BOOK SUMMARY 394 The Checklist Manifesto

BOOK SUMMARY 394

The Checklist Manifesto

·         Summary written by: Justin Gasbarre

"Using a checklist—you improve the outcomes with no increase in skill. That’s what we are doing when we use the checklist."

- The Checklist Manifesto, page 168

In The Checklist Manifesto, author Atul Gawande, MD, MPH, explores how the use of a simple checklist can help eliminate errors in even the most complex jobs and industries. Gawande is a surgeon, writer, and public health researcher who began studying the effectiveness of checklists’ through his work at World Health Organization.

Gawande begins the book by asking the question, why is it that top professionals today, who are better educated and better trained than at any point in human history, still make simple, avoidable mistakes? Mistakes that waste huge amounts of money and even cost lives.

As Gawande set out to find a better way to fix these errors, he met with professionals in healthcare, aviation, and construction to learn how they are leveraging checklists to drastically avoid controllable mistakes. Throughout the book, Gawande shares with us real-life examples of how these complex jobs leverage checklists to achieve success.

The Golden Egg

Why We Fail

"If the knowledge exists and is not applied correctly, it is difficult not to be infuriated."- The Checklist Manifesto, page 11

Today, more than at any other time in human history, much of the workforce are “knowledge workers”—people working in jobs that involve using information to make decisions. Given this, people have to continuously know more and learn more if they want to succeed and thrive.

Gawande starts off by addressing that it’s unrealistic for people to know and/or understand everything they’re supposed to know at all times and in all situations. “The volume and complexity of what we know has exceeded our individual ability to deliver its benefits correctly, safely, or reliably. Knowledge has both saved us and burdened us.” And while no one is perfect, it doesn’t mean that if a mistake is made that it wasn’t avoidable. Gawande shares the two main reasons that failure occurs:

·         Ignorance – “we may err because science has given us only a partial understanding of the world and how it works.”

·         Ineptitude – “in these instances the knowledge exists, yet we fail to apply it correctly.”

Think about where both apply in your life.  The challenge we now face is ensuring that the knowledge that we do have is applied consistently and correctly, which is where a checklist can be of great value.

Gem #1

The Checklist and Solving Problems

"Checklists seem able to defend anyone, even the experienced, against failure in many more tasks than we realized. They provide a cognitive net. They catch mental flaws inherent in all of us—flaws of memory and attention and thoroughness."- The Checklist Manifesto, page 48

In Gawande’s research, he came across two professors who studied the science of complexity, which highlighted three types of problems in the world: the simple, the complicated and the complex. They are defined as:

·         Simple Problems – “are ones like baking a cake from a mix. There is a recipe. Sometimes there are a few basic techniques to learn. But once these are mastered, following the recipe brings a high likelihood of success.”

·         Complicated Problems – “are the ones like sending a rocket to the moon. They can sometimes be broken down into a series of simple problems. But there is no straightforward recipe. Success frequently requires multiple people, often multiple teams and specialized expertise.  Unanticipated difficulties are frequent. Timing and coordination become serious concerns.”

·         Complex Problems – “are ones like raising a child. Once you learn how to send a rocket to the moon, you can repeat the process with other rockets and perfect it. One rocket is like another rocket. But not so with raising a child. Every child is unique. Although raising one child may provide experience, it does not guarantee success with the next child. Expertise is valuable but most certainly not sufficient. Indeed, the next child may require an entirely different approach from the previous one. And this brings up another feature of complex problems: their outcomes remain highly uncertain. Yet we all know that it is possible to raise a child well.”

In each of these problems, checklists can provide direction and protection against elementary errors in the process. As you’ll see in GEM #2, it is important to determine which type of problem you’re looking to solve or address when considering how a checklist can help achieve the outcome that you’re after.

Gem #2

When You’re Making a Checklist

"When you’re making a checklist---you must define a clear pause point at which the checklist is supposed to be used."- The Checklist Manifesto, page 123

Throughout the book the author refers to the term “pause points”. These are points in any process where there’s a natural pause in the action before doing a job. This is where and when a checklist can be best leveraged. During these “pauses” there are typically two types of checklists that are used and they are do-confirm checklists and read-do checklists. They are defined as:

·         Do-confirm checklist — “team members pause to run the check-list and confirm that everything that was supposed to be done was done.”

