Maximizing

Project Success
Foreword
Project Management Institute's At PMI, we believe that assessing projects by meeting their triple con- is clear to key stakeholders while minimizing waste. In short, while
straints is no longer fully relevant in a world of hyper-competition, developing exceptional executional skills, project professionals
purpose, announced in January 2024 need to recognize that they will be associated with project success
unstable regulations and policies, and fast-paced innovation.
— We maximize project success to and not just with project management success because this is
We’ve gathered more than 10,000 project professionals across multi- what truly matters to stakeholders.
elevate our world — prompted the ple geographies and industries to complete a rigorous, 55-question ▶ Relentlessly reassess project parameters: The world does not
launch of the largest research study survey, the results of which were then supplemented with more than remain static during the life cycle of a project. There are inevitable
in our 55-year history. The objective 150 in-depth interviews. changes in consumer needs, competitive activity, stakeholders,
technologies, funding or even internal parameters. Project profes-
of this study is to revisit and The result of this work, “Maximizing Project Success,” is a call to see
sionals need to recognize this reality and, in collaboration with
that our profession is shifting its focus and accountability beyond proj-
challenge the traditional view of stakeholders, continuously reassess the perception of value and
ect management success, to project success. It represents a adjust plans.
project success that most of us have sweeping reconsideration of the role of our global project manage-
▶ Expand perspective: Ultimately the goal of this research and the
likely encountered. ment community.
call we are making to project professionals is to expand our per-
Among the major contributions of the report is a new, consensus view spective. All projects have impacts beyond just the scope of the
of the definition of project success. A successful project is one that project itself. We all must consider the broader picture and how the
delivers value that is worth the effort and expense. The implications for project fits within the larger business, goals or objectives of the
the project community are multiple, and it boils down to how we can enterprise, and, ultimately, our world.
Pierre Le Manh, PMP
ensure our profession delivers MORE:
President & CEO
“Maximizing Project Success” provides tangible advice and tools that
Project Management Institute ▶ Manage perceptions: Our new definition transcends the hard met-
project professionals can use to thrive in this new paradigm. It shares
rics. While they remain critical, they are not enough — perception
matters. For a project to be considered successful, the key stake- a new portfolio measurement approach, the Net Project Success
holders — customers, executives or others — must perceive that Score (NPSS), and it provides valuable insight into the drivers of proj-
the project's outputs provide sufficient value relative to the per- ect success.
ceived investment of resources.
I invite you to read and reflect on “Maximizing Project Success.” Then,
▶ Own project success beyond project management success: This join us in this movement to reshape the very nature of our discipline
implies that project professionals need to rethink their roles and
and deliver MORE, and earn even more recognition for the project
take ownership of the entire breadth of a project. They need to
profession.
move beyond literal mandates and executing on requirements, and
take accountability for delivering tangible and perceived value that

2
 Maximizing
Project Success
PMI Points of View
“The PMI project success research opens up an interesting debate: Who “Today, nearly half of the 17 United Nations Sustainable Development
should define the value that a project delivers? Goals (SDGs) are showing minimal or moderate progress, while more
than one-third are stalled or regressing. Humanity is facing true existen-
I see it as a 360-degree view, with all core stakeholders having a say, but
tial crises spanning geopolitical, environmental, social and technology
with the strongest voice coming from the customer side. This is a sharp
challenges. To actually move toward progress, we need to not just want
contrast from today, where internal stakeholders often determine suc-
change, we need to be part of the change. The project profession is crit-
cess based solely on whether the project meets predetermined metrics,
ical to making that shift happen.
like cost, budget and scope.
But for the project profession to be a catalyst, we need to inspire a
With our research, we encourage project professionals to step up and
sense of ownership and accountability in ensuring the greatest out-
‘own’ delivering project value. But do organizations create an environ-
comes that deliver value and impact. Successful project execution is key,
ment where project managers can be successful? Do we coach project
but project success requires value delivery to be at its core. This shift in
professionals in the language of the C-suite and actively expand their
prioritization helps to guide how our profession can be the best — and
business acumen?
we know when we deliver excellence, we create truly amazing
This research is an important first step toward taking a fresh look at proj- outcomes.
ect success. But there is still a great deal of work to do, for both project
As we continue to build a movement to maximize project success to ele-
professionals and their organizations.”
vate our world, we are reiterating a commitment to excellence in the
project profession. The profession must elevate its contributions and find
LENKA PINCOT, PMI-ACP, PMI-PBA, PMP
CHIEF OF STAFF TO THE CEO courage to not just raise flags, but to help guide resolution, solutions and
innovation in driving toward project success. Every project holds the
power to help create a better world, and every project professional has
the power to shift their mindset and lead projects with a lens on
elevating our world.”

MENAKA GOPINATH, CAPM

CHIEF MARKETING OFFICER

3
 Maximizing
Project Success
Contents
1. Introduction.......................................................................................................................................................................................................5

2. A Shared Definition of Project Success That Broadens Our Perspective.....................................................................8

A Definition That Considers Execution Metrics and Outcomes .......................................................................................................................9
A New, Practical Definition Of Project Success..........................................................................................................................................................9

3. Assessing Success With the Net Project Success Score.................................................................................................. 13

A Global Net Project Success Score.............................................................................................................................................................................14
A 360-Degree View: Reconciling Different Perspectives...................................................................................................................................16

4. Measurement is Key to Success..................................................................................................................................................... 19

Applying Three Categories of Measurement Can Increase Project Success..........................................................................................20
Including Risk Monitoring Can Increase Project Success..................................................................................................................................20

5. Performance Themes Are Categories of Measurement That Can Increase Your Project Success........... 21
The Top Predictors of Success Are All Outcome-Related Performance Themes.................................................................................22
Performance Themes Vary Depending on the Type of Project......................................................................................................................24

6. Performance Levers Help Identify Specific Activities to Increase Project Success............................................ 25

Having a Well-Established Performance Measurement System Matters Most......................................................................................26
Align Performance Themes and Performance Levers for Best Results .....................................................................................................26

7. Project Success Varies by Industry, Project Type and Funding Source...................................................................... 30

8. Maximizing Project Success Elevates Our Ability to Deliver Greater Value.............................................................. 34

9. Acknowledgments................................................................................................................................................................................... 36

10. Appendix: The Research Process.................................................................................................................................................. 38

10.1 Literature Review to Gather Existing Knowledge...........................................................................................................................................39
10.2 Qualitative Interviews Across a Diverse Network.........................................................................................................................................39
10.3 Global Survey to Gather Quantitative Data ....................................................................................................................................................40
10.4 Rigorous Data Analysis, Modeling and Review..............................................................................................................................................41
10.5 Performance Themes.................................................................................................................................................................................................41
10.6 Performance Levers....................................................................................................................................................................................................42
 1

Introduction
The world has never been more dependent on the
success of projects to enable and drive change.
Projects are needed to reap the benefits of generative
AI (GenAI), address the climate crisis, provide essential
infrastructure and mitigate inequality, and they are vital
to delivering long-term organizational value,
successful transformations and business results.

5
 1 Introduction

The centrality of projects is supported by research from McKinsey1 This research was undertaken against the current backdrop of trans-
that reveals we are in the midst of a five-year wave of global capital formation in the workplace and the profession — an apt time to
spending on physical assets through 2027, with a surge of roughly reexamine the changing landscape in which projects are conducted
US$130 trillion pouring into projects to decarbonize and renew critical along with the value they create. Amid this increasing complexity, proj-
infrastructure. ect professionals will need to elevate their role in producing successful
outcomes.
Yet, despite this urgent, existential need to produce successful out-
comes, an extensive literature review revealed that there is no current, Our focus on maximizing project success aims to provide insights to
shared definition of project success. With so much investment in proj- activate the critical conversations between executives and project
ects, and so much promise and potential tied to their successful professionals, as well as between project professionals and their cus-
delivery, a consensus definition of project success and how to mea- tomers in organizations, business and government that will empower
sure it is imperative for our modern era. This definition needs to reflect them to be more strategic and embrace responsibility for getting
not only project management (execution) success but must expand to things done. Becoming more customer-centric and delivering results
encompass accountability for outcomes and value delivery. This holis- that drive value will reinforce the power projects have to make a posi-
tic definition of project success — and an understanding of how to tive impact on our world.
measure and achieve it — is key to maximizing our ability to meet cur-
rent and future challenges.

