Why Software Projects Fail: Lack of Planning

Software projects most often fail because of one fundamental reason: we're all human. Poor planning, unclear goals, and unrealistic timelines are the most common culprits. The fix is building what we call "intentional flexibility" into your project from day one.

This is part of our series on the human factors behind software project failures. Check out the series overview and learn how lack of empathy can also lead to failure.

Why Do Software Projects Fail Due to Poor Planning?

We all know the old proverb about the best-laid plans. That's exactly why the first thing you need to do when planning a software project is build in what we're calling "intentional flexibility."

Think about the best stage presentations or performances you've seen. There's usually a feeling of control balanced by flexibility. The control makes the presentation feel smooth, confident, and polished. The flexibility creates spontaneity and allows for unexpected interactions with the audience.

The key to intentional flexibility is preparing so well that you can plan for spontaneous moments and surprises. The best presenters and performers practice, plan, and prepare more than anybody. But as part of that preparation, they build in moments or options for spontaneity to arise.

You want the same approach in your software project planning. Plan so well that you're ready to adjust to whatever problems come up.

The Project Management Institute has started calling organisations that have this type of flexibility the "gymnastic enterprise":

"These organisations and their project teams combine structure, form, and governance with the ability to flex and pivot wherever and whenever needed. But most of all, gymnastic enterprises focus on their people, knowing that organisational performance is a well-choreographed dance of individual performances." -- PMI 2021 Pulse of the Profession® survey

Here are three ways you can create intentional flexibility within your software project plans.

How Do You Set Achievable Goals With Realistic Timelines?

One of the biggest reasons software projects fail is because they run out of time. In PMI's 2021 survey, respondents estimated that just over half (55%) of their organisation's projects were delivered on time in the last 12 months.

When a project misses a deadline, it's often because of unclear or unrealistic expectations. Goals that are vague or too broad leave teams unsure of where they are and how to get there. Timelines driven by business needs often sacrifice good design principles and usability standards, sabotaging long-term success in favour of hitting a short-term deadline.

How to structure goals and timelines that actually work

• Set high project goals, then break those goals into smaller, achievable chunks. That helps teams feel excited to generate great ideas and empowered to execute on them.
• Involve team members in setting the timeline so they hold each other accountable for meeting deadlines.
• Build in some buffer for unforeseen circumstances. Always.

Who Should Be on Your Software Project Team?

It's not enough to throw a bunch of people at a software project. More is not always better. Plenty of projects fail because of too many cooks in the kitchen.

You need the right people with the right mix of skills, balanced and calibrated to the needs of the project. Assess their skill sets and align those skills to the right roles. Then empower them to make change happen.

When you empower people to use their strengths and their judgment, you help them get more enjoyment out of their work. That enjoyment is infectious and leads to an innovative mindset across the team.

How Do You Define Scope and Budget Before Work Begins?

Few things will get a team's budget cut faster than a failed project. Successful software projects have clear scopes and set budgets before any work begins.

This doesn't mean the scope and budget can't change. But if you leave either one open to interpretation without clear boundaries, you'll end up with a sprawling, expensive mess.

What does defining scope and budget actually look like?

• Be honest with management and your team about what you can and cannot do.
• Use historical data or previous experience as a guide when planning for known and unknown obstacles.
• Budget for three scenarios: best-case, worst-case, and somewhere in between.
• Give your project team the leeway to do their best work and account for mistakes or unforeseen challenges.

Clear communication (something we'll dive into in the next post) is key to making sure everybody understands the expectations and available resources. Try not to be too optimistic and promise too much with too little. Your bottom line will thank you later.

Need Help Planning Your Next Software Project?

As a consulting agency, we have to be experts in allocating the right resources to the right work at the right time. It's our lifeblood and the way that we create meaningful experiences for our clients and their customers.

For a look into one of our secrets, check out how we use Tetris for team building and efficiency.

If you'd like a more direct hand, drop us a line and let's talk about how we can build intentional flexibility into your next project.

FAQ

Why do most software projects fail? Most software projects fail because of poor planning, unclear goals, and unrealistic timelines. At the root of it all are human factors like overconfidence, miscommunication, and inadequate preparation.

What is "intentional flexibility" in software project planning? Intentional flexibility means planning so thoroughly that your team is ready to adapt when surprises happen. It's the balance between structure and the ability to pivot, without losing momentum or quality.

How do you set realistic timelines for a software project? Break large goals into smaller, achievable milestones. Involve team members in setting the timeline, and always build in buffer time for the unexpected. Timelines built purely around business pressure, without input from the delivery team, are the ones that tend to slip.

How many people should be on a software project team? There's no magic number. The right team size depends on the scope of the project. Focus on getting the right people with the right skills aligned to the right roles, rather than simply adding headcount.

What happens if scope and budget aren't defined upfront? Without a clearly defined scope and budget, projects tend to expand beyond their original intent, overspend, and ultimately fail to deliver value. Setting boundaries early, and communicating them clearly, is one of the most effective ways to protect a project's success.