CHAOS MANIFESTO

The Laws of CHAOS and the CHAOS 100 Best PM Practices

CHAOS MANIFESTO
 TABLE OF CONTENTS

,QWURGXFWLRQ                                                                    

8VHU,QYROYHPHQW                                                               

([HFXWLYH6XSSRUW                                                               

&OHDU%XVLQHVV2EMHFWLYHV                                                       

(PRWLRQDO0DWXULW\                                                             

2SWLPL]DWLRQ                                                                  

$JLOH3URFHVV                                                                  

3URMHFW0DQDJHPHQW([SHUWLVH                                                   

6NLOOHG5HVRXUFHV                                                              

([HFXWLRQ                                                                     

7RROVDQG,QIUDVWUXFWXUH                                                         

6XPPDU\                                                                     

&+$263URMHFW0DQDJHU$VVHVVPHQW                                              

&+$26+HDOWK&KHFN6HUYLFH                                                     

&+$26.QRZOHGJH&HQWHU                                                       

CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 PREFACE
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■ ■ ■ ■ ■

CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 INTRODUCTION
This year’s CHAOS resultsVKRZDGHFUHDVHLQSURMHFWVXFFHVVUDWHVZLWKRIDOOSURMHFWV
VXFFHHGLQJ GHOLYHUHG RQ WLPH RQ EXGJHW ZLWK UHTXLUHG IHDWXUHV DQG IXQFWLRQV  ZHUH
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FACTORS OF SUCCESS

)XUWKHUPRUH WKLV \HDU·V ÀJXUHV VKRZ D VXEVWDQWLDO 1. User Involvement

LQFUHDVH LQ ERWK FRVW DQG WLPH RYHUUXQV &RVW RYHUUXQV
LQFUHDVHG IURP  LQ  WR  LQ  7LPH 2. Executive Support
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4. Emotional Maturity
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6. Agile Process
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6L]HFRQWLQXHVWRPDWWHUZLWKRIVXFFHVVIXOSURMHFWV 7. Project Management Expertise

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8. Skilled Resources
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9. Execution
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10. Tools & Infrastructure
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RI8QLWHG6WDWHVSD\JUDGHV

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CHAOS MANIFESTO 1
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 CHAOS RESOLUTION

3URMHFWUHVROXWLRQ
UHVXOWVIURP Succeeded
&+$26UHVHDUFK 32% Challenged
44%

Failed
24%

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RQO\E\DVOLJKWPDUJLQ$OOLQDOOWKHQXPEHUVORRNJULP

7KH 6WDQGLVK *URXS KDV EHHQ FROOHFWLQJ FDVH LQIRUPDWLRQ RQ UHDOOLIH ,7 HQYLURQPHQWV DQG
VRIWZDUHGHYHORSPHQWSURMHFWVVLQFH6WDQGLVK*URXS·VFXPXODWLYHUHVHDUFKHQFRPSDVVHV
\HDUVRIGDWDRQZK\SURMHFWVVXFFHHGRUIDLOUHSUHVHQWLQJPRUHWKDQFRPSOHWHG
,7SURMHFWV7KURXJK6WDQGLVK*URXS·V&+$268QLYHUVLW\ZHKDYHKRVWHGRYHUZRUNVKRSV
DVZHOODVIRFXVJURXSVSURMHFW´JURXSWKHUDS\µVHVVLRQVDQGH[HFXWLYHUHWUHDWVWKDWIRFXVRQ
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VXFFHVVIXODQGKHOSVKRZWKHYDOXHRI\RXU,7LQYHVWPHQWV

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.QRZOHGJH&HQWHU&.&DQGWKHRQJRLQJXSGDWHVDVSUHVHQWHGLQWKH&+$26$FWLYLW\1HZVOHWWHU
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LVVXSSRUWHGE\RQHRIWKHVHQDWXUDOODZV7KHVHOHVVRQVDUHJLYHQDVRXURSLQLRQVEXWWKH\
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2 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
THE DEFINITION OF EACH CHAOS LESSON
User Involvement: WDNHV SODFH ZKHQ XVHUV DUHLQYROYHG LQ WKH SURMHFWGHFLVLRQPDNLQJ DQG
LQIRUPDWLRQJDWKHULQJ SURFHVV 7KLV DOVR LQFOXGHV XVHU IHHGEDFN UHTXLUHPHQWV UHYLHZ EDVLF
UHVHDUFK SURWRW\SLQJ DQG RWKHU FRQVHQVXVEXLOGLQJ WRROV 3URMHFW WHDPV PXVW LQFOXGH HQG
XVHUVDVZHOODV,7SHUVRQQHO7KH&+$26UHVHDUFKFOHDUO\VKRZVWKDWSURMHFWVWKDWODFNXVHU
LQYROYHPHQWSHUIRUPSRRUO\

Executive Support:ZKHQDQH[HFXWLYHRUJURXSRIH[HFXWLYHVDJUHHWRSURYLGHERWKÀQDQFLDODQG
HPRWLRQDOEDFNLQJ,QWKLVUHJDUGWKHH[HFXWLYHRUH[HFXWLYHVSURYLGHERWKWKHSURMHFW·VYLVLRQDQG
DOLJQPHQWWRWKHEXVLQHVVREMHFWLYHV7KHH[HFXWLYHRUH[HFXWLYHVZLOOHQFRXUDJHDQGDVVLVWLQWKH
VXFFHVVIXOFRPSOHWLRQRIWKHSURMHFW7KHH[HFXWLYHVZLOOHQVXUHWKDWQHHGHGUHVRXUFHVZLOOEH
PDGHDYDLODEOH([HFXWLYHVXSSRUWDOVRLQFOXGHVQHJRWLDWLRQDQGUHVROXWLRQRIKLJKOHYHOFRQÁLFWV

Clear Business Objectives: DUH DFKLHYHG ZKHQ DOO WKH VWDNHKROGHUV DUH IRFXVHG RQ DQG
XQGHUVWDQGWKHFRUHYDOXHVRIWKHSURMHFW6WDNHKROGHUVQHHGWREHDEOHWRVHHWKHELJSLFWXUH
DQGNQRZKRZWKHSURMHFWDOLJQVZLWKWKHRUJDQL]DWLRQDOEXVLQHVVVWUDWHJLHV6WDNHKROGHUVPXVW
DOZD\VKDYHVRPHVNLQLQWKHJDPH$JRRGWHVWLVWRKDYHDVKRUW´HOHYDWRUSLWFKµRIZRUGVRU
OHVVWKDWHYHU\RQHFDQUHFLWH

Emotional Maturity: WKH DELOLW\ DQG FDSDFLW\ WR SHUFHLYH DVVHVV PDQDJH DQG GLUHFW WKH
HPRWLRQV DQG DFWLRQV RI WKH SURMHFW VWDNHKROGHUV ,W LV WKH DELOLW\ WR LGHQWLI\ DQG UHPRYH
XQQHFHVVDU\ UHTXLUHPHQWV DV ZHOO DV WKH DSWLWXGH WR GHOLYHU EDG QHZV DQG DFFHSW FULWLFDO
IHHGEDFN(PRWLRQDOPDWXULW\PHDQVKDYLQJWKHVNLOOWRUHFRJQL]HDQGGHDOZLWKWKH)LYH'HDGO\
6LQVRISURMHFWPDQDJHPHQWZKLFKDUHRYHUDPELWLRQDUURJDQFHLJQRUDQFHDEVWLQHQFHDQG
IUDXGXOHQFH

Optimization: D FRPSOHWH DSSURDFK WKDW ZKHQ IXOO\ LPSOHPHQWHG FRYHUV V\VWHPV SHRSOH
SURFHVVHVDSSOLFDWLRQVDQGGDWD³LQRWKHUZRUGVWKHZKROH,7RUJDQL]DWLRQ7KHJRDOLVWRSURYLGH
WKHEHVWYDOXHIRUWKHKLJKHVWOHYHORIVHUYLFHDQGIXQFWLRQ,7RSWLPL]DWLRQFRPSULVHVSURFHGXUHV
XVHG WR PDNH V\VWHPV DSSOLFDWLRQV SURFHVVHV DQG SHRSOH DV HIIHFWLYH DQG IXQFWLRQDO DV
SRVVLEOHDWWKHEHVWSRVVLEOHYDOXHZLWKWKHOHDVWSRVVLEOHULVN

EFFECT

Major Medium Minor '$576UHVXOWVRIWKH

Effect Effect Effect TXHVWLRQ´)RU\RXU
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8VHU3DUWLFLSDWLRQ   

CHAOS MANIFESTO 3
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 4%
BEST PRACTICE 10%

(330VXUYH\
AD Managers
UHVXOWVRIWKH
TXHVWLRQ:KR 13% Business Ops
FDSWXUHVDQG
57% IT Executives
GLVVHPLQDWHV
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37% Other

Agile Process: EDVHG RQ LWHUDWLYH GHYHORSPHQW ZKHUH UHTXLUHPHQWV DQG VROXWLRQV HYROYH
WKURXJK FROODERUDWLRQ EHWZHHQ VHOIRUJDQL]LQJ FURVVIXQFWLRQDO WHDPV 7KH DJLOH SURFHVV
HQFRXUDJHVIUHTXHQWLQVSHFWLRQDQGDGDSWDWLRQ,WDOVRHQFRXUDJHVWHDPZRUNVHOIRUJDQL]DWLRQ
DQGVHOIDFFRXQWDELOLW\7KHDJLOHSURFHVVDOORZVIRUUDSLGGHOLYHU\,QWKHRU\LWKRSHVWRDOLJQ
GHYHORSPHQWFORVHUWRWKHXVHUV·QHHGVE\FRQWLQXRXVFROODERUDWLRQDQGGHOLYHU\RIVWHSSLQJ
VWRQHV

Project Management Expertise:LQFOXGHVWKHEDVLFSURMHFWPDQDJHPHQWVNLOOVDVRXWOLQHGLQ

30,·V30%2.7KHDQWHIRUSURMHFWPDQDJHPHQWH[SHUWLVHLVTXDOLÀHG303V+RZHYHULWJRHV
EH\RQGWKHVNLOOVRIWKHSURMHFWPDQDJHUWRWKHRUJDQL]DWLRQDOHQYLURQPHQW7KHHQYLURQPHQW
PXVWUHFRJQL]HDQGJLYHDXWKRULW\WRWKHSURMHFWPDQDJHU·VVNLOODQGH[SHUWLVH3URMHFWPDQDJHUV
PXVWEHDEOHWRPDQDJHGRZQDFURVVDQGXS

Skilled Resources:WKHDELOLW\WRDFTXLUHPDQDJHDQGFRQWUROWKHULJKWUHVRXUFHVDWWKHULJKW
WLPHV WR PRYH WKH SURMHFW IRUZDUG ,W LV WKH FDSDELOLW\ WR GHYHORS WKH VNLOOV DQG PDLQWDLQ DQ
HQYLURQPHQWWKDWHQFRXUDJHVSURJUHVVDQGUHGXFHVVWUHVV,WLVWKHDELOLW\WRGHDOHIIHFWLYHO\
DQGSURPSWO\ZLWKWXUQRYHUGXULQJWKHSURMHFW·VOLIHF\FOH

Execution: WKHVXFFHVVIXOGHSOR\PHQWRIWHFKQRORJ\ZLWKSUREOHPVWDWHPHQWVUHTXLUHPHQWV
GRFXPHQWVDQGSURMHFWSODQV([HFXWLRQLVWKHDFWRIFDUU\LQJLQWRHIIHFWRUWRFRPSOHWLRQD
SURMHFWEDVHGRQDSODQ([HFXWLRQLVXVLQJOHDGHUVKLSVNLOOVDQGSURMHFWPDQDJHPHQWH[SHULHQFH
WRFUHDWHDSRVLWLYHRXWFRPH([HFXWLRQFRPELQHVÀQDQFLDOPDQDJHPHQWJXLGDQFHZLWKDIRUPDO
PHWKRGRORJ\([HFXWLRQLVVLPSO\JHWWLQJWKHMREGRQHZLWKWKHOHDVWSRVVLEOHUHVRXUFHV

Tools and Infrastructure:WKHDELOLW\WRDFTXLUHDQGPDLQWDLQDVHWRIWRROVDQGLQIUDVWUXFWXUH

WRSURPRWHWKHGHYHORSPHQWDQGPDQDJHPHQWRIDG\QDPLFHQYLURQPHQW,WLVWKHVNLOOWREH
DEOHWRXVHDQGEHQHÀWIURPVXFKLPSRUWDQWWRROVDVWDVNUHVRXUFHUHTXLUHPHQWVFKDQJHDQG
TXDOLW\PDQDJHPHQW,WLQFOXGHVWKHDELOLW\WRPDQDJHRXWVLGHYHQGRUV

■ ■ ■ ■ ■

4 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 USER INVOLVEMENT

LESSON ONE: Law of the Two Faces

Users are both your best and worst enemy.

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8VHU,QYROYHPHQWDQGVWDWHVWKDWXVHUVDUHERWK\RXUEHVWIULHQGDQG
ZRUVWHQHP\7KHSURMHFWPDQDJHPHQWHQYLURQPHQWQHHGVWRFXOWLYDWH
DQHFRV\VWHPIRUXVHUVDQGXVHUJURXSVWKDWHQDEOHVWKHPWRH[SODLQ
WKHEXVLQHVVSURFHVVLQGHWDLOWRWKH,7RUJDQL]DWLRQDQGWKRVHXVHUV
VKRXOG EH WUDLQHG WR IROORZ SURMHFW PDQDJHPHQW SURWRFROV 6XFFHVVIXO
SURMHFWV LQFOXGH EXVLQHVVNQRZOHGJHDEOH XVHUV ZLWK JRRG FRPPXQLFDWLRQ
VNLOOV &KDOOHQJHG DQG IDLOHG SURMHFWV W\SLFDOO\ LQFOXGH XVHUV ZLWK IDLU WR SRRU
FRPPXQLFDWLRQVNLOOV

/DFN RI XVHU LQYROYHPHQW LV WKH QXPEHU RQH UHDVRQ IRU SURMHFW IDLOXUH &RQYHUVHO\ XVHU
LQYROYHPHQWLVWKHQXPEHURQHFRQWULEXWRUWRSURMHFWVXFFHVV(YHQZKHQGHOLYHUHGRQWLPH
DQGRQEXGJHWDSURMHFWFDQIDLOLILWGRHVQRWPHHWWKHXVHUV·QHHGVRUH[SHFWDWLRQVRULIWKH
XVHUFRPPXQLW\GRHVQRWHPEUDFHWKHÀQLVKHGSURGXFW

7KURXJKRXWWKHOLIHRI6WDQGLVK*URXS·VUHVHDUFKHIIRUWVPXFKWLPHKDVEHHQVSHQWWU\LQJWR
XQGHUVWDQGKRZWRZRUNEHWWHUZLWKWKHXVHUFRPPXQLW\´:HGRQ·WH[LWWKHUHTXLUHPHQWVSKDVH
XQWLO WKH FOLHQW KDV VLJQHG RII 8QOHVV WKH FXVWRPHU VD\V ¶7KDW·V ZKDW ZH ZDQW· ZH GR QRW
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UHVHDUFKRXUDWWHPSWZDVWRXQGHUVWDQGZKDWXVHUIDFLOLWLHVSURFHGXUHVFKDUDFWHULVWLFVDQG
VNLOOVFRXOGEHEURXJKWWREHDUWKDWZRXOGOHDGWRSURMHFWVXFFHVV

53
49
51 RESOLUTION
46
44 3URMHFWUHVROXWLRQ
UHVXOWVIURP&+$26
35
UHVHDUFKIRUWKH
34
32 \HDUV
28 29

23 24

18 19
15
Succeeded
Failed
Challenged
2000 2002 2004 2006 2008

CHAOS MANIFESTO 5
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 10 CHAOS SUCCESS POINTS FOR USER INVOLVEMENT
POINT 1: Identification
)RUDQ\SURMHFWWRVXFFHHGLWLVFUXFLDOWRÀUVWFRUUHFWO\LGHQWLI\WKHSURSHUXVHURUXVHUVZKRFDQSURYLGHWKH
QHFHVVDU\UHTXLUHPHQWVLQSXWDQGIHHGEDFN7KHULJKWXVHUVZLOOSURYLGHWKHFRUUHFWLQIRUPDWLRQDQGIHHGEDFN
RQUHTXLUHPHQWVSURWRW\SLQJDQGTXDOLW\7KHZURQJXVHUVFDQEHGHDGO\WRWKHSURMHFW·VUHVROXWLRQIRUWKH\
FDQPLVOHDG\RXLQWREXLOGLQJWKHZURQJRUPDUJLQDOYDOXHUHTXLUHPHQWV

POINT 2: Rapport
,WLVFULWLFDOWRGHYHORSDQGPDLQWDLQDTXDOLW\UHODWLRQVKLSZLWKWKHXVHUDQGXVHUJURXSV5DSSRUWLVKDYLQJ
DKDUPRQLRXVFRQQHFWLRQEHWZHHQ\RXDQGWKHXVHURUXVHUV,WLVKDYLQJHPSDWK\ZLWKWKHVWDNHKROGHUV
ZKLFKSURGXFHVDFRPPRQDOLW\RISHUVSHFWLYHIRUWKHREMHFWLYHVRIWKHSURMHFW,WLVWKHHVWDEOLVKPHQWRID
TXDOLW\UHODWLRQVKLSWKDWDOORZV\RXWRFUHDWHDQGPDLQWDLQDQHQYLURQPHQWIRUXVHUVWREHLQYROYHG

POINT 3: Soapbox
7RPDLQWDLQDTXDOLW\UHODWLRQVKLSZLWKWKHXVHUVFUHDWHDSODWIRUPIRUFRPPXQLFDWLRQV$FRPPRQGHÀQLWLRQ
RIVRDSER[LVDUDLVHGSODWIRUPRQZKLFKDSHUVRQVWDQGVWRPDNHDQLPSURPSWXVSHHFKRIWHQDERXWD
SROLWLFDOVXEMHFW,WPD\EHXVHGWRH[SUHVVFRQFHUQVRUWRUHOHDVHIUXVWUDWLRQ7KHÀUVWXVHRIWKLVWHFKQLTXH
ZDVYLDDZRRGHQVRDSER[2XUPRGHUQVRDSER[LVDQHOHFWURQLFSODWIRUPVXFKDV:HE([ZKHUHSURMHFW
VWDNHKROGHUVFDQJHWWRJHWKHUTXLFNO\DQGHDVLO\WRH[SUHVVFRQFHUQVRUWRUHOHDVHIUXVWUDWLRQ