Viewpoints that suggest high rates of project failure don’t tell the full
story, since projects vary and project success should be viewed on a
continuum rather than as a simple binary – pass or fail. Perceptions of
success may vary among stakeholders and evolve over time, reflecting
shifts in how they appraise progress, outcomes and the value pro- A consensus definition of project
duced by those outcomes. Critically, this lack of alignment on what success and how to measure it is
success means reduces the chances of achieving it. Project profes- imperative for our modern era. This
sionals must recognize that the path to value delivery is rarely linear
and extends beyond effective execution. Achieving project success
definition needs to reflect not only
requires us to continually reassess, pivot and optimize execution strat- project management (execution)
egies while actively managing stakeholder perceptions. success but must expand to
To understand what project success means to organizations today encompass accountability for value
and find a way to measure success that is accepted and easily under-
delivery (project success).
stood by all stakeholder groups that are typically involved in a project,
PMI initiated the largest research project of this type to date.

1 McKinsey & Company. (2022). Here comes the 21st century's first big investment wave: Is your capital
strategy ready? Retrieved November 11, 2024 from https://www.mckinsey.com/capabilities/operations/
our-insights/here-comes-the-21st-centurys-first-big-investment-wave-is-your-capital-strategy-ready

6
 This report:
5 De(nes project success in a aw y that encompasses a shared perspective among
a broad range of project stakeholders.
In formulating a new definition of project success,
5 Introduces a clear, universal method to measure project success. Research and we aspired to collect and analyze as much data as
Analytic Approach possible across many different reference points:
5 Explains the factors that influence project success in a a
w y that will
help practitioners and organizations lead their projects toward
delivering greater VALUE and higher rates of success over time.

01 02 03
5 Provides a measurement of the current rate of project
success globally, as e
w ll as yb industry and project type.

5 Discusses the bene(ts to project success of aiming — GATHER EXISTING KNOWLEDGE — EXPLORE FRESH PERSPECTIVES — CONDUCT GLOBAL SURVEY

toward a higher purpose. Expert input Qualitative in-depth Detailed assessment of

A review of the most significant interviews recently completed projects
literature on the subject of project A series of 90 interviews with project
5 Delivers insights to activate project success success over the past 50 years and a professionals, sponsors, PMO leaders,
Over 9,500 (nearly 10,000 based on usable
surveys) project professionals, stakeholders
for practitioners, executives and the series of interviews with experts to organization executives and intended and intended beneficiaries from around the
guide research design. beneficiaries to inform survey
project management profession. world and across industries participated in
questions and analytic plan. a 55+ question survey.
5 Ultimately guides our profession

04 05 06
and the stakeholders e w serve
to drive greater outcomes and
maximize project success
to elevate our o w rld. — RIGOROUS DATA ANALYSIS — DEVELOP KEY LEARNINGS — COLLECT FEEDBACK & REFINE

Modeling to determine key Development of a new Expert and practitioner review

predictors of success approach to understanding Included review by an insight team of SMEs
Data was analyzed with correlation/ project success (who also helped guide throughout) and a
Results were analyzed by project type, series of 50+ interviews with PMO leaders
factor analysis and driver modeling
industry, market, audience, etc., to and community members to gather
(linear regression) to determine the
develop a new perspective on what feedback.
relationship among levers, themes
and success. makes projects successful and
establish current baselines.

For a full discussion of how we arrived at this definition, refer to the section
on the research process in the Appendix at the end of this report.

7
 2

A Shared Definition of
Project Success That
Broadens Our Perspective
In this section, we examine how our research informed
the development of a new definition of project
success — one that focuses on value and integrates
both execution metrics and outcomes.

8
 2 A Shared Definition of Project Success That Broadens Our Perspective

A Definition That Considers Execution Metrics Figure 1 – Definition of Project Success

and Outcomes
Initial qualitative interviews with project professionals, sponsors, PMO Our new definition accounts for both execution and outcomes.
leaders, executives and intended beneficiaries showed that how project
success is measured can generally be divided into two broad categories: Project Success
(1) execution-focused metrics — on time, within scope and budget, for [proj-ekt suhk-ses]
example, and (2) outcome-focused metrics — customer satisfaction, The consensus view across intended beneficiaries, other stakeholders and
commercial success, impact on productivity, etc. In these conversations, project participants that a project was perceived to have:
participants organically raised the idea of value beyond just meeting
requirements. This exploratory research confirmed the opportunity to Delivered value that was
introduce and validate a definition that is inclusive of both execution and worth the effort and expense.
value — with a focus on value.

A New, Practical Definition Of Project Success

In considering possible definitions that reflected the emphasis on execu-
tion, outcomes and value, the insight team — 17 subject matter experts
(SMEs) who advised PMI throughout the research project (see
Acknowledgments for a list of insight team members) — leaned into the
Effort and
concept of “project that was worth the effort and expense.” Candidate Expense
definitions were drafted based on learnings from the comprehensive lit-
erature review and first round of qualitative interviews. These were Value
reviewed and finalized by the insight team (see Appendix 10.3 for a list of
criteria and candidate definitions).

A single universal definition (see Figure 1) that was most commonly

shared by large numbers of stakeholders across all common roles Candidate definitions were drafted by project experts within PMI using guidance from a comprehensive review of the past 50 years of academic literature

related to projects: Delivered value that was worth the effort and and 90 qualitative interviews with project professionals, intended beneficiaries and other project stakeholders. These were reviewed and finalized based on
feedback from a volunteer team of subject matter experts. A total of five candidate definitions were tested in the baseline survey and evaluated against a set
of predefined criteria to determine the superior definition (shown above).
expense.

9
 2 A Shared Definition of Project Success That Broadens Our Perspective

Projects that are executed well and deliver valuable outcomes are more
likely to be perceived as highly successful. As a proof point to ensure the Figure 2 – Rates of Perceived Success
selected definition made sense, survey respondents were asked to
specify which criteria their project delivered or was on track to produce:
Delivered on time and on budget, as
▶ Delivered on time and on budget 74% well as a valuable/useful outcome
▶ Delivered a valuable/useful outcome 69% Delivered a valuable/useful outcome

▶ Delivered on time, on budget and a valuable/useful outcome 64% Delivered on time and on budget

Survey respondents were then asked to rate the outcome of their proj-
ect on a scale ranging from 0 to 10, where 0 = complete failure and 10 =
complete success. Projects that delivered on both successful execution Projects that delivered on
execution AND outcome
and successful outcome had the highest perceived rate of success
achieved the highest rate of
overall (see Figure 2), averaged across all types of projects and perceived success.
participants.

