--- title: Understanding Project ‘SUCCESS’ description: There are four principal measures of project success - which have very different business impacts - which will you choose? --- [![Totally Optimized Projects](https://blog.totallyoptimizedprojects.com/hs-fs/hubfs/TOPLogos/TOP%20Header%20logo2020.png?width=338&height=93&name=TOP%20Header%20logo2020.png "Totally Optimized Projects")](https://www.totallyoptimizedprojects.com) ![depth-of-field-photo-of-man-sitting-on-chair-while-holding-927451](https://blog.totallyoptimizedprojects.com/hs-fs/hubfs/StockImages/depth-of-field-photo-of-man-sitting-on-chair-while-holding-927451.jpg?width=3200&name=depth-of-field-photo-of-man-sitting-on-chair-while-holding-927451.jpg "depth-of-field-photo-of-man-sitting-on-chair-while-holding-927451") # Understanding Project ‘SUCCESS’ [![Share on facebook](https://7528309.fs1.hubspotusercontent-na1.net/hub/7528309/hubfs/raw_assets/public/mV0_d-web-default-modules_hubspot/img/facebook-color.png?width=24&name=facebook-color.png) ](https://www.facebook.com/share.php?u=https%3A%2F%2Fblog.totallyoptimizedprojects.com%2Ftop-thinking%2Funderstanding-project-success%3Futm_medium%3Dsocial%26utm_source%3Dfacebook) [![Share on linkedin](https://7528302.fs1.hubspotusercontent-na1.net/hub/7528302/hubfs/raw_assets/public/mV0_d-web-default-modules_hubspot/img/linkedin-color.png?width=24&name=linkedin-color.png) ](https://www.linkedin.com/shareArticle?mini=true&url=https%3A%2F%2Fblog.totallyoptimizedprojects.com%2Ftop-thinking%2Funderstanding-project-success%3Futm_medium%3Dsocial%26utm_source%3Dlinkedin) [![Share on twitter](https://7528304.fs1.hubspotusercontent-na1.net/hub/7528304/hubfs/raw_assets/public/mV0_d-web-default-modules_hubspot/img/twitter-color.png?width=24&name=twitter-color.png) ](https://twitter.com/intent/tweet?original_referer=https%3A%2F%2Fblog.totallyoptimizedprojects.com%2Ftop-thinking%2Funderstanding-project-success%3Futm_medium%3Dsocial%26utm_source%3Dtwitter&url=https%3A%2F%2Fblog.totallyoptimizedprojects.com%2Ftop-thinking%2Funderstanding-project-success%3Futm_medium%3Dsocial%26utm_source%3Dtwitter&source=tweetbutton&text=) [![Share on email](https://7528311.fs1.hubspotusercontent-na1.net/hub/7528311/hubfs/raw_assets/public/mV0_d-web-default-modules_hubspot/img/email-color.png?width=24&name=email-color.png) ](mailto:?subject=Check+out+https%3A%2F%2Fblog.totallyoptimizedprojects.com%2Ftop-thinking%2Funderstanding-project-success%3Futm_medium%3Dsocial%26utm_source%3Demail&body=Check+out+https%3A%2F%2Fblog.totallyoptimizedprojects.com%2Ftop-thinking%2Funderstanding-project-success%3Futm_medium%3Dsocial%26utm_source%3Demail) Last updated: September 24, 2020 There are four principal measures of project success - which have very different business impacts - which will you choose? --- ## Consider these Four Scenarios and decide which you'd rate as a 'Success' Say you set out to build a four-bedroom house with a large open-plan family area that opens onto a large patio. Your budget is $500K and the expected timeframe to build is 6 months. > ### **Scenario 1** > > You end up spending $750K, it takes 10 months and you cannot get a bed in the fourth bedroom, the ‘open-plan’ area has six pillars in it and the planned French doors to the patio are now a window with a radiator beneath it (making it difficult to change). So, you now have a (bed)room you cannot use and your open plan living style has been thwarted. Would you call this ‘success’? > ### **Scenario 2** > > You end up spending the $500K and complete in 6 months, but all of the house faults detailed in scenario 1 still apply. Would you call this ‘success’? > ### **Scenario 3** > > You end up spending $750K and its takes 10 months, but you get exactly what you asked for in terms of the house. Would you call this ‘success’? > ### **Scenario 4** > > You spend the $500K in 6 months and you get exactly what you asked for. **Isn’t this the true definition of ‘success’?