7 Steps to Avoiding Project Failure Mark Stuyt Neural Impact BDO Connections 2016 | Breakout Session

1. BDO Connections
7 Steps to Avoiding Project Failure

2. Mark Stuyt
About Mark:
 Founder – Chief Engagement Officer
 25 year sales professional (CA, Pivotal CRM, PeopleSoft,
SAP)
 Advisor to Microsoft & Tier 1 & 2 Microsoft AX/NAV/CRM
Partners: Europe, North America, Asia
 Author: Microsoft Accelerated Selling Methodology
 Author: Microsoft Industry Acceleration Content
Mark’s contact info:
LinkedIn
(604) 617-8522
Website

3. Consumption Gap
7 S t e p s t o A v o i d i n g P r o j e c t F a i l u r e

5. Selection Process
5

6. HISTORICAL CONFIRMRESEARCH
Changing Engagement Point
7 S t e p s t o A v o i d i n g P r o j e c t F a i l u r e
or

7. Trigger Event
7 S t e p s t o A v o i d i n g P r o j e c t F a i l u r e
Always comes as a surprise
Illuminates business challenges
Highly emotional
Cannot be ignored
Aligned with:
• Growth
• Risk
• $ (profitability/cost)
• Control

8. Trigger Event
7 S t e p s t o A v o i d i n g P r o j e c t F a i l u r e
Lost a strategic customer
Missed earnings call
Key metric violation
Inventory write off
Merger or acquisition
Bad decision

9. 7 S t e p s t o A v o i d i n g P r o j e c t F a i l u r e
The ROOT CAUSE/SOURCE of the Trigger Event
Inventory
Management
Scheduling
Billing
Merchandising
Loyalty Mgmt.
Mobile, EDI, POS Integration
Business Challenge or
Business Process
Key Requirement
Business Challenges & Key Requirements

10. 7 S t e p s t o A v o i d i n g P r o j e c t F a i l u r e
Features
Requirement
IT
Team Workspaces
Compliance Reporting
Dashboards –
KPIs/Reporting
Jobsite Mobility
Mobile Time Capture
Web Services
BMI Integration
Records
Management
Cloud
EDI
Subscription
Licensing
Text
HOW
Function
Business Process
Management
Project
Collaboration
Project Management
Budgeting &
Forecasting
Time & Expense,
Billing
Scheduling
Estimating
Inventory Control
Talent Mgmt
Subcontractor Mgmt
Equipment Mgmt.
RFI/Bid/Proposal
Mgmt.
Billing
Text/Video
WHY
(Trigger Event)
Metric
Business Challenge
Leadership
Growth
M&A
Large or complex new
project
Fear
Lost a key customer
Project write-off
Utilization <70%
Risk
Compliance penalty
Litigation
Control
Bad decision
Dialogue/Video
WHAT
Market Forces &
Industry Drivers
Economic:
All major private sectors
showing growth
Regulatory:
Rapidly changing
building/zoning codes
Suppliers:
Unpredictable pricing
and supply
Competitive:
M&A - larger,
specialized competitors
Customer:
Risk resistant buyers
(fixed fee
projects/penalties)
Customer’s Customer
Demand for sustainable
buildings
Impacts
Economic:
Growing backlog
Larger projects
Regulatory:
Certification requirement
sustainable building
practices
Suppliers
Project delays
Lower project
profitability
Competitive:
Increasing lost bids
Declining margins (BMR)
Customer:
Increasing litigation, legal
costs & settlements
Increase in “rework”
Customer’s Customer
Increasing labour costs
Declining utilization
Emotional Messaging Framework

11. Traditional Project Approach
11
7 S t e p s t o A v o i d i n g P r o j e c t F a i l u r e
Functional
Challenges
Identified
Requirements
Defined
Vendor
Parade &
Selection
Implementation
Project
Impact

12. Source: Standish Group (2015)
Companies Less than $200 million in annual revenue
46%
35%
19% Canceled
The majority of technology projects fail!
Challenged
Successful
Time 202% Budget 214%Expected Benefits 74%
Project Success
7 S t e p s t o A v o i d i n g P r o j e c t F a i l u r e

13. 1. Lack of User Input
2. Incomplete Requirements
3. Changing Requirements
4. Lack of Executive Support
5. Technology Incompetence
6. Lack of Resources
7. Unrealistic Expectations
8. Unclear Objectives
9. Unrealistic Time Frames
10. New Technology
Reasons for Failure
Why Projects Fail
7 S t e p s t o A v o i d i n g P r o j e c t F a i l u r e

14. 1. Lack of User Input
2. Incomplete Requirements
3. Changing Requirements
4. Lack of Executive Support
5. Technology Incompetence
6. Lack of Resources
7. Unrealistic Expectations
8. Unclear Objectives
9. Unrealistic Time Frames
10. New Technology
Reasons for Failure
Why Projects Fail
7 S t e p s t o A v o i d i n g P r o j e c t F a i l u r e
Project Methodology
Eliminates

15. 1. Lack of User Input
2. Incomplete Requirements
3. Changing Requirements
4. Lack of Executive Support
5. Technology Incompetence
6. Lack of Resources
7. Unrealistic Expectations
8. Unclear Objectives
9. Unrealistic Time Frames
10. New Technology
Reasons for Failure
Why Projects Fail
7 S t e p s t o A v o i d i n g P r o j e c t F a i l u r e
Business Inputs
Project Methodology
Eliminates

16. Primary Change Drivers (Trigger Events)
7 S t e p s t o A v o i d i n g P r o j e c t F a i l u r e
Improve profitability
Accelerate growth (revenue)
Decrease costs
Reduce risk
Compliance
Control (Reporting and forecasting)
System obsolescence
Increase control

17. Economy
Regulatory Change
Suppliers
Competition
Customers
Behavior
Declining Revenue
Margin Pressure
Limited Differentiation
Industry Drivers &
Market Forces
Measurable Impacts
Industry Drivers & Market Forces
7 S t e p s t o A v o i d i n g P r o j e c t F a i l u r e
EXTERNAL pressures that FORCE organizations
to invest in new business systems!

18. Business Impact Assessment
7 S t e p s t o A v o i d i n g P r o j e c t F a i l u r e
Functional
Challenges
Identified
Requirements
Defined
Vendor
Parade &
Selection
Implementation
Project
Impact
BUSINESS
IMPACT
Executive
Commitment, Project
Priorities, Risks,
Success Criteria,
Business Case
Elements
Process/Project Challenges
Internal Objectives & Metrics
Business Value
External Drivers

19. 19

20. Industry
Drivers &
Market
Forces
Industry
Driver
Impacts
Project
Objectives
Challenges
& Barriers
Solution
Requirements
Business Case
Impact
What Drives Change
7 S t e p s t o A v o i d i n g P r o j e c t F a i l u r e