We talk a lot about execution, and we have I would love to have the balance on both, This is a good way of tracking project success.
to talk a little bit more about outcomes but if I had to choose only one thing, I would We are not running a race here, like either first,
because that’s why we have a lot of different definitely choose the value over the cost. second, third. We are trying to achieve some value
opinions, a lot of confusion. People think that Because you can have a project perhaps that to the organization or to the client. In any project a
execution is success and in fact both things meets the time, meets the budget, but doesn’t customer has awarded you, even if you’re missing a
are success — execution and outcomes. deliver a value; therefore, what’s the point? deadline or taking additional budget, the important
RODRIGO C
PMO LEADER, PMI COMMUNITY, BRAZIL
JOEL P
PROGRAM MANAGER, US
thing is adding value by the end of it. So, it may not be
100% where we might have achieved their target, but
at least 80% of their expectations or 90%. I think this
is one very good way of tracking.
MANOHAR S
EXECUTIVE, PMI COMMUNITY, INDIA

10
 2 A Shared Definition of Project Success That Broadens Our Perspective

Value is Key
Project professionals who want to succeed given the current scale However, the perception of value can be measured and quantified,
of business challenges must be strong, knowledgeable partners providing a way to not only assess success but also to highlight
within the business. They use their business acumen to target, mea- alignment — or misalignment — among stakeholders. This can be
sure and track value creation, and their power skills to clearly done using tools like the Net Project Success Score (NPSS) (dis-
communicate progress toward success, helping each stakeholder cussed in Section 3). Then, following the principle of "you get what
understand how their intended value is being delivered by the proj- you measure," project professionals can collect and communicate
ect. In this way, meaningful outcomes can be delivered and well data that reflects the specific value they aim to deliver. This informa-
understood by each project stakeholder. tion can then be used to align the efforts of all stakeholders.

It’s not enough to direct our energy toward completing a project on This research demonstrates that measuring value in subjective and
time, on budget and within scope. While the iron triangle remains objective ways matters. It offers proof that measuring, aligning on
important and foundational for the project management discipline, and making decisions based on value delivery is key to project
practitioners have expanded their focus to include an understand- success.
ing of the holistic value a project can deliver beyond execution
While there was recognition that value may need to be traced
metrics. This approach emphasizes that true success often comes
through to the program or portfolio level, it was broadly agreed that
from the long-term outcomes the project generates, not just the
value needs to be understood even at the project level. Irrespective
immediate result. It also ensures all stakeholders are aligned in striv-
of the structures around the project, the project manager is twice
ing for this broader impact.
as likely to be seen as accountable for managing the realization of
While it is true that much of the value may be created after project benefits (24% vs. 11%) and two and a half times as likely for ensuring
close, a FOCUS on value means that project professionals are doing value-based delivery (29% vs. 11%), compared to other key project
everything in their power to ensure that the project vision comes to stakeholders. Project professionals must expand their perspective
life — not just meeting the specified requirements. and also feel accountable for value delivery and project success
holistically. These findings support that they not only own “project
"Value," much like "project success," is ultimately a subjective judg-
management success,” but “project success” in its entirety.
ment. It can take many forms — tangible or intangible, intrinsic or
extrinsic, ethical, emotional or political. It can shift over time. Value
can be focused or spread across numerous factors and can vary
greatly depending on the industry, project type and the roles of dif-
ferent stakeholders. Even when all stakeholders agree on what
constitutes value, its importance may weigh differently for each indi-
vidual involved.

11
 2 A Shared Definition of Project Success That Broadens Our Perspective

Insights to Activate Project Success

Our new definition — delivered value that was worth the effort and expense — reflects broad
agreement that project professionals can and should be responsible for the success of the proj-
ect, even beyond completion by expanding their perspective to take accountability and
ownership for outcomes.

The Project
Project
Executives Management
Professionals
Profession
The focus on VALUE implies Setting the project up for Meeting this new set of
a mindset shift for practi- success beyond the specifi- expectations could be
tioners to being responsible cations is a higher level of transformative for the
for project success, not just expectation executives profession.
project management should adopt, while consid-
success. ering the project manager
more of a business partner
and less of an administrator.

12
 3

Assessing Success
With the Net Project
Success Score
In this section, we discuss a global baseline metric
using the Net Project Success Score (NPSS), and how
a 360-degree view when evaluating project success
helps project professionals expand their perspective
about value and supports a more customer-centric
approach by including different stakeholders.

13
 3 Assessing Success With the Net Project Success Score

When evaluating success, it’s important to consider a continuum of potential

success and compare performance at both ends of the spectrum. Once a Figure 3 – Success is not binary — it is a continuum
shared definition of success was validated, input from additional qualitative
interviews furnished the basis for proposing a new approach for tracking and When evaluating success, it’s important to consider the full spectrum of potential success and compare
performance at both ends of the spectrum using a Net Project Success Score.
measuring project success: the NPSS.

A Global Net Project Success Score

26% Percentage of
Applying the new definition of project success, survey respondents were 24% Successful Projects
asked: “To what extent would you say this project delivered value that was 23%

47.8%
To what extent would you say this project
worth the effort and expense?” Respondents from 19 countries around the
delivered value that was worth the effort
world were asked to provide an answer based on the most recently com- and expense?
pleted project they managed, participated in or oversaw. Success was rated Rated on a scale from strongly
on a scale ranging from 0 to 10, with 0 representing strongly disagree and 10 agree (10) to strongly disagree (0). 14%
Ratings are shown across all
representing strongly agree. Twelve percent (12%) of respondents said their
completed projects and roles. Global Net Project
project had been a failure (0–6), whereas 40% of projects were rated as pro- Success Score
ducing a mixed result (7–8), and 48% were rated successful (9–10). To
calculate the Global NPSS, we took the 48% of projects rated as successful
and subtracted the 12% rated a failure, for an overall NPSS score of 36 (see 3%
6%
36
48% Rating Successful
Figure 3). 1%
<1% <1% <1% <1% – 12% Rating Failure = 36

The new success definition and the concept of applying NPSS to assess it 0 1 2 3 4 5 6 7 8 9 10
was well received by project management office (PMO) leaders and the PMI
community during pretesting. Response to the NPSS during the second round 12% of projects rated 40% rated 48% rated
FAILURE MIXED RESULT SUCCESSFUL
of post-survey interviews with over 50 project professionals and PMO leaders
was generally positive and confirmed the finding that NPSS is credible and
useful. Interviewees felt that it was easy enough to understand the calcula- Success was evaluated on a 0-10 scale based on input from qualitative interviews that should be measured on a continuum rather than a binary pass/fail.
Survey question: To what extent would you say this project delivered value that was worth the effort and expense?
tion, credible, and seen to be something that could be easily adopted within Base size: Total n = 5,751.

organizations to assess their portfolio of projects.

Expressing a degree of success versus giving a project a thumbs up or down,

The Net Project Success Score of 36…it humbly echoes my
offers appreciably more actionable information than a binary view. Scores by
personal records. It is what it is. But when I reflect, I always
project can be compared, and project type averages within a portfolio and
think (more) would be highly successful. This shows me I
the distribution along a curve can all yield areas of opportunity.
have opportunity for continuous improvement.
MING
PMO LEADER/PORTFOLIO MANAGER, PMI COMMUNITY, CANADA

14
 3 Assessing Success With the Net Project Success Score

What You Can Do Now

This major research on project success helped us understand The research measures and approaches used were appropri-
the distributed, global rate of project success and insights ate and helpful for global measurement. However, their local
that could help us increase it — all based on our new shared applicability is still unknown. We have begun testing how
definition. these principles and measures should be applied within orga-
nizations — at the portfolio, program and project levels. But
This research offers practical learnings that can be applied
these are early days and providing guidance here will take
immediately:
time. As we work through this testing process, the global dis-
▶ An understanding of how success is defined and mea- cussion about project success will continue. PMI looks
sured on a global scale, providing a way to talk about what
forward to hearing about your experiences and thoughts that
success looks like from all angles.
might offer us new ways to think about local measurement.
▶ Two major, actionable findings that any project and/or
organization could benefit from: implementing key metrics
and embracing social impact.
▶ Directional guidance by industry, project type and funding
source, offering candidate categories of measurement and
performance levers that are predictive of project success.

Beyond that, the research has offered us insight into how our
profession is evolving and ways to lean into the change.
Project professionals should understand that:
▶ Value, even beyond project completion, should be the pri-
mary focus, paired with solid execution.
▶ They must manage the perceptions of multiple project
stakeholders, including executives and customers.
▶ They must be accountable for and own all the above, ele-
vating the work they do and their value to the business.

