SlideShare a Scribd company logo
1 of 40
Download to read offline
Why Projects Fail:
   y j
Obstacles and
Solutions


Michael Krigsman
Asuret, Inc.
617-905-5950
mkrigsman@asuret.com
 k ig      @     t
Twitter: @mkrigsman




                       © Copyright 2009 Asuret Inc. All rights reserved.
Failure is common:
 30-70% of projects are
  late, over-budget, or
don’t meet expectations.

        © Copyright 2009 Asuret Inc. All rights reserved.
Total failure worldwide:
trillions of dollars (SWAG*)


              *silly wild ass guess based on independent research
                     wild-ass
http://blogs.zdnet.com/projectfailures/?p=6142

                                                 © Copyright 2009 Asuret Inc. All rights reserved.
Failures persist despite millions invested
in
i prevention. Wh ?
         ti Why?




                © Copyright 2009 Asuret Inc. All rights reserved.
We ignore
warning signs




   © Copyright 2009 Asuret Inc. All rights reserved.
Cost to projects is high
                    high.
Impact on the business
       is higher
          higher.


         © Copyright 2009 Asuret Inc. All rights reserved.
Nightmare
                         Ni ht
                         Scenario
           Levis can’t fill orders
           for one week = 98%
           decline in quarterly
           profits

            http://blogs.zdnet.com/projectfailures/?p=917
            http://blogs.zdnet.com/projectfailures/?p=935
© Copyright 2009 Asuret Inc. All rights reserved. Image © LS&CO
Understanding failure
Project management is not enough




           © Copyright 2009 Asuret Inc. All rights reserved.
Process is not enough
   Failures persist despite ITIL, PMI, CMM, and other
    methodologies
   Project management tools do not stop failure
   Nor does Project Portfolio Management
   Projects f d d ith t b i
    P j t funded without business case, executive  ti
    sponsorship and so on
   Distortions: poor j g
                 p    judgment, p
                                , politics, silos,
                                          ,      ,
    and personal agendas
   Extreme case: “Successful” process / failed outcome




                        © Copyright 2009 Asuret Inc. All rights reserved.
Three root causes of failure
   Business vulnerabilities
   Alignment mismatches
   Devil’s Triangle relationships




                         © Copyright 2009 Asuret Inc. All rights reserved.
Business vulnerabilities, not technology,
cause the problems




                © Copyright 2009 Asuret Inc. All rights reserved.
Case study: Oak Park, IL
   Change management
   Project management
   Third party relationships




                        © Copyright 2009 Asuret Inc. All rights reserved.
Oak Park: Complete abandonment
   Cost: $2M
   Time frame: complete abandonment after 5-year project
   Software vendor: PeopleSoft
   Project goal: Replace payroll and financials
   Failure: Accounting and finance errors, such as vendors
    paid twice
   Causes:
    C
        Lack of Oak Park sophistication regarding enterprise software
         process, scope, costs over time, management, and so on
        Low-skill finance employees, lacking basic computer skills, did not
         enter data into system
        Insufficient change management and user training

http://blogs.zdnet.com/projectfailures/?p=1304
http://blogs.zdnet.com/projectfailures/?p=1358
                                                 © Copyright 2009 Asuret Inc. All rights reserved.
Alignment mismatches drive poor decisions
Poor communication, hidden agendas, and conflicting
measures of success create gaps

   Information silos
       IT / lines of business
       Internal / external groups
   Business needs become disconnected from
    strategy and planning
     t t g     d l    i g
   Execution then suffers




                               © Copyright 2009 Asuret Inc. All rights reserved.
Management
     vs.
     vs
IT and testing




             © Copyright 2009 Asuret Inc. All rights reserved.
© Copyright 2009 Asuret Inc. All rights reserved.
J.Crew: Management accepts blame
   Cost: $3M plus lost sales and dissatisfied customers
   Failure: Impaired ability to capture, process, ship, and
    service orders
   Causes:
        Aggressive i
         A        i internal planning and schedule
                             l l    i     d h d l
        Insufficient testing of new system before replacing old
        Management accepted responsibility
        Plausible scenario: management pressured IT to accept aggressive
         schedule




http://blogs.zdnet.com/projectfailures/?p=1015

                                                 © Copyright 2009 Asuret Inc. All rights reserved.
Devil’s Triangle
      Dysfunctional
industry structure creates
     overlapping and
   conflicting agendas
             g g
Devil’s Triangle
Conflicts of interest are embedded in the enterprise
software industry (customer gets fleeced)


                                                Confused buyers
                                           Silos and internal conflicts



                                        Wacky system integrators
                                     Customer success vs. consulting
                                                revenue


                                     Schizophrenic software vendors
                                         Loyalties split between
                                       customers and integrators




                       © Copyright 2009 Asuret Inc. All rights reserved.
[W]hen you’re marching through hell,
        you re                 hell
just keep marching.
    Charles Burbridge
                   g
    LAUSD’s CFO
    (LA Times, 3/19/07)




                    © Copyright 2009 Asuret Inc. All rights reserved.
LAUSD payroll broken: teachers suffer
   Budget: $95M; Expected: $135M
   System integrator: Deloitte Consulting
   Software vendor: SAP
   Goal: Replace payroll system
   Failure: Teachers not paid
   Causes:
        School payroll is inherently complex
        Roll out and testing were likely flawed (Union: system not
         run in parallel)
        Complicated work rules
        Deloitte did not press LAUSD for complete information
        SAP did not want to interfere with Deloitte’s account

http://blogs.zdnet.com/projectfailures/?p=130
http://blogs.zdnet.com/projectfailures/?p=436
http://blogs.zdnet.com/projectfailures/?p=576   © Copyright 2009 Asuret Inc. All rights reserved.
Why Projects Fail: Obstacles and Solutions
Preventing failure
Observe warning signs
   Ambiguous or diffuse project ownership
   Stakeholder complexity
       Who’s calling the shots?
   Conflicts of interest
   Inconsistencies (hardest t discern i advance)
    I      i t    i (h d t to di       in d     )
       Are stakeholders engaged?
       Is management in denial?
                g
       Business case clear?