POINT 4: Outcomes
,WLVLPSRUWDQWWRGHPRQVWUDWHUHVXOWVDORQJWKHZD\2XWFRPHVDUHWKHHQGUHVXOWVRUFRQVHTXHQFHVRID
SURMHFWRUSDUWLDOSURMHFW7KHHDUOLHUWKHRXWFRPHVDUHSUHVHQWHGWKHIDVWHUWKHIHHGEDFNIURPXVHUV7KH
IDVWHUWKHIHHGEDFNIURPXVHUVWKHPRUHOLNHO\WKHSURMHFWZLOOKDYHDSRVLWLYHUHVROXWLRQ7KHFRQYHUVHLVDOVR
WUXH7KHVORZHUWKHRXWFRPHDQGIHHGEDFNWKHKLJKHUWKHOLNHOLKRRGIRUDSRRUUHVROXWLRQ
POINT 5: Schooling
8VHUVDQGXVHUJURXSVQHHGWRXQGHUVWDQGWKHLUUROHVDQGUHVSRQVLELOLWLHVDVSDUWRIWKHSURMHFWWHDP
6FKRROLQJLVWKHWHDFKLQJDQGOHDUQLQJWKDWXVHUVSHUIRUPWRKHOSWKHSURMHFWWHDPXQGHUVWDQGWKHSURMHFW
UHTXLUHPHQWV6FKRROLQJLVDOVRWKHWHDFKLQJDQGOHDUQLQJWKDWWKHSURMHFWWHDPSHUIRUPVWRKHOSWKHXVHUV
XQGHUVWDQGWKHSURMHFWPHWKRGRORJ\7KHPRUHLQIRUPDWLRQWKHXVHUVDQGSURMHFWWHDPFDQWUDQVIHUWR
HDFKRWKHUWKHPRUHWKH\ZLOOEHHGXFDWHG7KHJUHDWHUWKHXQGHUVWDQGLQJLVWKHKLJKHUWKHOLNHOLKRRGRID
SRVLWLYHUHVROXWLRQ

CORRECT USER Poorly

9% Highly
Skilled
'$576UHVXOWVRIWKH 19%
TXHVWLRQ´+RZZRXOG\RX
UDWH\RXURUJDQL]DWLRQ·V
DELOLW\WRUHFRJQLVHWKH Moderately
31%
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SURMHFWUHTXLUHPHQWV"
Skilled
41%

6 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 4%
11%
PROJECT PORTFOLIO
31%
AD Managers (3306XUYH\UHVXOWV
RIWKHTXHVWLRQ
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PMO

Other
37%

POINT 6: Consensus
*DWKHUXVHUIHHGEDFNDQGDFKLHYHFRQVHQVXV&RQVHQVXVLVDJHQHUDODJUHHPHQWDQDFFRUGDQGKDUPRQ\
UHJDUGLQJWKHSURMHFW·VGLUHFWLRQ,WVKRXOGEHQRWHGWKDWLWGRHVQRWPHDQWKHPDMRULW\RIXVHUV·RSLQLRQ
3URMHFWPDQDJHPHQWVKRXOGQRWEHFRQVLGHUHGDGHPRFUDF\EXWDQDXWRFUDF\$QDXWRFUDF\LVDIRUPRI
JRYHUQPHQWLQZKLFKWKHSROLWLFDOSRZHULVKHOGE\DVLQJOHVHOIDSSRLQWHGUXOHULQWKLVFDVHWKHSURMHFW
PDQDJHU

POINT 7: Evangelist
$OOSURMHFWVQHHGWRLGHQWLI\DQGUHFUXLWDQHYDQJHOLVW$QHYDQJHOLVWLVDSHUVRQPDUNHGE\HQWKXVLDVPZKR
VXSSRUWVDQGSURPRWHVWKHSURMHFW·VFDXVHDQGGLUHFWLRQ7KHHYDQJHOLVWHPEUDFHVWKHJRDOVRIWKHSURMHFW
DQGEHOLHYHVLQWKHYDOXHRIWKHSURMHFW$QHYDQJHOLVWEURDGFDVWVWKHEHQHÀWVRIWKHSURMHFWWKURXJKRXWWKH
FRUSRUDWLRQDQGJDLQVVXSSRUWRIWKHXVHUFRPPXQLW\DQGVHQLRUPDQDJHPHQW

POINT 8: Primary Research

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GDWDDQGLQIRUPDWLRQ3ULPDU\UHVHDUFKWHFKQLTXHVLQFOXGHLQWHUYLHZVVXUYH\VIRFXVJURXSVDQGFDVH
VWXGLHV,QGHSWKSULPDU\UHVHDUFKZLOOLQFOXGHWKUHHRXWRIIRXURIWKHVHWHFKQLTXHV7KHPRUHLQGHSWK
WKHUHVHDUFKLVWKHKLJKHUWKHOLNHOLKRRGRIPHHWLQJWKHXVHUV·UHTXLUHPHQWVDQGDVXFFHVVIXOUHVROXWLRQ
6HFRQGDU\UHVHDUFKLVWKHFRPSLODWLRQRIH[LVWLQJVWXGLHV7KHXVHRIVHFRQGDU\UHVHDUFKFRXOGUHVXOWLQ
PLVOHDGLQJUHTXLUHPHQWV

POINT 9: Respect
1HYHUIDLOWRVKRZUHVSHFWIRUXVHUV<RXQHHGWKHPWRSURYLGHFRQVWDQWLQIRUPDWLRQDQGIHHGEDFNWRWKH
SURMHFWWHDP5HVSHFWLVHVWHHPIRURUDVHQVHRIWKHZRUWKRUH[FHOOHQFHRIDSHUVRQDSHUVRQDOTXDOLW\
RUDELOLW\RUVRPHWKLQJFRQVLGHUHGDVDPDQLIHVWDWLRQRIDSHUVRQDOTXDOLW\RUDELOLW\,WLVWKHDVVXPSWLRQ
RIJRRGIDLWKDQGFRPSHWHQFHLQDQRWKHUSHUVRQ,WHQDEOHVSHRSOHWRZRUNWRJHWKHULQDFRPSOHPHQWDU\
IDVKLRQLQVWHDGRIHDFKSHUVRQKDYLQJWRXQGHUVWDQGRUHYHQDJUHHZLWKHYHU\GHWDLORIWKHSURMHFW

POINT 10: Tuned In

)RFXVRQWKHUHDOXVHUQHHGV,WLVRQHRIWKHPRVWLPSRUWDQWIDFWRUVLQWKHRYHUDOOVXFFHVVRIDSURMHFW
7XQLQJLQLVWKHSURFHVVRIZHHGLQJRXWWKHPDUJLQDOUHTXLUHPHQWVDQGIRFXVLQJRQO\RQWKHWUXO\QHHGHG
IHDWXUHVDQGIXQFWLRQV,WLVJHWWLQJWKHPRVWYDOXHRXWRIWKHOHDVWSRVVLEOHUHVRXUFH7XQLQJLQLVWKHXVHRI
VSHFLÀFWHFKQLTXHVWRGHWHUPLQHWKHPRVWFRVWHIIHFWLYHDQGHIÀFLHQWVROXWLRQWRDSUREOHPRUGHVLJQIRUD
SURFHVVRUSURMHFW

CHAOS MANIFESTO 7
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 HOWTO: Identify the Correct User
7KHUHLVDPDQ\WRRQHUHODWLRQVKLSZKHQDWWHPSWLQJWRLGHQWLI\WKHFRUUHFWXVHUVWREHSDUW
RIDSURMHFWWHDP7KHNH\LVVHOHFWLQJWKHRQHZKRKDVWKHPRVWNQRZOHGJHRIKRZKLVRUKHU
DUHDIXQFWLRQV

ACTION
(YHU\SURMHFWWHDPPXVWEHPDGHXSRIXVHUVVXSSRUWLQJHDFKGLVFLSOLQHLQDQRUJDQL]DWLRQ
7KHGHJUHHRIVXSSRUWUHFHLYHGIURPDXVHULVDGLUHFWUHODWLRQVKLSRIKRZWKHXVHUSHUFHLYHV
WKHEHQHÀWVWRKLPKHU

■ 7KHXVHUVKRXOGQRWEHHQWUHQFKHGLQWKHV\VWHPKHVKHKDVWRGD\

■ 7KHXVHUFDQPDNHRUEUHDNWKHSURMHFWEDVHGRQELDVHV

■ 7KHXVHUPXVWEHDEOHWRZRUNLQDVHSDUDWHWHDPVHWWLQJ

■ 7KHXVHUVKRXOGEHDYDLODEOHDWDOOWLPHVWRZRUNRQWKHSURMHFW

■ 7KHXVHUPXVWEHNQRZOHGJHDEOHDERXWKLVKHUDUHDDIIHFWHGE\WKHSURMHFW

■ $YRLGXVHUVZKRKDYHSHUVRQDOLW\FRQÁLFWVZLWKRWKHUWHDPPHPEHUV

FOUR SUGGESTIONS
1. ,QWHUYLHZXVHUVWRVHHLIWKH\KDYHVRPHWKLQJWRJDLQRUORVHE\LPSOHPHQWLQJWKHSODQQHG
SURMHFW8VHUVZKREHOLHYHWKHUHLVJDLQIRUWKHPE\GRLQJWKHSURMHFWZLOOZRUNKDUGHUWR
PDNHLWVXFFHVVIXO8VHUVZKREHOLHYHWKH\ZLOOEHORVLQJIXQFWLRQDOLW\ZLOOQRWEHVXSSRUWLYH

2. /RRN IRU XVHUV ZKR KDYH D FROODERUDWLYH WHDP VSLULW :RUNLQJ LQ D WHDP RI SHRSOH
ZKHUH HYHU\RQH KDV GLIIHUHQW QHHGV \HW WKH VDPH XOWLPDWH JRDO FDQ EH GLIÀFXOW
$SHUVRQZKRLVZLOOLQJWRQHJRWLDWHKLVRUKHUSULRULWLHVLVXOWLPDWHO\PRUHKHOSIXO

3. (QJDJH PDQDJHPHQW WR LGHQWLI\ ZKR WKH FRUUHFW SHUVRQ LV IRU WKH SURMHFW $Q LQGLYLGXDO·V
PDQDJHU ZLOO KDYH LQVLJKW LQWR ZKHWKHU WKH XVHU ZDQWV WKH SURMHFW WR EH VXFFHVVIXO
7KHPDQDJHUPXVWXQGHUVWDQGWKHXVHU·VYLHZRIWKHEHQHÀWRIWKHSURMHFW

4. ,GHQWLI\XVHUVZKRZDQWWREHRQWKHSURMHFW$VNWKHPULJKWRXW0DNHLWFOHDUWKDWHDFK
SHUVRQLVYLWDOWRWKHVXFFHVVRIWKHSURMHFW7KHLUSHUIRUPDQFHDQGVXSSRUWLVQHFHVVDU\
DWDOOWLPHV$Q\XVHUZKRVD\VLWLVDZDVWHRIWLPHRUGLVSOD\VQHJDWLYHEHKDYLRUVKRXOG
EHDYRLGHG

■ ■ ■ ■ ■

8 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 EXECUTIVE MANAGEMENT SUPPORT

LESSON TWO: Cheetah’s Law

Swift decisions are typically better
than long, drawn-out analysis.

7KHFKHHWDKLVWKHIDVWHVWPDPPDORQHDUWKZLWKVSHHGVXSWR
PLOHVDQKRXU&KHHWDKVXVHWKLVVSHHGWRFDWFKWKHLUSUH\,WWXUQVRXW
WKDWZHKDYHVHHQPDQ\H[DPSOHVZKHUHVZLIWDQGGHFLVLYHGHFLVLRQV
KDYHLQFUHDVHGSURMHFWVXFFHVV$VDUHVXOW&KHHWDK·V/DZVWDWHVWKDW
VZLIWGHFLVLRQVDUHW\SLFDOO\EHWWHUWKDQORQJGUDZQRXWDQDO\VLV7KLVODZ
VXSSRUWVWKHVHFRQG&+$266XFFHVV)DFWRURI([HFXWLYH6XSSRUW3URMHFWV
WKDWKDYHDQDFWLYHDQGUHVSRQVLYHH[HFXWLYHVSRQVRUIDUHEHWWHUWKDQWKRVHOHIWWR
KDQJDORQHZLWKRXWDFKDPSLRQ

,WLVFUXFLDOWKDWWKHH[HFXWLYHKDVDYHVWHGEXVLQHVVLQWHUHVWDQGDFRPPLWPHQWWRDVXFFHVVIXO
RXWFRPH0RVWVXFFHVVIXOSURMHFWVKDYHTXDOLW\H[HFXWLYHVSRQVRUVZLWKH[SHUWYLVLRQDQGSURPSW
UHVSRQVLYHQHVV&KDOOHQJHGDQGIDLOHGSURMHFWVW\SLFDOO\ODFNTXDOLW\H[HFXWLYHVXSSRUW,QPRVW
FDVHVSURMHFWVZLWKRXWTXDOLW\H[HFXWLYHVXSSRUWZLOOSHUIRUPSRRUO\

(YHU\SURMHFWKDVZLQQHUVDQGORVHUV,WLVWKHEXVLQHVVH[HFXWLYHVZKRXOWLPDWHO\GHWHUPLQH
ZKHWKHURUQRWDSURMHFWZLOOEHDZLQQHUIRUWKHFRPSDQ\0DQ\,7SURMHFWVDUHWKHUHVXOWRI
ERDUGOHYHO GHFLVLRQV DQG WKH IDWH RI DQ H[HFXWLYH LV RIWHQ ULGLQJ RQ D VXFFHVVIXO RXWFRPH
'XULQJ WKH \HDUV 6WDQGLVK *URXS KDV FRQGXFWHG UHVHDUFK WKH UROHV UHVSRQVLELOLWLHV DQG
EHKDYLRURIEXVLQHVVH[HFXWLYHVKDYHEHHQRISDUDPRXQWLQWHUHVW

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UDQN LW HYHQ KLJKHU ´7R XV KDYLQJ WKH VXSSRUW RI H[HFXWLYH PDQDJHPHQW ZDV PXFK PRUH
LPSRUWDQWWKDQKDYLQJWKHXVHUVLQYROYHGµVDLG,VDDF$SSOEDXPIRUPHUO\RI%DQNRI$PHULFD
([HFXWLYHPDQDJHPHQWVXSSRUWLQÁXHQFHVWKHSURFHVVDQGSURJUHVVRIDSURMHFW1RPDWWHU
ZKDWWKHFDVHLWLVIDFWWKDWWKHODFNRIH[HFXWLYHLQSXWDQGVXSSRUWFDQSODFHDSURMHFWDWD
VHYHUHGLVDGYDQWDJH

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VSRQVRUVKLS6LPSOHYLVLRQFRQVLGHUVWKHDELOLW\RIWKHH[HFXWLYHWRWUDQVIHUKLVRUYLVLRQWR
WKH UHVW RI WKH RUJDQL]DWLRQ 5HDO FRPPLWPHQW WHVWV WKH UHVROYH RI WKH H[HFXWLYH VSRQVRU
%RWKEOLQNDQGYHORFLW\FRQVLGHUWKHVSHHGRIGHFLVLRQPDNLQJ7KHUHVWRIWKHSRLQWVORRN
DW HGXFDWLRQ PHDVXUHPHQWV QHJRWLDWLRQ SODQQLQJ NLOOLQJ D SURMHFW DQG KRZ WR FHOHEUDWH
VXFFHVV

CHAOS MANIFESTO 9
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 10 CHAOS SUCCESS POINTS FOR EXECUTIVE SUPPORT
Point 1: Simple Vision
'HYHORSDQGPDLQWDLQDFOHDUDQGVLPSOHYLVLRQVWDWHPHQWLWLVLPSHUDWLYHWRWKHRYHUDOOVXFFHVVRIDQ\SURMHFW
$VLPSOHVWDWHPHQWLVHDV\WRXQGHUVWDQGRUXVHDQGQRWDUWLÀFLDOO\HODERUDWHGFRPSOLFDWHGRUFRPSOH[
9LVLRQLVWKHDFWRUSRZHURIDQWLFLSDWLQJWKDWZKLFKZLOORUPD\FRPHWREHLQWKHIXWXUH7KHUHIRUHDVLPSOH
YLVLRQLVDQHDV\WRXQGHUVWDQGSURGXFWRUVHUYLFHWREHGHOLYHUHGLQWKHIXWXUH

Point 2: Commitment
,WLVFUXFLDOWKDWWKHH[HFXWLYHKDVDYHVWHGEXVLQHVVLQWHUHVWDQGDFRPPLWPHQWWRDVXFFHVVIXORXWFRPH
&RPPLWPHQWLVWKHDFWRISOHGJLQJRUSURPLVLQJWRSHUIRUPWDVNVRUDVVLJQUHVRXUFHV,WLVDVWDWHGREOLJDWLRQWR
DSURMHFWRUSURJUDP,WLVDSURPLVHWREHHQJDJHGDQGLQYROYHGWKURXJKWKHUHVROXWLRQRIDSURMHFWRUSURJUDP
,WLVDFRQWUDFWZLWKRWKHUVWDNHKROGHUVWRGRHYHU\WKLQJLQ\RXUSRZHUWRDFKLHYHDVXFFHVVIXOUHVROXWLRQ

Point 3: Blink
:KLOHWKLQNLQJLVFOHDUO\QHFHVVDU\DQGLPSRUWDQWGRQ·WVSHQGWRRPXFKWLPHGRLQJLW%OLQNLQWKHFRQWH[W
RISURMHFWPDQDJHPHQWLVWKHVPDOOHVWSRVVLEOHWLPHIUDPHWRPDNHDGHFLVLRQ%OLQNPHDQVWRVHWLQSODFHD
GHFLVLRQSURFHVVWKDWNHHSVSDFHZLWKWLPHIUDPHVVHWIRUWKLQWKHJRDOVRIWKHSURMHFW%OLQNPHDQVWRPDNH
UDSLGZLWKRXWLQWHUUXSWLRQGHFLVLRQV³LQRWKHUZRUGV´LQWKHEOLQNRIDQH\Hµ