** (There is also a Scenario 0 where you spend $x dollars over y months and get nothing finished.) --- Project success statistics by Standish Group, Gartner and others are fairly consistent in their results > ### **Scenario 0** > > Deliver nothing = 15% of all projects started > > ### ** Scenario 1** > > Over time, budget and under deliver = 50% of all projects started > > ### ** Scenario 2 ** > > On time, budget but under deliver = 30% of all projects started > > ### ** Scenario 3 ** > > Over time, budget but to specification Unknown, included in scenario 1. > > ### ** Scenario 4 ** > > On time, budget and to specification = 5% of all projects started. Hence the poor project success statistics that measure only 35% of projects as successful in project management terms and 5% as successful in business results terms. (NB Both scenarios 3 and 4 deliver the business value expected.) You may be surprised that each of these scenarios is considered ‘success’ in some organizations: > ### **Scenario 1 ** > > “Completion” is the measure of success regardless of how long it takes or how much it costs and what is delivered > > ### ** Scenario 2** > > “Project efficiency” is the measure of success regardless of the result delivered > > ### ** Scenario 3 ** > > “Delivering the result” is the measure of success, regardless of the time or cost > > ### ** Scenario 4 ** > > “Delivered value” is the measure of success. After all, isn’t this why the project was commissioned in the first place? The real impact is on the realized value. > ### **Scenario 0 ** > > Negative — all costs, no value. > > ### ** Scenario 1 ** > > Negative — remedial and ongoing costs on top of delivery costs exceed value > > ### ** Scenario 2 ** > > Negative to breakeven — costs lower, but value realized also lower > > ### ** Scenario 3 ** > > Positive but compromised — value realized exceeds costs by a factor of 1.3 delivered for every dollar invested > > ### ** Scenario 4 ** > > Significantly positive — value realized exceeds costs by factor of 3 or more. Shouldn’t you be focused on the scenario 4 measures of success — full delivery of business outcomes and benefits on time and on budget? #### Explore project success more [![Download now "UNDERSTANDING PROJECT SUCCESS"  ](https://hubspot-no-cache-ap1-prod.s3.amazonaws.com/cta/default/467424/748f4d25-7115-4405-ad99-e282a0480f26.png)](https://hubspot-cta-redirect-ap1-prod.s3.amazonaws.com/cta/redirect/467424/748f4d25-7115-4405-ad99-e282a0480f26) Topics: [Project Success](https://blog.totallyoptimizedprojects.com/top-thinking/topic/project-success) ### Further Reading   #### Footnotes [1] ... --- ###### Revision History First published: [![Simms, J.](https://hubspot-no-cache-ap1-prod.s3.amazonaws.com/cta/default/467424/2854883b-1600-46fc-9eaf-1e12fb465102.png)](https://hubspot-cta-redirect-ap1-prod.s3.amazonaws.com/cta/redirect/467424/2854883b-1600-46fc-9eaf-1e12fb465102) (Feb 2008) as "Understanding Project ‘SUCCESS’" Updated: [![Chapman, A.](https://hubspot-no-cache-ap1-prod.s3.amazonaws.com/cta/default/467424/0cd0ed44-5c71-45ed-895d-2b8bc841e12b.png)](https://hubspot-cta-redirect-ap1-prod.s3.amazonaws.com/cta/redirect/467424/0cd0ed44-5c71-45ed-895d-2b8bc841e12b) (March 2020), Revisions and Corrections ### TOPics - [Benefits Management (29)](https://blog.totallyoptimizedprojects.com/top-thinking/topic/benefits-management) - [Business Case (24)](https://blog.totallyoptimizedprojects.com/top-thinking/topic/business-case) - [Business Simplification (5)](https://blog.totallyoptimizedprojects.com/top-thinking/topic/business-simplification) - [Capability Development (38)](https://blog.totallyoptimizedprojects.com/top-thinking/topic/capability-development) - [Capital Investment (24)](https://blog.totallyoptimizedprojects.com/top-thinking/topic/capital-investment) © TOTALLY OPTIMIZED PROJECTS 2026 [**](https://blog.totallyoptimizedprojects.com/top-thinking/understanding-project-success#)