Month: May 2025

Why Projects Fail — And How to Predict (And Plan) For Success

Welcome to the second blog in our free Takt University course. In this installment, we’re tackling one of the most important questions in construction and project management: Why do so many projects fail? And more importantly—how can we start getting them right from the very beginning?

We’re going to explore the key takeaways from the book How Big Things Get Done, and how these lessons apply directly to production planning using Takt.

The Ugly Truth: Most Projects Start Off Wrong

If your project is off-track halfway through, it likely didn’t go wrong during construction—it started off wrong. According to How Big Things Get Done, out of 16,000 representative projects:

• Only 8.5% finished on time and on budget.
• A mere 0.5% finished on time, on budget, and as originally planned.
• Projects that failed went 65% over budget on average.
• And finished 58 days late.

That’s not just bad luck. That’s systemic failure rooted in poor planning, broken systems, and untrained or unsupported teams.

The Three Keys to Project Success:

Based on the book and field experience, here’s what every successful project needs:

1. Remarkable Planning.
2. Systems That Support Flow.
3. Skilled People with Real Training.

Let’s break these down.

1. We Don’t Plan Anymore—And It’s Killing Us:

In the industry today, we’re often expected to start planning a project just days before execution. This reactive behavior results in chaos. Real planning should follow the 1/3–2/3 rule: if your project lasts 12 months, you should be planning for at least 6 of those months in advance.

Let’s learn from failure:

California’s “Train to Nowhere” was planned to be a 500-mile rail line completed in 2020. It’s now 2025, over $70 billion over budget, and only spans 172 miles.

Contrast that with the Empire State Building—planned thoroughly, it finished two weeks early and under budget, using time-location flow strategies we now recognize in Takt.

2. We Use the Wrong Systems:

Traditional methods like CPM and design-bid-build are broken. Instead, we should embrace:

• Design-build.
• IPD (Integrated Project Delivery).
• CM-at-risk.
• Takt Planning + Last Planner System.

The goal is to establish flow, not force speed. Pushing people and schedules results in rework, chaos, and burnout. Flow, on the other hand, is what leads to consistent, safe, and productive sites.

3. We Don’t Train Builders—We Train “Security Guards”:

Too often, superintendents are trained in company policies and paperwork, not real building. We’ve taken skilled master builders off the field and turned them into meeting attendees.

Real supers:

• Create zone maps and logistics plans.
• Lead procurement.
• Implement production systems.
• Remove roadblocks.
• Lead teams.

Train them. Support them. And don’t sideline them.

Debunking the Fallacies That Destroy Projects:

Projects don’t just fail because of bad luck. They fail because we fall for predictable traps:

• The Need for Speed: Pushing timelines doesn’t make projects faster—it makes them worse.
• The Commitment Fallacy: Signing a contractor early without a plan isn’t smart—it’s risky.
• Strategic Misrepresentation: Understating risk or complexity to win a job backfires.
• Wish thinking: Hoping problems won’t arise instead of planning to prevent them.

The “10th Person” Principle: Think Differently

In Pre-construction, optimism is your enemy. You need a “10th person”—someone willing to challenge assumptions and look at risk critically.

Plan from right to left:
Start with the completion date, and work backwards through each phase. Make sure each step is achievable and fully prepared before moving on.

This is how Pixar plans their movies:
They do 9 full drafts before final production. Why should we plan construction projects any differently?

Case Studies: When Planning Works (And When It Doesn’t)

Project	Result
Guggenheim Bilbao	Finished on time and under budget using models, iteration, and pre-construction.
Sydney Opera House	1,400% over budget, 9 years late, due to lack of finalized design.
Montreal’s “Big O” Stadium	Paid off over 30 years, still undergoing repairs in 2025.
Frank Gehry Projects	No change orders, rigorous model testing before construction.
Hoover Dam	Finished under budget and ahead of schedule with a master builder in charge.

What Planning Should Include:

Before construction begins, your planning toolkit should contain:

• A Takt plan.
• Zone maps.
• Logistics plans.
• A procurement log.
• Organizational charts.
• A risk and opportunity register.
• A fully designed trailer and signage plan.

The Power of the Integrated Production Control System:

To succeed, every project must integrate:

1. A solid project plan.
2. The Takt Production System.
3. Last Planner System for team alignment.
4. Trade partners prepared for Takt.
5. Real builders with experience.

You can’t just implement Takt blindly—you need the right training, team, and sequencing for it to work.

Final Thought: Learn to Say “No”

Most failures occur not because someone didn’t know—but because they didn’t say no:

• No, we’re not skipping planning.
• No, we’re not rushing trades.
• No, we’re not using broken systems.

Saying no to dysfunction is the first step toward remarkable results.

Key Takeaway:

Most projects don’t go wrong—they start wrong. Success in construction begins with thorough planning, proven systems like Takt and Last Planner, and experienced builders who think critically before the first shovel hits the ground. Stop pushing. Start planning. Think from right to left, build on paper first, and support your people from day one.