Point 4: Velocity
)DVWGHFLVLRQPDNLQJUHTXLUHVDGHFLVLRQSLSHOLQH9HORFLW\LVWKHUDWHRIDGYDQFHPHQWRIDSRVLWLRQRIDSURMHFW
LQDVSHFLÀHGGLUHFWLRQ,WLVWKHUDWHRIVSHHGZLWKZKLFKWDVNVVWHSSLQJVWRQHVDQGPLOHVWRQHVJHWUHVROYHG
,WLVKRZVZLIWO\VWDNHKROGHUVUHDFWWRHYHQWVRURFFXUUHQFHV9HORFLW\LVKRZUDSLGO\SURMHFWIHDWXUHVDQG
IXQFWLRQVJHWGHOLYHUHGWRXVHUVDQGVWDNHKROGHUV

Point 5: Edification
2QFHDSURMHFWKDVWKHEDFNLQJRIWKHULJKWH[HFXWLYHVSRQVRULW·VYLWDOWRHGXFDWHKLPRUKHURQWKHSURMHFW
PDQDJHPHQWSURFHVVDQGKLVRUKHUUROHDQGUHVSRQVLELOLWLHV7KHH[HFXWLYHVSRQVRULVRQHRIWKHNH\VWR
DVXFFHVVIXOSURMHFW<RXPXVWHGXFDWHKLPKHURQWKHPHWKRGVWKDWZLOOEHXVHGWRPDQDJHWKHSURMHFW
WKURXJKRXWLWVOLIHF\FOH$GGLWLRQDOO\\RXPXVWJDLQDJUHHPHQWDVWRWKHH[HFXWLYHVSRQVRU·VUROHDQG
UHVSRQVLELOLWLHVIRUVXSSRUWRIWKHSURMHFW

COST OVERRUNS 60

56% 47% 54%

7KHFRVW 45% 43%
RYHUUXQVUHVXOWV 40
IURPWKH&+$26
UHVHDUFKIRU
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20
WKURXJK

0
2000 2002 2004 2006 2008

10 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 BLINK
'$576UHVXOWVRIWKH
Protracted
TXHVWLRQ´+RZZRXOG\RX
34%
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Calculated VSHHGLQPDNLQJFULWLFDO
58% GHFLVLRQVGXULQJWKH
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Swift LPSOHPHQWDWLRQRID
8% SURMHFW"

Point 6: Measurements
6XFFHVVIXOSURMHFWFRPSOHWLRQLVFRQWLQJHQWXSRQUHDFKLQJVSHFLÀHGJRDOV8VHWKRVHJRDOVZKLFK
LQFOXGHWLPHOLQHVEXGJHWVDQGIHDWXUHVIXQFWLRQVDVD\DUGVWLFNIRUPHDVXULQJLIWKHSURMHFWLVRQWUDFN
0HDVXUHPHQWLVWKHUXOHRUPHWULFE\ZKLFKDSURMHFW·VSURFHVVVKRXOGEHGHWHUPLQHG0HDVXUHPHQWLVWKH
SURFHVVRIGHÀQLQJTXDQWLI\LQJDQGDVVLJQLQJWKHQXPEHUVRUPHWULFVWRDSURMHFW·VJRDODQGWDVNV,WLVWKH
OHQJWKEHWZHHQHDFKVWHSSLQJVWRQHDQGPLOHVWRQH0HDVXUHPHQWLQDSURMHFWVHQVHVKRXOGFRPSULVHWLPH
FRVWJDLQULVNTXDOLW\DQGUHVRXUFHV

Point 7: Negotiate
3XWWLQJWRJHWKHUDVXFFHVVIXOSURMHFWSODQUHTXLUHVQHJRWLDWLRQ³WKHDFWRIPXWXDOGLVFXVVLRQDQG
DUUDQJHPHQWRIWKHVL]HVFRSHUHVRXUFHDOORFDWLRQDQGFRPPLWPHQWWRDSURMHFWGLUHFWLRQ1HJRWLDWLRQV
RFFXUZLWKH[HFXWLYHVSRQVRUVXVHUVDQGWHFKQLFDOVWDIIZLWKUHJDUGWRSURYLGLQJDGLUHFWLRQIRUWKHSURMHFW
WKDWZLOOOHDGWRVXFFHVV1HJRWLDWLRQLVDEDVLFXQGHUVWDQGLQJDQGDJUHHPHQWRIZKDWZLOOKDSSHQZKHQE\
ZKRPDQGKRZ

Point 8: The Plan

$SURMHFWSODQPXVWEHZHOOWKRXJKWRXWDQGZHOODUWLFXODWHGWRDOOSDUWLHVLQYROYHGSDUWLFXODUO\WKHH[HFXWLYH
VSRQVRU$SODQLVDVFKHPHRUPHWKRGLQDGYDQFHRIZKHQZKHUHE\ZKRPDQGKRZIHDWXUHVDQGIXQFWLRQV
ZLOOEHGRQHDQGSURYLGHVDVHTXHQFHRIWKHWDVNVWREHSHUIRUPHG,WLVDIRUPDOSURJUDPIRUVSHFLÀHGJRDOV
DQGEHQHÀWV7RSODQLVWRIRUPXODWHDPHWKRGIRUWKHDFFRPSOLVKPHQWHQDFWPHQWRUDWWDLQPHQWRIJRDOV

Point 9: Kill Switch

(YHU\SURMHFWVKRXOGKDYHDNLOOVZLWFK.LOOLVWRHQGOLIHRUFDXVHGHDWK6ZLWFKLVDGHYLFHIRUWXUQLQJRIIRURQ
7KHUHIRUHDNLOOVZLWFKLVDSUHGHWHUPLQHGSRVLWLRQZKHUHLWLVXQZLVHWRFRQWLQXHWRLQYHVWLQWKHSURMHFW,WLV
QRUPDOO\VHWWRJRRIIZKHQFHUWDLQPLOHVWRQHVRUWDVNVKDYHQRWEHHQPHW,WLVWRSUHYHQWDGHDWKPDUFKRQ
SURMHFWVWKDWKDYHQRKRSHRIVXFFHVV3URMHFWVWKDWKDYHEHHQGHWHUPLQHGWRKDYHKLJKULVNVVKRXOGDOZD\V
KDYHDNLOOVZLWFK

Point 10: Celebrate

,W·VLPSRUWDQWWRFHOHEUDWHVXFFHVV&HOHEUDWHLVWRSUDLVHZLGHO\RUWRSUHVHQWDZLGHVSUHDGDQGIDYRUDEOH
SXEOLFQRWLFHDVWKURXJKLQWHUFRPSDQ\FRPPXQLFDWLRQV,WLVWRREVHUYHDWLPHRIWKDQNVIRUWKHHIIRUWVDQG
FRPPLWPHQWVRIWKHSURMHFWSDUWLFLSDQWV,WLVDWLPHWRKRQRUDQGJORULI\JRDOVDQGDFFRPSOLVKPHQWVRIWKH
SURMHFWQRPDWWHUKRZVPDOO

CHAOS MANIFESTO 11
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 5%
PMO REPORTING 9%

(3306XUYH\UHVXOWVRIWKH AD Managers
9%
TXHVWLRQ´:KHUHLQWKH
RUJDQL]DWLRQGRHVWKH302 Business Ops
GLUHFWO\UHSRUW"µ IT Executives
62%
15% PMO

Other

HISTORY LESSON: NOVEMBER 19, 1863

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WKUHHGD\VODWHU:KHQWKHEDWWOHZDVRYHUWKHWZRDUPLHVKDGVXIIHUHGEHWZHHQDQG
FDVXDOWLHV7KHEDWWOHÀHOGZDVWKHQWXUQHGLQWRDJUHDWFHPHWHU\LQKRQRURIWKHPDQ\
GHDGFRXQWU\PHQDQGEURWKHUV2Q1RYHPEHUWKHUHZDVDIRUPDOGHGLFDWLRQDQG
WKHRUJDQL]HUVLQYLWHGRQHRIWKHFRXQWU\·VPRVWZHOONQRZQSROLWLFLDQVWRSHUIRUPWKHNH\QRWH
DGGUHVV,QIDFWWKHGDWHRIWKHGHGLFDWLRQZDVPRYHGWRDFFRPPRGDWHWKLVVSHFLDONH\QRWH
VSHDNHU7KHNH\QRWHVSHDNHUVSHQWGD\VZULWLQJKLVWDONDQGODERUHGRQWKHFRQWHQWV2QWKH
GD\RIWKHHYHQWWKLVJUHDWRUDWRUEHOORZHGKLVEDULWRQHSURVHIRUWKUHHKRXUVPHVPHUL]LQJWKH
DZHVWUXFNPXOWLWXGHWKDWKDGJDWKHUHG

7KHRUJDQL]HUVDOVRDVNHGDQRWKHUSROLWLFLDQWRVD\DIHZZRUGVDQGSUHVLGHRYHUWKHGHGLFDWLRQ
7KHODQN\VSHDNHUURVHDQGLQDKLJKDQGVKULOOYRLFHVSRNHEXWDIHZZRUGVODVWLQJOHVVWKDQ
PLQXWHV,WZDVRYHUVRTXLFNO\WKDWPRVWRIWKHFURZGGLGQ·WUHDOL]HKHKDGVSRNHQQRUGLG
WKH\KHDUKLVZRUGV7KHZRUOGKDVORQJIRUJRWWHQWKHZRUGVRIWKHNH\QRWHVSHDNHUWKHJUHDW
(GZDUG (YHUHWW 6HFUHWDU\ RI 6WDWH 86 6HQDWRU DQG *RYHUQRU RI 0DVVDFKXVHWWV +RZHYHU
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VFRUHDQGVHYHQ\HDUVDJRµE\3UHVLGHQW/LQFROQ

■ ■ ■ ■ ■

12 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 CLEAR BUSINESS OBJECTIVES

LESSON THREE: LAW OF THE ROADS

It does not matter which road everyone comes from,
as long as they end up in the same place.

$V<RJL%HUUDRQFHVDLG´,I\RXGRQ·WNQRZZKHUH\RXDUHJRLQJ\RXPLJKW
ZLQGXSVRPHSODFHHOVHµ7KLVVWDWHPHQWULQJVVRWUXHZKHQLWFRPHVWR
DSURMHFW·VEXVLQHVVREMHFWLYHV7KXVWKH/DZRIWKH5RDGVVWDWHVWKDWLW
GRHVQRWPDWWHUZKLFKURDGHYHU\RQHFRPHVIURPDVORQJDVWKH\HQGXS
LQWKHVDPHSODFH&ODULW\DQGIRFXVDUHHVVHQWLDOWRDVXFFHVVIXOSURMHFW7KLV
WKLUG&+$26ODZVXSSRUWVWKH6XFFHVV)DFWRURI&OHDU%XVLQHVV2EMHFWLYHV(YHU\
VWDNHKROGHUZLOOKDYHKLVRUKHURZQDJHQGDWKDWQHHGVWREHIXOÀOOHGE\WKHSURMHFW
,WRQO\VWDQGVWRUHDVRQWKDWVWDNHKROGHUVZLOOHTXDOLQGLYLGXDOJRDOV7KLVLVDPDMRULVVXH
EHFDXVHWKHVHYDULDEOHVHOILQWHUHVWQHHGVZLOORIWHQFRQÁLFW

,QDGGLWLRQWRH[HFXWLYHVXSSRUWLWLVYLWDOWKDWHYHU\SURMHFWKDYHFOHDUEXVLQHVVREMHFWLYHV
6WDNHKROGHUV PHDVXUH SURMHFWV EDVHG RQ IDFWRUV VXFK DV FXVWRPHU VDWLVIDFWLRQ LQFUHDVHG
UHYHQXHRUGHFUHDVHGFRVW$OOSURMHFWVPXVWKDYHSULRULWLHVEDVHGRQEXVLQHVVQHHGVZKHWKHU
WKH\ DUH VKRUW RU ORQJWHUP JRDOV 6RPH SURMHFWV WKDW PD\ IDOO RXW RI WKLV FDWHJRU\ LQFOXGH
WKRVHWKDWUHSDLUEURNHQV\VWHPVPHHWIHGHUDORURWKHUOHJLVODWLYHPDQGDWHVRUUXOHVRUDUHD
JHQHUDOXSJUDGHWRWKHLQIUDVWUXFWXUH+RZHYHUHYHQWKHVHW\SHVRISURMHFWZLOORQO\EHMXGJHG
VXFFHVVIXOLIWKH\PHHWVRPHH[WHUQDOEHQFKPDUN

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DGMXVWFOHDUEXVLQHVVREMHFWLYHVDQGGULYHWKHSURMHFWWRDVXFFHVVIXOFRQFOXVLRQ7KLVVWDUWV
ZLWKPDNLQJVXUHHYHU\RQHLVRQWKHVDPHSDJHWKDWWKH\FDQUHFLWHWKHJRDOVDQGREMHFWLYHV
LQDIHZZRUGVDQGWKDWWKH\FDQVHHWKHELJSLFWXUH7KHPLGGOHSDUWRIWKHOHVVRQIRFXVHVRQ
VSHHGPHDVXUHPHQW52,DQGFROODERUDWLRQ7KHHQGLQJORRNVDWSHHUUHYLHZVVWDNHKROGHU
VL]H DQG ÀQDOO\ WKH WKUHH LPSRUWDQW IRUPDO LVVXHV RI SUREOHP VWDWHPHQW UHTXLUHPHQWV
DQGSODQV

90 TIME OVERRUNS
72%
82% 84%
63% 79%
7KHWLPHRYHUUXQV
60
UHVXOWVIURPWKH&+$26
UHVHDUFKIRUWKH\HDUV
30 WKURXJK

0
2000 2002 2004 2006 2008

CHAOS MANIFESTO 13
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 10 CHAOS SUCCESS POINTS FOR CLEAR BUSINESS OBJECTIVES
Point 1: Same Page
,WLVLPSHUDWLYHWKDWHYHU\RQHKDYHWKHVDPHXQGHUVWDQGLQJRIWKHSURMHFW·VEXVLQHVVREMHFWLYHV,QWKLVFRQWH[WWKH
´VDPHSDJHµLVWKHFRPPRQSURMHFWIRFXVDVVHHQE\GLIIHUHQWVWDNHKROGHUVDQGWHDPPHPEHUV3URMHFWVWDNHKROGHUV
DQGWHDPPHPEHUVVKRXOGEHORRNLQJDWWKHVDPHSURMHFWJRDOVUHTXLUHPHQWVWLPHOLQHVFRVWVJDLQVULVNVDQG
FRPPLWPHQWVLQWKHVDPHZD\,WLVDFRPPRQXQGHUVWDQGLQJRIWKHFHQWUDOEXVLQHVVREMHFWLYHRIWKHSURMHFW,WLVDQ
DJUHHPHQWDPRQJWKHVWDNHKROGHUVDERXWWKHSURMHFW·VSXUSRVHDQGGLUHFWLRQ

Point 2: Elevator Pitch

%XVLQHVV REMHFWLYHV QHHG WR EH FRPSUHKHQVLEOH DQG FRQFLVH³WKH\ VKRXOG WDNH QR ORQJHU WR UHFLWH WKDQ WKH
OHQJWKRIDQHOHYDWRUULGH$QHOHYDWRUSLWFKLVDYLYLGRQHVHQWHQFHGHVFULSWLRQRIWKHSURMHFWWKDWFDSWXUHVWKH
HVVHQFHRILWVSXUSRVHEXVLQHVVREMHFWLYHVDQGEHQHÀWV+HUH·VDQH[DPSOH´7KHSURMHFWLVDQHZ&50V\VWHP
WKDWZLOOKHOSXVWUDFNFOLHQWVDQGSURVSHFWVWRLQFUHDVHVDOHVµ$QHOHYDWRUSLWFKVKRXOGWDNHQRPRUHWKDQ
VHFRQGVWRUHFLWH

Point 3: Big Picture

$OZD\V ORRN DW WKH ELJ SLFWXUH³WKH YLHZ RI KRZ WKH SURMHFW ÀWV ZLWK WKH RYHUDOO FRUSRUDWH VWUDWHJ\ DQG RWKHU
DSSOLFDWLRQVERWKFXUUHQWDQGIXWXUHSURMHFWV,WLVDIRRWYLHZRIWKHSURMHFWEXVLQHVVREMHFWLYHVYHUVXV
D JURXQGOHYHO YLHZ ,W LV D FRPPRQ XQGHUVWDQGLQJ RI KRZ WKH SURMHFW FDQ DGYDQFH WKH RYHUDOO JRDOV RI WKH
RUJDQL]DWLRQ

Point 4: Speed
7KHUHLVDQHHGIRUVSHHGIRUWLPHLVWKHHQHP\RIDOOSURMHFWV6SHHGLVUDSLGO\PRYLQJWKHSURMHFWIURPRQHVWDJH
RUJDWHWRWKHQH[WWRDFFRPSOLVKWKHEXVLQHVVREMHFWLYHV,WLVFRPSOHWLQJWDVNVDQGIXQFWLRQVTXLFNO\5HODWLYH
WRSURMHFWVLWLVWKHUDWHRISURJUHVVDWZKLFKWKLQJVJHWGRQH7KHIDVWHUWKLQJVJHWGRQHWKHJUHDWHUWKHVSHHG
WKHVORZHUWKLQJVJHWGRQHWKHVORZHUWKHVSHHG:LWKSURMHFWVVORZNLOOVVSHHGLQFUHDVHVVXFFHVV

Point 5: Yardstick
3URMHFWVQHHGPHDVXUHPHQWVWRVWD\RQWUDFNVRD\DUGVWLFNLQWKLVFRQWH[WLVDQ\SURMHFWVWDQGDUGRIPHDVXUHPHQW
DQG MXGJPHQW XVHG IRU FRPSDULVRQ EHWZHHQ SURMHFWV WDVNV DQG IXQFWLRQV ,W LV WKH YDOXH E\ ZKLFK \RX FDQ
PHDVXUHWKHSURMHFW·VSURJUHVVLQUHJDUGVWRLWVEXVLQHVVREMHFWLYHV,WLVWKHFRPPRQOHQJWKEHWZHHQSURMHFW
VWHSSLQJVWRQHV,QWKHSURFHVVD\DUGVWLFNFRXOGEHDZHHNWZRZHHNVRUDPRQWK

