Why Projects Fail?


The Project Management Triangle (also called Triple Constraint or the Iron Triangle) is a model of the constraints of project management.

Project Triangle

Every project needs to be delivered under certain constraints, namely time, cost and scope (quality). The time constraint refers to the time taken for the completion of a project. Cost refers to the project budget and scope refers to the doable activities to produce the project’s end results. These three constraints are often competing and hardly ever meet.

  • Increased scope denotes an increase in time and cost.
  • A tight timeline constraint results into an increase in cost and reduced scope (quality).
  • A tight budget refers to increased time and reduced scope (quality).

A KPMG Survey, reports(attached below) an increase in project failure rates, citing the three above mentioned constraints:

 

[inlinetweet prefix=”KPMG Survey” tweeter=”KPMG Survey citing an increase in Project Failure Rates. RT” suffix=”KPMG Survey citing an increase in Project Failure Rates. RT”]

2012 Respondents Who report their project management is improving

[/inlinetweet]

The pie charts clearly showcase that at the end of the day, organizations are still delivering only 30% of projects which meet all the three constraints.

 

Graph

Here are a couple more stats that might surprise you:

1)US economy loses $50 to $150 billion per year due to failed IT projects.  (Source: Gallup Business Review) [inlinetweet prefix=”US economy loses $50 to $150 billion per year due to failed IT projects. ” tweeter=”@planningpro_app” suffix=””][/inlinetweet]

2) One in six IT projects has an average cost overrun of 200% and a schedule overrun of 70%. (Source: Harvard Business Review) [inlinetweet prefix=”One in six IT projects has an average cost overrun of 200% and a schedule overrun of 70%. ” tweeter=”null” suffix=”@planningpro_app”][/inlinetweet]

3)Only One-third of all projects was successfully completed on time and budget. (Source: Standish Group) [inlinetweet prefix=”Only One-third of all projects were successfully completed on time and budget” tweeter=”null” suffix=”@planningpro_app”][/inlinetweet]

4)75% of business and IT executives anticipate their software projects will fail. (Source: Geneca)[inlinetweet prefix=”75% of business and IT executives anticipate their software projects will fail” tweeter=”null” suffix=”@planningpro_app”][/inlinetweet]

5)44% of Project Managers use no software  while PWC specified that the use of PM software increase performance and satisfaction. (Source: PricewaterhouseCoopers) [inlinetweet prefix=”44% of Project Managers use no software, while PWC specified that the use of PM software increase performance and satisfaction” tweeter=”@planningpro_app” suffix=”@planningpro_app”][/inlinetweet]

While there are hundreds of reasons for Project failure, the most common one’s are showcased below:

Reason of Project failure

 

Even with the best Project Manager leading the team, Projects can go awry in the absence of a right tool, which helps in managing the projects wisely.

Therefore, we offer you a Project Management Software that has helped over 700,000 Project Managers to make their Projects a success.

Download

 

 

 

Share On Facebook
Share On Twitter
Share On Google Plus
Share On Linkedin
Share On Pinterest
Share On Reddit
Share On Stumbleupon

Previous

Resource Allocation and Management in Project Management

Next

Time Management Tips for Project Managers

2 Comments

  1. legal sounds

    This is really interesting, You’re a very skilled blogger.
    I’ve joined your feed and look forward to seeking more of your wonderful
    post. Also, I’ve shared your web site in my social networks!

  2. mp3 skulls music

    Hi there to every single one, it’s in fact a pleasant for me to visit this website,
    it contains useful Information.

Leave a Reply

i2e Consulting LLC © 2017 | Privacy Policy