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A RETROSPECTIVE LOOK AT OUR EVOLVING

UNDERSTANDING OF PROJECT SUCCESS


KAM JUGDEV, Assistant Professor, Project Management and
Strategy Centre for Innovative Management, Athabasca University
Calgary, Alberta, Canada

RALF MÜLLER, Assistant Professor, Department of Business Administration


School of Business and Economics, Umeå University, Umeå, Sweden

Introduction
ABSTRACT uccess is an interesting word. The word connotes different things to differ-

Our views on project success have


changed over the years from definitions
that were limited to the implementation
S ent people and is very context-dependent. Trying to pin down what success
means in the project context is akin to gaining consensus from a group of
people on the definition of “good art.”
phase of the project life cycle to defini- The purpose of this paper is to present a retrospective look at project success
tions that reflect an appreciation of suc- in the literature over the past 40 years and provide an outlook on the understand-
cess over the entire project and product ing of project success in the near future. Our views on project success have changed
life cycle. This paper assesses our evolv- over the years from definitions that were limited to the implementation phase of
ing understanding of project success
over the past 40 years and discusses
the project life cycle to definitions that reflect an appreciation of success over the
conditions for success, critical success project and product life cycle. Project management can have strategic value when
factors and success frameworks. The a clear connection is made between how efficiently and effectively a project is
paper concludes with a holistic view of done and how the project’s products and services provide business value. However,
project success and its implications for if project success is limited to the variables of time, cost, and scope—and the links
practice. This is an important topic
because projects are an increasingly
to product/service value are missing—then project management is perceived as
common way of work, and the lines providing tactical (operational) value and not strategic value.
between project and process work are The discussion is relevant to academics studying the concepts of success and
harder to discern. Increasingly, more failure, as it presents a synthesis of the literature. The topic is important because it
project managers work in companies has bearings on the future directions of project management in the strategic con-
using program and portfolio manage-
ment as a means to organize project-
text and in view of some areas of current research in the field (e.g., program and
related work. The success of individual portfolio management, maturity models, and strategic project management).
projects, therefore, impacts the wider The topic raises important issues for consideration regarding project success
organization in several dimensions and and client expectations management. A diversified understanding of success is
makes the concept of project and project necessary for both project managers and executives. Practitioners often manage
management success that much more
relevant. The topic is also important
multiple projects and face competing priorities on a daily basis, particularly as
because it has a bearing on the future they simultaneously manage several projects at various stages of their life cycles
directions of project management in the and strive to balance diverse objectives stemming from various stakeholder agen-
strategic context. das. Project managers must answer the question “How is your project doing?” To
do that, they are constantly trying to define and manage project success in both
Keywords: project management; critical
success factors; project life cycle; prod- subjective and objective ways. A basic understanding of the concepts and issues
uct life cycle; project success; program related to success is therefore essential for project managers. To that end, the paper
and portfolio management finishes with practical advice for project managers on trends and future interpre-
tations of project success.
©2005 by the Project Management Institute
Vol. 36, No. 4, 19-31, ISSN 8756-9728/03

D E C E M B E R 2005 Project Management Journal 19


These days, project managers and Score Card and Intangible Asset ty) indicates that scope is the primary
executives are also increasingly Monitor (Sveiby, 1997). Financial per- determinant of project success (Tukel
involved in projects as part of a pro- formance measures remain the main- & Rom, 2001).
gram or portfolio of projects (i.e., an stay in practice though, as there is no Quality improvement tools and
organization that companies use to consensus on how to measure intangi- techniques in project management
manage projects within and between ble assets (Allee, 2001). help draw attention towards effective-
departments). These practices enable In the race to create business value, ness measures and heighten awareness
companies to better integrate projects companies are turning to project man- of the importance of gathering input
within the permanent organizational agement to help them move beyond from the customer (Jonker, 2000;
structure. As projects become an positions of competitive disadvantage Kumar & Wolf, 1992; McManus,
increasingly common way of work, the or parity. Early mechanistic definitions 1999). However, effectiveness meas-
lines between projects and process of project management focused on the ures are not tangible or as easy to grasp
work are becoming harder to discern. variables of time, cost, and scope—oth- as efficiency metrics, and they take
As more people work in an environ- erwise known as the “iron triangle” longer to determine (e.g., over the
ment where program and portfolio (Atkinson, 1999). Recent definitions of course of the process improvement or
management practices are used, they project management are more inclusive project life cycle). Effectiveness, then,
need to understand how project suc- and emphasize the importance of became a secondary area of focus in
cess is defined, particularly in terms of working with stakeholders to define project management (Belout, 1998).
the project and product life cycles, needs, expectations, and project tasks. The focus on efficiency measures fur-
because program and portfolio success These definitions describe project man- ther establishes project management
is an aggregate of project success. agement as involving cultural, structur- as an operational asset—we have much
The paper begins with a look at al, practical, and interpersonal aspects work to do before project management
asset valuation and strategic and oper- (Cleland & Ireland, 2002). “Project is viewed of and supported as a strate-
ational assets. Then, the paper exam- management is about managing peo- gic asset.
ines project success across the project ple to deliver results, not managing
and product life cycles. This is followed work” (Turner, 1999, p. 4). Project Strategic and Operational Assets
by a review of the four periods in the management, then, is applied on proj- At the strategic level of the firm, execu-
project management literature and a ects to optimize efficiency and effec- tives focus on creating the company’s
discussion on conditions for project tiveness. However, the emphasis in the strategy, vision, and mission. These
success, project critical success factors literature has been on project manage- concepts are then put into practice at
(CSF), and project success frameworks. ment’s value to optimize efficiency, and the operational level of the firm by
The paper concludes with a holistic this entrenches it as an operational those who implement the plans and
view of project management success concept. create the related products and services
and a discussion on implications for Efficiency looks at maximizing (Floyd & Woolridge, 1997). Middle
practice. We begin with an overview of output for a given level of input, and managers are instrumental in imple-
asset valuation. effectiveness means achieving the menting the firm’s strategy, whereby
goals or objectives; both are goal-ori- producing products and services often
Product/Service Value ented practices related to achieving involves project management practices.
Company success is widely defined as success (Belout, 1998). Colloquially, Companies focus on those assets
winning in the marketplace, and firms efficiency is widely known as doing that, when developed and sustained,
tend to measure this with financial and things right, and effectiveness as doing provide them with a competitive
economic indicators (i.e., return meas- the right things. The Project advantage (Barney, 2002). Other less
ures, market share measures, and stock Management Institute’s (PMI’s) global- important assets are viewed as support
value measures [Barney, 1996]). ly established A Guide to the Project assets, and are typically done at the
Companies focus on their asset mix Management Body of Knowledge operational level. Some of the litera-
and determine which ones they should (PMBOK® Guide) does not define these ture purports to discuss project man-
develop further and which ones to de- terms, but refers to such efficiency agement strategically but actually
emphasize. As a society, we are accus- indicators as schedule and cost effi- focuses on it as an operational concept
tomed to the financial model that ciency ratios (Project Management (ESI-International, 2001; Hartman,
looks at tangible assets and values Institute, 2004a). Literature on the 2000; Ibbs & Kwak, 1997;
them in dollars, but “…the essence of advantages of using project manage- Pennypacker, 2001). In particular, the
wealth is the prospect of benefits, not ment widely emphasizes efficiency work on project management maturity
their physical source” (Baxter, 1985, p. indicators, such as increasing prof- models purports to provide companies
218). In other words, the emphasis is itability and reducing costs, cycle time, with a competitive advantage. A recent
on qualitative measures. Two examples and risks of failure (Kerzner, 1994). critique of these models indicates that
of qualitative measures in the manage- Literature on the tradeoffs between this is not the case and that an invest-
ment literature include the Balanced time, cost, and scope (including quali- ment in project management maturity