15
 3 Assessing Success With the Net Project Success Score

A 360-Degree View: Reconciling Different Figure 4 – A 360°-View of Project Success

Perspectives
Any determination of success is perceptual; evaluation of whether a proj- Intended beneficiaries should get twice the share of influence compared to other roles, highlighting importance of
customer-centricity.
ect has delivered value that was worth the effort and expense may be
perceived differently by different audiences. It is possible it may increase
or decrease over time. These differing perspectives are reconciled by
development of a 360-degree view (see Figure 4) that is monitored
How much did the perspective of each of the
throughout the project life cycle. When asked whose perspectives con- following contribute to the final determination
tribute to the determination of success, survey respondents indicated that of whether the project was successful?
intended beneficiaries of the project should get twice the share of influ- Among the most recently 29%
ence compared to other roles, highlighting the importance of completed project for which they
participated, provided oversight or
customer-centricity. These findings align well with the common business
was an intended beneficiary. 20%
goal of customer-centricity. The research also shows that stakeholders of
17% 17%
all types value the opinions of executives. For the project professional, 14%
adopting this view of the importance of different stakeholder perspectives How to read 12% 12%
can bring them more in line with the business. Among projects with a
program manager, 12% of
the influence in building a
When this perception is given a consistent and agreed-upon structure, it consensus view of
perceived success was
can be a powerful tool of measurement to prompt critical conversations, attributed to the program
leading to a deeper understanding of why these judgments are what they manager’s perspective.
Program Portfolio Project PMO Project Organization Internal End
Manager Manager Manager Leader Sponsor Executive User/Customer
are. For example, if you know an executive is judging a project much more and Citizen/
harshly than other stakeholder groups, you are much more likely to have Consumer
the tough conversation needed to understand and address important
viewpoints. If you talk about project success in an inconsistent way, Note: Not every role participates in every project, which is why share of influence in the chart sums to >100%

depending on the stakeholder you are talking to, it’s harder to identify mis- Survey question: At various points in time there will be a general consensus on whether or not the project was successful. Base sizes: Projects with project managers n = 2,092; projects with program managers n = 1,457;
How much did the perspective of each of the following types of people contribute to the final determination of whether the projects with business sponsors n = 1,166; projects with portfolio managers n = 957; projects with PMO
alignments in perspective. project was successful? leaders n = 1,772; projects with executives n = 1,501; projects with intended beneficiaries n = 5,751.

16
 3 Assessing Success With the Net Project Success Score

“I love The Lord of the Rings partly because I For example, if poor knowledge sharing delays
see it as a mega-complex project. But what progress or causes rework, the outcome is com-
does success look like for this team? The ulti- promised. Similarly, if the team fails to foster
mate measure is destroying the One Ring by expertise through learning and development or if
casting it into the fires of Mount Doom. fear stifles the flow of information, even a suc-
Presumably, society and stakeholders care less cessful result will reflect inefficiency and
about cost, and the schedule is simply "before underperformance.
evil reigns." Any debate about whether the LOTR
Ultimately, success criteria are crucial. Long-term
team achieved success would be trivial — they
project excellence requires us to measure more
saved their world.
than just the final outcome. We need to consider
This reflects the nature of projects defined by factors like quality, operational efficiency, long-
essential purpose, mission and societal benefit. term value, stakeholder satisfaction,
In such cases, success extends beyond cost knowledge creation and team performance to
and schedule. When a project requires cut- ensure the highest standards are met. Without
ting-edge innovation or serves a broader these, even a technically successful project risks
societal purpose, it’s appropriate to evaluate falling short of its potential.”
success on a scale that emphasizes quality out-
comes over other metrics. ED HOFFMAN, Ph.D.
PMI KNOWLEDGE STRATEGIST, LECTURER,
INFORMATION & KNOWLEDGE STRATEGY (IKNS),

However, measurement and success criteria COLUMBIA UNIVERSITY; FORMER CHIEF KNOWLEDGE
OFFICER, NASA

always matter — you get what you measure.

Every project must meet professional standards,
which often include intangible factors like
effective leadership, collaboration and access to
knowledge.

©Marko Manev
17
 3 Assessing Success With the Net Project Success Score

Insights to Activate Project Success

Project success can be measured based on perception through NPSS. Success should be
judged on a continuum. It is not binary. Throughout the project, it will be necessary to manage
stakeholder perceptions and continually assess parameters in response to changing conditions.

The Project
Project
Executives Management
Professionals
Profession
A 360-degree view is useful This exercise, repeated over Taking these measures can
to identify misalignments time, can shine a light on mis- help project professionals
across stakeholders and alignments and prompt more deeply understand
prompt corrective conversa- conversations leading to correc- and manage the path to
tions, broadening project tive actions at both the project value.
professionals’ perspectives and portfolio levels. These mea-
about how their projects are surements can be used to:
aligned with organizational ▶ Identify areas of strength and
goals, key stakeholder weakness across a portfolio by
expectations and, the most project type and prompt
important, the project changes to important
processes.
beneficiary.
▶ Understand the distribution of
projects along the continuum.
▶ Link project progress more
clearly to larger business strat-
egy and enterprise priorities.

18
 4

Measurement is
Key to Success
Armed with the new definition of success and the
awareness that project professionals will need to take
steps to raise NPSS, what is next? Measurement.

19
 4 Measurement is Key to Success

Applying Three Categories of Including Risk Monitoring Can Insights to Activate Project Success
Measurement Can Increase Increase Project Success
Project Success Projects with a measurement system in place
Projects that define success criteria upfront and put a well-established performance measure-
ment system to align and guide decisions in place, and track performance throughout the
The research identified three aspects of mea- often included risk monitoring as part of their
project life cycle have success rates that are nearly two times higher than those that do not.
surement that, when combined and put in place, practice. This research showed including a mea-
Including risk monitoring can further increase success rates.
can help project professionals achieve greater surement system improves NPSS. When the
success rates. above three measurement criteria are in place
and risk monitoring is an added component of The Project
▶ Define success criteria upfront: Eighty-four
the measuring system, NPSS increases from 49 Project
percent of projects defined success criteria Executives Management
Professionals
upfront; those that did achieved an NPSS of 41 to 53. On average, 81% of projects have risk mon- Profession
compared to a score of only 20 if success cri- itoring in place and have an NPSS of 41, whereas
Must apply POWER SKILLS Should include project man- Must provide support and
teria were not defined upfront. 19% of projects do not have risk monitoring in
up front to align all stake- agers in conversations development for a more
▶ Have a well-established measurement sys- place and have an NPSS of only 14. Just 33% of holders on a common set of where goals are set and business-aligned view of
tem to align and guide decisions: Eighty-one projects practice all four components of success criteria and keep collaboratively define met- project work, including
percent of projects have a well-established measurement. them aligned throughout rics and success criteria, so alignment with an organiza-
measurement system to align and guide deci- the project. They must have project managers can man- tion’s strategic objectives
Projects without an established measurement
sions; those that did achieved an NPSS of 43 the BUSINESS ACUMEN to age perceptions of success and how outcomes will drive
compared to a score of only 6 if no measure- system in place are more likely to face a variety of
select the metrics and sys- and value across all stake- impact.
ment system was in place. challenges such as unrealistic time forecasting,
tems of measurement that holder groups.
insufficient planning or incorrect assumptions or
▶ Measure performance along the way: Fifty- support the success criteria
three percent of projects measured understanding of conditions. These and other and show progress toward
performance along the way; those that did factors all establish barriers to success. value delivery.
achieved an NPSS of 40 compared to a score
of 36 if performance was not measured along
the way.

Key evidence this study revealed is that just over

one-third (37%) of projects do all three of these
things; doing all three achieved an NPSS of 49
compared to only 27 if any one of these aspects
of measurement were not present.

20
 5

Performance Themes Are

Categories of Measurement
That Can Increase Your
Project Success
In this section we explore what is important to track and measure. In this
study, performance themes are general categories of measurement
criteria that are useful to consider when defining what success looks like
upfront and setting up a measurement system for a specific project.
Themes cover both execution-oriented categories such as on budget,
on time and within scope; and outcome-oriented categories such as
met defined requirements, level of quality or customer satisfaction.