                             © Copyright 2009 Asuret Inc. All rights reserved.
Governance beyond IT
   What problem does the project solve?
   Who is the project champion?
   Are stakeholders committed?
   What PM toolbox are you going to use and what drives it
    (procurement i
    (            t issues)?
                         )?
   How will the project be governed (who, how, when)?
   How will the project be controlled (planning monitoring,
                                       (planning, monitoring
    reporting)?
   How will success be judged or measured? (who when, how)




                        © Copyright 2009 Asuret Inc. All rights reserved.
Extending into the enterprise…
   Share knowledge and lessons learned to
    improve success rates
   Embed innovation around IT project success
    in the organization
   Evaluate your organization’s collaboration capabilities
                  organization s




                         © Copyright 2009 Asuret Inc. All rights reserved.
And beyond
   Increase appropriate communication to reduce information
    silos
   Connect social networks to support continuous
    organizational improvement
   Facilitate rapid effective and ethical decision-making
               rapid, effective,           decision making
   Align IT with measurable business results
   Change p j
          g project culture, not corporate culture
                             ,      p




                        © Copyright 2009 Asuret Inc. All rights reserved.
Which all sounds good…
Talk
T lk
is
cheap
Preventing failure

Is easier
said
than done
First, recognize that vulnerabilities exists
Factual data is essential




         © Copyright 2009 Asuret Inc. All rights reserved.
Facilitate consensus across silos
Use non-threatening techniques to:

   Avoid bias
   Remove emotion and political pressures
     e o e e ot o a d po t ca p essu es
   Create organizational consensus and enhance
    collaboration
   Leverage collective intelligence inside the
    organization




                      © Copyright 2009 Asuret Inc. All rights reserved.
Key drivers of success




                © Copyright 2009 Asuret Inc. All rights reserved.
Measure indirectly
Simple questions, range of responses, and importance




                     © Copyright 2009 Asuret Inc. All rights reserved.
Evidence-based planning


   Raise profile of success factors
   Target specific issues for focus
     a get spec c ssues o ocus
   Create concrete plans
   Coordinate action against plan
   Rinse and repeat as needed
Simulation
   and
 Analysis


  © Copyright 2009 Asuret Inc. All rights reserved.
Key Lessons
   Governance: people, collaboration, and responsibility
   Measurement and diagnosis are prerequisites for future
    success
   Consolidating / aggregating lessons learned is essential to
    achieve continuous improvement
   Pinpoint specific recommendations
   Drive toward consensus
   Long-term solution
       Look beyond project management
       Raise awareness of real vulnerabilities
       Engage stakeholders and sponsors



                             © Copyright 2009 Asuret Inc. All rights reserved.
For more information contact:

Michael Krigsman, CEO
Email: mkrigsman@asuret.com
Web: http://asuret.com
Blog: http://blogs.zdnet.com/projectfailures
Twitter: http://twitter com/mkrigsman
         http://twitter.com/mkrigsman
+ 1 (617) 905-5950




                                  © Copyright 2009 Asuret Inc. All rights reserved.

More Related Content

What's hot

10 reasons why projects fail or common mistakes to avoid
10 reasons why projects fail or common mistakes to avoid10 reasons why projects fail or common mistakes to avoid
10 reasons why projects fail or common mistakes to avoidMarianna Semenova
 
Project portfolio management - webinar
Project portfolio management - webinarProject portfolio management - webinar
Project portfolio management - webinarAli Zeeshan
 
Top Ten Reasons Why Projects Fail
Top Ten Reasons Why Projects FailTop Ten Reasons Why Projects Fail
Top Ten Reasons Why Projects Failjpstewar
 
Introduction to Project Management
Introduction to Project ManagementIntroduction to Project Management
Introduction to Project ManagementSlav Karaslavov
 
Smart project management - Best Practices to Manage Project effectively
Smart project management - Best Practices to Manage Project effectivelySmart project management - Best Practices to Manage Project effectively
Smart project management - Best Practices to Manage Project effectivelyChetan Khanzode
 
An Introduction To Project Management
An Introduction To Project ManagementAn Introduction To Project Management
An Introduction To Project ManagementAshish Mittal
 
PMO 2.0 - Building PMO Capabilities
PMO 2.0 - Building PMO CapabilitiesPMO 2.0 - Building PMO Capabilities
PMO 2.0 - Building PMO CapabilitiesErin Jones
 
Project stakeholder management
Project stakeholder managementProject stakeholder management
Project stakeholder managementSaad Al Jabri
 
Introduction to Project Management
Introduction to Project ManagementIntroduction to Project Management
Introduction to Project ManagementKris Kimmerle
 
Project Management Plan Presentation | Project Planning Templates | SlideUpLift
Project Management Plan Presentation | Project Planning Templates | SlideUpLiftProject Management Plan Presentation | Project Planning Templates | SlideUpLift
Project Management Plan Presentation | Project Planning Templates | SlideUpLiftSlideUpLift
 
Risk management overview
Risk management overviewRisk management overview
Risk management overviewHossam Maghrabi
 
Project Management Framework
Project Management FrameworkProject Management Framework
Project Management FrameworkRahul Sudame
 
PMP Lecture 4: Project Integration Management
PMP Lecture 4: Project Integration ManagementPMP Lecture 4: Project Integration Management
PMP Lecture 4: Project Integration ManagementMohamed Loey
 
Project risk management - Methodology and application
Project risk management - Methodology and applicationProject risk management - Methodology and application
Project risk management - Methodology and applicationMarco De Santis, PMP, CFPP
 
9 must-have project management skills
9 must-have project management skills9 must-have project management skills
9 must-have project management skillsProofHub
 
Wbs & Project Scheduling
Wbs & Project SchedulingWbs & Project Scheduling
Wbs & Project Schedulingsslovepk
 
Introduction to Project Management
Introduction to Project ManagementIntroduction to Project Management
Introduction to Project Managementmovinghats
 
Fundamentals of Project Management
Fundamentals of Project Management Fundamentals of Project Management
Fundamentals of Project Management Yesica Adicondro
 

What's hot (20)

10 reasons why projects fail or common mistakes to avoid
10 reasons why projects fail or common mistakes to avoid10 reasons why projects fail or common mistakes to avoid
10 reasons why projects fail or common mistakes to avoid
 
Program Management Deployment Concept Consulting
Program Management Deployment Concept ConsultingProgram Management Deployment Concept Consulting
Program Management Deployment Concept Consulting
 
Project portfolio management - webinar
Project portfolio management - webinarProject portfolio management - webinar
Project portfolio management - webinar
 
