How do well do projects run in your organization? Are they just trotting along happily or are there a number that are “troubled”? And, if they are indeed troubled, just how much are they actually costing your organization? There are many statistics available. PM Solutions Inc. conducted a survey in 2011, and in a list of projects valued at over $200 million, those claimed to be at risk of failing were valued at over $74 million. Undisclosed were the projects that were in the process of being salvaged and those that were being pushed through, regardless of time and budget constraints.
Failed projects do greater damage than costing a lot of money without achieving the desired results – they leave a huge negative impact on the project team which, in turn, spills over into the customer environment and the internal organization. Staff morale takes a hit and team performance suffers. Troubled projects also have negative financial implications due to extended costs, overtime, stress leave, loss of good will and reputation and even employee turnover. Often, these costs go unseen initially, and then erupt when not expected – weeks, months or years later.
So now what? How do you deal with troubled projects? Continue reading →