·         Read-do checklist — “people carry out the task as they check them off—it’s more like a recipe.”

Per GEM #1, depending on the problem or situation that the checklist is being used for, either type of checklist could be leveraged.

Gawande touches on some additional guidelines for creating effective checklists, which I want to quickly cover. The checklist cannot be lengthy (rule of thumb: keep between 5-9 items) and needs to take between 60-90 secs to run through. Perhaps the most important piece after a checklist is developed is for it to be tested in the real world. From there it should be tweaked and modified until it fits the need it’s intended to serve.

The Checklist Manifesto is an engaging read that examines a simple tool which has been proven to produce remarkable results. The job of a checklist is simply to help eliminate errors and things that we have control over. Given the complexity of our jobs (no matter what field we’re in) we can all learn to leverage this simple tool. I’d encourage you to examine how you can incorporate checklist into your personal and professional lives.

As Gawande says, “Try a checklist.”

THINKING SPECIAL ....How to Make Difficult Problems Easier to Solve with Systems Thinking

How to Make Difficult Problems Easier to Solve with Systems Thinking

Everything and every time we think, we are projecting our own view on reality.  Revolutionary Systems Thinker and professor at Cornell University Derek Cabrera remarked,

“When we understand the world as being the result of systems of relationships, we better approximate reality.”

I recently came across Derek’s book Systems Thinking Made Simple: New Hope for Solving Wicked Problems and I was hooked! I was immediately converted to the field of Systems Thinking. In fact, I plan on using Systems Thinking as my new algorithm for everything I do.

After speaking with Derek, I decided to write an article that was similar to a book review, yet also a how-to. This article will focus on Derek’s new version of Systems Thinking (v2.0), how to use it, and some tools to use with it. So, let’s take a look at what Systems Thinking v2.0 is.

The Best Way to Solve Wicked Problems

If you had to think of the problem that underlies all other problems, what would you say it is? Derek informs us that it is the way we think and until we change the way we think, we will find it extremely difficult to tackle wicked problems. In fact, Albert Einstein would have probably agreed. Einstein once remarked,

“Without changing our patterns of thought, we will not be able to solve the problems created with our current pattern of thought.”

So, what are wicked problems?

“Wicked problems result from a mismatch with how things work and how we think or perceive they work.” – Derek Cabrera

Why Systems Thinking Is the Best Way To Innovate

Personally, Systems Thinking is my “aha” or epiphany generator. It is the best way to innovate. In fact, there are three ways to innovate.

1. Invent something new.

2. Make an existing product better.

3. Combine two existing things into something new.

Systems Thinking is also perfect for learning something in one domain and transferring it to another. Along with his wife Laura, Derek discusses how Systems Thinking uses what is called a Far Transfer. This is learning something in one domain and transferring it to another in order to teach yourself 5-20 additional things.

Derek and Laura discovered Systems Thinking v2.0 after developing an equation. Yet, it was his wife Laura who helped him translate this into the real world. Laura is an expert in the field of Translational Research, which helps bring the abstract into reality. They then developed Systems Thinking v2.0 through four simple rules. However, let’s look at a couple of key concepts to understand before we discuss the four rules.

The Foundation of Systems Thinking

Mental Model

“All mental models are wrong; the practical question is how wrong do they have to be to not be useful.” – George E.P. Boy

This is the foundation of Systems Thinking. Derek informs us that a Mental Model is an explanation of someone’s thought process about how something works in the real world. Think back to our discussion on wicked problems. Wicked problems are present when our mental models are complex.

Derek provides the following equation for Mental Models.

Information + Structure = Mental Models

• Information includes all material, information, or data of any kind that contribute to meaning.
• Structure includes hidden contextual structure that contributes to meaning.

Complex Adaptive System

Complexity theory draws research from science that examines uncertainty and non-linearity. It emphasizes interactions and feedback loops that are continuously changing. This is why Systems Thinking must be a Complex Adaptive System (CAS). This provide us an understanding of a system and the system’s behavior.