Top Ten Reasons Why Projects Fail
Top Ten Reasons Why Projects FailTop Ten Reasons Why Projects Fail
Top Ten Reasons Why Projects Fail
 
Introduction to Project Management
Introduction to Project ManagementIntroduction to Project Management
Introduction to Project Management
 
Smart project management - Best Practices to Manage Project effectively
Smart project management - Best Practices to Manage Project effectivelySmart project management - Best Practices to Manage Project effectively
Smart project management - Best Practices to Manage Project effectively
 
An Introduction To Project Management
An Introduction To Project ManagementAn Introduction To Project Management
An Introduction To Project Management
 
PMO 2.0 - Building PMO Capabilities
PMO 2.0 - Building PMO CapabilitiesPMO 2.0 - Building PMO Capabilities
PMO 2.0 - Building PMO Capabilities
 
Project stakeholder management
Project stakeholder managementProject stakeholder management
Project stakeholder management
 
Introduction to Project Management
Introduction to Project ManagementIntroduction to Project Management
Introduction to Project Management
 
Project Management Plan Presentation | Project Planning Templates | SlideUpLift
Project Management Plan Presentation | Project Planning Templates | SlideUpLiftProject Management Plan Presentation | Project Planning Templates | SlideUpLift
Project Management Plan Presentation | Project Planning Templates | SlideUpLift
 
Risk management overview
Risk management overviewRisk management overview
Risk management overview
 
Project Management Framework
Project Management FrameworkProject Management Framework
Project Management Framework
 
PMP Lecture 4: Project Integration Management
PMP Lecture 4: Project Integration ManagementPMP Lecture 4: Project Integration Management
PMP Lecture 4: Project Integration Management
 
Project risk management - Methodology and application
Project risk management - Methodology and applicationProject risk management - Methodology and application
Project risk management - Methodology and application
 
9 must-have project management skills
9 must-have project management skills9 must-have project management skills
9 must-have project management skills
 
Wbs & Project Scheduling
Wbs & Project SchedulingWbs & Project Scheduling
Wbs & Project Scheduling
 
Introduction to Project Management
Introduction to Project ManagementIntroduction to Project Management
Introduction to Project Management
 
Building An Enterprise PMO
Building An Enterprise PMOBuilding An Enterprise PMO
Building An Enterprise PMO
 
Fundamentals of Project Management
Fundamentals of Project Management Fundamentals of Project Management
Fundamentals of Project Management
 

Viewers also liked

Critical Success Factors Affecting Project Performance in Turkish IT Sector -...
Critical Success Factors Affecting Project Performance in Turkish IT Sector -...Critical Success Factors Affecting Project Performance in Turkish IT Sector -...
Critical Success Factors Affecting Project Performance in Turkish IT Sector -...systred
 
The Project Management Process - Week 6 Leadership
The Project Management Process - Week 6   LeadershipThe Project Management Process - Week 6   Leadership
The Project Management Process - Week 6 LeadershipCraig Brown
 
Standish Chaos Report - Cercle de Discussion - PMI Branche Midi-Pyrénées (Vi...
Standish Chaos Report  - Cercle de Discussion - PMI Branche Midi-Pyrénées (Vi...Standish Chaos Report  - Cercle de Discussion - PMI Branche Midi-Pyrénées (Vi...
Standish Chaos Report - Cercle de Discussion - PMI Branche Midi-Pyrénées (Vi...Vincent Dumain
 
Successful Project Presentation
Successful Project PresentationSuccessful Project Presentation
Successful Project PresentationColin Sullivan
 
Project Success/Failure
Project Success/FailureProject Success/Failure
Project Success/FailurePeter Salmon
 
Challenges of Project Management “Communication & Collaboration-VSR
Challenges of Project Management “Communication & Collaboration-VSRChallenges of Project Management “Communication & Collaboration-VSR
Challenges of Project Management “Communication & Collaboration-VSRVSR *
 
Factors for Successful Projects
Factors for Successful ProjectsFactors for Successful Projects
Factors for Successful ProjectsTrevor Roberts
 
Project Management (PMP Material)
Project Management (PMP Material)Project Management (PMP Material)
Project Management (PMP Material)VR M
 
Pmi - Project Management Professional (Pmp) Certification Study Guide
Pmi - Project Management Professional (Pmp)   Certification Study GuidePmi - Project Management Professional (Pmp)   Certification Study Guide
Pmi - Project Management Professional (Pmp) Certification Study Guiderobsonnasc
 
The Project Management Process - Week 1
The Project Management Process -  Week 1The Project Management Process -  Week 1
The Project Management Process - Week 1Craig Brown
 
Fundamentals of Project Management
Fundamentals of Project ManagementFundamentals of Project Management
Fundamentals of Project ManagementRodolfo Siles
 
Project Management Concepts (from PMBOK 5th Ed)
Project Management Concepts (from PMBOK 5th Ed)Project Management Concepts (from PMBOK 5th Ed)
Project Management Concepts (from PMBOK 5th Ed)Jeremy Jay Lim
 

Viewers also liked (12)

Critical Success Factors Affecting Project Performance in Turkish IT Sector -...
Critical Success Factors Affecting Project Performance in Turkish IT Sector -...Critical Success Factors Affecting Project Performance in Turkish IT Sector -...
Critical Success Factors Affecting Project Performance in Turkish IT Sector -...
 
The Project Management Process - Week 6 Leadership
The Project Management Process - Week 6   LeadershipThe Project Management Process - Week 6   Leadership
The Project Management Process - Week 6 Leadership
 
Standish Chaos Report - Cercle de Discussion - PMI Branche Midi-Pyrénées (Vi...
Standish Chaos Report  - Cercle de Discussion - PMI Branche Midi-Pyrénées (Vi...Standish Chaos Report  - Cercle de Discussion - PMI Branche Midi-Pyrénées (Vi...
Standish Chaos Report - Cercle de Discussion - PMI Branche Midi-Pyrénées (Vi...
 