20 D E C E M B E R 2005 Project Management Journal


practices, for the most part, lead to literature also started to address such understanding of project management
competitive parity (Jugdev & Thomas, topics as team building and quality. In as an organizational asset? To answer
2002a). Project management maturity the 1990s, the literature took more of a this question, we take the perspective
models assess codified competences at human resources approach and dealt of the project and product life cycles
the project and program levels (Kujala with leadership topics. More recent and then review chronologically the
& Artto, 2000; Lubianiker & Schwartz, project management literature focuses development of project success.
2001). Many of the models consist of on competences, stakeholders, per-
five linear stages: initial, repeatable, formance measures, and project man- The Project and Product Life Cycles
defined, managed, and optimized agement as a career path. For the most In this section, we present an overview
(Dinsmore, 1998). The maturity mod- part, though, the meta analysis indi- of the project and product life cycles to
els focus on incremental improve- cates that publications in project man- explain how our views on project suc-
ments at the project and operational agement primarily focused on tools cess were narrowly defined over the
level and emphasize knowledge that and techniques and the practice at the years. This restricted outlook con-
can be transferred through documents, tactical level of the firm. Further sup- tributes to our understanding of proj-
surveys, guidelines, templates, or man- port for this position was evident in ect management as an operational
uals. However, value creation involves the Ulri and Ulri (2000) scientometric concept rather than one with clear
more than explicit knowledge capture. analysis of 3,565 articles (primarily strategic value. The project life cycle is:
Value creation involves combining tan- North American) that identified evolu-
gible assets such as financial, physical, tionary trends and themes in project “A collection of generally sequential
and technological assets with less tan- management from 1987-1996). Their project phases whose name and num-
gible ones such as human, organiza- findings indicate that before the 1992- ber are determined by the control
tional, and social assets (Brush, 1997 period, few publications dis- needs of the organization or organiza-
Greene, Hart, & Haller, 2001). The cussed project management in the tions involved in the project” (Project
Valuable, Rare, Inimitable, and context of strategic planning, company Management Institute, 2000, p. 192).
Organizational Focus (VRIO) frame- mission, and the importance of corpo-
work asks if the resource is valuable, rate management performance. The PMBOK® Guide describes the
rare, inimitable, and organizationally Cabanis describes the connection project life cycle as a subset of the
focused (Barney, 2001). Upon assess- between project management and product life cycle, with the product life
ing project management maturity strategy by stating that the connection cycle typically including an opera-
models against these criteria, we found is about involving the project manager tional phase followed by decommis-
that the models are not, in and of at the start of the project (e.g., project sioning or retirement (Project
themselves, a source of competitive selection and/or the sales process Management Institute, 2004a). The
advantage as claimed (Jugdev & [Cabanis, 1998]). However, this is an PMBOK® Guide cautions that “care
Thomas, 2002b). One reason is that operational definition because, in should be taken to distinguish the
maturity models address codified (tan- practical terms, strategic management project life cycle from the product life
gible) knowledge, and a large part of is about “the direction of organiza- cycle” (Project Management Institute,
project management knowledge is tions” and deals with firm success, fail- 2004a, p. 24) (emphasis added).
intangible and knowledge-based. The ure, and competition (Rumelt, The PMBOK® Guide presents
intangible knowledge resides in a Schendel, & Teece, 1994, p. 9). In con- several representations of the proj-
firm’s organizational, human, and trast, Toney (1997) indicates that proj- ect life cycle that link the project to
social capital. ect management could achieve a the firm’s operations (Project
Kloppenborg and Opfer’s (2002) “strategic position” by addressing sev- Management Institute, 2004a).
meta-analysis of the project manage- eral problem areas: promoting project Most project life cycles include
ment literature (of primarily North management benefits, measuring the phases of conceptualization, plan-
American publications) supports the results of project management, and ning, execution, and termination
stance that project management is a addressing both personnel and (Pinto & Prescott, 1990). Turner
tactical concept. In the 1970s, the liter- methodology issues. These topics are a (1999) uses the terms germination
ature focused on tools and techniques blend of what needs to be addressed at (proposal and initiation), growth
(i.e., software, work breakdown struc- the tactical level and strategic levels of (design and appraisal), maturity
tures, and program evaluation and the firm. In particular, measuring the (execution and control), and meta-
review techniques). In the 1980s, the results of project management con- morphosis (finalization and close-
literature began to focus on the impor- notes how project management could out). They do not typically address
tance of the “profession” but remained support long-term organizational suc- phases beyond termination, such as
technically oriented as it covered cess. the product/service use phases. The
design-to-cost, life cycle costing, risk If business value is about efficien- following table portrays examples of
management, cost and schedule con- cy and effectiveness, how has the liter- project and product life cycles from
trol, and control systems. However, the ature on success contributed to our the PMBOK® Guide.

