The first half of the book I found useful (even though there was barely anything new). I was hoping there are more tips and tricks as the authors are seasoned project managers from big company projects but it was general psychological information of variety of biases. I was hoping they will dig deeper into why projects fail. Their main idea is that projects are network of conversations and pretty much all is about the conversations. Megaprojects fail not for technical but for human reasons, ranging from mindset to ego to communication to politics and culture. They list some major human fallacies that systematically hamper all rational actors and how cognitive failures impact projects. There are 4 case studies in the book, where 2 have failed and 2 succeeded. The main takeaways for me are:
Megaprojects - to design and set a new project on the path to success, or turn around your existing project and steer it to success.
White box - visible factors of project performance. Black box - hidden performance factors.
You have to be aware of the contextual factors that can impact performance (these are factors we have no influence over).
Don’t be trapped by dogma, which is living with the results of other people’s thinking.
Typical project crash factors:
1. Poorly defined project scope.
2. Inadequate risk management.
3. Failure to identify key assumptions.
4. Project managers, who lack experience and training.
5. No use of formal methods and strategies.
6. Lack of effective communication at all levels.
7. Key staff leaving the project and/ or the company.
8. Poor management of expectations.
9. Ineffective leadership.
10. Lack of detailed documentation.
11. Failure to track requirements.
12. Failure to track progress.
13. Lack of detail in the project plans.
14. Inaccurate time and effort estimates.
15. Cultural differences in global projects.
All of these are influenced by people. Projects don’t fail or succeed - people do.
The shape of the project trajectory is the product of the interaction of 5 elements: governance (including competence, impact of stakeholders and political interest), robustness of the business case, how well defined the product or deliverable is, procurement philosophy and contracting models, technical and social complexity of the tasks during delivery. Unless you can see it, you can’t do anything about it.
Leadership plays a critical role in shaping the black box for mega projects and corporate change initiatives. Because we have a systematic bias toward people in authority - we expect them to set the tone and queues for our behaviours. People lower in the hierarchy tend to seek guidance and affirmation for their actions, take the path of least resistance (obey).
The black box at its core holds the 3Bs: beliefs (beliefs shape the actions that produce the outcomes even when the beliefs are wrong), biases, brilliance.
We don’t see things as they are, we see them as we are. Heuristics is mental shortcuts, automated mental patterns based on previous experience. If those shortcuts don’t work, its cognitive biases (error in seeing, discrepancies between reality and their perception of reality, which influences their reasoning and decision making). Because of optimism bias people underestimate the costs, completion times and risks of planned actions, in contrast they overestimate the benefits of the same actions (the planning fallacy). Confirmation bias - seeing, what we already know (human brain registers information and data that confirm its preexisting beliefs and tends to ignore any information that might go against those beliefs). Our perception of reality is systematically biased, our performance is constrained by our mental models, based on our database of past experiences. 90% of what we see is projected from our memory and only 10% is added by fresh input from our sensory organs.
The authors grouped the biases into 3 categories for easier understanding: I (self-oriented biases that act systematically upon us both inside and outside of a project), We (group and social biases that affect our collaborations, teams and organizations), It (decision-making biases that condition our ability to evaluate information, assess situations effectively, make high quality decisions and perform with cognitive flexibility, when circumstances change).
10 checks along the flight path:
1. From working in to working on the project (the bigger picture, birds eye view). Central to it is the practice of displaying your project flight path or at least key segments of it in front of you. This physical separation between you and the project, allows for collaborative conversations between all key parties involved in the various stages of the project lifecycle.
2. Separate the facts of the project’s flight path from any fiction (judgements, opinions, fixed beliefs, and limiting conclusions accurate or false held by key stakeholders and project delivery teams) that may be present. There is also on emotional component to the fiction - emotions like simmering resentments, repressed anger, unexpressed upsets, focus on the past - if left unchecked, they drag the past into the future and perpetuate it.
3. Psychological safety - safe atmosphere for people to tell the truth, express their concerns and reveal their fears without being censored or punished for speaking up. Leadership happens through conversation.
4. Revealing beliefs - turning around a project in deep trouble. Look into the project’s black box.
5. The research phase - from big data to deep data. The birds view allows you a greater view of the project, from this vantage point you can ask Why? What? How? questions to understand the machinery of beliefs and biases running in the darkness of the black boss.
6. Activate your sonar - applying the flight path approach and taking action with the knowledge gained. Think about the project from a new perspective (the new info).
7. Leverage brilliance through conversations. Brilliance lives in the quality and depth of the daily conversations on the project. Any project is a box of conversations (network of conversations - tasks, processes, commitments, agreements, plans, performance, reports, monitoring, failures are conversations).
8. Project’s success or failure lives in the network of conversations. Conversations are more than transfer of information or messaging between parties. Powerful conversations provide context and meaning, build relationships and stakeholder commitment, engage and energize individuals, teams and organizations, deepen trust and loyalty, inspire and provide the bigger picture, generate organization and task clarity, mobilize action, coordinate expectations and identify problems, foster innovation, generate solutions and reveal learnings.
9. Silence is not golden - stepping over tricky issues, turning a blind eye or simply avoiding them is sure way to build up risk in your project.
10. Integrity in action - Leadership reputation = bold promises made * frequency of keeping them The size of your leadership correlates with the size of your promises. You must be aware of explicit promises (those made verbally) and implicit promises (those, people expect from you as respectable professional). Ultimately, what is behind corporate scandals is broken promises.
If you can picture the context, shaping the project’s story from multiple perspectives, you can make any project work.