There are several factors, macro & micro, some outside the ambit of the project manager, and others within his authority and control, which are responsible for delay/failure of projects. These are called constraints of a project. Successful project managers need to identify the real reasons behind this in order to prevent such delays in future. Some illustrative constraints, external and internal, for the delay/failure of a project are given below:
External Constraints
· Global and macro level government policies, influenced by social, economic, political and regional pressures, affecting currency fluctuations, trade relations, foreign aid etc., e.g. Sino-Indian confrontation, Indo-Pak disputes, Arab-Israel conflict, Gulf crisis, etc.
· Indian government policies e.g. import regulations etc.
· Panic taxation.
· Defense expenditure.
· Political situation.
· Inflation.
· Non-developmental expenditure.
· Budgetary deficit.
· Economic stagnation/recession.
· Natural disaster.
· Law and order problem.
· Statutory regulations.
· Social turmoil, e.g. terrorist menace, communal vandalism, etc.
Internal Constraints
These mainly relate to people, funds and organization. These can be anticipated, planned and controlled. Corporate culture and leadership style are the key areas.
· Inappropriate choice of site.
· Inadequacy of collaboration agreements.
· Technical incompetence.
· Lack of skilled worker.
· Inadequate project planning.
· Change of scope due to government regulations.
· Alteration due to demand fluctuation.
· Resource constraints, e.g., limitation of funds.
· Vendor delivery problem.
· Inferior quality of material.
· Lack of infrastructure.
· Labour problem.
· Low motivation of project team.
· Inadequacy of technical inputs.
· Lack of coordination between team members.
· Frequent transfers of project manager and other key personnel.
· Late clearance of the project by authorities, and of project schedule by executing agencies.
· Price escalation.
· Inadequate liaison/procedural delays in statutory matters.
· Poor monitoring and control.