D E C E M B E R 2005 Project Management Journal 21


DEFENSE SOFTWARE
PHASES CONSTRUCTION PHARMACEUTICAL
ACQUISITION DEVELOPMENT
Initial Phase: Feasibility Discovery & Screening Concept Exploration & Proof of Concept Cycle
Conceptualization, Definition
Planning

Project Life Cycle


Intermediate Phase: Planning and Design Pre-Clinical Demonstration & First Build Cycle
Production / Development Validation
Product Life Cycle

Implementation
Production Registration(s) Workup Engineering & Second Build Cycle
Manufacturing
Development
Final Phase: Turnover and Start Up Post-Submission Production & Final Cycle Including
Handover Activity Deployment Testing, Final Build
Operations: Operations & support Deployment
Utilization
Decommissioning:
Closedown

Table 1: Overview of the project and product life cycles (PMBOK® Guide)

In the above table, the term product example, the initial project phase is can contribute towards project success,
life cycle refers to the initial, intermedi- called feasibility, discovery and screen- it is unlikely to be able to prevent fail-
ate, and final project phases and the ing, concept exploration and defini- ure” (de Wit, 1988, p. 164). Another
operations and decommission phases, tion, and proof of concept cycle across way of understanding this distinction
whereas the term project life cycle the four industry-specific project types is with the oft-heard saying that “the
describes the initial, intermediate, and above. operation was a success, but the
final project phases (Project Project success is often erroneous- patient died.” Therefore, Cooke-Davies
Management Institute, 2000). The hor- ly assessed only at the end of the proj- (2002) distinguishes between:
izontal hatched line portrays where the ect life cycle, as project management
project life cycle ends within the prod- outcomes are available and convenient • Project management success, being
uct life cycle. The project life cycle, to measure (Munns & Bjeirmi, 1996). measured against the traditional
then, is a subset of the product life For example, the construction and gauges of performance (i.e., time,
cycle. The table also shows four differ- pharmaceutical project life cycles end cost, and quality), and
ent project life cycles spanning the at the final project phase and do not • Project success, being measured
construction, pharmaceutical, defense span the product operations or decom- against the overall objectives of the
acquisition, and software development missioning phases. In contrast, the project.
industries. The grey shading in the defense acquisition and software
lower half of the table shows the phas- development project life cycles include One can no doubt think of exam-
es that are not covered by the industry- the operations phase and, hence, por- ples where projects were not managed
specific project life cycles. For the tray a clearer connection to product well from a project management per-
purposes of this paper, we are dis- use and business value. We can achieve spective, yet were viewed as successful.
cussing both the project process (that a more holistic understanding of proj- For example, the Sydney Opera House
spans the project life cycle) as well as ect success by measuring success dur- took 15 years to build and was 14
the product (that spans the product ing operations and decommissioning times over budget, yet it is proudly dis-
life cycle phases) (Wateridge, 1998). when effectiveness measures are taken played as an engineering masterpiece.
The above table also reflects varia- into account and involve input from So, in the de Wit and Cooke-Davies
tion in terminology as well as some different stakeholders (e.g., end users) context, this initiative was a failure in
commonalities among the project (Atkinson, 1999; Freeman & Beale, terms of project management success,
types. Some of the terms used are 1992; Munns & Bjeirmi, 1996). but it was a success in terms of project
industry-specific (Project Management De Wit (1988) discusses the con- success (Baccarini, 1999; Munns &
Institute, 2000). Although the cept of project management success in Bjeirmi, 1996). Examples also abound
PMBOK® Guide indicates that different terms of time, cost, and quality/per- whereby projects were managed well
terms are used to describe project formance (scope), and indicates that from a project management perspec-
phases, it does not address these project success involves broader objec- tive, yet were perceived to be unsuc-
inconsistencies or the lack of standard- tives from the viewpoints of stakehold- cessful.
ization in the literature (Project ers throughout the project life cycle. A 1998 study on measuring proj-
Management Institute, 2004a). For Although “good project management ect success in the information technol-

