Assignment

Submitted by: Sajid Iqbal 13177

Why most of projects fail in Pakistan?

The need for effective project planning in the framework of macro planning has always been
very strong in Pakistan as projects from the basis of development. Without successful
execution of projects, it is unlikely that development plans could be implemented
effectively.
Experience has shown that the process of project planning and implementation in the
country has suffered from inherent problems ranging from conceptual differences about the
projects.
Lack of user involvement has proved fatal for many projects. Without user involvement,
nobody in the business feels committed to a system, and can even be hostile to it. If
a project is to be, a success senior management and users need to be involved from the
start, and continuously throughout the development. This requires time and effort, and
when the people in a business are already stretched, finding time for a new project is not
high on their priorities. Therefore senior management need to continuously support the
project to make it clear to staff it is a priority.
The $45 million ADB-funded Reproductive Health project failed only because of poor
coordination of line departments such as ministry of health, population welfare and
provincial departments.
Planning is the most significant key contributor to project success. First highest rated project
failure cause was Poor project planning. ‘Saaf Pani’ project is the biggest hoax of the 21st
century. It started during the regime of the fourth Khaki dictator General Pervez Musharraf
in which water filtration plants were established in 26 districts with great fanfare at the cost
of billions. There was no budget or plan for filter replacement and management. It was
considered a one-time investment for everlasting good. First, the filters were choked and
then the water supply disrupted. There were no arrangements for supervision, maintenance
or security. When Musharraf, departed the plants were vandalized.
Most projects failure causes was due to inadequate project design; an unclear description of
the objectives; beneficiary needs not properly analysed; Project manager is inconsiderate
towards Beneficiaries’ needs; a lack of agreement on project objectives; stakeholder
agendas are different and inconsistent among each other.
The third top reason of project failure is a lack of concrete support and involvement of top
management. Upper-level management must commit and inculcates the culture that the
project is valuable and takes proper care of it. Selection of a capable project manager and
provision of timely resources to the project is also their role. Upper-level involvement in
micro management or over involvement weakens the authority and role of project
management and the respect of relevant stakeholders. Upper level restricts their role as a
facilitator, not to be the project manager for a project. Projects fail when upper level
management interferes with the role of project manager.
Corruption of top management and affiliated politicians and bureaucrats in public and
development projects is one of the major cause of failure of project. Pakistan steel mills is
one the example, nobody could imagine that this country’s largest industrial unit will ever
become bankrupt and will not be able to even pay even its employees’ salaries. The worst
time for PSM and its employees started after PPP (Pakistan People’s Party) came into power
in 2008. Although, Steel Mills was starting deteriorating in Musharraf’s rule to be fair. Thus,
because of overcrowding of useless employees, incompetence of top management, week
policies and most significant reason behind PSM collapse was corruption of its top
management and affiliated politicians and bureaucrats in the past many years and affluently
after 2008 until now.

Lack of skilled personnel in project execution, procurement, or monitoring and evaluation;

shortages of project management-trained staff, delays in hiring personnel, or ineffective use
of those appointed. CBO has to get in depth knowledge of the project cycle, planning, use of
tools and techniques of project management, monitoring and evaluation.

Energy is critical for running every single other asset and emergency of vitality specifically
affects every single other segment of the economy. The financial advance is hampered by
the decrease in horticultural efficiency and by stopping in tasks of enterprises. One essential
factor of lower GDP and expansion of ware costs as of late is credited to setbacks in vitality
supply.

Some other factors and causes are:

 Incompetent Contractor,
 Delay in Procurement of long lead items,
 Delay in Payments to Contractors,
 Inaccurate Cost Estimates,
 Inaccurate Project Schedule & Incompetent Project Team,
 Lack of cash flows &
 Lack of Change Control Process
 Scope Creep
 Government or Regulatory Changes
 Law & Order Issues
 Lack of Risk Planning
 Organizational Changes