Authors: Dr. David Ackah, PhD. Project Consultant
President, Institute of Project Management Professionals
Abstract
The focus of this paper is the exploration of why many projects in Africa failed to complete. That is to investigate the causes that lead to the failure of deliverables obtained after the successful completion of projects. Business leaders and experts have proclaimed that project management is a strategic imperative. Project management provides people with a powerful set of tools that improves their ability to plan, implement, and manage activities to accomplish specific organizational objectives. But project management is more than just a set of tools; it is a results-oriented management style that places a premium on building collaborative relationships among a diverse cast of characters. Exciting opportunities await people skilled in project management. The project approach has long been the style of doing business in the construction industry, U.S. Department of Defense contracts, and Hollywood as well as big consulting firms. Now project management has spread to all avenues of work.
Today, project teams carry out everything from port expansions to hospital restructuring to upgrading information systems. They are creating next generation, fuel efficient vehicles, developing sustainable sources of energy, and exploring the farthest reaches of outer space. The impact of project management is most profound in the electronics industry, where the new folk heroes are young professionals whose Herculean efforts lead to the constant flow of new hardware and software products. Project management is not limited to the private sector. Project management is also a vehicle for doing good deeds and solving social problems. Endeavors such as providing emergency aid to the Gulf Coast devastated by hurricane Katrina, devising a strategy for reducing crime and drug abuse within a city, or organizing a community effort to renovate a public playground would and do benefit from the application of modern project management skills and techniques. Perhaps the best indicator of demand for project management can be seen in the rapid expansion of the Project Management Institute (PMI), a professional organization for project managers.
Project Management Profession has grown from 93,000 in 2002 to more than 270,000 currently. See the PMI Snapshot from Practice for information regarding professional certification in project management. It’s nearly impossible to pick up a newspaper or business periodical and not find something about projects. This is no surprise! Approximately $2.5 trillion (about 25 percent of the African gross national product) are spent on projects each year in the African Countries alone. Other countries are increasingly spending more on projects. Millions of people around the world consider project management the major task in their profession. Project management is not without problems. The Standish Group has tracked the management of information technology (IT) projects since 1994. This firm’s periodic landmark reports summarize the continued need for improved project management. For over a decade the Standish Reports of management of IT projects showed improvements. In 1994 approximately 16 percent of IT projects were completed on time, on budget; in 2004 the success rate moved up to 29 percent.
Failed projects also declined from 31 percent in 1994 to 18 percent in 2004. However, the CHAOS Summary 2009 report shows a small decrease in the numbers. This survey report shows only 32 percent of IT projects were delivered on time and within budget. However, 44 percent were “challenged,” which means they were late, over budget, and/or missed meeting performance requirements. In addition, 24 percent failed, were cancelled, or never used. Jim Crear, Standish Group CIO, notes this is the highest failure rate in over a decade. The need for elevating performance continues to challenge the project management profession. The waste on failed projects and cost overruns is estimated in the neighborhood of over $150 billion! Most of the people who excel at managing projects never have the title of project manager. They include accountants, lawyers, administrators, scientists, contractors, public health officials, teachers, and community advocates whose success depends upon being able to lead and manage project work. For them project management is not a title but a critical job requirement. It is hard to think of a profession or a career path that would not benefit from being good at managing projects. Not only is project management critical to most careers, the skill set is transferable across most businesses and professions. At its core, project management fundamentals are universal.
The same project management methodology that is used to develop a new product can be adapted to create new services, organize events, refurbish aging operations, and so forth. In a world where it is estimated that each person is likely to experience three to four career changes, managing projects is a talent worthy of development. The significance of project management can also be seen in the classroom. Twenty years ago major universities offered one or two classes in project management, primarily for engineers. Today, most universities offer multiple sections of project management classes, with the core group of engineers being supplemented by business students majoring in marketing, management information systems (MIS), and finance, as well as students from other disciplines such as oceanography, health sciences, computer sciences, and liberal arts. These students are finding that their exposure to project management is providing them with distinct advantages when it comes time to look for jobs. More and more employers are looking for graduates with project management skills. The logical starting point for developing these skills is understanding the uniqueness of a project and of project managers.