22 D E C E M B E R 2005 Project Management Journal


ogy industry noted the importance of PROJECT LIFE CYCLE
considering stakeholder input on suc-
cess and examining success in the con- PROJECT LIFE CYCLE
text of the project’s process and
Conception Planning Production / Handover Utilization Close Down
product (Wateridge, 1998). Life cycles Implementation
that do not measure success beyond
the final project phase limit the project Period 1: Project
manager’s responsibilities regarding Implementation and
Handover (1960s - 1980s)
problems that arise during the produc-
tion phase, and this can create cus-
Period 2: CSF Lists (1980s - 1990s)
tomer satisfaction issues. Narrowly
defined life cycles also detract from the
project team working more cohesively Period 3: CSF Frameworks (1990s - 2000s)
with the business team and contribute
to an attitude of “that’s not my prob- Period 4: Strategic Project Management (21st century)
lem” (Frame, 1994, p. 6). Such issues
perpetuate the focus on efficiency met- Table 2: Measuring success across the project and product life cycles
rics, which are easier to calculate when
compared to less tangible success fac- ment attention. Frame refers to these utilization and closedown did not
tors. This approach also looks at proj- narrow outlooks as traditional project emerge as components of the project
ect success from the narrow perspective management practices, and urges proj- management success literature until
of the project manager and team rather ect managers to broaden their span of Period 3, when more comprehensive
than the broader perspective of stake- responsibility and accountability CSF frameworks were developed.
holders, such as end users of the prod- (Frame, 1994). Our understanding of As the next sections indicate, the
uct or service. One reason for the project management success is also past 40 years saw a slow but gradual
emphasis on time, cost, and scope influenced by work in the area of CSFs, understanding that project manage-
relates to project managers being success frameworks, and conditions ment success should be assessed with
appraised on their ability to deliver to for success. The next section presents a input from stakeholders, and it should
these short-term criteria. “With the retrospective look at project success. be assessed beyond the project phases.
decision to achieve time and cost con- Note that each subsequent period
straints, project managers do not put A Retrospective Look at Project spans more project phases, and the
great emphasis on users being happy Management Success over the Years success frameworks in Period 3 cover
with the system” (Wateridge, 1998, p. Our understanding of success as a all the product life cycle phases. These
62). This was especially evident in the broader, organizational concept is periods are now reviewed in detail.
Wateridge study when the failed proj- evolving. Initially, the literature was
ect criteria for success were compared predominated by lists of project suc- Period 1: Project Implementation and
to the successful project criteria cess criteria (e.g., a project is successful Handover (1960s-1980s)
between project managers and end if attention is placed on a clear mis- Success is measured in subjective and
users. Wateridge noted that on success- sion, there is senior management sup- objective ways and it means different
ful projects, there was greater agree- port, and scope is managed). This led things to different people (Freeman &
ment on success criteria between the to the development of CSFs and pre- Beale, 1992). During Period 1, simple
project managers and end users than liminary success frameworks, followed metrics such as time, cost, and specifi-
there was on unsuccessful projects. In by more recent holistic frameworks on cations were used to rate project suc-
addition, successful projects were more success. Mention of strategic manage- cess because they are easy to use and
likely to emphasize product success (a ment terms remained nominal over within the realm of the project organ-
longer-term objective), whereas unsuc- the past 40 years, and a direct link ization. Project managers focused on
cessful projects involved an emphasis between operations management and getting a project done, making sure it
on time, cost, and scope. strategic management was noticeably worked, and getting it out the door.
The project-centric view on suc- absent in the project management lit- Customer contact was minimal, along
cess entrenches project management’s erature. Based on a literature review of with long-term follow-up and trou-
value at the tactical level of the firm. approximately 30 articles, primarily bleshooting. The early literature as
Tactical practices receive mid-manage- from North American sources, Table 2 well as practice predominantly sup-
ment attention where strategy is imple- portrays trends regarding project man- ported the iron triangle as the foun-
mented and operational agement success. The framework dation of project management
improvements made (Floyd & involves three periods: Periods 1 and 2 (Atkinson, 1999; Cooke-Davies,
Woolridge, 1997). Tactical concepts focused primarily on the project life 1990; Hartman, 2000).
rarely receive enduring senior manage- cycle. The product life cycle phases of In Period 1, the literature was the-

D E C E M B E R 2005 Project Management Journal 23


oretical and extensive empirical work anistic approach, the objective was to but others did not. Lim and Mohamed
was lacking (Belassi & Tukel, 1996). reach target dates, a financial plan, and (1999) also surveyed experienced proj-
Early studies looked at why projects an end product. Well into Period 2, the ect managers and found that people
failed or succeeded by focusing on the iron triangle continued to be used to were split on the ambiguities of suc-
schedule; other studies defined success describe success in project manage- cess. Success was a rarely agreed-to
in terms of achieving the goals of time, ment, with a narrow focus on the proj- construct.
budget, and performance (Pinto & ect management phases, especially the The literature to the mid-1980s
Slevin, 1988b). The literature also project implementation phase. listed success factors using anecdotes
focused on the implementation or exe- and single case studies (Pinto &
cution phase where the attention was Period 2: CSF Lists (1980s-1990s) Prescott, 1990). Project success con-
on these three variables (Lim & In Period 2, the emphasis in project tributed to excellence within time,
Mohamed, 1999). This was under- management was on developing CSF cost, and performance/quality levels
standable as the implementation lists. Kerzner defined CSFs as the few (Kerzner, 1987). These metrics may be
phase was typically the longest and elements where “things must go right” misleading if expectations are not met.
consumed the most resources (Project (Kerzner, 1987, p. 32). CSFs are the Success was typically described with a
Management Institute, 2000). Also, “elements required to create an envi- single measure for the project instead
important issues not addressed earlier ronment where projects are managed of multiple measures over the life cycle
came to a head during this phase. consistently with excellence” (Kerzner, (e.g., the project was either a success or
Project implementation is an efficien- 1987, p. 32). The literature focused on it was a failure).
cy-oriented phase and involves project the importance of stakeholder satis- Lim & Mohamed (1999) used the
management process criteria faction as an indicator of project suc- forest and trees analogy to describe the
(Atkinson, 1999). Time and cost are cess. Once the project is complete, difference between the macro and
best guesses, typically calculated when short-term memories fade and the micro viewpoints of the project. The
less is known during the planning focus shifts from completion criteria, micro viewpoint involved assessing
phases, and quality is an attitude that “are we done?” to the satisfaction cri- project management success upon
changes over the project life cycle. terion, “are we happy?” “This is the project completion, whereas the macro
Atkinson adds that there was a failure acid test of the original concept of the viewpoint involved the longer-range
to take a bigger picture view of success project” (Lim & Mohamed, 1999, p. perspective of product use to measure
in terms assessing it after delivery. 246). Users are generally more customer satisfaction. The argument
Measuring success after delivery demanding with satisfaction criteria was that determining whether the orig-
involves looking at the benefits or than completion criteria. “Satisfying inal project concept was achieved
effectiveness of the project from the end users’ needs is one facet of quality could not be made until the opera-
perspective of the stakeholder commu- assurance and…quality is defined as tional stage. The operational stage
nity and resultant organization. the satisfaction of users’ needs” occurred after the project had passed
Similar to the concept of project (Munns & Bjeirmi, 1996, p. 83). to the receiving organization and the
success, client satisfaction remains a Customer satisfaction is increasingly project required input from the users
nebulous and complex concept, and is important because of the competitive and stakeholders. The work was signif-
often measured by surrogates (e.g., marketplace and attention to service icant because it referred to setting
complaints or surveys) (Pinto & Slevin, and satisfaction. expectations at the project’s onset. This
1988b). The literature reflected a grad- The following examples of require- approach contributed to alignment
ual trend towards including client sat- ments for successful projects/project between project deliverables and
isfaction as a variable in assessing management demonstrate the earlier expectations so that the work could be
project success, both at the end of the focus on the execution phase as well as guided along those lines.
project life cycle and into the product the list approach to CSFs, instead of a Clarke’s project CSFs included
life cycle. This included an understand- categorization scheme or framework. A effective communication, clear objec-
ing of upfront measures such as defin- successful project involves staff training tives and scope, dividing the project
ing needs at the onset, but also and education, dedicated resources, into manageable components, and
assumed that the parties knew how to good tools, strong leadership and man- using project plans as living docu-
define their needs (Shenhar, Levy, & agement, and concurrent development ments (Clarke, 1999). She was critical
Dvir, 1997). of the individual, team, and organiza- of some of the project success literature
Historically, then, the research tion (Bounds, 1998). due to the lack of advice on how to
emphasized efficiency measures and Historically, most project man- apply the success concepts practically.
the technical system instead of the agers attended to CSFs in an intuitive To summarize Period 2, a number
behavioral or interpersonal systems, manner. One review on prior studies of useful CSFs were identified and
otherwise known as the “hard skills” categorized project success and noted described. However, these publications
vs. “soft skills” (Munns & Bjeirmi, that the factors listed could not explain neither grouped nor integrated the
1996). When the focus was on a mech- why some viewed projects as successful concepts in a coherent manner. Few