The Four Simple Rules of Systems Thinking

Let’s now discuss the four simple rules of Systems Thinking v2.0. These rules are known as DSRP, which represents four cognitive functions that we must have to form new ideas:

• Distinctions
• Systems
• Relationships
• Perspectives

Distinctions

Simply put, every idea starts with a distinct thing or idea. Let’s see how Derek describes Distinctions.

• They are the key to solving wicked problems.
• They identify what a thing or even a problem IS and what it IS NOT.
• They serve as the boundary that define an idea.
• The things we see and think about derive meaning from other proximate things or ideas.
• Essentially, words mean what we want them to mean.
• Key words: compare, contrast, define, differentiate.

Systems

A change in the way an idea is organized leads to a change in the meaning of the idea.” – Derek Cabrera

Similar to distinctions, every idea or thing is a system containing parts. Let’s take a look at how Derek describes Systems.

• Any idea or thing can be split into parts (deconstruction).
• Any idea or thing can be lumped into a whole (construction).
• A person who can do both (split and lump) is called a “Slumper”.
• Slumper’s are people who have the ability to both construct or synthesize ideas; additionally, they can deconstruct ideas to further our understanding.
• Key words: part-whole, chunking, grouping, organizing.

“What makes something a part is that it belongs to a whole. What makes something a whole is that it has a part. Every whole has the potential to also be a part. Your mind needs to do the work to see this. In the real world, whatever you are looking at has parts.” – Derek Cabrera

Relationships

Relationships consist of an action and reaction. Here is how Derek defines Relationships.

• We cannot understand much about a thing or idea without understanding the relationship between or among the ideas or systems.
• All types of relationships require that we consider two underlying elements: action and reaction.
• Key words: connect, interconnection, interaction, link, cause, effect, feedback.

Perspectives

 “If you change the way you look at things, the things you look at change.” – Derek Cabrera

Let’s now take a look at the last rule – Perspectives. We typically identify perspectives when we are able to identify the boundaries of a system and determine the relationships in a system. Derek defines Perspectives by the following.

• Sometimes perspectives are so basic and so unconscious to us, we are unaware of them but they are always aware of us.
• Perspectives are made up of two related elements: a Point from which we are Viewing and the thing or things that are in View (Point-of-View).
• Being aware of the perspectives we take and do not take is paramount to deeply understanding ourselves and the world around us.
• Shift perspectives and we transform distinctions, relationships, and systems we do and do not see.
• Different perspectives result from changing the Point, the View, or Both.

“Perspectives can be used to make us expand our thinking and include more options (i.e. divergent thinking). It can also be used to restrict our thinking and cause greater focus (i.e. convergent thinking).” – Derek Cabrera

Fill in Gaps Through Systems Thinking

Via Systems Thinking Made Simple by Derek Cabrera

“Systems Thinking requires little more than practice in building cognitive building blocks. It is no different than building with different types of Legos, or the four different nucleotides in DNA.” – Derek Cabrera

Let’s look at how to use some of the tools in Systems Thinking v2.0. The first technique we will look at is called a Cognitive Jig. This is a powerful technique, one in which Derek informs us,

“Will increase our speed of thought.”

Types of Cognitive Jigs

• Analogy. An analogy is the comparison of two things demonstrating similarities. Derek informs us,

“The genius behind the invention of analogies was that they gave us a mental model of a common way we understand things (i.e. by comparison to a known thing).”

• Metaphor. A metaphor is used when we need to make a comparison between two things that are not alike, yet have something in common.

New Cognitive Jigs

• Perspective Circles (P-Circle). P-Circles change the point (a) or the view (b) which changes the perspective. Another way to look at it is from an idea (b) from the perspective of an idea (a).
• Part-Parties. They demonstrate a whole made up of parts. The basic idea is: 1) Break an idea or thing into parts; 2) Relate the parts. These can then be extended further by including perspective.
• Barbells. You can look at Barbells as two ideas or things and the relationship between them. Expanded further, we find what is called an RDS Barbell, where: R = Relate; D = Distinguish; and S = Systematize. Derek calls these “algorithms for innovation.” He uses RDS Barbells in solving wicked problems as complexity is hidden in the interrelationship between ideas.