5%

ELEVATOR PITCH
18%
31%
'$576UHVXOWVRIWKH
Always
TXHVWLRQ´+RZRIWHQGR
\RXFUHDWHDQHOHYDWRU Sometimes
SLWFKIRUPLJUDWLRQ Often
SURMHFWV"µ
Never

46%

14 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 43% PROJECT PROCESS
AD Managers (3306XUYH\UHVXOWV
21% RIWKHTXHVWLRQ´:KR
Business Ops
FRQWUROVWKHSURMHFW
IT Executives SURFHVV"µ

PMO

Other
18%
2%
14%

Point 6: Return on Investment

7KLVLVDJRRGSODFHWRVWDUWZKHQORRNLQJDWWKHEXVLQHVVREMHFWLYH5HWXUQRQLQYHVWPHQWRU52,LVDSHUIRUPDQFH
PHDVXUHPHQWXVHGWRHYDOXDWHWKHHIÀFLHQF\RIDSURMHFWLQYHVWPHQWDQGWRFRPSDUHWKDWSURMHFWWRYDULRXV
RWKHUSURMHFWV7RFDOFXODWH52,WDNHWKHUHWXUQRIDSURMHFWDQGGLYLGHE\WKHFRVWRIWKHSURMHFWWKHUHVXOWLV
H[SUHVVHGDVDSHUFHQWDJHRUDUDWLR,IDSURMHFWGRHVQRWKDYHDSRVLWLYH52,RULIWKHUHDUHRWKHUSURMHFWVZLWK
DKLJKHU52,WKHQWKHSURMHFWVKRXOGEHQRWEHXQGHUWDNHQ

Point 7: Collaboration
&ROODERUDWLQJLVWKHDFWRIZRUNLQJWRJHWKHUZLWKSURMHFWFRQWULEXWRUVDQGVWDNHKROGHUVWRUHDFKWKHSURMHFW·VEXVLQHVV
REMHFWLYHV &ROODERUDWLRQ LV DQ LQWHOOHFWXDO HIIRUW RI WZR RU PRUH SHRSOH &ROODERUDWLRQ FDQ MRLQ SHRSOH ZLWK HLWKHU
VLPLODU RU GLIIHUHQW WDOHQWV WR ZRUN RQ D SDUWLFXODU LVVXH ,Q DQ DSSOLFDWLRQ GHYHORSPHQW SURMHFW XVHUV VSRQVRUV
DQGWHFKQLFDOSHRSOHFDQFROODERUDWHRQDQXPEHURILVVXHVVXFKDVUHTXLUHPHQWVTXDOLW\FRVWVDQGVFKHGXOHV
&ROODERUDWLRQVFDQEHGRQHLQFORVHSUR[LPLW\RURYHUDYLUWXDOHQYLURQPHQWOLNH:HE([

Point 8: Peer Review

$VWURQJIRXQGDWLRQIRUDSHHUUHYLHZSURFHVVFDQJUHDWO\EHQHÀWSURMHFWV$SHHUUHYLHZLVWKHHYDOXDWLRQRI
DSURMHFW·VZRUNRUSHUIRUPDQFHE\DJURXSRIRWKHUSHRSOH7KHVHSHRSOHFRXOGEHLQWKHVDPHRFFXSDWLRQ
SURIHVVLRQRULQGXVWU\7KHSHHUJURXSFRXOGEHPDGHXSRISHRSOHIURPZLWKLQWKHRUJDQL]DWLRQRXWVLGHWKH
RUJDQL]DWLRQRUDFRPELQDWLRQRIERWK7KHSURGXFWRIDSHHUUHYLHZFDQEHDIRUPDOUHSRUWRUDQRXWOLQHRI
VXJJHVWLRQV

Point 9: Too Many Cooks

&RQVLGHUWKHDQFLHQWSURYHUE´7RRPDQ\FRRNVVSRLOWKHEURWKµ,QWKLVFRQWH[WKDYLQJWRRPDQ\SHRSOHLQYROYHG
LQWKHSURMHFWFDQFDXVHLWWRVWDOORUPRYHVORZO\7KLVLVQRWDVWDWLVWLFDOQXPEHUVXFKDVRIXVHUVEXWD
ÀQLWHQXPEHU7KHRSWLPXPVL]HRIDWHDPLVVL[IRUDQ\JLYHQSURMHFW$Q\WHDPZLWKPRUHWKDQVL[PHPEHUV
UHGXFHVWKHFKDQFHVRIVXFFHVVZLWKHDFKDGGHGPHPEHU

Point 10: Black Tie

2IWHQ EODFN WLH LV PRUH DSSURSULDWH WKDQ EXVLQHVV FDVXDO ´%ODFN WLHµ LV WKH IRUPDO SURFHVV XQGHUVWRRG E\ WKH
RUJDQL]DWLRQ·VVWDNHKROGHUVDQGSURMHFWWHDPPHPEHUV7KHEODFNWLHSURFHVVLVDSUHGHÀQHGVHWRISURFHVVEDVHG
WHFKQLTXHVIRUWKHVSHFLÀFDWLRQGHYHORSPHQWDQGYHULÀFDWLRQRIDSSOLFDWLRQVRIWZDUH7KUHHRIWKHPDMRUFRPSRQHQWV
RIWKHEODFNWLHSURFHVVDUHSUREOHPVWDWHPHQWUHTXLUHPHQWVGRFXPHQWDQGSURMHFWSODQ

CHAOS MANIFESTO 15
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 CASE STUDY: Emigratus’ Web Customer Focused
Conferencing Center Project
7KH FRQIHUHQFLQJ GLYLVLRQ RI D PDMRU WHOHFRPPXQLFDWLRQV FRPSDQ\ QHHGHG WR DXWRPDWH LWV
H[LVWLQJODERULQWHQVLYHDSSURDFKWRDOORZIRUDPRUHFXVWRPHUIULHQGO\HQYLURQPHQW7KHV\VWHP
LQSODFHFDOOHGIRUHDFKRIWKHFRPSDQ\·VRSHUDWRUVWRHVWDEOLVKFRQIHUHQFLQJEULGJHVZLWK
D´KDQGVRQµDSSURDFKGHDOLQJRQDRQHE\RQHEDVLVZLWKWKLQJVOLNHYDU\LQJWDULIIVDQGOLQH
W\SHVIURPDURXQGWKHZRUOG7KHRSHUDWRUVGHWHUPLQHGWKHEHVWURXWHDQGÀJXUHGRXWDWLPH
VFKHGXOHIRUWKHFXVWRPHU:KLOHWKLVDSSURDFKZRUNHGLWUHVXOWHGLQDKRXUODJWLPHIRUWKH
FXVWRPHU7KHWHOHFRPPXQLFDWLRQVFRPSDQ\KLUHG(PLJUDWXVWRFXWWKDWWLPHDQGDXWRPDWH
WKHSURFHVV

7KHQHZV\VWHPFXWWKHKRXUODJWLPHGRZQWRÀYHWRPLQXWHVDQGWKHRSHUDWRUVFDQ
QRZIRFXVRQUHDOFXVWRPHUVHUYLFHLVVXHVLQVWHDGRIVHWXSLVVXHV$ERQXVRIWKHDSSURDFK
DOORZV ELOOLQJ WR WDNH DGYDQWDJH RI WKH &DOO 'HWDLO 5HFRUGV ZKLFK DUH IHG GLUHFWO\ WR D GDWD
ZDUHKRXVH

7KHSURMHFWVWDUWHGLQHDUO\DQGHQGHGLQ'HFHPEHURIWKDWVDPH\HDU7KHSURMHFWPHPEHUV
FRQVLVWHG RI WKUHH GHVLJQHUV RQH V\VWHP DQDO\VW DQG VHYHQ SURJUDPPHUV ,Q DGGLWLRQ WKH
WHDPZRUNHGZLWKIRXUXVHUVDQGDERDUGRIH[HFXWLYHVSRQVRUV6RKDLO6LGGLTXL&22IRU
(PLJUDWXV&RPPXQLFDWLRQVDSURYLGHURIPDQDJHG:HEKRVWLQJDSSOLFDWLRQGHYHORSPHQWDQG
SURMHFWPDQDJHPHQWVHUYLFHVKHDGHGXSWKHSURMHFW

6LGGLTXL DWWULEXWHV PXFK RI WKH VXFFHVV RI WKLV SURMHFW WR EHLQJ YHU\ IRFXVHG RQ ZRUNLQJ ZLWK
H[HFXWLYHPDQDJHPHQWRQHVWDEOLVKLQJFOHDUO\GHÀQHGVFRSHREMHFWLYHVDQGJRDOVIRUWKHSURMHFW
7KH JURXS DOVR ZDV YHU\ VWURQJ RQ DOORFDWLQJ UHVRXUFHV DQG WLPH 7KLV ZDV KHOSHG E\ FOHDUO\
FRPPXQLFDWLQJHYHU\RQH·VLPSRUWDQFHWRWKHSURMHFWDQGPDNLQJVXUHUROHVZHUHZHOOGHÀQHG

:KLOHFRPPXQLFDWLRQZLWKH[HFXWLYHPDQDJHPHQWZDVVWURQJRYHUDOOWKHSURMHFWWHDPIHOWWKH\
VKRXOGKDYHKDGEHWWHUFRPPXQLFDWLRQZLWKWKHHQGXVHUV,IWKH\KDGEHWWHUXQGHUVWRRGWKH
EXVLQHVVSURFHVVWKHQWKHSURMHFWFRXOGKDYHEHHQFRPSOHWHGDKHDGRIVFKHGXOH

6XEVHTXHQW SURMHFWV QRZ FDOO IRU WKH SURMHFW PDQDJHU DQG D EXVLQHVV DQDO\VW WR VLW GRZQ
DQG XQGHUVWDQG WKH EXVLQHVV SURFHVV ÁRZ DQG IRU WKH EXVLQHVV DQDO\VW WR FRPPXQLFDWH RQ
DQRQJRLQJEDVLVZLWKWKHHQGXVHUV3URMHFWWHDPVDOVRKDYHDEHWWHUXQGHUVWDQGLQJRIWKH
SUREOHPVWKDWXQLQIRUPHGXVHUVFDQH[SHULHQFH7KH\DUHFDUHIXOWRDGGUHVVWKLVE\VKRZLQJ
WKHRYHUDOOEHQHÀWVWRWKHFRPSDQ\DQGKRZWKRVHEHQHÀWVZLOOLPSURYHWKHLURZQLQGLYLGXDOVNLOO
VHWVDQGPDNHWKHPPRUHPDUNHWDEOHWRWKHRUJDQL]DWLRQ

■ ■ ■ ■ ■

16 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 EMOTIONAL MATURITY

LESSON FOUR: Law of the Five Deadly Sins

You will encounter the Five Deadly Sins in all projects.

7KH /DZ RI WKH )LYH 'HDGO\ VLQV VWDWHV WKDW \RX ZLOO HQFRXQWHU WKH
)LYH'HDGO\6LQVLQDOOSURMHFWV7KH)LYH'HDGO\6LQVDUHSDUWRIDOO
SURMHFWHFRV\VWHPVKHDOWK\DQGXQKHDOWK\,QIDFWDSURMHFWFDQQRW
EHVXFFHVVIXOZLWKRXWWKHP)RUH[DPSOHHYHU\SURMHFWZLOOKDYHDQ
LPSDWLHQWYLVLRQDU\ZKLFKUHVXOWVLQRYHUDPELWLRQ³WKHÀUVWGHDGO\VLQ
,WLVKRZ\RXGHDOZLWKHDFKRIWKHVHVLQVWKDWZLOOGHWHUPLQHWKHVXFFHVV
RU IDLOXUH RI D SURMHFW 7KLV IRXUWK ODZ RI &+$26 VXSSRUWV WKH (PRWLRQDO
0DWXULW\6XFFHVV)DFWRU

7KHSRLQWVLQ/HVVRQ)RXUVWDUWZLWKWKH)LYH'HDGO\6LQVRISURMHFWPDQDJHPHQW

1. Overambition.

2. Arrogance.

3. Ignorance.

4. Abstinence.

5. Fraudulence.

7KHVHDUHIROORZHGE\WKH&+$26&RPPDQGPHQWVZKLFKDUH

6. Community.

7. Honor.

8. Awareness.

9. Objective.

10. Superior Excellence.

CHAOS MANIFESTO 17
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 10 CHAOS SUCCESS POINTS FOR EMOTIONAL MATURITY:
Point 1: Overambition
2YHUDPELWLRQLVDVWURQJGHVLUHWRH[HFXWHDVLJQLÀFDQWSURMHFWWRJDLQIDPHIRUWXQHRUSRZHUWKURXJKWKHLPSDFW
RIRYHUUHDFKLQJJRDOV2YHUUHDFKLQJPHDQVWRGHIHDWRQHVHOIE\JRLQJWRRIDURUE\GRLQJRUWU\LQJWRJDLQWRR
PXFKWRRVRRQ6RPHWLPHVRYHUUHDFKLQJLVJRRGEXWERWKRYHUDPELWLRQDQGRYHUUHDFKLQJVKRXOGEHUHFRJQL]HG
DQGWKHULVNFRQVLGHUHGDQGPDQDJHG

Point 2: Arrogance
$UURJDQFHLVWKHXQZDUUDQWHGRYHUEHDULQJSULGHRUKXEULVHYLGHQFHGE\DVXSHULRUPDQQHUWRZDUGVXSHULRUV
SHHUVDQGLQIHULRUV+XEULVLVRIWHQDVVRFLDWHGZLWKDODFNRINQRZOHGJHLQWHUHVWLQDQGH[SORUDWLRQRIKLVWRU\
FRPELQHGZLWKDODFNRIKXPLOLW\,Q$QFLHQW*UHHFH´KXEULVµUHIHUUHGWRDFWLRQVWDNHQLQRUGHUWRVKDPHDQG
KXPLOLDWHWKHYLFWLPWKHUHE\PDNLQJRQHVHOIVHHPVXSHULRU5HDOO\VPDUWSHRSOHGRQRWQHHGWRPDNHWKHPVHOYHV
IHHOEHWWHUDWWKHH[SHQVHRIRWKHUV

Point 3: Ignorance
,JQRUDQFHLVWKHFRQGLWLRQRIEHLQJXQDZDUHXQLQIRUPHGXQHGXFDWHGDQGRUXQVXVSHFWLQJDERXWWKHSURMHFW
DQG VWDNHKROGHU JRDOV GLUHFWLRQV GHWDLOV LVVXHV DQG RSSRUWXQLWLHV 0DQ\ VWDNHKROGHUV SUDFWLFH ´UDWLRQDO
LJQRUDQFHµ ZKLFK LV ZKHQ WKH FRVW RI HGXFDWLQJ RQHVHOI DERXW WKH LVVXH VXIÀFLHQWO\ WR PDNH DQ LQIRUPHG
GHFLVLRQFDQRXWZHLJKDQ\SRWHQWLDOEHQHÀWRQHFRXOGUHDVRQDEO\H[SHFWWRJDLQIURPWKDWGHFLVLRQ7KHUHIRUHLW
ZRXOGEHLUUDWLRQDOWRZDVWHWLPHGRLQJVR

Point 4: Abstinence
$EVWLQHQFH LQ WKH FRQWH[W RI SURMHFW PDQDJHPHQW LV WKH DFW RU SUDFWLFH RI UHIUDLQLQJ IURP SDUWLFLSDWLRQ DQG
FRQWULEXWLRQWRWKHSURMHFW1RQSDUWLFLSDWLRQPHDQVZLWKGUDZLQJIURPWKHDFWLYLWLHVRIWKHSURMHFWDQGIURPWKH
SURMHFWLQJHQHUDO,WDOVRPHDQVWKDWWKHSHUVRQRUSHUVRQVGRQRWZDQWWREHLGHQWLÀHGZLWKWKHSURMHFWRULWV
DFWLYLWLHV

Point 5: Fraudulence
)UDXGXOHQFHLVDQDFWLRQLQWHQGHGWRGHFHLYHLWLVGHOLEHUDWHWULFNHU\LQWHQGHGWRJDLQDQDGYDQWDJHRUWRDYRLG
FRQIURQWDWLRQ)UDXGXOHQFHLVEHLQJFRQWUDU\WRWKHWUXWKRUUHDOLW\WKURXJKVSHHFKRUDFWLRQ,WLVIDOVHO\SRUWUD\LQJ
WUXHLQWHQWLRQVE\GHFHSWLYHZRUGVRUDFWLRQ)UDXGXOHQFHLQWKHSURMHFWPDQDJHPHQWVHQVHLVO\LQJWRRQHVHOI

FEATURE AND FUNCTIONS

90
3HUFHQWRIGHOLYHUHG
70% 68%
IHDWXUHVDQGIXQFWLRQV 67%
64%
67%

UHVXOWVIURPWKH&+$26 60

UHVHDUFKIRUWKH\HDUV
WKURXJK
30

0
2000 2002 2004 2006 2008

18 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 COMPLIANCE
NO
'$576UHVXOWVRI
31%
WKHTXHVWLRQ´+DYH
\RXRUZLOO\RXXVH
SURMHFWPDQDJHPHQW
YES VRIWZDUHWRKHOS\RX
69% PHHWFRPSOLDQFH
UHJXODWLRQV"µ

Point 6: Community
&UHDWLQJ DQG PDLQWDLQLQJ D FRPPXQLW\ IDFLOLWDWHV D KHDOWK\ HFRV\VWHP $ FRPPXQLW\ LV D VRFLRSROLWLFDO DQG
HFRQRPLFRUJDQL]DWLRQ,WLVDXQLÀHGERG\RILQGLYLGXDOVZLWKFRPPRQLQWHUHVWVLQWHUDFWLQJWRJHWKHUZLWKLQD
ODUJHUJURXSOLQNHGE\DFRPPRQSROLF\RUJRDO,QWKHFRQWH[WRIDSURMHFWLWFRQVLVWVRIDQXPEHURISHRSOH
JURXSVGHSDUWPHQWVDQGGLYLVLRQVZKRVKDUHDFRPPRQODQJXDJHFXOWXUHDQGRSSRUWXQLW\