Successful Project Presentation
Successful Project PresentationSuccessful Project Presentation
Successful Project Presentation
 
Project Success/Failure
Project Success/FailureProject Success/Failure
Project Success/Failure
 
Challenges of Project Management “Communication & Collaboration-VSR
Challenges of Project Management “Communication & Collaboration-VSRChallenges of Project Management “Communication & Collaboration-VSR
Challenges of Project Management “Communication & Collaboration-VSR
 
Factors for Successful Projects
Factors for Successful ProjectsFactors for Successful Projects
Factors for Successful Projects
 
Project Management (PMP Material)
Project Management (PMP Material)Project Management (PMP Material)
Project Management (PMP Material)
 
Pmi - Project Management Professional (Pmp) Certification Study Guide
Pmi - Project Management Professional (Pmp)   Certification Study GuidePmi - Project Management Professional (Pmp)   Certification Study Guide
Pmi - Project Management Professional (Pmp) Certification Study Guide
 
The Project Management Process - Week 1
The Project Management Process -  Week 1The Project Management Process -  Week 1
The Project Management Process - Week 1
 
Fundamentals of Project Management
Fundamentals of Project ManagementFundamentals of Project Management
Fundamentals of Project Management
 
Project Management Concepts (from PMBOK 5th Ed)
Project Management Concepts (from PMBOK 5th Ed)Project Management Concepts (from PMBOK 5th Ed)
Project Management Concepts (from PMBOK 5th Ed)
 

Similar to Why Projects Fail: Obstacles and Solutions

Project Governance and Failure
Project Governance and FailureProject Governance and Failure
Project Governance and FailureMichael Krigsman
 
Upselling and upgrading webinar presentation
Upselling and upgrading webinar presentationUpselling and upgrading webinar presentation
Upselling and upgrading webinar presentationStuart Selbst Consulting
 
Agile Project Failures: Root Causes and Corrective Actions
Agile Project Failures: Root Causes and Corrective ActionsAgile Project Failures: Root Causes and Corrective Actions
Agile Project Failures: Root Causes and Corrective ActionsTechWell
 
Agile Project Failures: Root Causes and Corrective Actions
Agile Project Failures: Root Causes and Corrective ActionsAgile Project Failures: Root Causes and Corrective Actions
Agile Project Failures: Root Causes and Corrective ActionsTechWell
 
Validus investor pitch deck 03212014 rjc updates
Validus investor pitch deck 03212014 rjc updatesValidus investor pitch deck 03212014 rjc updates
Validus investor pitch deck 03212014 rjc updatesRick Catalano
 
Innovation story
Innovation storyInnovation story
Innovation storySmartOrg
 
The Value of Business Intelligence In Construction Industry
The Value of  Business Intelligence  In Construction IndustryThe Value of  Business Intelligence  In Construction Industry
The Value of Business Intelligence In Construction Industrykelvinlane
 
Vmware cio event barcelona 2014 - no builds
Vmware cio event barcelona 2014 - no buildsVmware cio event barcelona 2014 - no builds
Vmware cio event barcelona 2014 - no buildsRussell Acton
 
The Business Case for SaaS Analytics for Salesforce.com
The Business Case for SaaS Analytics for Salesforce.comThe Business Case for SaaS Analytics for Salesforce.com
The Business Case for SaaS Analytics for Salesforce.comDarren Cunningham
 
CEO / CXO Architecture | The missing piece in your IT architecture
CEO / CXO Architecture | The missing piece in your IT architectureCEO / CXO Architecture | The missing piece in your IT architecture
CEO / CXO Architecture | The missing piece in your IT architectureCorporater
 
User Experience Audit by Gridle
User Experience Audit by GridleUser Experience Audit by Gridle
User Experience Audit by GridleClientjoy.io
 
Operating Models: How Does Your Operating Model Change and Scale in the Cloud?
Operating Models: How Does Your Operating Model Change and Scale in the Cloud?Operating Models: How Does Your Operating Model Change and Scale in the Cloud?
Operating Models: How Does Your Operating Model Change and Scale in the Cloud?Amazon Web Services
 
CEO / CXO Architecture - The missing piece in your BI&A architecture
CEO / CXO Architecture - The missing piece in your BI&A architectureCEO / CXO Architecture - The missing piece in your BI&A architecture
CEO / CXO Architecture - The missing piece in your BI&A architectureCorporater
 
DevSecOps: Instituting Cultural Transformation for Public Sector Organization...
DevSecOps: Instituting Cultural Transformation for Public Sector Organization...DevSecOps: Instituting Cultural Transformation for Public Sector Organization...
DevSecOps: Instituting Cultural Transformation for Public Sector Organization...Amazon Web Services
 
IT Optimization: Navigation Fiscal Austerity
IT Optimization: Navigation Fiscal AusterityIT Optimization: Navigation Fiscal Austerity
IT Optimization: Navigation Fiscal AusterityOmar Toor
 
SDM: The Fundamentals of Software Delivery Management
SDM: The Fundamentals of Software Delivery ManagementSDM: The Fundamentals of Software Delivery Management
SDM: The Fundamentals of Software Delivery ManagementDevOps.com
 
Cloud Scars: Lessons from the Enterprise Pioneers
Cloud Scars: Lessons from the Enterprise PioneersCloud Scars: Lessons from the Enterprise Pioneers
Cloud Scars: Lessons from the Enterprise PioneersDave Roberts
 

Similar to Why Projects Fail: Obstacles and Solutions (20)

IT Failure and Waste
IT Failure and WasteIT Failure and Waste
IT Failure and Waste
 
Project Governance and Failure
Project Governance and FailureProject Governance and Failure
Project Governance and Failure
 
Upselling and upgrading webinar presentation
Upselling and upgrading webinar presentationUpselling and upgrading webinar presentation
Upselling and upgrading webinar presentation
 
Preventing CRM failures
Preventing CRM failuresPreventing CRM failures
Preventing CRM failures
 
Agile Project Failures: Root Causes and Corrective Actions
Agile Project Failures: Root Causes and Corrective ActionsAgile Project Failures: Root Causes and Corrective Actions
Agile Project Failures: Root Causes and Corrective Actions
 
Agile Project Failures: Root Causes and Corrective Actions
Agile Project Failures: Root Causes and Corrective ActionsAgile Project Failures: Root Causes and Corrective Actions
Agile Project Failures: Root Causes and Corrective Actions
 
IoT13: Etherios showcase
IoT13: Etherios showcaseIoT13: Etherios showcase
IoT13: Etherios showcase
 
Validus investor pitch deck 03212014 rjc updates
Validus investor pitch deck 03212014 rjc updatesValidus investor pitch deck 03212014 rjc updates
Validus investor pitch deck 03212014 rjc updates
 