Tools to Help You Adapt Systems Thinking

Lastly, let’s take a brief look at some of the tools Derek and Laura have created to assist us in understanding and using Systems Thinking v2.0.

MetaMap. This platform was created to help us understand exactly how to map our thinking process using DSRP. You can even use it to map an outline to an essay! Best of all, this platform is free to use.

ThinkBlocks. These are 3D dry erase blocks that anyone of any age can use.

ThinkQuiry. This website uses what Derek refers to as “MadLib” style DSRP questions. These can be useful in helping us use the structure of DSRP to discover new ideas. It utilizes the Socratic Method and focuses on the questions more than the answers. Start to discover new ideas on ThinkQuiry.

If you can’t tell already, I highly recommend purchasing Systems Thinking Made Simple: New Hope for Solving Wicked Problems. Derek provides us a way to literally generate new and amazing ideas. There are an infinite number of thoughts in our mind, and an infinite number of systems we can use to explore our thoughts. Systems Thinking v2.0 provides us a powerful way to explore our thoughts.

Furthermore, Derek places everyone on a Consciousness and Competence Continuum. He describes the continuum as:

1. We begin at the unconscious incompetence stage (we don’t know what we don’t know).

2. If we are lucky, someone wakes us up and causes us to search for something more. We then move into the conscious incompetence stage, where we realize we have something we need to learn.

3. Once we develop some competence, we then move into the unconscious competence stage. Here we practice a skill without being fully aware of the skill. There is some cognition, just not metacognition (thinking about thinking or cognition about cognition).

4. When we finally move into the conscious-competence stage, we become aware of what we are doing so that we can adapt to where we need to be.

Successfully progressing along the continuum means we have an increase in our metacognitive awareness, which is extremely important as everything we experience is an ever-changing mental model.

Derek’s vision for Systems Thinking v2.0 is to develop 7 Billion Systems Thinkers! Let me end this article with three questions. These are the same questions Derek used to develop his vision and you can use it to develop yours.

• Question #1: What pisses you off the most?
• Question #2: What do you see today?
• Question #3: What should you see tomorrow?·          

·         Dr. Jamie Schwandt

·      

http://www.lifehack.org/629157/how-to-make-difficult-problems-easier-to-solve-with-systems-thinking

RESUME SPECIAL .....Three Resume Trends That Are Actually Worth Following And Two That Aren’t

Three Resume Trends That Are Actually Worth Following And Two That Aren’t

In our fast-paced world, trends are constantly coming and going, whether you’re talking about the latest music, fashion, or toys (I’m lookin’ at you, fidget spinners). And this doesn’t just occur in the realm of pop culture–it also occurs in the job seeking and recruiting space. The things that recruiters and hiring managers look for, and the way that candidates try to get their attention, are ever-evolving. So if you don’t keep up, you might be left behind.

This is especially true when it comes to the single most important document in the job search: your resume. You only get one shot for your resume to make an impression, so you want to make sure that you’re taking advantage of the hottest trends, and staying away from the ones that are better off ignored. But what exactly does that look like today? Here’s what career experts have to say.

THREE TRENDS TO EMBRACE

1. Short and sweet
If you got into a routine of sprinkling in filler words and flowery language to help you reach a minimum word count in school, now’s the time to kick the habit. Studies show that recruiters only spend between six and seven seconds on your resume–so don’t waste time writing content they won’t read. But keep in mind that if you’re going to cut down the length of your resume, you need to make every word count.

“Shorter resumes are easier to read but they need to get to the point immediately and with powerful, precise language. Unlike the trend a few years ago to tell a story through countless examples of accomplishments, the goal now is to show what you are qualified to do, why, and how the company will benefit,” says Roy Cohen, career coach and author of The Wall Street Professional’s Survival Guide.

The exact information you should include, as well as the format, may vary depending on your role, so “get feedback from industry and company insiders who can explain what to include on your resume and how to format the content,” Cohen suggests. “When your resume is shorter AND it gets the message across loud and clear, you are essentially punching above your weight. That is always a desirable theme in a job search: The candidate who offers better value.”

2. Hyperlinks
One easy way to make sure that your resume stays concise but still packs a punch? Providing hyperlinks to relevant information and resources.