Point 7: Honor
+RQRUVWDUWVZLWKPDQDJHPHQWYDOXHV+RQRULVWKHIHHOLQJDQGHPRWLRQRIRQH·VRZQSURSHUGLJQLW\YDOXHDQG
VHOIUHVSHFWZLWKLQDSURMHFWSURJUDPRUHFRV\VWHPFRPPXQLW\,WLVWKHMR\RIVXFFHVVIXOO\SDUWLFLSDWLQJLQWKH
SURJUHVVGLUHFWLRQDQGXOWLPDWHVXFFHVVRIDSURMHFWSURJUDPRUHFRV\VWHP+RQRULVKDYLQJDJRRGQDPHRU
SXEOLFHVWHHPWKURXJKIRUWKULJKWQHVVDQGWUDQVSDUHQF\

Point 8: Awareness
3URMHFW OHDGHUV VKRXOG IRFXV RQ FUHDWLQJ DQG PDLQWDLQLQJ DZDUHQHVV $ZDUHQHVV LV WKH FRQGLWLRQ RI EHLQJ
LQIRUPHG HGXFDWHG DQGRU FXULRXV DERXW WKH SURMHFW DQG VWDNHKROGHU JRDOV GLUHFWLRQV GHWDLOV LVVXHV DQG
RSSRUWXQLWLHV,WLVWKHVWDWHRUOHYHORIFRQVFLRXVQHVVZKHUHWKHVHQVHRIWKHSURMHFW·VGLUHFWLRQDQGSURJUHVV
FDQEHFRQÀUPHGE\REVHUYDWLRQLQIRUPDWLRQDQGDWWLWXGH

Point 9: Objective
7UDQVSDUHQF\VWDUWVZLWKEHLQJREMHFWLYH%HLQJREMHFWLYHPHDQVH[SUHVVLQJRUGHDOLQJZLWKIDFWVRUFRQGLWLRQV
RI D SURMHFW SURJUDP RU FLUFXPVWDQFHV DV SHUFHLYHG ZLWKRXW GLVWRUWLRQ E\ SHUVRQDO IHHOLQJV SUHMXGLFHV RU
LQWHUSUHWDWLRQV,WLVWKHDUWRIOLPLWLQJWKHSURMHFW·VFKRLFHVWRDVHWRIÀ[HGDOWHUQDWLYHVDQGUHGXFLQJVXEMHFWLYH
IDFWRUVWRDPLQLPXP

Point 10: Superior Excellence

6XSHULRUH[FHOOHQFHLVWKHDUGHQWDQG]HDORXVSXUVXLWRISHUIHFWLRQDQGGULYLQJWRDTXDOLW\RXWFRPH,WLVKDYLQJ
WKH PRVW SRVLWLYH TXDOLWLHV RU SHUIRUPDQFH 6XSHULRU LV D VWURQJ GHVLUH WR H[HFXWH WKH WDVNV DQG ZRUN ZLWKLQ
DSURMHFWSURJUDPRUHFRV\VWHPWRSURGXFHDQH[FHOOHQWSURGXFWRUVHUYLFH6XSHULRUPHDQVQRWVHWWOLQJIRU
PHGLRFULW\

CHAOS MANIFESTO 19
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 PROJECT PORTFOLIO
36%
(3306XUYH\UHVXOWV
AD Managers
RIWKHTXHVWLRQ´:KR
PDLQWDLQVHYDOXDWHVWKH 35% Business Ops
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IT Executives

PMO
4% 1%
Other

24%

BOOK REVIEW: The Starbucks Experience

Subtitle:3ULQFLSOHVIRU7XUQLQJ2UGLQDU\LQWR([WUDRUGLQDU\

Authors:-RVHSK$0LFKHOOL

Publisher:0F*UDZ+LOO

Reviewer:-LP-RKQVRQ

CHAOS Rating:RXWRIEXWWHUÁLHV

Focus

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VXFFHVVIXO7KHVHÀYHSULQFLSOHVDUH0DNHLW\RXURZQ(YHU\WKLQJPDWWHUV6XUSULVH
DQG GHOLJKW  (PEUDFH UHVLVWDQFH DQG  /HDYH \RXU PDUN %HLQJ D IUHTXHQW FXVWRPHU RI
6WDUEXFNV , FDQ DWWHVW WR WKHVH ÀYH SULQFLSOHV LQ DFWLRQ :KDW LV WUXO\ DPD]LQJ LV KRZ WKH
FRPSDQ\KDVEHHQDEOHWRVFDOHWKHVHSULQFLSOHVDFURVVWKHJOREH

Wisdom Pearls

&RIIHH LV D FRPPRGLW\ DQG LV UHDGLO\ DYDLODEOH 6WDUEXFNV ZDV DEOH WR WDNH WKLV FRPPRGLW\
FKDUJHWKUHHWLPHVPRUHIRULWWKDQ'XQNLQ'RQXWVDQGFUHDWHRQHRIWKHJUHDWRUJDQL]DWLRQVLQ
WKHZRUOG7KHVHÀYHSULQFLSOHVJXLGHWKHFRPSDQ\·VDFWLRQVDQGVKRZWKDWVXFFHVVDQGVRFLDO
UHVSRQVLELOLW\DUHQRWRUWKRJRQDO3URMHFWPDQDJHUVPLJKWEHDEOHWRXVHWKHVHSULQFLSOHVWR
EHFRPHEHWWHUSURMHFWOHDGHUV

■ ■ ■ ■ ■

20 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 OPTIMIZATION

LESSON FIVE: Law of the Long-Tailed Monster

You will always build too much of what you don’t need
and not enough of what you do need.

7KH/DZRIWKH/RQJ7DLOHG0RQVWHUVWDWHV\RXZLOODOZD\VEXLOGWRRPXFKRI
ZKDW\RXGRQ·WQHHGDQGQRWHQRXJKRIZKDW\RXGRQHHG7KHJUHDWUHWDLOHU
): :RROZRUWK RQFH VDLG WKDW  FHQWV RXW RI HYHU\ GROODU KH VSHQW RQ
DGYHUWLVLQJZDVZDVWHG+HZHQWRQWRVD\WKDWKHZLVKHGKHNQHZZKLFK
FHQWV7KDWLVWKHVDPHSUREOHPZLWKUHTXLUHPHQWVRIVRIWZDUHIHDWXUHV
DUHQRWXVHGRUDUHZDVWHGZKLOHRWKHUIHDWXUHVDUHVRUHO\PLVVHG2YHUDQGXQGHU
EXLOGLQJDSSOLFDWLRQVUHSUHVHQWWKHELJJHVWIRUPRIVRIWZDUHGHYHORSPHQWZDVWH:H
WKLQNWKHVLOYHUEXOOHWWRVROYHWKHLVVXHLVRSWLPL]DWLRQEDVHGRQYDOXH7KHÀIWK/DZRI&+$26
VXSSRUWVWKH2SWLPL]DWLRQ6XFFHVV)DFWRU

([SDQVLRQRIUHTXLUHPHQWVFDQFDXVHDSURMHFWGLVDVWHU7KHSRLQWVLQ/HVVRQ)RXURQRSWLPL]DWLRQ
GHWDLO WKH IROORZLQJ ,Q WKH EHJLQQLQJ RI D SURMHFW WKH NH\ WR UHGXFLQJ ERWK WLPH DQG PRQH\ LV
FRQVWUDLQLQJ VFRSH WR MXVW WKRVH HOHPHQWV WKDW DUH DEVROXWHO\ QHFHVVDU\ 7KLV LV RSWLPDO $V \RX
PRYHIRUZDUG\RXORRNDWFRVWULVNDQGJDLQRIHDFKUHTXLUHPHQWWRRSWLPL]H\RXUVFRSH)LUVWORRN
DW KRZ WR PDQDJH VFRSH 7KHQ FRQVLGHU DFFXUDWH HVWLPDWHV SUXQLQJ XQQHFHVVDU\ UHTXLUHPHQWV
VHWWLQJH[SHFWDWLRQVDQGXVLQJDQDORJLHV1H[WZHFRQVLGHUWKHEHQHÀWVRIDQRUHOHDVHSROLF\DQG
KRZWKDWRSWLPL]HV\RXUGHOLYHU\HQYLURQPHQW:HZDQWWRNQRFNGRZQWKHP\WKRIGRLQJULVN\LWHPV
ÀUVW7KHQZHFRQVLGHUWKH\LHOGDQGULVNRISURMHFWVDQGUHTXLUHPHQWV/DVWO\ZHÀUVWFRQVLGHUWKH
SDQGDEHDU7KLVSRLQWFDPHRXWRIDQHIIRUWDWD&+$268QLYHUVLW\ZRUNVKRSWRFUHDWHD]RRZKLFK
LVZK\LWLVQDPHGSDQGDEHDU7KHSDQGDEHDULQWKLVFRQWH[WLVKLJKULVNKLJKUHZDUGIHDWXUHVRU
SURMHFWV

0\GRJLVDJRRGLOOXVWUDWLRQRIRSWLPL]DWLRQ7KHÀUVWWLPHWKHYHWHULQDULDQODLGH\HVRQ0DQOH\KH
H[FODLPHG´+HLVQRWKLQJEXWDZKLWHEDOORIIXUµ0DQOH\D0DOWHVHZHLJKVRQO\SRXQGVEXWKH
OLYHVXSWRKLVQDPH+HLVDÀUHEDOODQGZLOOGRPLQDWHGRJVPDQ\WLPHVKLVVL]H+HLVRSWLPDO+HLV
VPDOOEXWSRZHUIXODQGWKDWLVKRZ\RXZDQW\RXUVRIWZDUHDSSOLFDWLRQV<RXZDQWWKHPWREHOHDQ
PHDQDQGSRZHUIXO<RXZDQWWKHPWREHRSWLPDO<RXZDQWWKHPWREHOLNH0DQOH\<RXGRWKLVE\
RSWLPL]LQJVFRSH

PROJECT RESOLUTION BY PROJECT SIZE

7KHSURMHFW Success Challenged Failed
UHVROXWLRQE\VL]H 2YHU0   
UHVXOWVIURPWKH 0WR0   
&+$26 0WR0   
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8QGHU.   
7RWDO   

CHAOS MANIFESTO 21
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 10 CHAOS SUCCESS POINTS FOR OPTIMIZING SCOPE
Point 1: Scope
7KH VFRSH RI D SURMHFW PXVW EH FRQWDLQHG 6FRSH LV WKH WRWDO RU VXP RI WKH GHOLYHUDEOHV DQG VHUYLFHV WR EH
SURYLGHG IURP DQ ,7 SURMHFW RU SURJUDP $ VWDWHPHQW RI SURMHFW VFRSH LQFOXGHV D OLVW RI GHOLYHUDEOHV SURMHFW
REMHFWLYHVDQGDGHVFULSWLRQRISURMHFWVXFFHVVFULWHULDVXFKDVFRVWTXDOLW\DQGVFKHGXOHV$OOWLPHDQGFRVW
HVWLPDWHVDUHEDVHGRQWKHVFRSHRIWKHSURMHFW

Point 2: Accurate Estimates

&UHDWLQJDFFXUDWHHVWLPDWHVIRUDSURMHFWLVGLIÀFXOWEXWFULWLFDO$FFXUDF\PHDQVFRQIRUPLQJFORVHO\WRVRPH
HVWDEOLVKHGVWDQGDUG,WLVEHLQJSUHFLVHRUKDYLQJRQO\DYHU\VPDOOHUURURIDQ\NLQG$QHVWLPDWHLVFDOFXODWLQJ
DSSUR[LPDWHO\WKHDPRXQWH[WHQWPDJQLWXGHSRVLWLRQRUYDOXHRIDSURMHFW,WLVDQRSLQLRQRUDURXJKJXHVV
DERXWWKHFRVWWLPHDQGVFRSHRIDSURMHFW7KHUHIRUHDQDFFXUDWHHVWLPDWHPHDQVWRKDYHDFORVHJXHVV

Point 3: Prune
,I\RX·UHLQFKDUJHRIPDLQWDLQLQJFRGHWDNHDOHVVRQIURPJDUGHQHUVDQGSUXQHLW5HPRYHGHDGFRGHWRPDNH
LWHDVLHUWRFRPSUHKHQGDVZHOODVPRUHPDLQWDLQDEOHPRUHHIÀFLHQWDQGDPHQDEOHWRFKDQJH$OVRNQRZQDV
UHIDFWRULQJ SUXQLQJ LPSURYHV WKH XQGHUVWDQGDELOLW\ RI WKH FRGH DQG FKDQJHV LWV LQWHUQDO VWUXFWXUH DQG GHVLJQ
3UXQLQJLVRIWHQPRWLYDWHGE\WKHGLIÀFXOW\RIDGGLQJQHZIXQFWLRQDOLW\WRDSURJUDPRUÀ[LQJDEXJ

Point 4: Expectations
0DQDJLQJ H[SHFWDWLRQV³ZKDW VWDNHKROGHUV DQG XVHUV EHOLHYH ZLOO EH WKH RXWFRPH RI D SURMHFW³LV FUXFLDO
([SHFWDWLRQVLQDSURMHFWFRQWH[WPLJKWEHWKHFRVWWLPHRUTXDOLW\RIDQRXWFRPH7KH\PD\EHFHUWDLQIHDWXUHV
SURPLVHGRUWDVNVFRPSOHWHG´'LVDSSRLQWPHQWµLVWKHQHJDWLYHGLIIHUHQFHEHWZHHQDQH[SHFWDWLRQDQGUHDOLW\
´6DWLVIDFWLRQµLVWKHSRVLWLYHGLIIHUHQFHEHWZHHQDQH[SHFWDWLRQDQGUHDOLW\

Point 5: Butterfly Effect

7KH%XWWHUÁ\(IIHFWUHIHUVWRWKHLGHDWKDWDEXWWHUÁ\·VZLQJVPLJKWFUHDWHWLQ\FKDQJHVLQWKHDWPRVSKHUHWKDW
FRXOGXOWLPDWHO\DOWHUWKHSDWKRIDWRUQDGRRUGHOD\DFFHOHUDWHRUHYHQSUHYHQWWKHRFFXUUHQFHRIDWRUQDGRLQD
FHUWDLQORFDWLRQ,QSURMHFWWHUPVZKDWVHHPVOLNHDVPDOOFKDQJHRUPLQRUHQKDQFHPHQWFDQFDXVHWKHSURMHFW
WREHVHYHUHO\FKDOOHQJHGRUIDLO

9%
STEPPING STONES
'$576UHVXOWVRIWKH
18% Always
TXHVWLRQ´,QJHQHUDO
GR\RXXWLOL]H 43% No
VWHSSLQJVWRQHVWR
RSWLPL]HPLJUDWLRQ Yes, sometimes
WRQHZVRIWZDUH
Yes, most
UHOHDVHV"µ

30%

22 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 4%
CHANGE MANAGEMENT
17%
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AD Managers 33% RIWKHTXHVWLRQ
Business Ops ´:KRFRQWUROVWKH
VHOHFWLRQDQGXVHRI
IT Executives
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PMO 21% WRROV"µ

Other
25%

Point 6: No Releases
,IUHOHDVHPHWKRGVDUHHQJUDLQHGLQ\RXUVRIWZDUHOLIHF\FOHEUHDNWKHF\FOH$QRUHOHDVHSROLF\PHDQVWKHUHZLOO
QRWEHDIRUPDOVRIWZDUHUHOHDVH6RIWZDUHUHOHDVHVDUHJHQHUDOO\WKHGLVWULEXWLRQRIQHZRUXSJUDGHGVRIWZDUH
ZLWKPDQ\QHZIHDWXUHVDQGIXQFWLRQV,QDQRUHOHDVHSROLF\QHZYHUVLRQVRIVRIWZDUHDUHGHOLYHUHGFRQVWDQWO\
LQVPDOOLQFUHPHQWVRUVWHSSLQJVWRQHV,QWKLVUHJDUGXVHUVJHWWROHDUQKRZWRXVHQHZIHDWXUHVDQGIXQFWLRQV
RYHUWLPHWKLVVSHHGVXSGHOLYHU\DQGXVHUDFFHSWDQFH

Point 7: Risk First—Not!

