A project can be 80% complete and still be in trouble.
In project management, progress is often measured through completed activities, milestones achieved, and the percentage of work finished.
These indicators are important. However, they don't necessarily tell us whether a project is performing well.
A project might be progressing according to schedule while exceeding its budget, experiencing quality issues, or facing unresolved risks.
Progress and performance are connected, but they're not the same thing.
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Progress Tells Us How Much Has Been Completed
Progress measures how much of the planned work has been achieved.
For example, an engineering project might report that 80% of installation activities are complete.
That sounds encouraging.
But what if the project has already consumed 95% of its approved budget?
The project is making progress, but its overall performance raises concerns.
Performance Tells Us How Well We're Delivering
Project performance considers whether delivery is meeting established objectives and expectations.
It goes beyond physical completion to assess schedule, budget, quality, risks, and business value.
Four questions can help project managers evaluate performance:
Schedule and scope: Are we completing the agreed work within the planned timeframe?
Budget: Are actual costs and forecast costs aligned with the approved budget?
Quality and risk: Are deliverables meeting requirements, and are significant risks being effectively managed?
Business value: Is the project on track to achieve its intended objectives and benefits?
Together, these measures provide a more complete picture of project health.
Don't Confuse Progress With Performance
A busy construction site, completed activities, and milestones achieved can create the impression that a project is performing well.
However, completing activities doesn't necessarily mean the project is meeting its objectives.
A project may demonstrate significant progress while exceeding its budget, falling behind schedule, or facing unresolved quality issues.
Effective project management requires looking beyond percentage complete to understand how well the project is performing against its objectives.
This Week's Reflection
When reviewing project reports, what receives more attention in your organisation: percentage complete or overall project performance?
Are your project reports providing a clear picture of project health, or simply showing how much work has been completed?
I'd be interested to hear your perspective.
P.S. If we haven't connected yet, let's connect on LinkedIn and exchange perspectives on engineering, project management, and leadership.
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