“A hyperlink is the equivalent of CliffsNotes for your resume. You have the freedom to reference a much larger and more significant item and to expand on a key point,” Cohen says. “Brevity is the goal for most resumes. An abbreviated message that can be backed up addresses the needs of both the short attention span reader and the reader who wants to dig deeper into your background and qualifications.”

A couple best practices when including hyperlinks: “Use links appropriately and only to showcase illustrations that support you as a candidate. Make sure that you highlight these links clearly so that the reader of your resume neither ignores or overlooks this valuable information,” Cohen advises.

3. Digital add-ons
You might be wondering: Which resources should you be hyperlinking to within your resume?

For starters, you may want to try a video cover letter. “A quick video will capture [recruiters’] attention and leave them learning more about you than they would through those six seconds” spent scanning a resume, Sheth shares. “Applicants should record videos with the intention of showcasing their personality, communication style, and why they are the right person for the job.”

Or, “if you are applying to a role where work product is relevant, like in many creative industries, you can create a digital portfolio of your work and include a link to your portfolio so that recruiters can review it,” Sheth says. “This will show you’re prepared, qualified and will leave a lasting impression.”

TWO TRENDS TO AVOID

1. Design over functionality
Sure, an eye-popping resume can look good on paper. But if you get too caught up with making a visually appealing resume, you might prevent your resume from ever getting in the hands of a recruiter.

“One of the newest resume trends is using Etsy-styled templates that have a lot of columns and graphic design,” says resume writer and career transition coach Wendi Weiner.

But while “this approach shows off your creative ability and eye for design… it likely won’t make it past an Applicant Tracking System (ATS), which many companies use as a screening method to weed out resumes that don’t meet specific on-page standards (think keywords, industry buzzwords, and conventional headlines),” shares Zachary Painter, career adviser and hiring manager at ResumeGenius.co.

To get around this, “stick to a sophisticated yet professional template that enables your headlines to stand out–a reader’s eyes naturally gaze at the center of the page, so make sure your headlines are centered in the middle of the page for easy reading. Consider also having a line underneath the headline title (professional experience, education, core skills, etc.) so that the sections of your resume are separated,” Weiner suggests.

On the other hand, if you’re applying for a position in a highly visual field where creative resumes are a boon, take advantage of those hyperlinks again by “providing a link to your portfolio in your online application and on your printed out, physical resume. This will satisfy ATS bots and land safely in the hands of a hiring manager or department head,” Painter says.

2. Skill-points systems
It’s no secret that recruiters and hiring managers love when you can quantify your success–but it is possible to have too much of a good thing.

“Over the years, the term ‘quantification’ –as it applies to resumes–has gotten taken out of context. Basically, applicants think it’s smart to rate their additional skills on a resume by ranking each skill with a number ranging from one to ten,” Painter says. (E.g. Photoshop: 7/10, Microsoft Word: 4/10, Excel: 8/10).

But the problem is that quantifying your skillset is vague and arbitrary — and too many applicants are tempted to give themselves top marks for everything. If you rate every skill as a nine or 10 out of 10, recruiters and hiring managers will probably be skeptical.

“The best solution is to mention that you have experience or familiarity in the additional skills you provide. Go for something like this:

• Proficient in Adobe Creative Suite
• Familiar with WordPress
• Experienced with Javascript, HTML, and CSS languages

This communicates better than a vague ‘skills point system’, and hiring managers will appreciate it more,” Painter says.

https://www.fastcompany.com/40467428/three-resume-trends-that-are-actually-worth-following-and-two-that-arent?utm_source=postup&utm_medium=email&utm_campaign=Fast%20Company%20Daily&position=7&partner=newsletter&campaign_date=09162017

INNOVATION SPECIAL..... Innovators Under 35 INNOVATIVE Visionaries V7. Neha Narkhede, 32

Innovators Under 35

INNOVATIVE Visionaries

V7. Neha Narkhede, 32

Confluent

Helping companies make sense of all the data.