,QRWKHUZRUGVGRQ·WGRWKHULVN\LWHPVÀUVWGRWKHPODVWRUQRWDWDOO,QVWHDGGRWKHHDV\VWXIIÀUVW,IULVN\LWHPV
FDQEHDYRLGHGZLWKRXWPDMRUUHGXFWLRQLQEHQHÀWWKHQGRVR5LVN\LWHPVVKRXOGDOZD\VKDYHFORVHULQVSHFWLRQ
RQYDOXHWRWKHRUJDQL]DWLRQDQGWRWKHVXFFHVVRUIDLOXUHRIWKHSURMHFW

Point 8: Risk
&RQVLGHUWKHULVNRIHDFKUHTXLUHPHQW$ULVNLVDWKUHDWWRDSURMHFW·VVXFFHVVVXFKDVSK\VLFDOHVWLPDWLRQ
ÀQDQFLDORUSROLWLFDOLQTXDQWLWDWLYHWHUPVLW·VWKHSUREDELOLW\RIDQXQGHVLUHGRXWFRPH)LUVWULVNVVKRXOGEH
FRQVLGHUHGE\WKHW\SHVRIHYHQWVVXFKDVDNH\SHUVRQOHDYLQJWKHSURMHFWEHIRUHLWVUHVROXWLRQ6HFRQGWKH\
VKRXOGEHFRQFHUQHGZLWKWKHSUREDELOLW\RIRFFXUUHQFHVXFKDVWKHULVNLVRQO\DFKDQFHWKDWDNH\SHUVRQ
ZLOOOHDYHEHIRUHWKHSURMHFWLVFRPSOHWHG

Point 9: Yield
$VVHVVSURMHFWUHTXLUHPHQWVE\WKHLU\LHOGRUJDLQ<LHOGLVWRWDOPRQHWDU\DPRXQWUHFHLYHGRYHUDJLYHQSHULRG
RIWLPHWKHUHWXUQRQLQYHVWPHQW52,RIDSURMHFWPHDVXUHGLQDEVROXWHGROODUVRUFXUUHQF\<LHOGVDUHXVHG
WR PHDVXUH SURMHFWV UHTXLUHPHQWV DQG SURJUDPV DJDLQVW RWKHU SURMHFWV UHTXLUHPHQWV DQG SURJUDPV )RU
H[DPSOH´7KLVSURMHFWZLOO\LHOGDPLOOLRQGROODUVLQDGGLWLRQDOVDOHVSHU\HDUµYHUVXV´7KLVSURMHFWZLOOVDYHXV
KDOIDPLOOLRQGROODUVLQFRVWµ

Point 10: Panda Bears

6RPHWLPHV \RX NHHS WKH SDQGD EHDU VRPHWLPHV \RX GRQ·W&RQVLGHU FRVW ULVN DQG JDLQ FROOHFWLYHO\ LQ \RXU
GHFLVLRQPDNLQJ´3DQGDEHDUVµLQWKHFRQWH[WRISURMHFWPDQDJHPHQWDUHUHTXLUHPHQWVWKDWKDYHERWKDKLJK
ULVNDQGDKLJK\LHOG7KHVWUDQJHQDPHFDPHIURPRXU]RRZRUNVKRSVWKDWKDGSDQGDEHDUVZHLJKXSDJDLQVW
RWKHUDQLPDOVZLWKOHVVULVNDQGRUOHVVJDLQ7KHLGHDLVWKDWWKHUHDUHIHZUHDOSDQGDEHDUVEXWZKHQWKH\GR
RFFXUWKH\QHHGWREHFRQVLGHUHGZLWKJUHDWFDU

CHAOS MANIFESTO 23
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 COMMENTARY: IT IS NOT EASY BEING SMALL
´:HQHYHUOHDUQIURPGRLQJWKLQJVWKHULJKWZD\µGHFODUHG%LOO+HLORI&RPSDT·V%XVLQHVV&ULWLFDO
6HUYHU*URXSLQKLVWDONDERXWWKHPHUJHUVEHWZHHQ&RPSDT7DQGHPDQG'LJLWDODW&+$26
8QLYHUVLW\LQ%RWKXQGHUWDNLQJVZHUHYHU\FRPSOH[DQGUHTXLUHGXWPRVWFRRUGLQDWLRQDQG
FRRSHUDWLRQ$FFRUGLQJWR+HLO&RPSDT·VDFTXLVLWLRQRI7DQGHPZDVDVPRRWKWUDQVDFWLRQDQG
WUDQVLWLRQFRPSDUHGWRWKHDFTXLVLWLRQRI'LJLWDOEHFDXVHWKHVFRSHIRUWKH'LJLWDOSURMHFWZDV
VLJQLÀFDQWO\ODUJHUDQGPRUHFRQVXPLQJ

2Q D VPDOOHU VFDOH WRGD\·V UDSLG HEXVLQHVV GHYHORSPHQW UHTXLUHPHQWV KDYH KDVWHQHG WLPH
WRPDUNHW F\FOHV DQG GHOLYHU\ GHPDQGV ,PSURSHUO\ VFRSHG SURMHFWV FDQ OHDG WR FRVWO\ ORVVHV
LQFOXGLQJ SURGXFWLYLW\ DQG XOWLPDWHO\ FUHGLELOLW\ &RQVHTXHQWO\ LI D SURMHFW SHUVLVWV EH\RQG LWV
GHVLJQDWHGFRPSOHWLRQGDWHIDLOXUHLVJXDUDQWHHG8QFRQWUROOHGVFRSHFUHHSLVDSHUHQQLDOUHDVRQ
ZK\SURMHFWVDUHFDQFHOOHG(VVHQWLDOO\WKHODUJHUWKHSURMHFW·VVFRSHWKHPRUHFRPSOLFDWHGLWLV
WRFRQWURO7KHSUHYDLOLQJGLOHPPDLVKRZWROLPLWRUHOLPLQDWHFKDQJHWRSUHYHQWDSURMHFWIURP
EHFRPLQJEORDWHG7KHDQVZHUOLHVLQPLQLPL]LQJWKHRYHUDOOVFRSH

7KH WLPH LW WDNHV WR FRPSOHWH D SURMHFW GHSHQGV ODUJHO\ XSRQ WKH HOHPHQWV WKDW D SURMHFW
HQWDLOV 7KH ÀQDQFLDO OHJDO WHFKQLFDO DQG KXPDQ DVSHFWV RI D SURMHFW DUH IDFWRUHG LQWR WKH
SURMHFW·V VFRSH EHFDXVH WKH\ DUH DOO YDULDEOHV WKDW FDQ SURORQJ RU LQKLELW SURJUHVV 7KLV LV
ZKHUHDPLQLPL]HGVFRSHFRPHVLQWRSOD\3URMHFWVVKRXOGDGYDQFHLQVPDOOVWDJHV$QLWHUDWLYH
GHYHORSPHQWSURFHVVKHOSVNHHSNH\VWUDWHJLHVDQGDFWLYLWLHVLQFKHFN,QFUHPHQWLQJIUHTXHQW
VWDWXVFKHFNSRLQWVGXULQJWKHGHYHORSPHQWSKDVHFDQLPSURYHWKHHIÀFLHQF\RIZRUNÁRZDQG
PRVWLPSRUWDQWO\KHOSPDQDJHWLPH$WHDPFDQWUDFNDQGLPSOHPHQWFULWLFDOFKDQJHVZLWKRXW
VLJQLÀFDQWO\ DIIHFWLQJ WKH SURMHFW·V PRPHQWXP 'HYLDWLQJ IURP WKH SURMHFW SODQ WR UHVROYH
LVVXHVRUGLVWUDFWLRQVFDQZDVWHYDOXDEOHPDQKRXUV&KURQLFVWDWXVXSGDWHVLQWKHZRUNSODQ
KHOSGHWHUPLQHVKRUWDQGORQJWHUPSULRULWLHV+HLOSRVHGWKHVHIXQGDPHQWDOTXHVWLRQVWRDLG
LQ PLWLJDWLQJ SURMHFW VFRSH :KDW LV WKH JRDO" :KDW LV WKH WLPHOLQH" :KDW DUH ZH H[SHFWHG
WRDFKLHYHLQ WKUHHPRQWKV"+RZGRZHPHDVXUHSURJUHVV":KDWPHDVXUHVFDQZHWDNHWR
DFKLHYHPDQDJHPHQWFRPPLWPHQWDQGHQVXUHFRPPRQIRFXV"

$YRLGLQJFRVWO\PLVWDNHVLQWKHIDFHRIUDSLGWHFKQRORJ\LQWHJUDWLRQDQGGHYHORSPHQWGHPDQGV
LVLPSHUDWLYH0LQLPL]HGVFRSHLPSURYHVWKHFKDQFHVRIDSURMHFWEHLQJGHOLYHUHGRQWLPHDQG
RQEXGJHWDQGPRUHLPSRUWDQWO\ZLWKJUHDWHUFXVWRPHUVDWLVIDFWLRQ1HYHUWKHOHVVWKHUHZLOO
DOZD\VEHXQH[SHFWHGWZLVWVDQGWXUQVWKURXJKRXWDSURMHFW·VOLIHF\FOHWKDWLPSDFWVFRSH´/XFN
DFFRXQWVIRUDORWRIWKLQJVLQEXVLQHVVµ+HLOTXLSSHG

■ ■ ■ ■ ■

24 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 AGILE PROCESS

LESSON SIX: Law of the Edible Elephant

The only way to eat an elephant is one bite at a time.

7KH/DZRIWKH(GLEOH(OHSKDQWVWDWHVWKDWZKHQEXLOGLQJVRIWZDUHLW
VKRXOGEHEXLOWLQVPDOOLWHUDWLYHVWHSVZLWKVPDOOIRFXVHGWHDPVRU
HDWRQHELWHDWDWLPH<RXGRVRZLWKVPDOOELWHVRUVWHSSLQJVWRQHV
$ VWHSSLQJVWRQH LV D VPDOO EXW VLJQLÀFDQW GHOLYHUDEOH $ VWHSSLQJ
VWRQH DFWLYLW\ DOORZV IRU WDQJLEOH LQVSHFWLRQ HLWKHU YLVXDOO\ RU KDQGV
RQ 6WHSSLQJVWRQHV DUH NH\VWRQHV LQ WKH DJLOH DQG LWHUDWLYH VRIWZDUH
GHYHORSPHQWSURFHVVWKDWOHDGWRPRUHGHOLYHUDEOHVRULQGLFDWHWKHSURMHFWLV
QRWRQWKHULJKWWUDFN6WHSSLQJVWRQHVDUHSRZHUIXOEHFDXVHWKH\DOORZIRUUDSLG
IHHGEDFN FUHDWLRQ RI IHDWXUH YHORFLW\ DQG DFFHOHUDWHG XVHU WUDLQLQJ DQG DFFHSWDQFH 7KH
VL[WK/DZRI&+$26VXSSRUWVWKH$JLOH3URFHVV6XFFHVV)DFWRU

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LWHUDWLYH GHYHORSPHQW VW\OH³LW LV WKH KHDUW DQG VRXO RI DQ\ DJLOH SURFHVV 8QGHUVWDQG WKH
PHULWVRIVWHSSLQJVWRQHVDQGWKHGDQJHUVRIPLOHVWRQHV7LPHLVWKHHQHP\RIDOOSURMHFWV
VRFRQVLGHUWLPHER[LQJZKLFKLQYROYHVVHWWLQJGHDGOLQHVDQGHVWDEOLVKLQJDÀ[HGDPRXQWRI
WLPHLQZKLFKWRFRPSOHWHWKHSURMHFWRUVWHSSLQJVWRQHV3URMHFWLQLWLDWLYHVWKDWDUHULJLGUXQ
WKHJUHDWHVWULVNRIGLVVROXWLRQ<HWKDYLQJDÁH[LEOHIRUPDOSURFHVVFDQLPSURYHWKHVXFFHVV
UDWH$JRRGSURMHFWPDQDJHPHQWPHWKRGRORJ\EXLOGVLQLQWHUDFWLRQDPRQJWHDPPHPEHUV
DVZHOODVWKHXVHUFRPPXQLW\DQGDQDJLOHSURFHVVLPSURYHVWKLVLQWHUDFWLRQ

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SRSXODUDJLOHPHWKRGRORJLHV4XLFNQHVVDQGYHORFLW\DUHYLWDOWRDQDJLOHSURFHVVDQGWKDW
HQFRPSDVVHVIHHGEDFN)HHGEDFNVKRXOGEHUDSLG$OVRZHORRNDWVRPHRIWKHSULQFLSOHV
RIJRRGIHHGEDFNVXFKDV´0DNHEDGQHZVWUDYHOIDVWµ2QHRIWKHELJJHVWUHDVRQVEDG
QHZVLVQRWDFFHSWHGLVLWJRHVDJDLQVWZKDWSHRSOHEHOLHYHLVWUXH$JLOHSURMHFWVVKRXOG
EHGRQHLQDSLSHOLQHVRLQVWHDGRIGRLQJHVWLPDWHVIRUSURMHFWFRVWVFUHDWHDSLSHOLQHRI
VWHSSLQJVWRQHVIHDWXUHVDQGIXQFWLRQV

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URRWRIDOOHYLO3URMHFWVVKRXOGEHGRQHLQDQDJLOHSURFHVV$WWKHKHDUWRIDOODJLOHPHWKRGV
DUH DQ LWHUDWLYH GHYHORSPHQW SURFHVV DQG D GHVLJQ SRLQW WKDW XVHV WKH EDUH PLQLPXP
UHTXLUHPHQWV7KURXJKOHVVRQVOHDUQHGIURPRXUFROOHFWHG&+$268QLYHUVLW\H[SHULHQFH
6WDQGLVK*URXSFRQWLQXHVWRH[DPLQHWKHUHDVRQVZK\SURMHFWVXFFHVVFDQEHDFKLHYHG
7KHUHLVQRVLOYHUEXOOHWEXWDJLOHPHWKRGVFRPHYHU\FORVH7KHROGMRNHDVNV´+RZGR\RX
HDWDQHOHSKDQW"µ7KHDQVZHULV´2QHELWHDWDWLPHµ7KDWLVWKHDJLOHSURFHVVEXLOGLQJ
VRIWZDUHRQHELWHDWDWLPH

CHAOS MANIFESTO 25
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 10 CHAOS SUCCESS POINTS FOR THE AGILE PROCESS
Point 1: Iterative
3URMHFWVXFFHVVUHTXLUHVDQLWHUDWLYHGHYHORSPHQWVW\OHZKLFKLVEDVLFDOO\WULDODQGHUURUVRIWZDUHGHYHORSPHQW,W
SURYLGHVIRUDFRQVWDQWF\FOHRIGHVLJQGHYHORSPHQWWHVWXVHUDFFHSWDQFHDQGWKHQEDFNWRGHVLJQRUUHGHVLJQ
7KHLGHDLVWKDWVWDNHKROGHUVJHWWRVHHWKHV\VWHPLQVPDOOVWHSSLQJVWRQHVEHIRUHLWLVIXOO\EXLOWWKHUHE\DOORZLQJ
FKDQJHVWRRFFXUZLWKRXWKDYLQJDPDMRULPSDFWRQWKHSURMHFWFRVWDQGVFKHGXOH

Point 2: Stepping-stones
7KHUHLVDGLIIHUHQFHEHWZHHQVWHSSLQJVWRQHVDQGPLOHVWRQHV3URMHFWVVKRXOGXVHVWHSSLQJVWRQHVZKLFKDUH
VPDOOEXWVLJQLÀFDQWGHOLYHUDEOHV$VWHSSLQJVWRQHDFWLYLW\DOORZVIRUWDQJLEOHLQVSHFWLRQHLWKHUYLVXDOO\RUKDQGV
RQ6WHSSLQJVWRQHVDUHNH\VWRQHVLQWKHLWHUDWLYHVRIWZDUHGHYHORSPHQWSURFHVVWKDWOHDGWRPRUHGHOLYHUDEOHV
RU LQGLFDWH WKH SURMHFW LV QRW RQ WKH ULJKW WUDFN 6WHSSLQJVWRQHV DUH SRZHUIXO EHFDXVH WKH\ DOORZ IRU UDSLG
IHHGEDFNFUHDWLRQRIIHDWXUHYHORFLW\DQGDFFHOHUDWHGXVHUWUDLQLQJDQGDFFHSWDQFH

Point 3: Time Boxing

&RQVLGHUWKHXVHRIWLPHER[LQJZKLFKLQYROYHVVHWGHDGOLQHVDQGDÀ[HGDPRXQWRIWLPHLQZKLFKWRFRPSOHWH
WKH SURMHFW RU VWHSSLQJVWRQHV 7LPH ER[LQJ VHWV D ÀUP GDWH IRU GHOLYHUDEOHV RU VWHSSLQJVWRQHV ,Q ([WUHPH
3URJUDPPLQJ;3WKHWLPHLVRQHZHHNZKHUHDV6FUXPLVRQHPRQWK7LPHER[LQJSURYLGHVIRUUHJXODUGHOLYHU\
RIGHPRQVWUDWLYHRUZRUNLQJVRIWZDUH'RQHULJKWWLPHER[LQJDOORZVIRUWKHGHOLYHU\RIWKHKLJKHVWSULRULW\RU
PRVWYDOXDEOHIHDWXUHVDQGIXQFWLRQVDVGHÀQHGE\WKHVWDNHKROGHUV

Point 4: Elastic
+DYLQJDÁH[LEOHIRUPDOSURFHVVFDQLPSURYHWKHVXFFHVVUDWH(ODVWLFLW\LQWKHSURMHFWVHQVHLVWKHWHDP·VFDSDELOLW\RI
ZLWKVWDQGLQJVWUHVVZLWKRXWLQMXU\DVWKHSURMHFWXQGHUJRHVFKDQJHVDQGPRGLÀFDWLRQV,WLVWKHDELOLW\WREHUHVSRQVLYH
WRFKDQJHDQGDGDSWDEOHWRQHZUHTXLUHPHQWVZLWKRXWKDYLQJDPDMRUHIIHFWRQWLPHVFKHGXOHDQGFRVW,WLVWKHDELOLW\
WRFUHDWHZHDOWKWKURXJKKLJKHUYDOXHLWHPVDQGE\WDNLQJDGYDQWDJHVRIEHWWHURSSRUWXQLWLHV

Point 5: Interaction
$JRRGSURMHFWPDQDJHPHQWPHWKRGRORJ\EXLOGVLQLQWHUDFWLRQ³DPXWXDODQGUHFLSURFDODFWLYLW\H[FKDQJHDPRQJ
WKH SURMHFW WHDP VWDNHKROGHUV DQG XVHU FRPPXQLW\ ,W LV DOVR WKH PXWXDO DQG UHFLSURFDO DFFRPSOLVKPHQW
H[FKDQJHZLWKLQWKHSURMHFWWHDPWKDWLQFOXGHVSODQVVWHSSLQJVWRQHVWHVWVFULSWVWHFKQLFDODGYLFHIHHGEDFN

CHAOS RESOLUTION BY STYLE

Failed
6KRZVFODVVLF&+$26 WATERFALL 15%
Failed
AGILE
UHVROXWLRQUHVXOWVE\ 12%

ZDWHUIDOOYHUVXVWKH
Challenged
DJLOHSURFHVVIURP Challenged 59% Successful
26%
WKH&+$26SURMHFW 45%
GDWDEDVHIURP Successful
43%
WR

26 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 Highly
Skilled
9% Poorly
7% ITERATIVE
'$576UHVXOWVRI
Skilled WKHTXHVWLRQ´+RZ
43%
ZRXOG\RXUDWH\RXU
RUJDQL]DWLRQ·VDELOLW\
WRH[HFXWHDQLWHUDWLYH
GHYHORSPHQWVW\OH"µ
Moderately
41%

FKDQJHUHTXHVWVDQGRWKHUDFWLRQLWHPV,QWHUDFWLRQLVQRUPDOO\DJLYHDQGWDNHDFWLYLW\WKDWDOORZVWKHSURMHFW
WRJDLQSURJUHVVDQGVSHHG

Point 6: Geeks Are Easy

7KH DJLOH SURFHVV PDNHV LW HDV\ IRU JHHNV DQG XVHUV ´*HHNV DUH HDV\µ PHDQV WKHUH DUH D IHZ NH\ VWHSV WR
NHHSLQJ \RXU GHYHORSHUV KDSS\ 7KH SKUDVH UHIHUV WR D WDON DW &+$26 8QLYHUVLW\ E\ .HQW %HFN WKH IDWKHU RI
([WUHPH3URJUDPPLQJ,QWKLVWDON%HFNVDLG´*HHNVDUHHDV\*LYHWKHPPRUHWR\VGRQ·W\HOODWWKHPDQGWKH\
ZLOOEHKDSS\µ$VWKH79DGVD\V´+DSS\FRZVPDNHEHWWHUFKHHVHµ/LNHZLVHKDSS\GHYHORSHUVPDNHEHWWHU
VRIWZDUH