24 D E C E M B E R 2005 Project Management Journal


sources specifically mentioned organi- involved (Morris & Hough, 1987). integrated frameworks observed more
zational effectiveness, change manage- What was striking was that numerous recently in the literature as discussed
ment and, more importantly, other publications, particularly those under Period 4 in the next section.
alignment between project manage- in North America, did not build on Pinto published a number of arti-
ment and strategic management, this conceptual framework. Instead, cles between 1987-1990 on CSFs and
although some of these concepts were most of the literature continued to is widely known for the “10 CSF” list:
alluded to. Transitioning from Period develop CSF lists in this period and a project mission, top management sup-
2 to Period 3, we noticed the emer- few proposed CSF frameworks, but did port, project schedule/plan, client con-
gence of CSF frameworks. not dovetail their work with the one by sultation, personnel, technology to
Morris and Hough. support the project, client acceptance,
Period 3: CSF Frameworks Cleland and Ireland (2002) sug- monitoring and feedback, channels of
(1990s-2000s) gested that success be viewed from two communication, and troubleshooting
In the 1990s, we saw some significant vantage points—the degree to which expertise (Pinto & Covin, 1989; Pinto
contributions to the literature with the technical project performance objec- & Mantel, 1990; Pinto & Prescott,
emergence of integrated frameworks on tives were attained (e.g., time, cost, and 1990; Pinto & Slevin, 1987, 1988a,
project success. Most of the publications scope) and the contribution that the 1989). Pinto grouped the CSFs into
on the topic addressed the concept that project made to the strategic mission planning and tactical categories. Of the
success was stakeholder-dependent and of the firm. Others took this one step 10 CSFs, project mission, top manage-
that success involved the interactions further and included the customer ment support, project schedule/plan
between the internal and recipient organ- organization as an additional concept and client consultation were placed in
ization (Kerzner, 1987; Lester, 1998). (Belassi & Tukel, 1996; Kerzner, 1987; the planning category and the rest
Morris and Hough (1987) were Morris & Hough, 1987; Turner, 1999). under tactical. However, the CSFs were
pioneers in developing a comprehen- Kerzner broadened the span of still narrowly limited to the project life
sive framework on the preconditions CSFs by stating that they applied to cycle itself. Success was interpreted as
of project success. They analyzed proj- projects, project management, the the project being done well and project
ect success in the context of major project organization, senior manage- management being applied appropri-
projects and the work was based on ment, and the environment (Kerzner, ately to achieve that end. In other
eight case studies. They grouped proj- 1987). The paper also described the words, the focus was at the business
ect success as follows: interfaces between the internal and operational level. Pinto’s use of the
external environment as the dynamic term planning did not make a direct
• Project functionality: Does the arenas in which companies sought suc- link to strategic management planning
project meet financial and techni- cess. Although Kerzner then went on to or align project management to the
cal requirements? simply list the CSFs, the CSFs included overall business directions of the firm.
• Project management: Did the proj- a corporate understanding of project Pinto developed a framework for
ect meet the budget, schedule, and management by everyone involved, implementation success wherein the
specifications? executive commitment to project man- three concentric circles of technical
• Contractors’ commercial perform- agement, organizational adaptability, validity, organizational validity, and
ance: Did the contractors benefit project manager selection criteria, organizational effectiveness over-
commercially? project manager leadership style, and a lapped (Pinto & Slevin, 1988b). Note
• Project termination: In the event commitment to planning and control. that two out of the three success con-
that the project had to be can- Having a corporate understanding was structs were equally important to the
celled, was this decision made rea- seen to be the most important CSF as it project and client organization, name-
sonably and efficiently? related to managing and leading ly organizational validity and organi-
change initiatives. zational effectiveness. Prior to this, the
Morris and Hough developed a Freeman and Beale (1992) also dominant view was that project success
comprehensive framework depicting listed criteria for measuring success was internally focused when, in fact, it
the elements of project success. The that were similar to Kerzner’s. He had a strong external component in
elements included attitudes, project identified the criteria for measuring the customer’s organization and the
definition, external factors, finance, success as including technical per- delivery organization had a responsi-
organization and contract strategy, formance, efficiency of execution, bility to ensure the project worked
schedule, communications and con- managerial and organizational impli- after it was delivered.
trol, human qualities, and resources cations (customer satisfaction), per- Pinto also reported that CSFs were
management. Their book addressed sonal growth, manufacturability, and not of equal importance throughout
the concepts that success is both sub- business performance. Both the the life cycle stages of conceptualiza-
jective and objective, that success varies Kerzner, and Freeman and Beale, con- tion, planning, execution and termina-
across the project and product life tributions identified categories of suc- tion; however, the project mission
cycle, and that various stakeholders are cess, but lacked the depth of (initial clarity of goals and general