The business world is drowning in data, but Neha Narkhede is teaching companies to swim. As an engineer at LinkedIn, Narkhede helped invent an open-source software platform called Apache Kafka to quickly process the site’s torrent of incoming data from things like user clicks and profile updates. Sensing a big opportunity, she co-founded Confluent, a startup that builds Apache Kafka tools for companies, in 2014. She’s been the driving force behind the platform’s wide adoption—Goldman Sachs uses it to help deliver information to traders in real-time, Netflix to collect data for its video recommendations, and Uber to analyze data for its surge-pricing system. Confluent’s products allow companies to use the platform to, for example, sync information across multiple data centers and monitor activity through a central console.

“We view our technology as a central nervous system for companies that aggregates data and makes sense of it within milliseconds, at scale,” she says. “We think virtually every company would benefit from that and we plan to bring it to them.”

—Elizabeth Woyke

MIT  TECHNOLOGY REVIEW

PROJECT MANAGEMENT SPECIAL....The art of project leadership: Delivering the world’s largest projects (2) McKinsey Capital Projects & Infrastructure Practice September 2017

The art of project leadership: Delivering the world’s largest projects (2)

McKinsey Capital Projects & Infrastructure Practice September 2017

Executive summary

Extraordinary projects have been executed through millennia. Think of the scope of project management required to build the Pyramids of Giza, the Great Wall of China, and the cathedrals of Europe; or more recently, the development of the world’s transport, energy, space, military, and science infrastructure. Today, the prize for executing large projects successfully is significant. With ever-increasing size and ambitions, the modern large construction project not only has a lasting impact on the organisation, but can also impact wider industry dynamics, the regulatory landscape and even geopolitical relations. However execution of large projects has historically proved difficult. On average, projects with budgets above US $1 billion, commonly referred to as “megaprojects” in the industry, are delivered one year behind schedule, and run 30 percent over budget. If this trend continues, US $5 trillion in value will be destroyed in the projects currently announced around the world. For the sake of economic prosperity and lost opportunity alone, this must change. The vast majority of research into root causes of failure in large capital projects has concentrated on flaws in project management processes, standards, systems, tools, and technical mastery—the body of knowledge that we call the “science” of project management. These topics are important. This paper does not seek to question, challenge, or expand the existing knowledge around the science of large project execution. Rather we aim to supplement current practice with a focus on “soft” organisational and leadership elements of project delivery, which we call the “art of project leadership”. We believe that it is this art that presents the critical missing element, mastery of which increases the probability that a large capital project meets its objectives and purpose. As the size of capital projects rises, these multibillion dollar investments combine unparalleled complexity of strategy, design, financing, procurement and, ultimately, project execution. We have chosen to focus this report on a new subclass of capital megaprojects, which we refer to as “ultra-large projects”—the largest and most complex of capital projects, with budgets exceeding US $5 billion, and timeframes exceeding five years. These characteristics bring unique complexities associated with the scale of the project: multiple complex interfaces with stakeholders such as local communities and government bodies, new regulatory and environmental requirements, and often unique technological challenges. When we refer to “ultra-large projects” we choose our language deliberately—we assert that an “ultra-large project” is as different from a megaproject as an ultramarathon is from a marathon. A marathon is a substantial challenge—yet many thousands prepare for one by covering the full distance in training and complete one each year. An ultramarathon is exponentially harder and one can never train for the full distance. Similarly, an ultralarge project represents an exponentially tougher challenge than a typical ~ US $1 billion megaproject, and is the preserve of the few. We set out to answer a simple question: Why do these ultra-large projects continue to fall short of expectations despite so much experience, learning, discussion, and analysis? What are the unique factors of success of those who managed to avoid significant time and cost deviations? To get insights into these questions we decided to ask the “project practitioners”—people with hands-on experience in ultra-large project delivery. We conducted in-depth interviews with 27 practitioners who collectively have over 500 years of project delivery experience. We then distilled, structured, and synthesised our findings.