Innovation story
Innovation storyInnovation story
Innovation story
 
The Value of Business Intelligence In Construction Industry
The Value of  Business Intelligence  In Construction IndustryThe Value of  Business Intelligence  In Construction Industry
The Value of Business Intelligence In Construction Industry
 
Vmware cio event barcelona 2014 - no builds
Vmware cio event barcelona 2014 - no buildsVmware cio event barcelona 2014 - no builds
Vmware cio event barcelona 2014 - no builds
 
The Business Case for SaaS Analytics for Salesforce.com
The Business Case for SaaS Analytics for Salesforce.comThe Business Case for SaaS Analytics for Salesforce.com
The Business Case for SaaS Analytics for Salesforce.com
 
CEO / CXO Architecture | The missing piece in your IT architecture
CEO / CXO Architecture | The missing piece in your IT architectureCEO / CXO Architecture | The missing piece in your IT architecture
CEO / CXO Architecture | The missing piece in your IT architecture
 
User Experience Audit by Gridle
User Experience Audit by GridleUser Experience Audit by Gridle
User Experience Audit by Gridle
 
Operating Models: How Does Your Operating Model Change and Scale in the Cloud?
Operating Models: How Does Your Operating Model Change and Scale in the Cloud?Operating Models: How Does Your Operating Model Change and Scale in the Cloud?
Operating Models: How Does Your Operating Model Change and Scale in the Cloud?
 
CEO / CXO Architecture - The missing piece in your BI&A architecture
CEO / CXO Architecture - The missing piece in your BI&A architectureCEO / CXO Architecture - The missing piece in your BI&A architecture
CEO / CXO Architecture - The missing piece in your BI&A architecture
 
DevSecOps: Instituting Cultural Transformation for Public Sector Organization...
DevSecOps: Instituting Cultural Transformation for Public Sector Organization...DevSecOps: Instituting Cultural Transformation for Public Sector Organization...
DevSecOps: Instituting Cultural Transformation for Public Sector Organization...
 
IT Optimization: Navigation Fiscal Austerity
IT Optimization: Navigation Fiscal AusterityIT Optimization: Navigation Fiscal Austerity
IT Optimization: Navigation Fiscal Austerity
 
SDM: The Fundamentals of Software Delivery Management
SDM: The Fundamentals of Software Delivery ManagementSDM: The Fundamentals of Software Delivery Management
SDM: The Fundamentals of Software Delivery Management
 
Cloud Scars: Lessons from the Enterprise Pioneers
Cloud Scars: Lessons from the Enterprise PioneersCloud Scars: Lessons from the Enterprise Pioneers
Cloud Scars: Lessons from the Enterprise Pioneers
 

More from Michael Krigsman

20 Influential Chief Information Officers
20 Influential Chief Information Officers20 Influential Chief Information Officers
20 Influential Chief Information OfficersMichael Krigsman
 
CXOTalk: 20 Influential Chief Digital Officers
CXOTalk: 20 Influential Chief Digital OfficersCXOTalk: 20 Influential Chief Digital Officers
CXOTalk: 20 Influential Chief Digital OfficersMichael Krigsman
 
Understanding the Marketing Technology Landscape
Understanding the Marketing Technology LandscapeUnderstanding the Marketing Technology Landscape
Understanding the Marketing Technology LandscapeMichael Krigsman
 
Startups and Corporate Innovation
Startups and Corporate InnovationStartups and Corporate Innovation
Startups and Corporate InnovationMichael Krigsman
 
Innovation in higher education: Beyond the social campus
Innovation in higher education: Beyond the social campusInnovation in higher education: Beyond the social campus
Innovation in higher education: Beyond the social campusMichael Krigsman
 
Success and failure in the time of social
Success and failure in the time of socialSuccess and failure in the time of social
Success and failure in the time of socialMichael Krigsman
 
BriefingsDirect : Psychology of project management and SOA governance
BriefingsDirect : Psychology of project management and SOA governanceBriefingsDirect : Psychology of project management and SOA governance
BriefingsDirect : Psychology of project management and SOA governanceMichael Krigsman
 
IT Failures Town Hall: Risks of Survival
IT Failures Town Hall: Risks of SurvivalIT Failures Town Hall: Risks of Survival
IT Failures Town Hall: Risks of SurvivalMichael Krigsman
 
HMRC Poynter Review - IT failure analysis
HMRC Poynter Review - IT failure analysisHMRC Poynter Review - IT failure analysis
HMRC Poynter Review - IT failure analysisMichael Krigsman
 

More from Michael Krigsman (10)

20 Influential Chief Information Officers
20 Influential Chief Information Officers20 Influential Chief Information Officers
20 Influential Chief Information Officers
 
CXOTalk: 20 Influential Chief Digital Officers
CXOTalk: 20 Influential Chief Digital OfficersCXOTalk: 20 Influential Chief Digital Officers
CXOTalk: 20 Influential Chief Digital Officers
 
Understanding the Marketing Technology Landscape
Understanding the Marketing Technology LandscapeUnderstanding the Marketing Technology Landscape
Understanding the Marketing Technology Landscape
 
Startups and Corporate Innovation
Startups and Corporate InnovationStartups and Corporate Innovation
Startups and Corporate Innovation
 
Innovation in higher education: Beyond the social campus
Innovation in higher education: Beyond the social campusInnovation in higher education: Beyond the social campus
Innovation in higher education: Beyond the social campus
 
Success and failure in the time of social
Success and failure in the time of socialSuccess and failure in the time of social
Success and failure in the time of social
 
BriefingsDirect : Psychology of project management and SOA governance
BriefingsDirect : Psychology of project management and SOA governanceBriefingsDirect : Psychology of project management and SOA governance
BriefingsDirect : Psychology of project management and SOA governance
 
Asuret Overview
Asuret OverviewAsuret Overview
Asuret Overview
 
IT Failures Town Hall: Risks of Survival
IT Failures Town Hall: Risks of SurvivalIT Failures Town Hall: Risks of Survival
IT Failures Town Hall: Risks of Survival
 
HMRC Poynter Review - IT failure analysis
HMRC Poynter Review - IT failure analysisHMRC Poynter Review - IT failure analysis
HMRC Poynter Review - IT failure analysis
 

Recently uploaded

COMPUTER 10 Lesson 8 - Building a Website
COMPUTER 10 Lesson 8 - Building a WebsiteCOMPUTER 10 Lesson 8 - Building a Website
COMPUTER 10 Lesson 8 - Building a Websitedgelyza
 