D E C E M B E R 2005 Project Management Journal 25


directions) was important at all four ment” (Hartman, 2000, p. 28). In addi- elements into the iron triangle of time,
phases of the project life cycle (Pinto & tion, “People…are the single most cost, and scope.
Slevin, 1988a). Some CSFs were com- important part of successful projects” Success also varies with time over
mon to projects regardless of project (p. 67). Hartman’s list of CSFs was sim- the course of the project and product
type, others were specific to project ilar to Pinto’s, but wider in scope, as it life cycles (Shenhar et al., 1997).
groupings and the relative importance emphasized the environment (e.g., Project success is an integrative con-
of CSFs varied over the course of the social, natural, political, and corpo- cept that includes short- and long-term
project life cycle (Pinto & Covin, rate). Success was defined as “one implications, such as project efficiency,
1989). Furthermore, project success where the stakeholders are satisfied customers, business success, and
was multidimensional and perceived with the outcomes” (p. 369). These ele- preparing for the future. Efficiency is
project success consisted of three con- ments were noted by both Morris and typically realized at project turnover to
ceptually and statistically distinct fac- Hough (1987) and by Turner (1999). operations, whereas business success
tors that were consistent with the According to Munns and Bjeirmi and future potential are longer-term
quadruple constraints (Pinto & (1996), success involves a combina- dimensions that connote effectiveness
Prescott, 1990). The three groupings tion of progress during the implemen- measures. For example, profit and
were: a) budget and schedule, b) value tation phase, perceived values, and increased market share are immediate
(positive impact, merit, improved orga- client satisfaction. Implementation results of a well-run project, but there
nizational effectiveness), and c) client success deals with the effectiveness of are also long-term advantages to be
satisfaction (in terms of product use, project management, the perceived considered that relate to new markets,
benefits to end users through increased values deal with the views of end users new products, and establishing long-
efficiency or employee effectiveness). using the product, and client satisfac- term strength. Unlike earlier papers
Project failures are expensive and, tion refers to measuring success after that prioritize time, cost, and scope as
increasingly, companies are trying to closedown. Munns also supported success criteria, Shenhar’s study placed
understand what it takes for a project having the project team involved in the customer satisfaction as the number-
to be successful. The body of literature utilization phase so that end-user one criterion for overall project suc-
on project success also encompasses requirements could be confirmed and cess, and put the iron triangle second
project failures. Since 1994, the troubleshooting provided, rather than (Shenhar et al., 1997).
CHAOS Chronicles (as published by the team exiting at handoff. Of the CSF literature reviewed,
the Standish Group) have studied proj- One empirical study was based on Belassi and Tukel (1996) presented a
ect success and failure, with a focus on a multidimensional, multi-observa- holistic framework that included with-
Information Technology projects. In tional framework used to identify four in-firm and industry factors. Their lit-
their recent CHAOS report, the universal dimensions of success: a) erature review found that most authors
Standish Group reported that 26% of project efficiency, b) impact on cus- tabulated individual success factors,
Information Technology projects were tomers, c) business and direct success, but did not group or classify them. The
successful (Standish Group, 2003). and d) preparing for the future Belassi and Tukel classification enables
They indicate that the top success fac- (Shenhar et al., 1997). Shenhar deter- readers to clearly see what category cer-
tors involve user involvement, execu- mined that the expected project values tain CSFs belong to, and the classifica-
tive management support, experienced should be identified at a project’s onset tion system allows for an examination
project managers, clear business objec- so that everyone was aware of them of CSF interrelationships. The four cat-
tives, minimizing scope, agile require- during the project. The study identified egories are factors related to the proj-
ments processes, standard software three clusters of success: a) meeting ect, factors related to the project
infrastructure, a formal methodology, design goals, b) impact on the cus- manager and team, factors related to
reliable estimates, skilled staff, effec- tomer, and c) benefits to the organiza- the organization, and factors related to
tive tools, and process improvement tion. Furthermore, project managers the external environment.
using software development capability actually distinguish between four uni- The scheme is systematic and
maturity models. Interestingly, the versal dimensions of success: a) project helps readers clearly see the relation-
CHAOS list of success factors is very efficiency, b) impact on customers, c) ships and implications when these fac-
similar to those developed by Pinto in business and direct success, and d) tors are not addressed. The study
this period. strategic potential. Shenhar noted that shows that CSFs vary with industry and
In the SMART® framework of proj- meeting design goals (time, budget, that top management support is vital.
ect management, success was rooted in and performance) was not a homoge- The scheme appears unique relative to
projects that were strategically man- neous dimension. Time and budget other frameworks because it integrated
aged, aligned, regenerative and involve comprised one dimension, as it was project dimensions with organization-
transitional management (Hartman, resource-related, but meeting specifica- al and environmental factors. To exem-
2000). “Communication at the right tions related to customer satisfaction. plify the integrative nature of the
level and with the right people is at the This was a significant distinction, as Belassi framework,, Wateridge identi-
heart of successful project manage- others to date had grouped the three fied six CSFs in his framework that