Point 7: Rapid Feedback

4XLFNQHVVDQGYHORFLW\DUHYLWDOWRDQDJLOHSURFHVVDQGWKDWHQFRPSDVVHVIHHGEDFN5DSLGIHHGEDFNPHDQV
JHWWLQJIDVWDQGFRQVWDQWFRPPHQWVRSLQLRQVFULWLFLVPVDQGDFFODLPIRUSURMHFWUHTXLUHPHQWVDQGGHOLYHUDEOHV
,WGRHVQRWPHDQMXVWJHWWLQJIDVWUHSOLHVWRRQHWLPHTXHVWLRQVEXWUDWKHULWLVDSLSHOLQHRIIHHGEDFNWKDWDOORZV
WKHSURMHFWWHDPWRTXLFNO\PRYHWKHSURMHFWDORQJDQGSURYLGHVROXWLRQV5DSLGIHHGEDFNLVDPXVWIRUZRUNLQJ
LQDQDJLOHSURFHVV

Point 8: Da Vinci Code

.QRZLQJ KRZ WR JLYH DQG UHFHLYH IHHGEDFN FDQ PDNH RU EUHDN D SURMHFW ´'D 9LQFL &RGHµ LQ WKH FRQWH[W RI
SURMHFWPDQDJHPHQWLVQRWDERRNZULWWHQE\'DQ%URZQRUDPRYLHVWDULQJ7RP+DQNVEXWDSKLORVRSK\DURXQG
WKHKDELWVRIWKHJUHDWDUWLVWDQGLQYHQWRU'D9LQFL&RGHLQWKHFRQWH[WRISURMHFWPDQDJHPHQWLVJLYLQJDQG
UHFHLYLQJFRQFUHWHDFWLRQDEOHDQGSUHFLVHIHHGEDFN

Point 9: Bad News Bearers

'HOLYHUEDGQHZVHDUO\DQGEUDYHO\ZLWKVROXWLRQV´%DGQHZVEHDUHUVµDUHSURMHFWPDQDJHUVZKRGHOLYHUEDG
QHZV,QSURMHFWPDQDJHPHQWEDGQHZVEHDUHUVDUHVSHFLDOLQWKDWWKH\GHOLYHUEDGQHZVTXLFNO\7KH\RIWHQ
GHOLYHUEDGQHZVZLWKDFWLRQSODQVDQGJHQHUDOO\ZLWKRXWH[FXVHVRUEODPLQJRWKHUV

Point 10: Pipeline

,QVWHDGRIGRLQJHVWLPDWHVIRUSURMHFWFRVWVFUHDWHDSLSHOLQHRISURMHFWVIHDWXUHVDQGIXQFWLRQV$SLSHOLQH
LV PDGH XS RI PLFURSURMHFWV RU VWHSSLQJVWRQHV WKDW DUH LQ SURJUHVV RU ZDLWLQJ WR EH VWDUWHG $V SURMHFWV JHW
DSSURYHGWKH\DUHDVVLJQHGDSULRULW\7KHKLJKHUWKHSULRULW\WKHVRRQHUWKHSURMHFWLVDVVLJQHGWRDUHVRXUFH
:KHQDUHVRXUFHFRPSOHWHVDPLFURSURMHFWRUVWHSSLQJVWRQHWKHUHVRXUFHWDNHVWKHQH[WSURMHFWLQWKHSULRULW\
RUSLSHOLQHWKDWWKHLQGLYLGXDOFDQVNLOOIXOO\FRPSOHWH

CHAOS MANIFESTO 27
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 PROJECT PORTFOLIO
46%
(3306XUYH\UHVXOWVRIWKH
TXHVWLRQ´:KRPDQDJHV AD Managers
WKHSURMHFWSRUWIROLR"µ
Business Ops

IT Executives
29%
PMO
1%
10% Other

14%

HISTORY LESSON: BATTLE OF AGINCOURT

7KH VXQ URVH EULJKWO\ IROORZLQJ WZR GD\V RI KHDY\ UDLQ 2Q 6DLQW &ULVSLQ·V 'D\ LQ  WKH
(QJOLVKDQG)UHQFKDUPLHVFODVKHGRQDGHHSO\WLOOHGZKHDWÀHOGRQWKHRXWVNLUWVRIWKHVPDOO
YLOODJHRI$JLQFRXUW)UDQFH7KLUW\WKRXVDQG)UHQFKPHQOHGE\&KDUOHVG·$EUHWZHQWDJDLQVW
+HQU\9·VVPDOODUP\RIRQO\(QJOLVKPHQ:KLOHHVWLPDWHVYDU\WKHFRQYHQWLRQDOZLVGRP
LVWKDWWKH)UHQFKKDGPHQDWDUPVDQGRIWKRVHZHUHRQKRUVHEDFN0RVWZRUH
H[SHQVLYHKHDY\DUPRULPSRUWHGIURP,WDO\ZLWKVWHHOKHOPHWVDQGORQJYLVRUV7KH(QJOLVKKDG
OHVVWKDQPHQDWDUPVDQGIHZZHUHRQKRUVHEDFN3ULRUWREDWWOHWKH\KDGUHPRYHG
WKHLUYLVRUVDQGDUPRUDQGWLHGXSWKHLUKRUVHV7KH\HYHQWRRNRIIWKHLUERRWVWRÀJKWLQEDUH
IHHW7KHRWKHUVKRHOHVV(QJOLVKPHQZHUHRQWKHORQJERZZHDULQJFORWKWXQLFV,WVKRXOG
EHQRWHGWKHDYHUDJH(QJOLVKORQJERZPHQFRXOGVKRRWDUURZVHYHU\PLQXWH

&RQVLGHUWKH)UHQFKDVGRLQJWKHZDWHUIDOOSURFHVV&RQVLGHUWKH(QJOLVKDVIROORZLQJWKHDJLOH
SURFHVV&RQVLGHUWKHÀHOGDV\RXUFRPSOLDQFHDQGJRYHUQDQFHSURFHVV&RQVLGHUWKHDUPRU
DV \RXU SURWHFWLRQ DJDLQVW ULVN &RQVLGHU WKH )UHQFK ZHDSRQV RI ODQFHV EURDGVZRUGV DQG
FURVVERZVDVQRUPDOVL]HSURMHFWV&RQVLGHUWKHDUURZVDVPLFURSURMHFWVRUVWHSSLQJVWRQHV
7KH)UHQFKORZHUHGWKHLUYLVRUVWRSURWHFWWKHPVHOYHVDJDLQVWWKH(QJOLVKDUURZV+RZHYHUWKLV
DOVROLPLWHGWKHLUÀHOGRIYLVLRQ7KH\WKHQVSXUUHGWKHLUKRUVHVDQGFKDUJHGDWWKHFHQWHURIWKH
(QJOLVKOLQH,QWKHÀUVWPLQXWHRIWKHEDWWOHDUURZVEODFNHGWKHVN\DQGUDLQHGGRZQRQ
WKH)UHQFKPHQNLOOLQJDQGZRXQGLQJERWKPHQDQGEHDVW7KHKHDYLO\ZHLJKWHGSDUWLDOO\EOLQG
VXUYLYRUVDQGUHVHUYHVZHUHNQHHGHHSLQPXGEORRGDQGPDQXUH7KHLUIHHWZHUHVWXFNLQ
WKHLUERRWVDQGWKH\FRXOGKDUGO\PRYH7KHPRUHQLPEOH(QJOLVKDUP\LQWKHLUEDUHIHHWHDVLO\
SLFNHGRIIWKH)UHQFKZDUULRUV

■ ■ ■ ■ ■

28 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 PROJECT MANAGEMENT EXPERTISE

LESSON SEVEN: Law of the Mad Hatter

Complexity causes confusion and cost.

,QGD\VRIROGSHRSOHZKRPDGHKDWVRIWHQHQGHGXSZLWKPHQWDOLOOQHVV
7KHUHDUHDQXPEHURIWKHRULHVZK\WKLVKDSSHQHGRQHEHLQJWKDWODGLHV·
FXVWRP KDWV DW WKDW WLPH ZHUH YHU\ LQWULFDWH DQG LW WRRN JUHDW SDLQV WR
FUHDWHDQGNHHSWUDFNRIDOOWKHGHVLJQVDQGSHUPXWDWLRQV,WZRXOGFUHDWH
JUHDWGLVWUHVVIRUDZRPDQWRKDYHDKDWVLPLODUWRDQRWKHU3URMHFWVE\WKHLU
YHU\QDWXUHDUHFRPSOH[LWWDNHVDQHPSDWKHWLFRUJDQL]DWLRQDOHQYLURQPHQW
WR XQGHUVWDQG WKH SURMHFW PDQDJHPHQW SURFHVV LQ RUGHU IRU WKH WHDP WR
VLPSOLI\WKHSURMHFWPDQDJHPHQWSUDFWLFH7KH/DZRIWKH0DG+DWWHUVWDWHVWKDW
FRPSOH[LW\FDXVHVFRQIXVLRQDQGFRVW7KHVHYHQWKODZRI&+$26LVVXSSRUWHGE\WKH3URMHFW
0DQDJHPHQW([SHUWLVH6XFFHVV)DFWRU

0DQ\ RUJDQL]DWLRQV KDYH FUHDWHG DQ LQWHUQDO GHSDUWPHQW PRVW FRPPRQO\ FDOOHG WKH 3URMHFW
0DQDJHPHQW2IÀFHRU302WRIRUPDOL]HDQGSURIHVVLRQDOL]HSURMHFWPDQDJHPHQWH[SHUWLVHDQG
OHDGHUVKLS2QHRIWKHSULPDU\JRDOVRIWKHVHJURXSVLVWRHGXFDWHWKHRUJDQL]DWLRQRQWHFKQLTXHV
DQGSURFHGXUHVQHFHVVDU\WRUXQDVXFFHVVIXOSURMHFW

7KHSRLQWVLQ/HVVRQ6HYHQFRYHUSURMHFWPDQDJHPHQWH[SHUWLVHDQGWKHVNLOOVUHTXLUHGWRPDQDJHWKH
SURMHFWV3URMHFWVPXVWIROORZSURMHFWPDQDJHPHQWIXQGDPHQWDOV3URMHFWPDQDJHUVQHHGWRNHHSWUDFNRI
DOOWKHSURMHFWPDQDJHPHQWGHWDLOV³DQGSODQIRUWKHFKDQJHVRUIXQFWLRQVUHTXLUHGWRDUULYHDWDJRDO3URMHFW
OHDGHUVVKRXOGSRVVHVVEDVLFSURMHFWPDQDJHPHQWVNLOOV3URMHFWPDQDJHUVQHHGOHDGHUVKLSTXDOLWLHVWREH
HIIHFWLYHOHDGHUV7KH\QHHGWRPDNHDQGPDLQWDLQFRQQHFWLRQVDVWKH\DUHLPSRUWDQWWRWKHVXFFHVVRID
SURMHFW3URMHFWPDQDJHUVVKRXOGSURPRWHERWKDQLQGLYLGXDODQGFROOHFWLYHVHQVHRIRZQHUVKLSDPRQJWKH
WHDP³WKHVHQVHRISULGHDQGDFFRPSOLVKPHQWWKDWFRPHVZLWKRZQHUVKLSZLOOFRQWULEXWHWRWKHVXFFHVV
RIDSURMHFW7KH\DOVRQHHGWRUHFRJQL]HWKDWPHPEHUVRIDSURMHFWWHDPDUHLQFOLQHGWRKDYHDVWURQJHU
FRPPLWPHQWWRWKHWHDPLIWKH\IHHOWKHLUSDUWLFLSDWLRQDQGFRQWULEXWLRQVDUHYDOXHG7KH\PXVWXQGHUVWDQG
WKHEXVLQHVVDVZHOODVEHDEOHWRSDVVMXGJPHQWRQLVVXHVXQGHUFRQVLGHUDWLRQDQGUHDFKDÀUPGHFLVLRQ
)LQDOO\H[SHULHQFHGSURMHFWPDQDJHUVLQFUHDVHWKHRGGVRIVXFFHVV

,QDGGLWLRQWROHDGHUVKLSVNLOOVDQGSURMHFWPDQDJHPHQWH[SHULHQFHDOOSURMHFWVQHHGVRPHNLQGRI
IRUHFDVWIRUUHWXUQRQLQYHVWPHQW52,3URMHFWDQGSURJUDPHVWLPDWLQJLVOLWWOHPRUHWKDQSUHGLFWLQJ
WKHIXWXUHRXWFRPHRIDSURMHFWRUSURJUDP,WLVDKDUGDQGXQZLHOG\XQGHUWDNLQJ7KHUHDUHUHDOO\RQO\
WZRNLQGVRIHVWLPDWHVOXFN\RUORXV\7KHVHHVWLPDWHVDUHRIWHQPDGHE\GLIIHUHQWSHRSOHDWGLIIHUHQW
WLPHVXVLQJGLIIHUHQWPHWKRGV0RUHVWDQGDUGVIRUHVWLPDWLQJFRXOGSURGXFHVLJQLÀFDQWLPSURYHPHQWV
KRZHYHUWKHUHLVDFDXWLRQ3URMHFWPDQDJHUVPXVWUHDOL]HWKDWXVLQJIXQFWLRQSRLQWVOLQHVRIFRGH
DQGFRPSXWLQJKRXUVRIFRGLQJWLPHDVPHWULFVIRUGHYHORSLQJDSSOLFDWLRQVDUHWHFKQLTXHVWKDWDUH
DSSURDFKLQJEXJJ\ZKLSVWDWXVDQGDUHQRZQHDUO\XVHOHVV

CHAOS MANIFESTO 29
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 10 CHAOS SUCCESS POINTS
FOR PROJECT MANAGEMENT EXPERTISE
Point 1: Basic
,WVHHPVREYLRXVWKDWDSURMHFWPDQDJHUVKRXOGKDYHEDVLFSURMHFWPDQDJHPHQWVNLOOVEXWWKLVLVRIWHQQRWWKHFDVH
%DVLFPHDQVXQGHUVWDQGLQJWKHHVVHQWLDOSURMHFWPDQDJHPHQWVNLOOVDVGHÀQHGE\WKH3URMHFW0DQDJHPHQW,QVWLWXWH
7KHVH VNLOOV DUH RXWOLQHG LQ WKH 3URMHFW 0DQDJHPHQW %RG\ RI .QRZOHGJH 30%2. 7KH WHVW LV SURMHFW PDQDJHUV
VKRXOGKDYHWKHLU3033URMHFW0DQDJHPHQW3URIHVVLRQDOFHUWLÀFDWH1RZ303GRHVQRWHQVXUHVXFFHVVEXWLWGRHV
SURYLGHWKHQHFHVVDU\WRROVWRXQGHUVWDQGWKHSURMHFWPDQDJHPHQWSURFHVV

Point 2: Base Running

-XVWDVHYHU\/LWWOH/HDJXHUNQRZVWKDW\RXQHHGWRWDJVHFRQGEHIRUHJRLQJWRWKLUGHYHU\SURMHFWVKRXOGIROORZ
SURMHFWPDQDJHPHQWIXQGDPHQWDOV´%DVHUXQQLQJµLQWKLVFDVHLVWKHFRQVLVWHQWH[HFXWLRQRIWKHEDVLFSURMHFW
PDQDJHPHQWIXQGDPHQWDOVDVGHÀQHGE\WKHRUJDQL]DWLRQ·VHQYLURQPHQWDQGEDVLFSURMHFWPDQDJHPHQWEHVW
SUDFWLFHV ,Q WKH JDPH RI EDVHEDOO WKH VSHHG RI WKH UXQQHU FDQ GHWHUPLQH WKH RXWFRPH RI WKH JDPH :LWK
SURMHFWVWKHIDVWHUWKHSURMHFWPRYHVIURPEDVHWREDVHLVDODUJHIDFWRULQLWVVXFFHVV

Point 3: Details
.HHS WUDFN RI WKH GHWDLOV ZKLFK LV WKLV FRQWH[W DUH DOO WKH VXESDUWLFOHV RU SLHFHV WKDW JR LQWR WKH SURMHFW 7KLV
UHTXLUHVDQDFXWHXQGHUVWDQGLQJRIKRZDOOWKHSURMHFWSLHFHVÀWWRJHWKHUDQGWKHLUUHODWLRQVKLSWRDOOWKHRWKHUSDUWV
RIWKHSURMHFW,WLVNQRZLQJWKHVWDWXVRIDOOWDVNVDQGVWHSSLQJVWRQHVGXULQJWKHSURMHFW·VSURJUHVV

Point 4: Leadership
$SURMHFWPDQDJHUVKRXOGEHDJRRGOHDGHUDQRWKHUREYLRXVSRLQW3URMHFWPDQDJHPHQWOHDGHUVKLSJRHVZHOO
EH\RQGWKHEDVLFSURMHFWPDQDJHPHQWVNLOOVDVRXWOLQHGLQ30,·V30%2.7KHHQWU\IHHIRUSURMHFWPDQDJHPHQW
OHDGHUVKLSLVTXDOLÀHG303V2UJDQL]DWLRQVWKDWZDQWWREHOHDGHUVLQWKHSURIHVVLRQRISURMHFWPDQDJHPHQW
LQYHVW WKHLU FRUSRUDWH UHVRXUFHV LQ HGXFDWLRQ WUDLQLQJ DQG UHVHDUFK DQG GHYHORSPHQW 3URMHFW PDQDJHPHQW
OHDGHUVKLSDGYDQFHVWKHSURIHVVLRQDQGFUHDWHVDQHQYLURQPHQWZKHUHVXFKH[SHUWLVHLVUHFRJQL]HGYDOXHG
DQGUHZDUGHG

Point 5: Connections
3URMHFWPDQDJHUVPXVWEHDEOHWRHVWDEOLVKDQGPDLQWDLQFRQQHFWLRQV&RQQHFWLRQVDUHGHÀQHGDVWKHPXOWLSOH
IDYRUDEOHLQWHUDFWLRQVWKDWDSURMHFWPDQDJHUPXVWPDLQWDLQLQRUGHUWREULQJDSURMHFWWRDVXFFHVVIXOUHVROXWLRQ
$QRWKHUZD\WRORRNDWWKLVLVFRQQHFWLRQVDUHWKHVWRSVRQWKHMRXUQH\WKDWUHTXLUHFRPPXQLFDWLRQVZKHWKHU
\RXFKDQJHSODQVRUQRWZLWKVWDNHKROGHUVWKDWDOORZV\RXWRFRQWLQXHRQWKHMRXUQH\WRSURMHFWVXFFHVV

PROJECT SIZE BY RESOLUTION

Success Challenged Failed
7KHSURMHFWVL]H
2YHU0    
E\UHVROXWLRQ
0WR0    
UHVXOWVIURPWKH
0WR0    
&+$26
.WR0    
UHVHDUFK
8QGHU.    