21
 5 Performance Themes Are Categories of Measurement That Can Increase Your Project Success

The Top Predictors of Success Are All Figure 5 – Top Performance Themes with Their Scores “I think that the fact that sustainability
Outcome-Related Performance Themes and social impact appear to carry such
As part of our research, PMI created a list of performance themes Top performance themes with their scores* are: weight in projects is very important to
derived from a variety of sources, including the literature review, our profession and for the world. Think
qualitative interviews and the quantitative survey of the global about the contribution of projects to
257
project base (see Appendix 10.3 for details). The list was reviewed alleviating climate change or global
and finalized by our insight team. Survey participants were asked: 217 214 poverty, for example!
"Which of the following criteria did the project deliver on or is the 177 We asked which SDG [global goals for
project on track to produce?" Results were analyzed through key peace and prosperity for people and
driver modeling to determine which of the performance themes 142 136
the planet] the project was aligned with.
had the strongest relationship with project success (see Appendix These vary a bit from one to the next,
10.4 for details). These performance themes can be used to help but the real message is that alignment
identify the types of specific measures that are likely to increase with social good contributes to project
the success rate of a project. success.
The top predictors of success are all outcome-related perfor- Having some genuine alignment — not
mance themes (see Figure 5). No execution themes made it into Sustainability and Level Met defined Customer Employee Safety
fake (e.g., greenwashing) — with social
social impact of quality requirements satisfaction experience
the top set of performance themes, underscoring the importance good can also give each project more
of focusing on outcomes. The 21 performance themes we tested purpose — increasing its chances for
were indexed according to their power to predict achieving the *Note: Of the 21 performance themes tested, these emerged as the most predictive of achieving the perception that a project was successful. The
highest score was 257, the lowest was 8; the average score was 100. success, especially from the point of
perception that a project delivered value that was worth the effort view of end-users and other societal
and expense, with a score of 100 being the average (the high was groups of stakeholders.”
257 and the low was 8). (Refer to Appendix 10.5 for a full list of per-
formance themes and performance levers.)
LAVAGNON IKA
Significantly, the highest-ranking performance theme — the one PROFESSOR OF PROJECT MANAGEMENT,
UNIVERSITY OF OTTAWA

most predictive of achieving the perception that a project deliv-

ered value worth the effort and expense — was sustainability and
social impact. Projects aligned with social good — evaluated in the
survey by asking about the project’s alignment with the general
categories associated with the United Nations Sustainable
Development Goals (SDGs) — had higher average NPSS scores
than projects with no social good alignment (see Figure 6).

22
 5 Performance Themes Are Categories of Measurement That Can Increase Your Project Success

Figure 6 – Projects that Align with Social Impact Have Higher Perceived Success Rates

Aiming higher when defining a project's intended benefits by connecting one or more to a broader societal benefit improves the chances for success.

NPSS of projects identified with benefits that contribute to a social good versus those that do not
Net Project Success Score (% rating successful - % rating failure)

61
55 54 53 53 52 52 51 50 50 49 48 47 47 46 46 45
36
Global
NPSS 23

Climate Sustainability of Reduced Affordability/ Responsible Preserved and Protected, Water or Gender Industry, Fostered Peaceful and Building a Fair Health and Reduced Reduced Improved Did Not
Change Communities Hunger availability Consumption Protected the Restored and Sanitation Equality Innovation and Economic Sustainable and Open Well-being Inequality Poverty Education Contribute to
of Energy And Production Oceans, Seas Promoted Infrastructure Growth and Societies Universal Social Benefit
and Marine Sustainable Provided Jobs Rules-based
Resources Use of and Equitable
Terrestrial Trading System
Ecosystems

Survey question: What, if any, of these social goods were a benefit of the project? United Nations Sustainable Development Goals icons. The content of this publication has not been approved by
Base sizes: Some degree of social benefit n ≥ 304; Did not contribute to social benefit n = 986. the United Nations and does not reflect the views of the United Nations or its officials or Member States.

23
 5 Performance Themes Are Categories of Measurement That Can Increase Your Project Success

Performance Themes Vary Depending on the

Type of Project
The preceding rankings are for projects globally, but further analysis of
the data showed that the most impactful performance themes vary
depending on the type of project. For instance, intended benefits is the
top performance theme for physical infrastructure projects, while level of
quality is the top theme in the software development realm. Also,
although execution-oriented themes were less predictive of success
overall, some are still highly influential for specific types of projects.

On IT implementation and upgrade projects, for example, the execu-

tion-oriented performance theme that was most predictive of achieving
the perception that a project delivered value that was worth the effort
and expense was on time. For functional line of business (LOB) projects,
such as marketing or finance projects, within scope was the top
execution-oriented performance theme.

Insights to Activate Project Success

Outcome-oriented measurement themes are more predictive of success than those that are
execution oriented.

The Project
Project
Executives Management
Professionals
Profession
Changes in execution Projects whose main mea- Conversations with execu-
details can be framed as sures are outcome oriented, tives can be more about
impact on outcomes versus while still tracking execution, value delivery.
impact on outputs. will be more likely to suc-
ceed because progress
toward value will be better
understood.

24
 6

Performance Levers Help

Identify Specific Activities
to Increase Project Success
In this section we discuss another critical element of
project success — performance levers. Performance
levers are the types of activities to do, capabilities to
prioritize, or conditions to foster that may improve the
chances of project success.

Note: These are not necessarily the specific actions to

take but general categories of actions to consider.

25
 6 Performance Levers Help Identify Specific Activities to Increase Project Success

Having a Well-Established Performance Figure 7 – Top Performance Levers and Their Scores
Measurement System Matters Most
PMI created and validated a list of performance levers using a creation Top performance levers with their scores* are:
and validation process similar to that used to create the list of perfor-
mance themes. Performance levers were indexed according to their 385
predictive power on achieving project success (see Figure 7) with a
score of 100 being the average of 65 levers tested (the high was 385
and the low was 1).

A well-established performance measurement system to align and guide

decisions matters most, but other performance levers can also positively
impact success rates.
236 227 217 216
191
Align Performance Themes and Performance
Levers for Best Results
To apply performance themes and performance levers most effectively,
project professionals should prioritize the top levers most closely associ-
ated with the performance themes selected for their project.

For example, considering a project that has sustainability and social

impact as its top performance theme, some performance levers that
Measurement Caring for Team Adequate Funding Effective Resource Minimum Start-up Sound
align well are adequate funding of the project to completion, all team System Morale to Completion Management Difficulties Business Case
members feel a shared responsibility for outcomes and practices to
ensure intended project benefits are identified, measured and realized. *Note: Of the 65 performance levers tested, these emerged as the most predictive of achieving the perception that a project was successful.
The highest score was 385, the lowest was 1; the average score was 100.

We will explore the associations between performance themes and per-

formance levers further in future reports derived from this research.

26
 6 Performance Levers Help Identify Specific Activities to Increase Project Success

Social Impact and Sustainability: Connecting Customer Satisfaction

to Project Success
Projects that prioritize social good are more likely to If organizations were to improve project alignment
achieve customer satisfaction, a key factor in how with social good, that could also positively impact
project success is perceived (for more on the customer satisfaction, which currently is a top per-
importance of customer perception in project suc- formance theme overall.
cess, see Section 3.2). In fact, 55% of projects
In essence, aligning projects with sustainability and
aligned with these values deliver on customer sat-
social impact not only enhances customer satis-
isfaction compared to just 33% for those that don’t
faction but significantly bolsters overall perceptions
(see Figure 8).
of success, reinforcing the importance of integrat-
Customer satisfaction, as an independent perfor- ing these themes from the start.
mance theme, is also a critical influence on NPSS. It
ranks as the fourth most predictive theme for
determining project success. In alignment with the
findings above, failing to deliver on sustainability or
social impact has a pronounced negative effect on
customer perception. Projects that don’t meet this
expectation average an NPSS of only 21, compared
to 53 for those that either deliver or are on track to
deliver on these themes (see Figure 9). This sharp
contrast underscores the powerful role sustainabil-
ity and social impact play in shaping the customer's
perception of success more so than other
stakeholders.