26 D E C E M B E R 2005 Project Management Journal


essentially fit Period 3: The project is the owner, c) satisfy the needs of own- achievable by doing projects in isola-
profitable for the sponsor/owner and ers, users, and stakeholders, d) meet its tion (Sahlin, 1996). Along similar
contractors; achieves its business pur- prestated objectives to produce the lines, Engwall (2002) suggests the use
pose in three ways (tactically, opera- facility, e) have a deliverable that of ambiguous objectives to allow
tionally, and strategically); meets its should be produced to specification, learning during project execution and
defined objective; meets quality within budget, and on time, f) satisfy flexibility in adapting project deliver-
thresholds; is produced to specifica- the needs of the project team and sup- ables to changes in the project’s con-
tion, within budget, and on time; and porters, and g) make a profit for them. text (e.g., in the project marketplace).
all parties (users, sponsors, project Turner (1999, p. 72) notes that the Generally, conceptual papers pre-
team) are happy during the project and measures are not necessarily compati- cede empirical studies, as conceptual
with the project outcomes (Wateridge, ble “so the judgment depends on a papers enable researchers to further
1998). These CSFs can be grouped into complex balance.” Turner (1999) also develop concepts and discuss how they
Belassi’s framework and, for the most provides a success/failure diagnostic in might operationalize concepts as con-
part, are those that relate to the project, his book and it consists of 85 ques- structs to be measured. As this paper
project manager and team, and organ- tions. Although not specified, it has indicated, considerable work has
ization. The factors seem to exclude appears that this diagnostic is in keep- occurred on conceptualizing success in
the external environment. ing with his framework. the project and project management
An examination of some European In many respects, the framework contexts.
publications suggested that the by Morris is very similar to the one by Success, then, evolved from the
progress made in terms of the success Belassi and Tukel (1996). Interestingly, project being merely technically cor-
literature in North America was not all the Belassi and Tukel paper is entitled rect in the views of the providing
that unique. One integrated model on “A new framework for determining organization to how the project inter-
the strategic management of projects critical success/failure factors in proj- faced with the client organization and
suggests that projects are influenced by ects”; yet, in comparing this work to flowed from internal and external fac-
seven forces that help determine proj- the ones by Turner (1999) and Morris tors (Pinto & Slevin, 1988b). However,
ect success (Morris & Hough, 1987). and Hough (1987), it really is not new. efforts to monitor and anticipate proj-
The model involves (i) the external It is regrettable that publications in ect outcomes were hampered as agreed
context of the project that encompasses Europe discussed success factors, suc- to determinations of success did not
project sponsorship (including the cess criteria, and success frameworks exist (Pinto & Slevin, 1988b). Wenell
budget and schedule), and (ii) external back in the late 1980s, yet some of the (2000) showed that this is based in the
influences such as political, social, North American publications intro- different perspectives towards project
technical, legal, environmental, and duce these concepts almost a decade objectives. While project managers
economic factors. The project also later as if they were new insights. work toward project objectives defined
involves a project strategy that consists Perhaps this is partly due to the for their specific projects, line man-
of (iii) attitudes that reflect the impor- emphasis in North America on peer- agers see projects as building blocks to
tance attached to the project and sup- reviewed journals—the works by achieve an overall business objective
port given to it at all levels of Morris and Turner appeared in books. (“effect-goal”) that arises from the pro-
management and (iv) definition that Towards the end of this period, the ductive use of the project outcomes.
indicates what the project will accom- Scandinavian project management lit- While it is desirable that project man-
plish and the approach to design and erature started to define project success agers take responsibility for this wider
technology to achieve this. In addition, as being made up of the myriad of side objective, it is often not possible due to
the framework involves internal driving effects that project work brings with the temporary nature of the project
forces such as (v) people and their and in itself. Sahlin (1996) showed team and the time gap between project
management, leadership, and team- that projects in municipalities, such as delivery and accrual of business
work, (vi) systems related to planning, those against drug abuse, are often results. Similarly, Simons and Lucarelli
reporting, and control, and (vii) organ- considered as being successful even if (1998) suggested distinguishing
ization related to roles, responsibilities, they do not meet predetermined objec- between primary and secondary objec-
and contractual relationships. tives. These objectives are set prior to tives of a project when it comes to
Similarly, Turner (1999) builds on project start in order to obtain fund- assessing project success. Managerial
the framework by Morris and Hough ing. During project execution, howev- implications were that project man-
in his 1999 handbook of project-based er, a learning process is initiated, and agers were rewarded through bonuses,
management and discusses how suc- this process helps to define project promotions, and raises for their ability
cessful projects are judged using multi- outcomes. The learning, and the side- to manage projects successfully, but
ple subjective and objective criteria. effects through interaction with other these criteria were often different from
Turner argues that a successful project institutions and organizations, out- those that project managers used on
should: a) meet its stated business pur- weigh the originally planned project the project. As a result, common per-
pose, b) provide satisfactory benefits to objectives and lead to synergies not formance criteria between managers

