SUMMARY

Why should we even bother with project management when the failure rate for projects is still so high? Precisely because of this, and because the demand for project managers will be enormous in the coming years. The world is constantly changing, the challenges are not getting any less, and many changes and transformations begin with a project.

Intransigence and administrative ballast

In some of my projects, where the topic of project management was still quite new, I was often confronted with comments such as: ‘What, I have to write a report as well?’ or ‘We don't need project planning, I know what I have to do.’ Or ‘Why are we meeting for risk management? We haven't even started yet!’ That's when you have to smile and explain with a lot of patience how the project assignment and project success are connected, and everything that needs to be done in between. Resistance is often strong, because project staff don't give up easily. After all, they only want to devote themselves to the most interesting and promising tasks, and day-to-day business is overwhelming enough without having to deal with more ‘administrative ballast’.

Too many projects still fail

So, if logic doesn't get you anywhere, you need facts! That's easier said than done. I find the statistics on this generally poor and sometimes quite old. Nevertheless, here are a few selected figures for your information:

• 52% of all IT projects do not fully meet requirements*1
• 17% of all IT projects exceed costs and do not meet the agreed deadline*1
• Only a maximum of 50% of IT projects are considered successful*1
• A good 20% of all IT projects are cancelled*1
• According to a study by GPM and PA Consulting (2008), more than 30% of all projects fail
• Large public projects are on average 73% more expensive than planned*2

Yes, these facts are sobering, even for those who deal with them on a daily basis. But what are the factors that often cause a project to falter or fail? Here is an excerpt:

1. Unclear or unrealistic goals and requirements. In my experience, this essential point is often overlooked or not discussed in sufficient detail with the client. Communication and error culture also play a role here. Out of fear of embarrassing themselves in front of the client or their own team, important fundamental questions are not asked. It is important to remember that the views of different ‘professional groups’, and yes, sometimes even within one's own group, can differ greatly on a topic, depending on the ideas and experiences of the people involved. So, if you don't address this point carefully enough, you've already lost from the start.
2. Poor planning. This is the classic stumbling block. With inadequate or unrealistic time and resource planning, necessary resources such as personnel, budget, technology and time are underestimated or not sufficiently planned for. This is often directly related to point 1). It is even more difficult when a company or organisation is dependent on a specific project. It is not uncommon for these plans to be untenable from the outset.
3. Lack of and inefficient communication. Admittedly, this is a growing problem the larger the project. That seems logical. This is about mutual understanding, coordination and avoiding mistakes within the project team, with stakeholders or management. And again, it must be taken into account that these communication target groups have different perspectives, ideas and levels of knowledge about the respective project.
4. Lack of support from management/stakeholder engagement. Yes, this can actually cause a project to ‘starve’. If (top) management does not provide sufficient support for the project or important stakeholders are not involved or willing, there is a lack of backing, decisions are delayed or not made at all. This is therefore definitely a point for points 3) and 5).
5. Inadequate risk and opportunity management. This issue is always underestimated and not always well understood. Early identification, assessment and management of potential risks are absolutely crucial. If risks are ignored or not identified (early enough), they can cause a project to fail.
6. Unclear roles and responsibilities. The larger the project, the more important this task is. If it is not clear who is responsible for which tasks and decisions, this leads to duplication of work or unassigned areas of responsibility and causes unnecessary confusion in the project. This point follows on directly from point 2).
7. Inadequate project monitoring and control: A lack of control over project progress and the associated inability to react quickly to deviations and initiate corrective measures are also critical. Measuring project progress is not always easy, regardless of the project management methodology used, but it can be worked towards during the planning stage. A project without monitoring and control is never meaningful.

Project management works

Anyone who has read this far and has never had anything to do with project management might now be thinking, ‘Does project management even work?’ And my answer is: yes, if you do it right! If everyone involved is clear about the framework conditions necessary to make a project successful:

• Clear and realistic project goals based on agreed realistic requirements
• Appropriate resource planning and availability
• Effective communication and collaboration
• Strong leadership and support from management/stakeholders
• Comprehensive risk management
• Competent project managers and a motivated team
• Use of appropriate project management methods and tools

After all, somewhere between 20-50% of all projects are successful! Depending on size, industry or company size. With the agile project management method, projects are somewhat more successful. Projects in the healthcare sector are more successful on average, which may be due to the fact that the gender distribution among project staff in the healthcare sector is the lowest (41% women to 59% men), indicating a more balanced workforce. In contrast, half of all construction projects worldwide fail in terms of project success, due to costs. But here, too, the trend shows that things are improving.

Role of the project manager

Want more facts? According to the World Economic Forum's ‘Future of Jobs’ report (01/2025), the profession of project manager ranks 12th among the most promising professions. The PMI (Project Management Institute) has calculated that by 2035 there will be a need for 29.8 million new project managers worldwide, particularly in the areas of construction, manufacturing, IT services and healthcare. So, project management is not such a lost cause after all. And we must not forget that projects are the drivers of change and are advancing the transformations of our time worldwide.

Quintessence

Every day, I work to ensure that project management gets the attention it needs when it comes to projects. No one has a template or blueprint for successful project management, because we are always working with different people to implement and drive things forward. We implement projects for people for whom something is changing. That is what project management is all about, not whether it is agile, classic or hybrid. If we can convey that, I see a great opportunity for greater acceptance of structured project management and thus also for greater project success.

Would you like to know more, are you looking for advice for your project or support in your project? Then please feel free to contact me.

*1 Technical article ‘Failure of IT projects’ from derprojektmanager

*2 Hertie School of Governance; ‘Large-scale projects in Germany – between ambition and reality’, study published in 2017