Secure your environment with UiPath and CyberArk technologies - Session 1
Secure your environment with UiPath and CyberArk technologies - Session 1Secure your environment with UiPath and CyberArk technologies - Session 1
Secure your environment with UiPath and CyberArk technologies - Session 1DianaGray10
 
NIST Cybersecurity Framework (CSF) 2.0 Workshop
NIST Cybersecurity Framework (CSF) 2.0 WorkshopNIST Cybersecurity Framework (CSF) 2.0 Workshop
NIST Cybersecurity Framework (CSF) 2.0 WorkshopBachir Benyammi
 
Bird eye's view on Camunda open source ecosystem
Bird eye's view on Camunda open source ecosystemBird eye's view on Camunda open source ecosystem
Bird eye's view on Camunda open source ecosystemAsko Soukka
 
Building Your Own AI Instance (TBLC AI )
Building Your Own AI Instance (TBLC AI )Building Your Own AI Instance (TBLC AI )
Building Your Own AI Instance (TBLC AI )Brian Pichman
 
Building AI-Driven Apps Using Semantic Kernel.pptx
Building AI-Driven Apps Using Semantic Kernel.pptxBuilding AI-Driven Apps Using Semantic Kernel.pptx
Building AI-Driven Apps Using Semantic Kernel.pptxUdaiappa Ramachandran
 
Using IESVE for Loads, Sizing and Heat Pump Modeling to Achieve Decarbonization
Using IESVE for Loads, Sizing and Heat Pump Modeling to Achieve DecarbonizationUsing IESVE for Loads, Sizing and Heat Pump Modeling to Achieve Decarbonization
Using IESVE for Loads, Sizing and Heat Pump Modeling to Achieve DecarbonizationIES VE
 
Crea il tuo assistente AI con lo Stregatto (open source python framework)
Crea il tuo assistente AI con lo Stregatto (open source python framework)Crea il tuo assistente AI con lo Stregatto (open source python framework)
Crea il tuo assistente AI con lo Stregatto (open source python framework)Commit University
 
Meet the new FSP 3000 M-Flex800™
Meet the new FSP 3000 M-Flex800™Meet the new FSP 3000 M-Flex800™
Meet the new FSP 3000 M-Flex800™Adtran
 
The Data Metaverse: Unpacking the Roles, Use Cases, and Tech Trends in Data a...
The Data Metaverse: Unpacking the Roles, Use Cases, and Tech Trends in Data a...The Data Metaverse: Unpacking the Roles, Use Cases, and Tech Trends in Data a...
The Data Metaverse: Unpacking the Roles, Use Cases, and Tech Trends in Data a...Aggregage
 
IaC & GitOps in a Nutshell - a FridayInANuthshell Episode.pdf
IaC & GitOps in a Nutshell - a FridayInANuthshell Episode.pdfIaC & GitOps in a Nutshell - a FridayInANuthshell Episode.pdf
IaC & GitOps in a Nutshell - a FridayInANuthshell Episode.pdfDaniel Santiago Silva Capera
 
ADOPTING WEB 3 FOR YOUR BUSINESS: A STEP-BY-STEP GUIDE
ADOPTING WEB 3 FOR YOUR BUSINESS: A STEP-BY-STEP GUIDEADOPTING WEB 3 FOR YOUR BUSINESS: A STEP-BY-STEP GUIDE
ADOPTING WEB 3 FOR YOUR BUSINESS: A STEP-BY-STEP GUIDELiveplex
 
20230202 - Introduction to tis-py
20230202 - Introduction to tis-py20230202 - Introduction to tis-py
20230202 - Introduction to tis-pyJamie (Taka) Wang
 
Comparing Sidecar-less Service Mesh from Cilium and Istio
Comparing Sidecar-less Service Mesh from Cilium and IstioComparing Sidecar-less Service Mesh from Cilium and Istio
Comparing Sidecar-less Service Mesh from Cilium and IstioChristian Posta
 
COMPUTER 10: Lesson 7 - File Storage and Online Collaboration
COMPUTER 10: Lesson 7 - File Storage and Online CollaborationCOMPUTER 10: Lesson 7 - File Storage and Online Collaboration
COMPUTER 10: Lesson 7 - File Storage and Online Collaborationbruanjhuli
 
UiPath Solutions Management Preview - Northern CA Chapter - March 22.pdf
UiPath Solutions Management Preview - Northern CA Chapter - March 22.pdfUiPath Solutions Management Preview - Northern CA Chapter - March 22.pdf
UiPath Solutions Management Preview - Northern CA Chapter - March 22.pdfDianaGray10
 
Introduction to Matsuo Laboratory (ENG).pptx
Introduction to Matsuo Laboratory (ENG).pptxIntroduction to Matsuo Laboratory (ENG).pptx
Introduction to Matsuo Laboratory (ENG).pptxMatsuo Lab
 
AI You Can Trust - Ensuring Success with Data Integrity Webinar
AI You Can Trust - Ensuring Success with Data Integrity WebinarAI You Can Trust - Ensuring Success with Data Integrity Webinar
AI You Can Trust - Ensuring Success with Data Integrity WebinarPrecisely
 
Designing A Time bound resource download URL
Designing A Time bound resource download URLDesigning A Time bound resource download URL
Designing A Time bound resource download URLRuncy Oommen
 

Recently uploaded (20)

COMPUTER 10 Lesson 8 - Building a Website
COMPUTER 10 Lesson 8 - Building a WebsiteCOMPUTER 10 Lesson 8 - Building a Website
COMPUTER 10 Lesson 8 - Building a Website
 
Secure your environment with UiPath and CyberArk technologies - Session 1
Secure your environment with UiPath and CyberArk technologies - Session 1Secure your environment with UiPath and CyberArk technologies - Session 1
Secure your environment with UiPath and CyberArk technologies - Session 1
 
NIST Cybersecurity Framework (CSF) 2.0 Workshop
NIST Cybersecurity Framework (CSF) 2.0 WorkshopNIST Cybersecurity Framework (CSF) 2.0 Workshop
NIST Cybersecurity Framework (CSF) 2.0 Workshop
 
Bird eye's view on Camunda open source ecosystem
Bird eye's view on Camunda open source ecosystemBird eye's view on Camunda open source ecosystem
Bird eye's view on Camunda open source ecosystem
 
