Why Companies Miss the Mark on Project Managers—and Why It’s a Big Mistake
Hey there, business folks and project lovers,
I’ve been around the project management block long enough to notice something puzzling: some companies still don’t see the value in having a solid project manager on board. It’s like skipping the GPS on a cross-country road trip—sure, you might get there eventually, but good luck avoiding the detours, dead ends, and empty gas tanks. Let’s dig into why this happens, why it’s a mistake, and what it’s costing those who shrug off the PM role. Spoiler: the numbers don’t lie, and they’re pretty eye-opening.
Why the Skepticism?
I get it—project managers can sometimes feel like an extra layer. A survey from PMI found that only 58% of organizations fully grasp the value of project management. That leaves a hefty chunk—over 40%—who aren’t sold on it. Maybe they think, “Hey, we’ve got smart people; they’ll figure it out,” or they see PMs as overhead, not game-changers. I’ve heard the grumbles: “Too much process, not enough action.” And honestly, 42% of project managers say their companies resist new methodologies, according to PMSolutions, which doesn’t help the case.
But here’s where it gets tricky. When you peel back the layers, it’s not just about resistance—it’s a disconnect. A Wellingtone report showed 41% of businesses struggle to prove the PMO’s worth, and 80% of execs don’t even know how their projects tie to the big-picture strategy, per Changepoint. If leadership can’t see the dots connecting, it’s no wonder they’re hesitant to invest in the folks holding the pen.
Why That’s a Mistake
Here’s the thing: sidelining project managers isn’t just a missed opportunity—it’s a gamble with lousy odds. High-performing organizations get it—89% of their projects succeed when they lean into PM practices, says PMI, compared to a measly 36% for the low performers who don’t. That’s not a fluke. Project managers are the glue—the ones who turn chaos into clarity, keep timelines from unraveling, and make sure resources don’t vanish into thin air.
Think about this: companies that skimp on formal PM processes waste 28 times more money than those who don’t, according to PMI. That’s not pocket change. For every $1 billion invested in the U.S., $122 million gets torched due to poor project performance. Without someone steering the ship, you’re basically tossing cash out the window and hoping for the best. And trust me, “hope” isn’t a strategy—it’s a prayer with a bad success rate.
What’s the Fallout?
Let’s talk consequences, because they’re brutal. When companies don’t value project managers, projects don’t just stumble—they crash. PMI’s stats show 67% more projects fail in organizations that undervalue PM. That’s two-thirds of your efforts potentially circling the drain. Deadlines slip—50% of projects finish late, per the Project Management Institute—and budgets balloon, with an average cost overrun of 27%, says Harvard Business Review.
It’s not just money, either. Team morale takes a hit when no one’s wrangling the chaos. A lack of clear goals—cited by 37% of execs as the top reason projects tank, per PMI—leaves everyone spinning their wheels. And customers? They’re not thrilled when deliverables are late or half-baked. IT projects, for instance, are notorious for this—17% fail so badly they threaten the company’s existence, according to one study. That’s not a hiccup; that’s a heart attack.
And here’s a kicker: globally, businesses waste $1 million every 20 seconds—yep, seconds—because of shaky strategy execution tied to poor PM practices, per Businesswire. That’s $2 trillion a year down the tubes. Imagine what that could fund instead—growth, innovation, a killer office coffee machine.
Flipping the Script
So, why should companies rethink this? Because project managers aren’t just taskmasters—they’re value-drivers. The proof’s in the pudding: 77% of high-performing projects use PM software to keep things humming, per Hive, and organizations with mature PM practices see 90% of projects hit their marks on time, budget, and scope, says Quixy. That’s not luck; that’s skill.
I’m not saying every company needs a PM army, but having someone who can herd the cats, spot the risks, and keep the train on the tracks? That’s gold. At AshCo, we’ve seen it firsthand—our workshop approach turns messy starts into smooth finishes, and I’d love to show you how. If you’re on the fence about PM value, let’s chat. Drop me a line—I’m all about helping you dodge the stats that sting and land in the ones that shine.
Happy managing (with a plan, please!),
Sarah
