PMI Attributes 60% of Startups Failure to Poor Project Management 

Raheem Akingbolu

The Managing Director, Sub-Saharan Africa, Project Management Institute (PMI), George Asamani, has urged entrepreneurs in Nigeria not to skip project management basics when jumping into business.

In a statement issued by the institute, Asamani admitted that technology is akin to Play-Doh because of its power to offer boundless possibilities and allow business owners to create, innovate, and solve problems. 

He however opined that technology alone isn’t enough, adding that much like the mould that shapes Play-Doh into meaningful forms, startups need project management to transform ideas into viable projects.

While making reference to Exploding Topics, which stated that up to 90 per cent of startups fail, with more than 60 per cent of these failures attributable to factors directly or indirectly linked to poor project management, like overspending, scope creep, team dynamics, and lack of communication, amongst others, the PMI Boss pointed out that project management is the discipline of planning, organising, and overseeing the successful completion of projects.

“It involves setting clear objectives, allocating resources, managing risks, and ensuring that projects are delivered on time and within budget. It is a strategic discipline that can make the difference between a startup that thrives and one that fails,” he stated.

According to Asamani, a startup built on a solid project management framework is also better equipped to align its operations with broader social and environmental goals. He stated that ventures like M-Kopa and Andela exemplify this approach, thereby contributing effectively to the Sustainable Development Goals. “M-Kopa’s affordable solar solutions combat climate change by providing access to clean energy, while Andela’s tech training programs empower youth in Africa, promoting quality education and decent work.” 

The statement further stated that young people are at the forefront of innovation and creativity in today’s rapidly evolving digital landscape.