27
 6 Performance Levers Help Identify Specific Activities to Increase Project Success

Figure 8 – Projects Aligned with Social Impact Are More

Likely to Deliver on Customer Satisfaction Figure 9 – Sustainability/Social Impact Highly Influences Customer Perceptions of Success

Projects that do are more likely to deliver on customer satisfaction Everyone tends to rate projects that deliver on sustainability/social impact as more successful,
— a critical factor in determining if a project is seen as successful. but when they don't, customers are the ones who rate projects as less successful.

% of Projects Delivering Customer Satisfaction NPSS by Audience Type and Delivery on Sustainability/Social Impact

55% 55
36 50
Global 15 points below average
Among projects where
NPSS
21 36
SUSTAINABILITY/ 33%
SOCIAL IMPACT was
considered a RELEVANT Among projects where Intended Project Participants Intended Project Participants
performance theme IT WAS NOT Beneficiaries and Stakeholders Beneficiaries and Stakeholders

Delivered/On Track to Deliver Sustainability/Social Impact Did Not Deliver Sustainability/Social Impact

Why it matters
Sustainability/social impact's ability to increase customer
satisfaction matters because customer satisfaction is the
fourth most predictive performance theme of whether a
project is considered successful.

Survey questions: Which of the following evaluation criteria are relevant to the project?; Which of the following criteria did the project Survey question: Which of the following criteria did the project deliver on or is the project on track to produce?
deliver on or is the project on track to produce? Base sizes: Intended beneficiaries of projects that did not deliver n = 1,361; participants and stakeholders of projects that did not deliver n = 3,059;
Base sizes: Projects where sustainability/social impact was relevant n = 1,409; projects where it was not n = 4,342. Intended beneficiaries of projects that delivered/on track n = 461; participants and stakeholders of projects that delivered/on track n = 870.

28
 6 Performance Levers Help Identify Specific Activities to Increase Project Success

Insights to Activate Project Success

Projects that prioritize sustainability and social impact are significantly more likely to achieve
customer satisfaction, a key factor in how project success is perceived.

The Project
Project
Executives Management
Professionals
Profession
Understanding how each Making the connection between This is an opportunity to be
project connects to social specific corporate social a key player in delivering
good when outlining project responsibility (CSR) efforts and greater value through the
scope and effectively com- customer satisfaction could power of projects, big and
municating that message help executives choose projects small, to elevate our world.
can help enhance value that are most likely to deliver
delivery, project visibility and higher customer value
impact. Connecting project perception.
work to a higher good can
be inspiring to the team and
positively affect customer
satisfaction.

29
 7

Project Success Varies

by Industry, Project Type
and Funding Source
In this section we discuss how project success varies
by industry, project type and funding source and how
these nuances are relevant to consider in your
organization and your projects.

30
 7 Project Success Varies by Industry, Project Type and Funding Source

Survey participants were asked to identify their organiza- Consulting projects often deal with intangible goals, such
tion’s industry or primary line of business, as well as as strategic advice or process improvements, making it “In architecture and construction projects, outcomes are typically
specify project type and funding source for the most difficult to set clear, measurable outcomes. Success crite- more predictable because they are tangible. Our research highlights
recently completed project they managed, participated in ria can be subjective, leading to client dissatisfaction if performance themes in construction projects, including intended
or oversaw. Analyzing these survey responses revealed expectations aren’t managed effectively. McKinsey3 found benefits, customer satisfaction and quality. Therefore, if we build
NPSS variance by industry, project type and funding that 70% of transformation programs (often led by consul- what was planned, meet quality standards and satisfy the cus-
source (see Figure 10). tants) fail to achieve their goals, largely due to issues with tomer, the project is often considered a success.
organizational adoption and change management, which In the consulting industry, this research showed that one of the
Projects in the industrial, construction, healthcare and
consultants often oversee. most common performance themes measured is meet defined
finance industries all achieved an average NPSS above the
global baseline of 36. Among all industries, average NPSS Consulting projects also require a high degree of collabo- requirements. However, focusing on these predefined requirements
for projects in the consulting and government sectors ration and active participation from the client organization. may result in outputs that don't fully align with the project's intent.
offered the most opportunity for improvement. Client resistance to change or limited engagement can In government projects, significant effort is often made to detail
impede project success. requirements upfront, particularly since many projects involve
According to the PMI Pulse of the Profession® 2018:
Success in Disruptive Times report2, government projects By project type, physical infrastructure, IT implementation acquisitions from third parties. However, focusing on the project's
often face significant challenges, with only 64% of strate- and upgrade, and software product development output can comprise optimizing value or achieving the desired
gic initiatives meeting their goals and business intent, achieved above average scores, whereas functional line of outcome.
resulting in a substantial waste of funds, estimated at business projects had lower than average NPSS. Focusing The NPSS measured in this research heavily depends on the cus-
US$101 million for every US$1 billion spent on government on funding source, projects that received external funding tomer's perspective. There are no simple answers, but in the
projects and programs, highlighting the need for improved from banks or for-profit investors, nonprofit/nongovern- industrial, construction, healthcare and financial sectors meeting
project management practices within government entities. mental organizations (NGOs) and those that received customer expectations may be more achievable due to the gener-
external funding from a client or investor achieved above ally more predictable requirements. And it can lead to a higher
The intricacies of project resource acquisition and the
average NPSS; publicly funded projects had lower than perception of success from the customer's point of view.”
constraints of bureaucracy — government projects oper-
average NPSS.
ate under stringent regulations and oversight and must
follow complex procurement, compliance and transpar- We will explore project success at the industry, project PRISCILA VENDRAMINI MEZZENA
ency rules — can add layers of complexity, slowing down type and funding source levels further in future reports PROJECT MANAGER

project progress and making it harder to pivot or adapt as derived from this research.
needed.

2 Project Management Institute. (2018). Pulse of the profession 2018: Success in disruptive times.
Retrieved 15 November 2024 from https://www.pmi.org/learning/thought-leadership/pulse/pulse-of-the-profession-2018
3 McKinsey & Company. (n.d.). Common pitfalls in transformations: A conversation with Jon Garcia.
Retrieved 15 November 2024 from https://www.mckinsey.com/capabilities/transformation/our-insights/common-pitfalls-in-transformations-a-conversation-with-jon-garcia

31
 7 Project Success Varies by Industry, Project Type and Funding Source

Figure 10 – NPSS by Industry, Project Type and Funding Source

Publicly funded, functional line of business (LOB) and consulting (industry) projects Net Project Success Score (NPSS)
present substantial opportunities to improve success rates. % Failure % Mixed % Success

By Industry 36 Global NPSS By Project Type* 36 Global NPSS By Funding Source 36 Global NPSS
(n ≥ 145) (n ≥ 709) (n ≥ 62)

NPSS NPSS NPSS

Industrials Physical External Funding from Bank

9% 35% 56% 47 10% 38% 52% 42 9% 34% 57% 48
Infrastructure or For-profit Investors

Construction 5% 44% 51% 46 Nonprofit/

IT Implementation
10% 39% 51% 41 Nongovernmental 17% 20% 63% 46
and Upgrade Projects
Organization (NGO)
Healthcare 10% 38% 52% 42
Software Product External Funding from
10% 38% 52% 41 9% 41% 49% 40
Development Projects a Client or Customer
Finance 11% 38% 51% 40

Non-software Product Internal Budget (from

IT 12% 41% 47% 35 11% 40% 49% 38 10% 42% 47% 37
Development Projects within your organization)

Consumer Discretionary
and Staples 13% 44% 43% 30 Functional Line of 14% Domestic 14%
47% 38% 24 43% 43% 29
Business (LOB) Project Government

Energy and Utilities 14% 44% 42% 29

International Institution 18%
or Foreign Government
44% 39% 21
Communication Services 13% 46% 41% 29

Government 21% 41% 38% 17

Consulting 20% 49% 31% 11

Survey questions: What is your organization's industry or primary line of business? Thinking about the most recently *Excludes citizens/consumers, who were shown a different list of project types.
completed project you managed, participated in or oversaw, what type of project was it? What was the primary source of Base sizes: Industry n ≥ 145; project type n ≥ 709; project funding n ≥ 62.
funding for this project? To what extent would you say this project delivered value that was worth the effort and expense?