 Extraordinary projects have been executed through millennia. Think of the scope of project management required to build the Pyramids of Giza, the Great Wall of China, and the cathedrals of Europe; or more recently, the development of the world’s transport, energy, space, military, and science infrastructure. Today, the prize for executing large projects successfully is significant. With ever-increasing size and ambitions, the modern large construction project not only has a lasting impact on the organisation, but can also impact wider industry dynamics, the regulatory landscape and even geopolitical relations. However execution of large projects has historically proved difficult. On average, projects with budgets above US $1 billion, commonly referred to as “megaprojects” in the industry, are delivered one year behind schedule, and run 30 percent over budget. If this trend continues, US $5 trillion in value will be destroyed in the projects currently announced around the world. For the sake of economic prosperity and lost opportunity alone, this must change. The vast majority of research into root causes of failure in large capital projects has concentrated on flaws in project management processes, standards, systems, tools, and technical mastery—the body of knowledge that we call the “science” of project management. These topics are important. This paper does not seek to question, challenge, or expand the existing knowledge around the science of large project execution. Rather we aim to supplement current practice with a focus on “soft” organisational and leadership elements of project delivery, which we call the “art of project leadership”. We believe that it is this art that presents the critical missing element, mastery of which increases the probability that a large capital project meets its objectives and purpose. As the size of capital projects rises, these multibillion dollar investments combine unparalleled complexity of strategy, design, financing, procurement and, ultimately, project execution. We have chosen to focus this report on a new subclass of capital megaprojects, which we refer to as “ultra-large projects”—the largest and most complex of capital projects, with budgets exceeding US $5 billion, and timeframes exceeding five years. These characteristics bring unique complexities associated with the scale of the project: multiple complex interfaces with stakeholders such as local communities and government bodies, new regulatory and environmental requirements, and often unique technological challenges. When we refer to “ultra-large projects” we choose our language deliberately—we assert that an “ultra-large project” is as different from a megaproject as an ultramarathon is from a marathon. A marathon is a substantial challenge—yet many thousands prepare for one by covering the full distance in training and complete one each year. An ultramarathon is exponentially harder and one can never train for the full distance. Similarly, an ultralarge project represents an exponentially tougher challenge than a typical ~ US $1 billion megaproject, and is the preserve of the few. We set out to answer a simple question: Why do these ultra-large projects continue to fall short of expectations despite so much experience, learning, discussion, and analysis? What are the unique factors of success of those who managed to avoid significant time and cost deviations? To get insights into these questions we decided to ask the “project practitioners”—people with hands-on experience in ultra-large project delivery. We conducted in-depth interviews with 27 practitioners who collectively have over 500 years of project delivery experience. We then distilled, structured, and synthesised our findings. Executive summary 2 The art of project leadership While our interviewees give full credit to the absolute necessity of getting the core project management systems and processes right (the science), most of the practitioners almost take that part for granted, claiming that many companies attempting large capital investment already do (and must) have best practice standards and processes implemented. While addressing the importance of the science, our interviewees kept coming back to the criticality of the right mindsets, practices, attitudes, behaviours, leadership capabilities, and organisational culture—all the topics covered under the umbrella of the project leadership art—for successful delivery of the largest and most complex projects. In fact, analysis of the interviews demonstrates that in discussing success factors of these projects, our interviewees spent roughly 50 percent of the time talking about the science, and 50 percent on the art. This proportion is strikingly different to some of the subject literature, which at times barely mentions these soft topics. Moreover, our interviews supported our hypothesis that the art of project leadership gains importance with increasing project size and complexity. Given the scale, extended timeframes, number of parties involved and interfaces to manage, successful delivery of an ultra-large project requires an equal mastery of both the science and the art. Practitioners consistently emphasise the order of magnitude increase in difficulty of managing projects of ultra size, and the importance of the topics under the art umbrella—significantly more so than in smaller US $1 billion sized “megaprojects”. Whereas these leadership skills might be termed soft, the reality is that they can be the most difficult elements to ingrain within a capital project organisation—to put it differently, the soft stuff is the hard stuff. Our interviews and research support the view that the art of project leadership becomes ever more vital with the growth of project scale and complexity, and becomes critically important for projects of ultra-large size. “Process does not deliver projects. Leadership does, and has to trump process.” Jack Futcher Based on our research and interviews, we synthesised the critical elements of the art into four discrete mindsets and eight practices. Of the eight practices, four are relevant to the project setup phase and four are relevant to the project delivery phase. We believe that by embracing these mindsets and practices, project leaders can dramatically increase the chance of successful delivery of ultra-large projects. For completeness, we also articulated the “deadly sins” of project leadership—these are the mindsets and practices that are best avoided to ensure successful project outcomes.

