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Dan Gardner on Why Most Projects Fail (and How to Get Them Right)

Dan Gardner on Why Most Projects Fail (and How to Get Them Right)

Big projects shape the future — of organizations, industries, cities, and even nations. Yet, we often fail spectacularly at designing and delivering them. If big projects are so important, why are we so bad at them?

This is the question that Dan Gardner, alongside his co-author Bent Flyvberg, sought to answer in their bestselling book, How Big Things Get Done, and what Dan answers in his in-demand keynote presentation, “Getting Big Things Done on Budget and on Time”.  Dan not only unpacks why we so often fail at executing big projects but also how we can be one of the few that triumph.

Why We Fail at Big Projects

How Big Things Get Done

The world’s largest database on major projects — tracking over 16,000 projects in more than 20 different project categories over the past 30 years — revealed that fewer than half of projects (47.9%) finish on budget. Fewer than one in ten (8.5%) are completed on budget and on time. And a nearly invisible 0.5% of all projects are completed on budget, on time, and with the expected benefits.

Worse, projects aren’t merely at risk of being a little off. Catastrophic failure is frighteningly common. Even home renovations can easily come in three or four times over budget. And the story is the same around the world.

One of the most famous examples of this is the Sydney Opera House. While today it’s one of the most recognizable landmarks around the world, its construction was far from celebrated. It took 14 years to complete and finished 1400% over budget. What made it even worse, its internal acoustics were so bad that it was unsuitable for opera — it’s original purpose.

The architect behind the opera house, Jørn Utzon, ended up leaving Australia in disgrace. He became the scapegoat of this political nightmare despite a number of other people and factors contributing to this project fail, including the spearheading politician starting the project two years before Jørn even came up with a plan to execute his vision. Jørn never saw his masterpiece with his own eyes and barely anyone knows he was the architect behind this famous building today.  

There are three main reasons projects fail so often, Dan says, all of which contributed to the failed execution of the Sydney Opera House:

  1. Politics: Quick wins and superficial plans often triumph over careful, long-term strategies.
  2. Culture: Political and business leaders often prioritize visible progress over thorough preparation.
  3. Psychology: Human tendency for optimism and overconfidence lead to underestimating risks and overestimating readiness.

The Key to Success: “Think Slow, Act Fast”

Failed projects, no matter their scale, follow a predictable pattern. They start with quick and superficial planning that ignores potential problems in place of action. But the problems you ignore don’t just go away, Dan says. They tend to surface at the most inopportune times often colliding and magnifying each other, bogging down the project in the long-term. With the Sydney Opera House, the politicians started the project without even consulting Jørn on what he may need to make his vision a reality.

“What starts as a sprint, turns into a long, slow death march,” Dan says.

Successful projects flip that script, embracing rigorous preparation to ensure smooth execution. I.e., think slow, act fast. The Guggenheim Museum in Bilbao, Spain is the perfect example of this. It is often hailed as one of the most successful projects in modern history. Designed by Frank Gehry, it was completed on time, slightly under budget, and delivered economic benefits beyond expectations.

How was this achieved? By adhering to the following four pillars of successful project execution:

1. Start with “Why”

Before breaking ground or taking action on a project, it’s essential to understand the purpose behind it. When Gehry was approached to design the Guggenheim, instead of jumping at the opportunity, he asked them why they wanted to pursue this project. That’s when he discovered that the goal behind the Guggenheim, wasn’t just to create an art museum; it was to save a struggling city by attracting global tourism. This changed everything.

Starting with “why” determines the true purpose behind a project, which optimizes the plan, inspires the team, and acts as a guiding “north star” when navigating complexities.

2. Maximize Experience

Jørn was a young, up-and-coming architect, Gehry was experienced. Experienced leaders have the battle scars, dependable teams, and strong industry and community relationships. They also lean on proven processes and technology to enhance their projects.

For example, the Empire State Building. It wasn’t the first building of its kind. It was an old design, built bigger. The architect made every floor as identical as possible so that as each floor was built, the team got better and better, accelerating its construction as they went along.

3. Find Your “Lego”

Building on the repetitiveness, Dan says to always ask yourself “what’s my Lego?” While most projects can’t be completely modular, you can think creatively in modular terms. As with the Empire State Building, what can we repeat and, as a result, up the learning curve to get better and better as we move forward.

4. Simulate and Iterate

Leaning on experience and modularity does not mean avoiding innovation, new tech, new design, a promising new project manager, Dan says. But it does require a trade off as it means you’re going back down the learning curve. You have to plan for this innovation-experience trade off in order to compensate for it.

There was no building like the Guggenheim until Gehry designed it. It is a product of innovative thinking. But before launching into action, he simulated it and created several iterations, evolving from sketches to crude models to detailed plans. Throughout these stages, he not only played with artistic ideas but function and cost as well, constantly consulting with the clients and engineers. So while the design was completely new, the process was a practiced one.

Gehry’s team embraced a proven cycle of sketching, modeling, testing, and refining, adapting new technology and ideas in the process to perfect their design in the planning stage. This iterative planning process ensured the final product was both groundbreaking and feasible before actioning it. That is the reason he could produce something new on budget and on time.

Why Dan Gardner’s Insights Matter

Sharing further examples of spectacular project fails and successes, Dan Gardner’s keynote doesn’t just diagnose the problems with big projects — it provides actionable strategies to overcome them. By “thinking slow and acting fast,” leaders can avoid the traps of failed projects and learn how to successfully transform their visions into reality.

For organizations facing new projects and initiatives, Dan offers a roadmap to success. Contact us to learn more about Dan and how his expertise can help your team tackle the biggest challenges with confidence and precision.