Every day your project is delayed, you lose that day's value, permanently. Time is money. You need an active and effective value delivery approach.

Every Day You Delay, You Lose A Day's Value


You can destroy value by delivering the projects late thereby delaying the start of benefits realization. 
Each day/week/month the project is delayed, the benefits are also delayed. The actual value lost is at the end of the value realisation period, which is pushed out and this is when the value is usually at its greatest. 

A project that will render $100,000 a month in benefits in, say, three years time loses this value every month it is delayed.

Projects become ‘late’ one day at a time. A day here or there does not seem much but as these days accumulate, the delivery date can be delayed again and again. Sometimes this cannot be avoided, but this does not change the value implications.

The value to be delivered each day, week, or month at the end of the business case period is the value that will be forever lost for each day, week, or month the project is delayed.

In Conclusion

Project delays can be caused by how you approach your project, your team's productivity, the issues and risks that arise, et al. If your project is running late, you may need to change how you implement it so as to speed up its delivery. This will have a direct and major impact on your project’s total net value. Faster project delivery increases the total value realized.

Faster delivery can be assured through simplifying your requirements to reduce the overall workload - EXPLORE MORE

Topics: Value Delivery, Project Controls, Business Simplification


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Revision History

First published: Simms, J. (June 2010) as "Where Does Value Go On Projects? Value Loss Through Project Delays"

Updated: Chapman, A. (March 2020), Revisions and Corrections