great ones view project management as a career and not a job, and
they treat it like so by seeking additional training and education.
MANAGEMENT PLANS REQUIRED AT WORKSTAGES 1 - 4
Stage 1: Initiation
☐ Identify who will receive updates on the project and when (Communication Plan)
☐ Develop the Project Procurement Policy
☐ Develop the Project Initiation Plan

Stage 2: Concept & Viability


☐ Identify budget and estimates (Cost Management Plan)

Stage 3: Design Development


☐ Identify potential risks and begin managing those risks (Risk Management Plan)
☐ Create processes for managing quality (Quality Management Plan)
☐ Develop the Project Management Plan

Stage 4: Document & Procurement Phase


☐ Develop the Procurement Management Plan
How to define success criteria ?

Project success criteria are the standards by which the project will be
judged at the end to decide whether or not it has been successful in
the eyes of the stakeholders.
Why are project success criteria important?
•Organizations don’t define failure. We don’t document how we will know if a project has failed –
what failure looks like – because thinking about failing is not a good way to motivate the project team
when the work has only just started. The absence of a formal definition of failure makes it uncomfortably
easy for internal and external stakeholders to brand projects a failure.

•Successful organisations take the guesswork out of this process: they define what
success looks like, so they know when they have achieved it. If you want project success, you have to
define what success looks like for your project. Perhaps budget is the most important thing to your
stakeholders, and quality is taking a back seat on the project. Perhaps customer satisfaction is
essential, and you don’t care how many overtime hours the team has to work to get that end result
Which Project is a failure or success?

Project B
Project A
• Delivered 2 years late
• Completed Ontime
• Cost 3 times more the Estimate
• Within Budget
• Acceptable Quality • Excellent Quality
• Mediocre Building • Iconic Building
When do I track success criteria?

• You’ll take an initial performance benchmark as soon as you can in the project.
• Then you have to work out how often you want to measure your project success
criteria
• Some you can track once a month, others you’ll only measure once more. Some you
won’t track very often and then as soon as you hit delivery you might be measuring
them daily (like daily quality targets)
• The measurement of these over time should be handed to the operations team as
part of the project handover when the project closes. You should not keep the
responsibility for tracking success criteria (i.e. project benefits) over time
• While the project is running, report on your progress so you celebrate the successes
as you go. And if there aren’t successes to celebrate, so you can adjust your project
approach so that you do hit your success criteria.
Some Success criteria for a
successful project
• Clearly defined goals.
• Competent project manager.
• Senior Management Support.
• Competent project team members.
• Sufficient resource allocation.
• Adequate communication channels.
• Control Mechanisms.
• Client consultation.
• Technical tasks.
Top 5 factors that increase success
1.Top Management Support: This is now the No. 1 factor in project failure. Lack of
executive support can and does jeopardize projects. Positive Executive support
positively influences project outcome.

2.Client Involvement.

3.Experienced Project Manager: 80% percent of successful projects have an


experienced project manager at the helm.

4.Setting Clear Objectives.

5.Defined Scope
To summarize Success Criteria
• You must define what success looks like for your project or you won’t know if you
have achieved it

• Document success criteria and get everyone to agree to them.

• Use continuous measurements where possible.

• Baseline today’s performance so you know where you are starting from

• Track as appropriate and report on your progress


WARNING SIGNS THAT COULD HELP YOU AVOID
PROJECT FAILURE

Despite your best efforts, managing a project can quickly spiral out of control. If this has happened to
you before, it may have even made you a little wary of taking on any new project management
responsibilities. You don’t have to be worried. Project management isn’t impossible. If you can spot the
warning signs early, you can make corrections and get back on track
So what are these warning signs?

1 Disinterest: I’ll get right on it *yawn*


If none of your employees believe in the plan or aren’t interested in the results, then it’ll be hard to
motivate them to get their tasks done well and on time. The basis for good work is being invested in the
project and caring about the results. Make sure that everybody involved understands just what you are
trying to accomplish and the benefits that will result from it. Often, you may have to give people reasons
for accomplishing a simple task even if they don’t understand the overall goal of the project.
2 Lack of Communication: I never got that email !!!
This is pretty obvious in any work setting, let alone project management. If people don’t understand what they
should be doing, you can’t expect them to do it. But this goes beyond giving an accurate agenda; your employees
must also be able to communicate problems and results back to you and you need to give encouragement.

Even though it’s often important to have a record of communication, you should also encourage your employees to
communicate in person as much as possible and then send reminders and reports through email. By interacting
personally, all of you will improve morale, a team atmosphere and communication skills

3 Momentum: How much longer will this take?


Even adults can have short attention spans, and this is especially true in work settings. If a task is extremely
repetitive or menial, your employees will quickly lose interest. If people can’t see the light at the end of the tunnel,
they start to give up.

This means that a project should be made up of a bunch of shorter tasks that can be easily tracked and
accomplished. Never have the only reward be the completion of the entire project. You should also give frequent
encouragement and rewards for finishing on time. This will help maintain the pace of the project and help everyone
involved stick with it until completion.
4 The Keep-It-Quiet Culture: If it’s not good news I don’t want to hear
it
In an effort to keep morale high and avoid complainers, many workplaces mandate that bad news be kept to a
minimum. While this sounds nice, it can actually hurt your project management. If people are taught to keep
problems to themselves, they can't be addressed and fixed. This doesn’t mean that you should have everyone
complain loudly about the smallest hurdles, but you should cultivate an environment where people know they can
come to you or other leaders with problems and get assistance.