32
 7 Project Success Varies by Industry, Project Type and Funding Source

Insights to Activate Project Success

Net Project Success Score (NPSS) allows us to see differences in success rates across indus-
tries, project types and funding sources.

The Project
Project
Executives Management
Professionals
Profession
Practitioners can consider Global NPSS results for your NPSS at the industry level
industry and project type industry, project type and/or can help identify opportuni-
scoring to better understand funding source can be used to ties to provide support,
success drivers when identify opportunities — to prioritizing low-scoring
preparing for their next reallocate resources or redefine industries to improve their
project. strategy, for example — across outcomes.
your project portfolio by
enabling comparison within
specific categories of projects.

33
 8

Maximizing Project Success

Elevates Our Ability to Deliver
Greater Value
Why did PMI engage with the project management
community to undertake this research? Our purpose is
to maximize project success to elevate our world. To
enable this goal, PMI is committed to providing the
knowledge and resources to help project
professionals and organizations drive successful
implementation of critical projects.

34
 8 Maximizing Project Success Elevates Our Ability to Deliver Greater Value

We undertook this year-long look into project success to help eliminate the ambiguity We’re going to measure our success by your success. Which performance themes
that is a barrier to success, employing rigorous research and broad-based community will you apply to measure what matters? How will you integrate the finding that
input, and arrive at a shared definition of project success — delivered value that was social impact is more likely to deliver customer satisfaction in your own proj-
worth the effort and expense. This shared definition is a starting point and the founda- ects to improve outcomes and increase value? Are you prepared to take
tion for improving our knowledge of the factors that increase success so that we can on the challenge to maximize project success and increase what we
share it with the project community. feel accountable for, broadening our perspective beyond project
management success to embrace project success and prioritize
The depth and breadth of the research means that some topics require a deeper dive,
the perception of value by stakeholders? Increasing project
beyond the “what” and looking more at the “whys” and more specific guidance on
success will not only produce positive outcomes but also
“how” these findings should be applied. PMI will be extending this research throughout
demonstrate the value projects and our profession
2025 and beyond.
bring to the world.
We cannot move the needle alone. It is only through application of these learnings —
measuring what matters, implementing performance themes and performance levers,
considering variation across industry, project type and funding source, aligning with
social good to increase project success and customer satisfaction — that we can fully
understand and broaden the impact of this research. For example, only 22% of projects
are aligned with social impact. Implementing social impact as part of the value deliv-
ered by a project is an immediate way to enhance customer satisfaction and boost
project success rates.

Are you prepared to take on the

challenge to maximize project success
and increase what we feel accountable
for? This requires broadening our
perspective beyond project
management success to embrace
project success and prioritize the
perception of value by stakeholders.

35
 9

Acknowledgments

36
 9 Acknowledgments

PMI would like to thank the following contributors for their support,
guidance, participation and recommendations for this work:

PMI Project Success Insight Team

▶ Zannina Anagnostopoulou, senior partner, PM-Partners LLP ▶ David Eggleton, lecturer in project management with innovation studies
▶ Haroon Awan, executive, Saudi Aramco at Science Policy Research Unit, University of Sussex
▶ Lavagnon Ika, professor of project management, Telfer School of
▶ Alexander Budzier, director, Oxford Global Projects
Management, University of Ottawa
▶ Panos Chatzipanos, president, Green Athens, and consultant, World Bank
▶ Ananth Natarajan, CEO, Cybereum
Group
▶ Barbara Porter, COO, fragrance.com
▶ Pamela Clapp, manager, Strategy Realization at Memorial Health System
▶ John Post, senior advisor, Longview Fusion Energy Systems
▶ Dr. Nicholas Dacre, director of the Advanced Project Management
Research Centre and associate professor of project management, ▶ Kristin Rodriguez, project manager, Burns & McDonnell
University of Southampton ▶ Lloyd J. Skinner, CEO, greyfly.ai
▶ John Driessnack, independent consultant and president, College of
▶ Te Wu, CEO, PMO advisory LLC
Performance Management
▶ Priscila Vendramini Mezzena, PMI-ACP, PMP, MBA, CSM, project manager
▶ Deborah Ducmanas, PMO director, DelmiaWorks

37
 10

Appendix

38
 10 Appendix

Project professionals have operated across a wide range of industries and locales, with no single,
The shared definition of project success. What it looks like to senior leaders differs from what it looks
Research like to project managers and may differ even more for the intended beneficiaries of projects. This
Process lack of shared understanding reduces the chances for achieving success. As such, we aspired to
collect and analyze as much data as possible across these many different reference points.

10.1 Literature Review to Gather Existing 10.2 Qualitative Interviews Across a Diverse
Knowledge Network
To lay a solid foundation and understand the spectrum of possible defini- In collaboration with Kantar, an independent third-party research firm, PMI
tions, PMI took a broad view — the divergent approach — and examined all conducted original research — the convergent approach — that addressed
known research on the topic of project success, including: our specific question: “What should the universal definition of project suc-
▶ Review of the existing PMI global standards cess be?” To assist us in our search for a definition that is worded in a way
that speaks to all audiences, we established a volunteer insight team of
▶ Review of the most significant literature on the subject of project success
SMEs to advise, review and provide feedback throughout; the 17 insight team
over the past 50 years, conducted by Dr. Lavagnon Ika, professor of proj-
members include published authors, academics, thought leaders and
ect management, Telfer Management School, University of Ottawa,
Ottawa, Ontario, Canada accomplished project practitioners.

▶ Review of existing datasets (e.g., PMI Pulse of the Profession® reports Following our comprehensive effort to gather existing knowledge, Kantar
spanning 13 years) initiated a series of 90 qualitative interviews with randomly sourced project
▶ Review of approaches by other project management organizations (e.g., professionals, project sponsors, PMO leaders, organization executives and
APM’s Conditions for Project Success) intended beneficiaries in five countries — the U.S. (n = 30), Australia (n = 15),
India (n = 15), South Africa (n = 15) and the U.K. (n = 15) — to explore fresh
This literature review revealed varying perspectives and little agreement on perspectives. The discussion guide, based on feedback from the insight
the definition of project success or how it should be measured. team, asked participants to provide a definition of success in their own
words; outline measurement tools and timing; describe drivers of success
and barriers to success; as well as discuss social impact and long-term ben-
efits with respect to their most recently completed project. The information
gathered was used to formulate survey questions and an analytic plan.