Building Your Own AI Instance (TBLC AI )
Building Your Own AI Instance (TBLC AI )Building Your Own AI Instance (TBLC AI )
Building Your Own AI Instance (TBLC AI )
 
Building AI-Driven Apps Using Semantic Kernel.pptx
Building AI-Driven Apps Using Semantic Kernel.pptxBuilding AI-Driven Apps Using Semantic Kernel.pptx
Building AI-Driven Apps Using Semantic Kernel.pptx
 
Using IESVE for Loads, Sizing and Heat Pump Modeling to Achieve Decarbonization
Using IESVE for Loads, Sizing and Heat Pump Modeling to Achieve DecarbonizationUsing IESVE for Loads, Sizing and Heat Pump Modeling to Achieve Decarbonization
Using IESVE for Loads, Sizing and Heat Pump Modeling to Achieve Decarbonization
 
Crea il tuo assistente AI con lo Stregatto (open source python framework)
Crea il tuo assistente AI con lo Stregatto (open source python framework)Crea il tuo assistente AI con lo Stregatto (open source python framework)
Crea il tuo assistente AI con lo Stregatto (open source python framework)
 
Meet the new FSP 3000 M-Flex800™
Meet the new FSP 3000 M-Flex800™Meet the new FSP 3000 M-Flex800™
Meet the new FSP 3000 M-Flex800™
 
The Data Metaverse: Unpacking the Roles, Use Cases, and Tech Trends in Data a...
The Data Metaverse: Unpacking the Roles, Use Cases, and Tech Trends in Data a...The Data Metaverse: Unpacking the Roles, Use Cases, and Tech Trends in Data a...
The Data Metaverse: Unpacking the Roles, Use Cases, and Tech Trends in Data a...
 
IaC & GitOps in a Nutshell - a FridayInANuthshell Episode.pdf
IaC & GitOps in a Nutshell - a FridayInANuthshell Episode.pdfIaC & GitOps in a Nutshell - a FridayInANuthshell Episode.pdf
IaC & GitOps in a Nutshell - a FridayInANuthshell Episode.pdf
 
ADOPTING WEB 3 FOR YOUR BUSINESS: A STEP-BY-STEP GUIDE
ADOPTING WEB 3 FOR YOUR BUSINESS: A STEP-BY-STEP GUIDEADOPTING WEB 3 FOR YOUR BUSINESS: A STEP-BY-STEP GUIDE
ADOPTING WEB 3 FOR YOUR BUSINESS: A STEP-BY-STEP GUIDE
 
20230202 - Introduction to tis-py
20230202 - Introduction to tis-py20230202 - Introduction to tis-py
20230202 - Introduction to tis-py
 
Comparing Sidecar-less Service Mesh from Cilium and Istio
Comparing Sidecar-less Service Mesh from Cilium and IstioComparing Sidecar-less Service Mesh from Cilium and Istio
Comparing Sidecar-less Service Mesh from Cilium and Istio
 
COMPUTER 10: Lesson 7 - File Storage and Online Collaboration
COMPUTER 10: Lesson 7 - File Storage and Online CollaborationCOMPUTER 10: Lesson 7 - File Storage and Online Collaboration
COMPUTER 10: Lesson 7 - File Storage and Online Collaboration
 
UiPath Solutions Management Preview - Northern CA Chapter - March 22.pdf
UiPath Solutions Management Preview - Northern CA Chapter - March 22.pdfUiPath Solutions Management Preview - Northern CA Chapter - March 22.pdf
UiPath Solutions Management Preview - Northern CA Chapter - March 22.pdf
 
Introduction to Matsuo Laboratory (ENG).pptx
Introduction to Matsuo Laboratory (ENG).pptxIntroduction to Matsuo Laboratory (ENG).pptx
Introduction to Matsuo Laboratory (ENG).pptx
 
AI You Can Trust - Ensuring Success with Data Integrity Webinar
AI You Can Trust - Ensuring Success with Data Integrity WebinarAI You Can Trust - Ensuring Success with Data Integrity Webinar
AI You Can Trust - Ensuring Success with Data Integrity Webinar
 
20150722 - AGV
20150722 - AGV20150722 - AGV
20150722 - AGV
 
Designing A Time bound resource download URL
Designing A Time bound resource download URLDesigning A Time bound resource download URL
Designing A Time bound resource download URL
 