5 Overusing the Overtime: Yep, I’m staying late again tonight


If you have scheduled a project correctly, there should be little or no need for employees to work overtime.
However, the first thing employers do when trying to compensate for a failing project is assign overtime in an effort
to catch up. This is an indicator of bigger problems, whether it is unreasonable schedules or unmotivated
employees, but it should be taken seriously. If your project requires a lot of overtime, you should step back and
analyze where the source of the problem is, in the schedule or with the employees. Don’t keep assigning more
overtime. Everyone will get burned out and it will create a frenzied atmosphere in the workplace
6 Bringing in Help: Hey, could I borrow a couple of your guys for a
few days?
Much like the overtime dilemma, if you need more resources or people than you originally planned, it means your
project is spiralling out of control. There are several problems with this approach. Other projects will suffer if you
are moving people around, employees get tired of being shuffled about and extra resources could put you over
budget. If you need significantly more resources than you planned for, it may be time to completely rethink and
replan the entire project.

7 Going Over Budget: I’m not telling the boss, you tell him
Going over budget can be attributed to both your funds and your schedule. You should have planned out the
project well, but if you are still not following your projected money and labour usage plan, you might be veering off
course. Pay close attention to how things are following the plan and the budget; little deviations are expected, but if
you are coming significantly above or below your budget and schedule you may have bigger problems than a
bounced cheque.
8 Missing the Mark: When was the deadline again?
You can’t expect people to maintain momentum without multiple, small milestones in the overall completion of the
project. But if you are consistently missing the deadlines for these smaller tasks, it may be a sign of bigger
problems. If there are too many missed deadlines, complications may arise for later tasks. Staying on schedule is
important, so pay close attention to those project milestones. Create measurable goals to determine where you are
in the project and stick with them.

9. Changing Your Focus: You know, I think we should take this in a


whole new direction
If you want to complete a project on time, you can’t change the goals in the middle of the project. This can include
downsizing the scope of the project or even enlarging it. If you have to start adding or subtracting components of
your project halfway through, you know something larger is going wrong. You may have noticed that many of these
warning signs overlap or happen in pairs. That’s why they are important to know. If you recognize one, you’ll also
know what else to look for when troubleshooting the project.

And don’t immediately give up when you see one of these problems. By identifying the signs of project failure early,
you can actually prevent the failure. Forewarned is forearmed. Just by being aware of them, you’re already a step
ahead.
10 SIGNS YOUR TEAM IS EFFECTIVE
1. Purpose
Team members share a sense of why the team exists and are proud to be working on accomplishing its mission
and goals.

2. Priorities
Team members know what needs to be done next, by whom, and by when to achieve team goals.

3. Roles
Team members know who does what to get things done and when it is a good idea to allow a more skillful
member to do a certain task.

4 Talent
Team members feel their unique personalities are appreciated and well-utilized.

5 Decisions
Team members clearly understand leadership authority and decision processes.
6 Conflict
Team members deal with conflict openly and productively; project-related conflict is seen as important to
decision-making and personal growth.

7 Norms
Team members work together according to group norms and these guidelines are seen as standards for
everyone in the group.

8 Effectiveness
Team members find team meetings efficient and productive and look forward to spending such time together.

9 Success
Team members know clearly when the team has experienced success and share the joy in such excellence
proudly.

10 Feedback
Team members take advantage of opportunities for feedback and view that feedback as valuable for updating
their skills to achieve new levels of high performance.
How to Manage you Projects
Successfully ?

P L C M Process
PLAN
•Identify all stakeholders up front!
•Develop the project plan before starting the project
•Establish communications protocols
•Define your requirements in detail

•Establish a speedy conflict resolution process

•Make contingency plans

•Plan a reasonable roll-out schedule


LEAD
• Ensure strong, committed management support
• Connect the business goals to the project
• Assign an experienced project manager
• Establish clearly defined directions

• Be proactive

• Set clear performance expectations


• Ask for technical assistance
COMMUNICATE
• Ensure strong, committed management support
• Communicate objectives frequently
• Recognize different perspectives
• Check assumptions frequently

• Manage expectations

• Share success and broadcast achievements

• Invite feedback
MANAGE
• Hold the reins and don’t let GO !!! Don’t be a shadow PM
• Train all staff in a timely fashion
• Don’t “marry” the contractor
• Trust but question
• Their bottom line is the bottom line. Your bottom line is a working
system
• Nothing is ever free
• The end product is only as good as your requirements
Project Management Tips
• Project Manager does no work other than manage the project!
• Project Manager spends 90% of time communicating
• Understand the project flow from beginning to end
• Identify risks and develop contingencies
• Clearly outline the critical path of the project
• Be flexible
• Be firm
• Check egos at the door!
What does the future hold for Project
Management

• The overall project success rate has increased from 16% in 1994 to 28% in 2000
to 45% in 2012

• The future of project management and project managers will rely heavily on
technology.

• Each one of us has a duty to ensure our Profession reaches maturity.


Contact Details
• Email : [email protected]

• Cell : 074 2445904

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