Projects are essential to driving innovation, meeting customer demands, and achieving strategic objectives. However, managing these projects effectively is no easy task. That’s where project management comes into play.

Project management involves planning, organizing, and controlling resources to achieve specific goals within pre-determined constraints. Because of this, each project will have its own set of risks and issues.

55% of digital transformation projects fail

Based on research conducted by the Standish Group, on average, 41% of all projects face issues with the budget, schedule, or scope. On average, 23% of all business projects fail. Research conducted by the Project Management Institute shows that 11.4% of all projects were considered to be failed investments due to poor project performance or adaptation.

These were general studies looking at many different industries. The failure rate of digital transformation projects is even higher. According to a study conducted in 2017 by Gartner Research, 55% of all digital transformation projects were deemed a failure by their initiators.

Risk without issues

Proper risk and issue management will significantly impact the project’s success. It involves identifying, assessing, mitigating, and monitoring risks and issues throughout the project lifecycle. Identifying, assessing, and mitigating risks and issues should be done before a project starts.

A project manager needs to know the likelihood of risks and issues occurring and their impact. A plan should be in place for detecting and tracking risks and issues the moment they happen. If a risk is considered important enough, a mitigation plan needs to be in place before the project starts.

Involve all stakeholders

As an example, imagine a company that is implementing a ERP software. Previous projects revealed inadequate communication of stakeholder requirements. Employees not directly involved in the implementation were not made aware of project developments before its conclusion, limiting their involvement and feedback. If  this happens during the ERP implementation, it can result in an ERP system that fails to cover all necessary processes. Therefore, the project manager must create a plan to mitigate this risk before the project initiation. Before such a plan can be created, an analysis of why this problem occurred in the past, must be conducted.

Identify the why

Only if the why is known can a plan be created to manage this risk so that the new technology will be properly adopted by employees after the project is concluded. Doing all of this in a proactive and collaborative way will be paramount to a successful project in this example.

Potential threats

During the course of a project, various other issues might occur that will demand the attention of the project manager:

The project might not be a good fit for the organization’s culture, goals, and targets.
Stakeholders might have unrealistic or conflicting expectations.

Scope creep might occur

By recognizing and actively addressing these and other potential issues, project managers can increase the chances of project success. To do this, a proactive and holistic approach is required. An approach that encompasses not only technical aspects but also organizational dynamics, stakeholder management, and effective communication.

Project appraisal

Conducting a project appraisal before initiating a project is essential for reducing risks and improving the likelihood of success. This appraisal will evaluate the viability, potential risks, and the expected benefits of the project.

Factors such as the team capabilities, project governance, and other factors need to be analyzed for insights as well. These insights are necessary to improve the likelihood of achieving success with a project, by enabling organizations to make informed decisions and mitigate potential challenges.

Analyze, prioritize, and implement

Preferably, such an analysis will analyze everything that can go wrong during a project. However, it is not enough to merely analyze the project. After the analysis, solutions need to be created. These solutions need to be prioritized and implemented. If all of this is done properly, the project health should improve.

However, this does not mean that the work stops. Projects are complicated, and it is the responsibility of the entire project governance team to ensure that the project’s health is appraised regularly once it has started.

For example, by conducting a mid-project appraisal or by using other means. It is important to avoid biases and political influences while conducting a project appraisal.

Organizations can seek external expertise, such as the Mission.One Advisory Project Assessment Service, to conduct an unbiased evaluation. Such services analyze the project methodology and readiness to provide valuable guidance and support in mitigating project issues and risks.
In turn, this will enable a company to achieve success with their projects.

By minimizing setbacks and doing everything in power to achieve project success, an organization can foster innovation, achieve its strategic goals, and, in turn, grow.

Mission.One offers project support through appraisals and advice

As discussed, conducting thorough project appraisals can be very beneficial for your organization. It can help minimize risks and ensure the success of any project. Moreover, project management, involving planning, risk management, and stakeholder engagement, can reduce the likelihood of project failure. By addressing issues fast and continuous appraisals of projects, organizations can achieve their strategic goals and drive innovation.

At Mission.One, we provide guidance and support to enhance your project outcomes. Whether you need help with project appraisals, risk management, or stakeholder communication, our team can assist you.

For more information about our services, visit our service page and contact us to see how we can help your organization achieve project success.