Why Projects Fail: Obstacles and Solutions

  • 1. Why Projects Fail: y j Obstacles and Solutions Michael Krigsman Asuret, Inc. 617-905-5950 mkrigsman@asuret.com k ig @ t Twitter: @mkrigsman © Copyright 2009 Asuret Inc. All rights reserved.
  • 2. Failure is common: 30-70% of projects are late, over-budget, or don’t meet expectations. © Copyright 2009 Asuret Inc. All rights reserved.
  • 3. Total failure worldwide: trillions of dollars (SWAG*) *silly wild ass guess based on independent research wild-ass http://blogs.zdnet.com/projectfailures/?p=6142 © Copyright 2009 Asuret Inc. All rights reserved.
  • 4. Failures persist despite millions invested in i prevention. Wh ? ti Why? © Copyright 2009 Asuret Inc. All rights reserved.
  • 5. We ignore warning signs © Copyright 2009 Asuret Inc. All rights reserved.
  • 6. Cost to projects is high high. Impact on the business is higher higher. © Copyright 2009 Asuret Inc. All rights reserved.
  • 7. Nightmare Ni ht Scenario Levis can’t fill orders for one week = 98% decline in quarterly profits http://blogs.zdnet.com/projectfailures/?p=917 http://blogs.zdnet.com/projectfailures/?p=935 © Copyright 2009 Asuret Inc. All rights reserved. Image © LS&CO
  • 9. Project management is not enough © Copyright 2009 Asuret Inc. All rights reserved.
  • 10. Process is not enough  Failures persist despite ITIL, PMI, CMM, and other methodologies  Project management tools do not stop failure  Nor does Project Portfolio Management  Projects f d d ith t b i P j t funded without business case, executive ti sponsorship and so on  Distortions: poor j g p judgment, p , politics, silos, , , and personal agendas  Extreme case: “Successful” process / failed outcome © Copyright 2009 Asuret Inc. All rights reserved.
  • 11. Three root causes of failure  Business vulnerabilities  Alignment mismatches  Devil’s Triangle relationships © Copyright 2009 Asuret Inc. All rights reserved.
  • 12. Business vulnerabilities, not technology, cause the problems © Copyright 2009 Asuret Inc. All rights reserved.
  • 13. Case study: Oak Park, IL  Change management  Project management  Third party relationships © Copyright 2009 Asuret Inc. All rights reserved.
  • 14. Oak Park: Complete abandonment  Cost: $2M  Time frame: complete abandonment after 5-year project  Software vendor: PeopleSoft  Project goal: Replace payroll and financials  Failure: Accounting and finance errors, such as vendors paid twice  Causes: C  Lack of Oak Park sophistication regarding enterprise software process, scope, costs over time, management, and so on  Low-skill finance employees, lacking basic computer skills, did not enter data into system  Insufficient change management and user training http://blogs.zdnet.com/projectfailures/?p=1304 http://blogs.zdnet.com/projectfailures/?p=1358 © Copyright 2009 Asuret Inc. All rights reserved.
  • 15. Alignment mismatches drive poor decisions Poor communication, hidden agendas, and conflicting measures of success create gaps  Information silos  IT / lines of business  Internal / external groups  Business needs become disconnected from strategy and planning t t g d l i g  Execution then suffers © Copyright 2009 Asuret Inc. All rights reserved.
  • 16. Management vs. vs IT and testing © Copyright 2009 Asuret Inc. All rights reserved.
  • 17. © Copyright 2009 Asuret Inc. All rights reserved.
  • 18. J.Crew: Management accepts blame  Cost: $3M plus lost sales and dissatisfied customers  Failure: Impaired ability to capture, process, ship, and service orders  Causes:  Aggressive i A i internal planning and schedule l l i d h d l  Insufficient testing of new system before replacing old  Management accepted responsibility  Plausible scenario: management pressured IT to accept aggressive schedule http://blogs.zdnet.com/projectfailures/?p=1015 © Copyright 2009 Asuret Inc. All rights reserved.
  • 19. Devil’s Triangle Dysfunctional industry structure creates overlapping and conflicting agendas g g
  • 20. Devil’s Triangle Conflicts of interest are embedded in the enterprise software industry (customer gets fleeced) Confused buyers Silos and internal conflicts Wacky system integrators Customer success vs. consulting revenue Schizophrenic software vendors Loyalties split between customers and integrators © Copyright 2009 Asuret Inc. All rights reserved.
  • 21. [W]hen you’re marching through hell, you re hell just keep marching. Charles Burbridge g LAUSD’s CFO (LA Times, 3/19/07) © Copyright 2009 Asuret Inc. All rights reserved.
  • 22. LAUSD payroll broken: teachers suffer  Budget: $95M; Expected: $135M  System integrator: Deloitte Consulting  Software vendor: SAP  Goal: Replace payroll system  Failure: Teachers not paid  Causes:  School payroll is inherently complex  Roll out and testing were likely flawed (Union: system not run in parallel)  Complicated work rules  Deloitte did not press LAUSD for complete information  SAP did not want to interfere with Deloitte’s account http://blogs.zdnet.com/projectfailures/?p=130 http://blogs.zdnet.com/projectfailures/?p=436 http://blogs.zdnet.com/projectfailures/?p=576 © Copyright 2009 Asuret Inc. All rights reserved.
  • 25. Observe warning signs  Ambiguous or diffuse project ownership  Stakeholder complexity  Who’s calling the shots?  Conflicts of interest  Inconsistencies (hardest t discern i advance) I i t i (h d t to di in d )  Are stakeholders engaged?  Is management in denial? g  Business case clear? © Copyright 2009 Asuret Inc. All rights reserved.
  • 26. Governance beyond IT  What problem does the project solve?  Who is the project champion?  Are stakeholders committed?  What PM toolbox are you going to use and what drives it (procurement i ( t issues)? )?  How will the project be governed (who, how, when)?  How will the project be controlled (planning monitoring, (planning, monitoring reporting)?  How will success be judged or measured? (who when, how) © Copyright 2009 Asuret Inc. All rights reserved.
  • 27. Extending into the enterprise…  Share knowledge and lessons learned to improve success rates  Embed innovation around IT project success in the organization  Evaluate your organization’s collaboration capabilities organization s © Copyright 2009 Asuret Inc. All rights reserved.
  • 28. And beyond  Increase appropriate communication to reduce information silos  Connect social networks to support continuous organizational improvement  Facilitate rapid effective and ethical decision-making rapid, effective, decision making  Align IT with measurable business results  Change p j g project culture, not corporate culture , p © Copyright 2009 Asuret Inc. All rights reserved.
  • 29. Which all sounds good…
  • 32. First, recognize that vulnerabilities exists
  • 33. Factual data is essential © Copyright 2009 Asuret Inc. All rights reserved.
  • 34. Facilitate consensus across silos Use non-threatening techniques to:  Avoid bias  Remove emotion and political pressures e o e e ot o a d po t ca p essu es  Create organizational consensus and enhance collaboration  Leverage collective intelligence inside the organization © Copyright 2009 Asuret Inc. All rights reserved.
  • 35. Key drivers of success © Copyright 2009 Asuret Inc. All rights reserved.
  • 36. Measure indirectly Simple questions, range of responses, and importance © Copyright 2009 Asuret Inc. All rights reserved.
  • 37. Evidence-based planning  Raise profile of success factors  Target specific issues for focus a get spec c ssues o ocus  Create concrete plans  Coordinate action against plan  Rinse and repeat as needed
  • 38. Simulation and Analysis © Copyright 2009 Asuret Inc. All rights reserved.
  • 39. Key Lessons  Governance: people, collaboration, and responsibility  Measurement and diagnosis are prerequisites for future success  Consolidating / aggregating lessons learned is essential to achieve continuous improvement  Pinpoint specific recommendations  Drive toward consensus  Long-term solution  Look beyond project management  Raise awareness of real vulnerabilities  Engage stakeholders and sponsors © Copyright 2009 Asuret Inc. All rights reserved.
  • 40. For more information contact: Michael Krigsman, CEO Email: mkrigsman@asuret.com Web: http://asuret.com Blog: http://blogs.zdnet.com/projectfailures Twitter: http://twitter com/mkrigsman http://twitter.com/mkrigsman + 1 (617) 905-5950 © Copyright 2009 Asuret Inc. All rights reserved.