39
 10 Appendix

Figure 11 – Survey Respondents by Role Figure 13 – Survey Respondents by Industry

▶ Which definition yields a perceived success rate
10.3 Global Survey to Gather that aligns with an objective assessment of
Quantitative Data project success (e.g., delivered on time, on bud-
Role Percentage Industry* Percentage
Organization executives 16% Information technology 16%
Informed by learnings from the literature review, the get, intended benefits, etc.)?
Consumers or citizens 16% Manufacturing and industrial 13%
exploratory qualitative interviews and input from the PMO leaders 15% Financial services 11%
Two different groups were invited to share their
insight team, a 25-minute, 55+ question survey was Internal end users/customers 15% Construction 9%
responses based on their most recently completed
compiled. The survey introduced five candidate Project managers 14% Retail 9%
project:
definitions for project success, themes to consider Program managers 9% Healthcare 6%
▶ Global project base: Blind survey (participants Project sponsors 9% Transportation/logistics/distribution 5%
for performance criteria; and activities, capabilities
were not told who the sponsor of the research Portfolio managers 5% Training or education 4%
and conditions that can act as performance levers
was); 5,751 total respondents from 19 countries Automotive 3%
across projects. and over 20 industries
N = 5,751
Consulting 3%
The following five candidate definitions were tested Food and beverage 3%
▶ PMI community sample: PMI was revealed as
Figure 12 – Survey Respondents by Country Government or public administration 3%
in the quantitative survey: the sponsor of the survey and members of the
Telecommunications 3%
▶ Delivered sustainable value that was worth the community were invited to participate via an
Energy 2%
open link; 6,980 total respondents representing Country* Percentage
effort and expense Aerospace 1%
4,035 unique projects from 141 countries and over U.S. 8%
▶ Made a meaningful positive impact that was Legal 1%
20 industries Singapore 8%
Mining 1%
worth the effort and expense Germany 7%
Pharmaceutical 1%
▶ Delivered the intended value aligned with a See Figures 11 through 13 for a breakdown of survey Mexico 6%
Defense 0.4%
respondents from the global project base by role, Brazil 6%
broader vision that was worth the effort and Other 7%
geography and industry. France 6%
expense
Italy 6%
N = 5,531
▶ Delivered value that was worth the effort and Australia 6% *Note: Industries were grouped together for analysis to ensure there was a readable
base, as follows: Energy and utilities (energy = 74%, mining = 26%), industrials (aerospace
expense U.K. 5% = 3%, manufacturing and industrials = 72%, transportation/logistics/distribution = 25%),
construction (construction = 100%), consumer discretionary and staples (automotive =

▶ Met defined requirements and was worth the Spain 5% 15%, food and beverage = 17%, legal = 4%, retail = 44%, training or education = 20%),
healthcare (healthcare = 81%, pharmaceutical = 19%), communication services

effort and expense Saudi Arabia 5% (telecommunications = 100%), IT (information technology = 100%), consulting (consulting
= 100%), finance (financial services = 100%), government (defense = 12%, government or
United Arab Emirates 5% public administration = 88%).

Then, during data analysis, the definitions were eval- India 5%

uated against a set of predefined criteria to Nigeria 5%
Canada 4%
determine the most commonly shared definition.
South Africa 4%
The criteria were:
China 4%
▶ Which of the definitions most broadly resonates South Korea 4%
across audiences? Japan 3%

▶ Which definition most closely correlates with an N = 5,751

*Note: Data is weighted at a country level to reflect the proportion of project
unaided perception of project success? professionals (sourced from PMI research on estimated number of project professionals
of each country) and global domestic product (GDP) of each country.

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 10 Appendix

▶ On time
10.4 Rigorous Data Analysis, Modeling and
Review ▶ Employee experience
▶ Market share gains/competitive impact
Nearly 10,000 usable survey responses were subjected to rigorous
data analysis and modeling to determine key predictors of success ▶ Safety
and elicit key learnings. Finally, the results were subjected to expert ▶ Long-term value aligned with organizational strategy
and practitioner review. Fifty-three individual interviews were con-
▶ Intended benefits
ducted with participants in five markets — the U.S. (n = 14), the U.K. (n
▶ On budget
= 6), Australia (n = 8), India (n = 15) and South Africa (n = 10) — to
explore initial reactions, gauge credibility, uncover areas of confusion ▶ The ability to create new quantified value for the organization
and identify potential use cases. Participants included PMO leaders/ ▶ Stakeholder satisfaction
portfolio managers, project managers/program managers and PMI
▶ Alignment with strategic objectives
community members.
▶ Generate revenue

10.5 Performance Themes ▶ Operational efficiency and productivity (e.g., cost savings)
▶ Organizational risk mitigation
Performance themes are general categories of measurement that are
useful to consider when defining what success looks like upfront and ▶ Product/service that is demonstrably better than what it replaced
setting up a measurement system for a specific project. PMI created ▶ A valuable/useful outcome
a list of performance themes pulled from a variety of sources, includ-
ing the literature review, qualitative interviews and the global project
base survey. Survey participants were asked: "Which of the following
criteria did the project deliver on or is the project on track to
produce?"

Following are all of the performance themes used in the research:

▶ Sustainability and social impact
▶ A more important outcome than other choices we could have
made at the time
▶ Level of quality
▶ Return on investment (ROI)
▶ Met defined requirements
▶ Within scope
▶ Customer satisfaction

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 10 Appendix

▶ Agility/flexibility in the approach to the project ▶ Support of impacted department(s) or team(s)

10.6 Performance Levers
▶ Well-established organizational practices to identify, assess, miti- ▶ Well-established organizational practices to ensure intended proj-
Performance levers are the types of activities to do, capabilities to
gate and monitor risks and balance risk reward trade-offs ect benefits are identified, measured and realized
prioritize or conditions to foster that may improve the chances of
▶ Rewards aligned with metrics that motivate the support of top ▶ Control on the part of funders
project success. PMI created and validated a list of performance
management ▶ Top management support
levers using a creation and validation process similar to that used to
create the list of performance themes. Survey participants were ▶ All team members feel a shared responsibility for outcomes
▶ Allow changes to project scope only through a well-established,
asked: “Which of these conditions were present for the project?” ▶ Well-managed stakeholder/customer expectations structured process
“Which of these capabilities were present in the project?” or “Which ▶ Identifying lessons learned and implementing them for continuous ▶ Structure and flexibility of the project team
of these activities were done during the project?” improvement ▶ Project is formally aligned to the organization's strategy
Following are all the performance levers used in the research: ▶ Effective management of project quality
▶ Effective removal of impediments/blockers
▶ Well-established performance measurement system to align and ▶ Roles are clearly delineated (RACI)
▶ Well-established organizational practices to plan, execute, monitor
guide decisions
▶ Engaged project sponsor and control projects
▶ Focus on delivering customer value
▶ Effective knowledge capture and transfer ▶ Sustainable, purpose-driven practices during project execution
▶ Caring for team morale
▶ Project team members are empowered to make decisions ▶ A shared vision for the project
▶ Project feasibility (organization has the capacity and capability)
▶ Project team resilience ▶ Favorable external conditions (e.g., sociocultural, political, eco-
▶ Adequate funding of the project to completion nomic, demographic, geographic, environmental)
▶ Clear project requirements
▶ Organization has the ability to operationalize project outcomes ▶ Capable project manager with relevant experience
▶ Alignment of major stakeholders
(capacity, capabilities, culture)
▶ Effective project governance
▶ Effective project schedule/roadmap management
▶ Effective resource management
▶ Capable project team with relevant experience
▶ Portfolio and program management practices that allow strategic
▶ A shared strategic vision of the project
alignment of projects ▶ Public support or acceptance
▶ Minimum start-up difficulties
▶ Effective communication and coordination among related parties ▶ Project manager influence in goal setting and criteria specification
▶ On-site project management
▶ Aligned supply chain and partner relationships ▶ Structural flexibility of the organization
▶ Having a sound business case from the onset
▶ Project team is willing to accept small failures ▶ Well-established communication plan and process
▶ Confirmed project/program feasibility prior to initiation
▶ Cross-functional collaboration ▶ Well-established organizational processes for procurement, con-
▶ Project manager has the necessary business acumen tract management and spend
▶ Organizational commitment to project success
▶ Clear and well-defined project goals and objectives ▶ Ongoing monitoring and feedback of project delivery
▶ Project manager involved in project justification
▶ Effective project budget management ▶ Maintaining tight control of the delivery window
▶ Absence of internal bureaucracy
▶ Proactively addressing downstream considerations ▶ Effective involvement of key stakeholders
▶ Authority and influence of the project manager
▶ Well-established project management methods and tools ▶ Conflict is well managed

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