D E C E M B E R 2005 Project Management Journal 27


and project managers are warranted on with the stakeholders before effectiveness metrics and reflect a more
(Pinto & Prescott, 1990). the start of the project, and repeat- holistic view on the value of project
edly at configuration review management as a core or strategic
Period 4: Strategic Project Management points throughout the project asset. Further progress in this regard
(21st Century) 2. A collaborative working relation- will help us move project management
It is clear that we have made progress ship should be maintained from an organization’s tactical level to
over the past 40 years on the topic of between the project owner (or the strategic level.
project and project management success: sponsor) and project manager, This paper indicates our gradual
with both viewing the project as a progress over the years towards a com-
• We understand that project success partnership prehensive view of success. Although a
is more than having a common 3. The project manager should be few authors presented project manage-
mission, top management support empowered with flexibility to deal ment success in a holistic manner, link-
for resources, authority, and power with unforeseen circumstances as ing it to organizational success, most
to succeed on the project. they see best, and with the owner citations discussed project success nar-
• We now understand that CSFs giving guidance as to how they rowly within the context of the project
include senior management com- think the project should be best life cycle. This is in line with the Ulri
mitment to provide the vision, achieved and Ulri (2000) finding that the strate-
strategy, and sponsorship. 4. The owner should take an interest gic management literature on project
• We are aware that success factors in the performance of the project. management emerged after 1992.
relate to the organization (e.g., top We said in the beginning that proj-
management support) and to the This approach shifts considerable ects are increasingly used as a way to
external environment (e.g., politics, responsibility for project success to the organize work towards achievement of
economy, social, technological, project owner. It reconfirms the need organizational objectives. The simulta-
nature, client, competition, and for the owner to empower the project neous pressure on firms to achieve eco-
subcontractors). manager and be willing to renegotiate nomic objectives through projects
• We know that senior management success criteria over the project life forces them to view success as a com-
within the project-initiating organ- cycle. However, it opens a new per- bination of both project and project
ization is ultimately responsible for spective that addresses the owner’s management success (i.e., a success
ensuring the link between organi- underlying attitude and interest both in the short-term as well as in the
zational plans and the goal and towards the project. Research by long-term). Both forms of success are
purpose of selected projects and Müller (2003) showed that in success- inextricably interlinked and determine
the creative processes in identifying ful projects the owner had an interest whether or not organizations achieve
possible ideas for a project. and willingness for continuous com- their objectives. Examples include
Successful project management munication with the project manager, projects as parts of programs, where
requires planning and a commit- driven by an assumption that the proj- the entire program is dependent on the
ment to complete the project (that ect is performing under its capabilities. success of each individual project,
is, commitment from executives Owners in unsuccessful projects were caused by mutual dependency of proj-
throughout—not just at the start). significantly less interested in the proj- ect outcomes. Other examples include
ect. The psychological predisposition project portfolios, where the project
In addition, we understand that of the project owner towards the proj- management success of economic
project success dimensions include ben- ect appears to be a new CSF, warranti- resource usage in each project impacts
efits to the organization and preparing ng further study. an organization’s overall results.
for the future (e.g., innovating, and It is the owner’s task to implement This turning point marked the end
developing core competencies). an organization’s strategy through of the era where project managers
Most recent literature on project projects. However, if project manage- could deliver whatever was contracted
success summarizes the empirical ment is not seen as a strategic asset in without caring about the acceptance
results of several studies and outlines an organization, then the owners show and usability of the project deliver-
four necessary, but not sufficient, lower interest toward the management ables. Turner and Müller (2004) sug-
conditions for project success. All of of their projects. This attitude, as men- gest that project managers should be
them need to be in place for projects tioned above, is associated with unsuc- measured on a wider set of objectives,
to be successful, but do not guarantee cessful projects. An organization’s not just the achievement of time, cost,
project success alone. These four con- understanding of project management and functionality goals. Similar to the
ditions build on the work of as a strategic asset, therefore, becomes CEO of a company, project managers
Wateridge (1998) and Müller (2003), a key criterion for project success. should be measured and remunerated
and are mentioned by Turner (2004, A continued emphasis on project on a balanced contribution towards
p. 350) as: management success at the organiza- the success of the project and the entire
1. Success criteria should be agreed tional level will help shift attention to organization. This includes the manage-

28 D E C E M B E R 2005 Project Management Journal


ment of the interfaces to neighboring assessed at the closeout phase. ect managers and we hope that we have
projects, the community of users, and Regardless, the indictors identified helped to clarify this understanding.
the client’s overall objectives of the proj- should be assessed/measured using Third, as more people work in an envi-
ect. This emerging perspective of project simple and appropriate measures. ronment where program and portfolio
success involves a broadening of project It is better to use a few measures management practices are used, they
managers’ room for maneuvering and, and measure them well than to need to understand how project success
at the same time, an active involvement have a laundry list and not address is defined, particularly in terms of the
and interest of the project sponsor. them properly. project and product life cycles, because
Success is, then, defined and jointly • Develop and maintain good rela- program and portfolio success is an
accomplished in partnership with the tionships and effective communi- aggregate of project success (Blomquist
sponsor (Turner & Müller, 2003). cations with key stakeholders, and, & Müller, 2005).
in particular, project sponsors Over the past 40 years, we have
Implications for Research and Practice because their understanding, made considerable progress regarding
Our reflections on the past and matur- involvement, commitment, and our evolving understanding of project
ing understanding of project success appropriate decisions for the proj- success. Increasingly, we are beginning
lead us to share some thoughts on how ect will be essential to achieve proj- to see that holistic project success
these concepts relate to practice and ect success. frameworks are being used in practice.
research. Projects are about managing As we journey into the 21st century, we
expectations, and expectations have to The literature on project CSFs con- look forward to project management
do with perceptions on success. As this tinues to evolve as more holistic frame- being supported and invested in as an
paper has indicated, project success is a works emerge. Several useful models asset with increasing strategic relevance.
complex and ambiguous concept and exist and some are being tested empiri-
it changes over the project and product cally. In particular, contributions by References
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DR. KAM JUGDEV is an Assistant Professor of Project Management and Strategy in the MBA program at Athabasca University in Alberta,
Canada and an Adjunct Professor in the Department of Civil Engineering, Schulich School of Engineering, University of Calgary. Her
current areas of research include project management as a source of competitive advantage and the Resource-Based View of the Firm
as it applies to project management. Dr. Jugdev’s work has been published in PM Network, Project Management Journal, and the
Journal of International Project Management. She is a reviewer for the International Project Management Journal, IEEE Transactions
of Engineering Management, and Academy of Management’s Management Education Division conference.
As a member of the Project Management Institute, Academy of Management, Strategic Management Society, Administrative
Sciences Association of Canada, and the Western Academy of Management, Dr. Jugdev actively contributes to the advancement of
academic and professional communities of management practice across Canada and throughout the world. Readers interested in
following up with Dr. Jugdev can reach her at kamj@athabascau.ca

DR. RALF MÜLLER is Assistant Professor at Umeå University in Sweden and visiting lecturer at NIMBAS University in The Netherlands.
He lectures in project management, governance of project-based organizations, and research design and methodology. Dr. Müller’s
current research focus is on program and portfolio management, and the interactive effects of project managers’ leadership style with
project type on project success. Dr. Müller’s past research was published in European Management Journal, International Journal of
Project Management, and Project Management Journal. The majority of his 30 years in business were spent consulting for large
enterprises in project management and governance (e.g., as worldwide Director of Project Management in NCR Teradata).
Dr. Müller is a reviewer for the International Journal of Project Management, author of two books and a number of articles in
international project management journals, as well as a frequent speaker at researcher and practitioner conferences. He is a co-founder
of two PMI chapters in Europe and contributor to the following PMI standards: Organizational Project Management Maturity Model
(OPM3®), Standard For Program Management, and Standard For Portfolio Management. He can be reached at ralf.mueller@fek.umu.se

D E C E M B E R 2005 Project Management Journal 31

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