Mindsets

 Mindsets play a critical role in the development of ultra-large projects. Good systems and processes will positively influence team behaviour to a certain extent, but success or failure is largely determined by how well a team works together. Team mindsets inform the multitude of decisions and interpersonal interactions that occur on a project. Constructive mindsets lead to good decisions and strong trust-based relationships, which in turn lead to high team morale and excellent performance.

Through the synthesis of our interviews, we have identified four mindsets that underpin the development of the project from start to finish. Lead as a business, not as a project An ultra-large project is more akin to building a business than executing a construction project, requiring CEO-level leadership and judgment to address a broad range of organisational issues. Take full ownership of outcomes The project owner needs to maintain full accountability for delivery. They must remain well informed throughout and be ready to step in to make tough decisions in a timely manner. Make your contractor successful Owners and contractors work best as a business partnership with a mindset of “we win together or lose together”. Productive contractor-owner relationships are based on mutual trust and joint problem solving. Trust your processes, but know that leadership is required Processes alone will not resolve every challenge on an ultra-large project. Leaders should trust and enforce the appropriate process, but recognise their benefits and limitations. These four mindsets need to be adopted by the majority of people in the project organisation and the broader owners’ team, not just the top management of the project itself. Owners and project directors need to create an environment where these mindsets are aligned with the natural way the team approaches their day-to-day work and how they interact with each other, contractors, and other stakeholders.

Practices for setup Unsurprisingly, the setup phase of the project is fundamental to establish healthy management practices that deliver successful project outcomes. As one of our interviewees noted, “The way you start is the way you finish.” In the setup phase, there are four practices that require “artful” application that leaders should uphold as crucial. Define purpose, identity and culture Effective project teams have a unique and shared identity, and create a culture of mutual trust and collaboration. Project leaders should articulate purpose, role model behaviours, and nourish the desired culture. Assemble the right team Besides shared values, owner and contractor team members need to have the appropriate blend of leadership qualities, cultural and local awareness for the task ahead. This must complement the requisite technical skills and experience. Carefully allocate risk and align incentives Successful owners thoughtfully delegate only those risks that the contractor is better positioned to manage. Leaders should establish and maintain relationships, not only contracts, to facilitate ongoing alignment of incentives.

Work hard on relationships with stakeholders Strong and transparent trust-based relationships with stakeholders enable prevention and rapid resolution of problems. Invest in stakeholder management as a core activity. The art of project setup extends far beyond checking boxes in a corporate process. It requires making the right trade-offs and adjustments to accommodate the unique constraints that each project faces. The setup phase needs a strong focus on building constructive relationships (and specifically, trust) with both internal and external stakeholders, to address issues early in the project timeline that would otherwise impede delivery. Building trust is also critical to productively addressing the inevitable crises that arise in projects of this size and complexity. A good setup facilitates smooth execution and, importantly, sets the project up as you mean to go on for the full span of its operating life.

Practices for delivery By the time that a project reaches the delivery phase, many of the key decisions have been made—it is the leaders’ responsibility to execute the project within the evolved scope, constraints, and degree of complexity. Given the size and duration of an ultra-large project, unexpected challenges inevitably arise. Our research indicates that in order to absorb and deal with these challenges, leaders of these projects need to focus on the following four practices throughout the delivery phase. Invest in your team Delivering an ultra-large project requires continual investment in the effectiveness of the team. Leaders must think deeply about how to develop and challenge their people throughout. Ensure timely decision making Timely decision making depends on the delegation of decisions to the lowest appropriate level. To achieve this, leaders must have confidence and trust in their systems and people. Leaders are then free to resolve and anticipate critical issues. Adopt forward looking performance management Effective project leaders use fact-based performance dialogues to strengthen trusting relationships and instil accountability. This allows for early problem resolution and opportunity identification. Drive desired behaviours consistently Effective project leaders inspire their teams—especially in challenging times. They define, communicate, and role model expected attitudes and behaviours. Leaders should take the time to connect with team members on a personal level.

Our report examines each of these mindsets and practices, presents common “sins” to avoid, and provides a practical guide on how to implement these recommendations

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