30 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 40 PMI CERTIFICATION
38%
29% '$576UHVXOWVRIWKH
30
31% 31%
TXHVWLRQ´'R\RX
21%
UHTXLUH\RXUSURMHFW
20
16% PDQDJHUVWRKDYH30,
11%
FHUWLÀFDWLRQRUWKH
10
HTXLYDOHQW"µ
0
2003 2004 2005 2006 2007 2008 2009

Point 6: Ownership
,W·V LPSRUWDQW WR IRVWHU WKH VHQVH RI SULGH DQG DFFRPSOLVKPHQW WKDW FRPHV ZLWK RZQHUVKLS RI D SURMHFW
´2ZQHUVKLSµ IRU WKH SURMHFW PDQDJHU LV WDNLQJ WKH UHVSRQVLELOLW\ RI PDNLQJ VXUH WKDW D WDVN VWHSSLQJVWRQH
RUSURMHFWLVGRQHDQGGRQHZHOO,WLVKDYLQJSULGHWKDWWKHZRUNSURGXFWPHHWVWKHVWDQGDUGDQGVDWLVÀHVWKH
H[SHFWDWLRQVRIWKHVWDNHKROGHUV)RUVWDNHKROGHUVLWLVWKHHIIHFWDQGLQÁXHQFHWKHLUSDUWLFLSDWLRQKDVRQWKH
UHVROXWLRQRIDSURMHFW

Point 7: Team
7KH PHPEHUV RI D SURMHFW WHDP DUH LQFOLQHG WR KDYH D VWURQJHU FRPPLWPHQW WR WKH WHDP LI WKH\ IHHO WKHLU
SDUWLFLSDWLRQDQGFRQWULEXWLRQVDUHYDOXHG$WHDPFRPSULVHVDQ\JURXSRISHRSOHOLQNHGLQDFRPPRQSXUSRVH
$WHDPLVDFRRSHUDWLYHXQLW,WLVDFROOHFWLRQRISHRSOHRIWHQGUDZQIURPGLYHUVHEXWUHODWHGJURXSVDVVLJQHG
WRSHUIRUPDZHOOGHÀQHGIXQFWLRQIRUDSURMHFW7HDPPHPEHUVPD\EHSDUWWLPHSDUWLFLSDQWVDQGKDYHRWKHU
SULPDU\UHVSRQVLELOLWLHV

Point 8: Business Understanding

$JUDVSRIEDVLFEXVLQHVVVNLOOVLVRQHRIWKHPRVWLPSRUWDQWWUDLWVDSURMHFWPDQDJHUFDQSRVVHVV$EXVLQHVV
LVDFROOHFWLYHERG\RISHRSOHDQGDJURXSRIDVVHWVRUJDQL]HGWRDFFRPSOLVKSURGXFWLYHJRDOVWKURXJKGHÀQHG
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VXEMHFWRULVVXH7KHUHIRUH´EXVLQHVVXQGHUVWDQGLQJµLVWKHFRPSUHKHQVLRQRIWKHRSHUDWLRQRIWKHRUJDQL]DWLRQ

Point 9: Judgment
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LVVXHV DQG SURFHVVHV -XGJPHQW LV WKH PHQWDO DELOLW\ WR XQGHUVWDQG DQG GLVFULPLQDWH WKH UHODWLRQV DPRQJ
IHDWXUHVIXQFWLRQVPHWKRGVDQGVWDNHKROGHUV,WLVWKHFDSDFLW\WRDVVHVVSURMHFWDQGSURFHVVVLWXDWLRQVRU
FLUFXPVWDQFHVVKUHZGO\DQGWRGUDZVRXQGFRQFOXVLRQV

Point 10: Seasoned

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VHDVRQHGSURMHFWPDQDJHUKDVJDLQHGFRPSHWHQF\WKURXJKWULDODQGH[SHULHQFH+HRUVKHKDVKDGDZLGHUDQJH
RIH[SHULHQFHVWRGUDZXSRQWRDSSO\WRFXUUHQWSURMHFWVDQGHQYLURQPHQWV6HDVRQHGPHDQVKDYLQJNQRZOHGJH
RUVNLOOIURPREVHUYDWLRQRUSDUWLFLSDWLRQLQPXOWLSOHDQGGLYHUVHSURMHFWVDQGVLWXDWLRQV

CHAOS MANIFESTO 31
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 PROJECT MANAGERS 14% 17%

(3306XUYH\UHVXOWV AD Managers
RIWKHTXHVWLRQ Business Ops
13%
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PDQDJHUVGLUHFWO\ IT Executives
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Other

31%

THE COURAGEOUS PROJECT MANAGER

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´([DPLQLQJ WKH ¶&RXUDJHRXV 3URMHFW 0DQDJHU· DQG :K\ <RX 1HHG 7KHPµ 7KH GLVFXVVLRQ
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1. Transparency:7KHKDOOPDUNRIDFRXUDJHRXVSURMHFWPDQDJHULVWUDQVSDUHQF\DQGDVXFFHVVIXO&30
ZLOOSUDFWLFH´QHDUµFRPSOHWHWUDQVSDUHQF\ZLWKVWDNHKROGHUVWHDPPHPEHUVDQGWKHRUJDQL]DWLRQDWODUJH
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PD\EHIURPMRJJLQJLVEHWWHUWKDQDPDVVLYHKHDUWDWWDFN

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GRZKDWLVULJKW3URMHFWPDQDJHUVPD\UHFHLYHSUHVVXUHIURP,7DERXWZKDWVKRXOGEHGRQHEXWD&30
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IURQWLQWKHSURMHFWWKDWUHTXLUHPHQWVZLOOFKDQJHDQGSUREOHPVZLOORFFXUEXWVXFFHVVUHOLHVRQFRPPLWWHG
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IRUIUHTXHQWFKDQJHVDQGKDYHDVWUDWHJ\WRGHDOZLWKWKHP

3. Failing Fast:$FRXUDJHRXVSURMHFWPDQDJHUZLOONQRZZKHQDSURMHFWLVQRORQJHULQWKHEHVWLQWHUHVW
RIWKHFOLHQWZKHWKHULW·VEHFDXVHWKHEXVLQHVVKDVFKDQJHGRUWKHRULJLQDOEXVLQHVVFDVHLVQRORQJHU
UHOHYDQW$&30ZLOOYRFDOO\DGYRFDWHWKDWWKHSURMHFWEHFDQFHOHGWRPLQLPL]HWKHLQYHVWPHQWORVV$VDQ
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DZD\ WKHLU FRXUDJHRXV SURMHFW PDQDJHUV $Q RUJDQL]DWLRQ·V ODFN RI HPRWLRQDO PDWXULW\ WKH
LQDELOLW\WRGHDOZLWKEDGQHZVRUVHWEDFNVLQDVWUDLJKWIRUZDUGPDQQHUDQGODFNRIWROHUDQFH
IRU WUDQVSDUHQF\ FDQ JLYH &30V D QHJDWLYH VWLJPD ZLWKLQ WKH RUJDQL]DWLRQ DQG SURKLELW WKHLU
VXFFHVV$OVRLQPDQ\FRPSDQLHVSHRSOHDQGSURMHFWVDUHRUJDQL]HGLQIXQFWLRQDOVLORVZKLFK
KLQGHU ÁH[LELOLW\ DQG DOORZ SURMHFWV WR FRQWLQXH ORQJ DIWHU PRVW SHRSOH KDYH UHFRJQL]HG WKDW
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■ ■ ■ ■ ■

32 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 SKILLED RESOURCES

LESSON EIGHT: Law of the Empty Chair

Your best person will leave at the worst possible time.

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NH\SHUVRQZLOOOHDYH7KLVFRXOGEHDVNLOOHGGHYHORSHURUWKHH[HFXWLYH
VSRQVRU:KHQWKLVKDSSHQVLWFDQKDYHGHYDVWDWLQJUHVXOWVDQGSXW
WKH SURMHFW LQ SHULO 7KH EHVW PHWKRG WR FRPEDW VXFK DQ HYHQW LV WR
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SRVVLEOH WLPH 7KH HLJKWK ODZ RI &+$26 VXSSRUWV WKH 6NLOOHG 5HVRXUFHV
6XFFHVV)DFWRU

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+RZHYHU\RXQHHGWRKDYHHDUVWLHGWREUDLQVWRKHDUWKHPHVVDJH7KHEHVWSODQZLOOIDLOLI\RX
GRQRWKDYHVNLOOHGDQGFRPSHWHQWZRUNHUVLQVXIÀFLHQWTXDQWLW\WRFRPSOHWHWKHWDVNVDWKDQG

,QWKHLUERRN&RQWHQWHG&RZV*LYH%HWWHU0LON:LOOLIRUG&RPPXQLFDWLRQVDXWKRUV%LOO

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LQ WXUQ ZLOO OHDG WR PRUH VXFFHVVIXO SURMHFWV DQG V\VWHPV +RZHYHU \RX VKRXOG QRW FRQIXVH
DFWLYLW\ZLWKSURJUHVV3URJUHVVLVDFKLHYHGWKURXJKVNLOOHGDQGFRPSHWHQWWHDPZRUN

/HVVRQ (LJKW RQ VNLOOHG UHVRXUFHV DGGUHVVHV WKH PDMRU LVVXHV RI PDQDJLQJ DQ DSSOLFDWLRQ
GHYHORSPHQWVWDIIDQGWKHLVVXHVDURXQGWKHLUVXSSRUWV\VWHPV7KHOHVVRQFRYHUVWKHIROORZLQJ
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FRPSHWHQF\RI\RXUVWDIIDQGWKHWHDP3ODFHZRUNHUVZLWKVNLOOVLQMREVWKDWZLOOEHQHÀWWKH
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VWRQHV/RRNDWWHDPEXLOGLQJDQGNHHSLQJWKHWHDPWRJHWKHU(VWDEOLVKVWDIIGHYHORSPHQWDQG
WUDLQLQJSURJUDPV0DNHXVHRIPHQWRUVDQGPHQWRULQJWRLPSURYHWKHVNLOOVDQGFRPSHWHQF\
RIVWDIIPHPEHUVDQGWKHWHDP&RQVLGHUWKHUROHRI´FKHPLVWU\µDPRQJWHDPPHPEHUVDQG
KRZLWFDQDIIHFWWKHSURMHFWLQERWKSRVLWLYHDQGQHJDWLYHZD\V/HDUQZKDW\RXFDQGRZKHQ
WKHFKHPLVWU\GRHVQRWZRUNDQG\RXKDYHDQH[FHSWLRQDOO\GLIÀFXOWWHDPPHPEHU5HFRJQL]H
WKHHIIHFWVRIWXUQRYHURQSURMHFWVDQGÀQGZD\VWRGHDOZLWKLW+RW*URXSVIRFXVRQWKHWDVNDW
KDQGDQGXVHWKHPZKHQDSSURSULDWH

CHAOS MANIFESTO 33
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 10 CHAOS SUCCESS POINTS FOR SKILLED RESOURCES
Point 1: Competency
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WR SHUIRUP WKH WDVNV DQG DVVLJQPHQWV GLFWDWHG E\ WKH SURMHFW UHTXLUHPHQWV &RPSHWHQF\ LV KDYLQJ WKH ULJKW
OHYHORIVNLOOVQHFHVVDU\WRSHUIRUPWKHZRUNWRFRPSOHWHWKHSURMHFWDFWLYLWLHVZLWKLQWKHVSHFLÀHGWLPHVDQG
VFKHGXOHV,WLVDOVRWKHDELOLW\WRGHPRQVWUDWHWKHVHTXDOLÀFDWLRQVWRSURYLGHFRQÀGHQFHLQWKHRWKHUSURMHFW
SDUWLFLSDQWV

Point 2: Position
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LVWKHSODFHLQWKHSURMHFWZKHUHHDFKLQGLYLGXDOSHUIRUPVDFWLYLWLHV)RUH[DPSOHLIWKHWDVNLVWKHSHUIRUPDQFH
RITXDOLW\DVVXUDQFHWKHQWKHSRVLWLRQLVWRWHVWLQVSHFWDQGSURYLGHTXDOLW\DVVXUDQFHVHUYLFHV$SHUVRQPD\
KDYHPDQ\SRVLWLRQVZLWKLQDSURMHFWRUMXVWRQHWKHNH\LVWKDWDOOSDUWLFLSDQWVNQRZWKHLUSRVLWLRQV

Point 3: Motivation
7KHXVHRILQGLYLGXDODQGWHDPLQFHQWLYHVKDVEHFRPHDSRSXODUWRROLQPRWLYDWLQJDFKLHYHPHQWRISURMHFWJRDOV
RUVLJQLÀFDQWVWHSSLQJVWRQHV0RWLYDWLRQLVWKHDFWRISURYLGLQJLQFHQWLYHWRDSHUVRQDQGJURXSVRISHRSOHWR
SHUIRUP DQG HQJDJH LQ DFWLYLWLHV WKDW SURYLGH SURJUHVV WR D SURMHFW RU SURMHFWV ,QFHQWLYHV IRU PRWLYDWLRQ FDQ
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QHJDWLYHRQHPLJKWEHMREORVV

Point 4: Togetherness
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SURMHFW7RJHWKHUQHVVPHDQVSXWWLQJWKHSURMHFWWHDPVWDNHKROGHUDQGH[HFXWLYHVLQWRDVLQJOHJURXSZLWKD
VLQJOHYLVLRQ7KHLQWHQWLVWRFUHDWHKDUPRQ\RUDFFRUGDVDOOSDUWLFLSDQWVVWDQGWRJHWKHURQDSURMHFW,WLVWKH
PL[LQJ RI SHRSOH WR PXWXDOO\ ZRUN WRJHWKHU WR SURYLGH D VXFFHVVIXO RXWFRPH 7RJHWKHUQHVV PHDQV D MRLQW RU
FRRSHUDWLYHHIIRUW

Point 5: Training
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7UDLQLQJLVWKHHGXFDWLRQLQVWUXFWLRQDQGRUGLVFLSOLQHRIWHDPPHPEHUVVWDNHKROGHUVDQGH[HFXWLYHVLQWKH
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HGXFDWLRQDQGLQVWUXFWLRQRIWKHXVHRIWKHSURMHFWE\HQGXVHUV

CHAOS RESOLUTION BY ORGANIZATION SIZE

7KHSURMHFWUHVROXWLRQE\ Success Challenged Failed

RUJDQL]DWLRQVL]HUHVXOWV /DUJH   
IURPWKH&+$26 0HGLXP   
UHVHDUFK
6PDOO   

34 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 52%
QUALITY STAFF
Less than 10% '$576UHVXOWVRIWKH
10% - 20% TXHVWLRQ´,Q\RXU
RSLQLRQZKDWSHUFHQW
21% - 40% RIDSURMHFW·VVXFFHVV
23% LVGLUHFWO\DWWULEXWDEOH
41% - 60%
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Over 60% DTXDOLW\WHFKQLFDO
11% 1% VWDII"µ
13%

Point 6: Mentoring
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ZDVWKHWUXVWHGFRXQVHORULQZKRVHJXLVH$WKHQDEHFDPHWKHJXDUGLDQDQGWHDFKHURI7HOHPDFKXV,QPRGHUQ
XVHDPHQWRULVDZLVHDQGWUXVWHGFRXQVHORUWRRUWHDFKHURILQH[SHULHQFHGRUQRYLFHVWDII)RUH[DPSOHDQ
H[SHULHQFHGSURMHFWPDQDJHUPD\WHDFKPHQWRUDQXQSURYHQSURMHFWPDQDJHUKRZEHVWWRVROYHFHUWDLQLVVXHV

Point 7: Chemistry
&KHPLVWU\LVKDUGWRGHÀQHQHYHUPLQGPDQDJH,WLVRQHRIWKRVHWKLQJVWKDW\RXNQRZZKHQ\RXKDYHLWDQG
LW·VSDLQIXOO\REYLRXVZKHQ\RXGRQRWKDYHLW&KHPLVWU\LVWKHLQWHUDFWLRQRIRQHSHUVRQDOLW\ZLWKDQRWKHU,QD
SURMHFWWHDPLWLVWKHFKHPLVWU\EHWZHHQWKHPHPEHUV&KHPLVWU\ZLWKLQDWHDPFDQEHULJKWRULWFDQEHZURQJ
:HRIWHQVHHWKLVLQVSRUWVWHDPVZKHUHWKHULJKWFKHPLVWU\FDQPDNHRUGLQDU\SOD\HUVZLQQHUVDQGWKHZURQJ
FKHPLVWU\ FDQ PDNH H[FHSWLRQDO SOD\HU ORVHUV *RRG FKHPLVWU\ FDQ SURGXFH H[WUDRUGLQDU\ UHVXOWV ZKLOH EDG
FKHPLVWU\FDQFUHDWHFRQÁLFWV

Point 8: Toxic
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WKDWKXUWWKHHIIRUWRIDSURMHFWE\GLVUXSWLQJWKHSURJUHVV$WR[LFSHUVRQFDQGHPRUDOL]HRWKHUWHDPPHPEHUV
7KHQRWLRQRIWR[LFFRPHVIURPWKHLGHDRISRLVRQLQJWKHZHOOVRRWKHUVFDQQRWGULQNIURPLW

Point 9: Turnover
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DVWDIIPHPEHURUJURXSRIVWDIIPHPEHUVDVVRFLDWHGZLWKDSURMHFWEHIRUHWKDWSURMHFWLVFRPSOHWHG7KHUDWLRRI
WXUQRYHULVWKHORVVRIWKHDYHUDJHQXPEHURIPHPEHUVRYHUWKHOLIHRIWKHSURMHFW)RUH[DPSOHLIWKHWRWDOVWDII
LVDQGGXULQJWKHSURMHFWÀYHPHPEHUVOHDYHEHIRUHFRPSOHWLRQWKHSURMHFWWXUQRYHUZRXOGEH

Point 10: Hot Groups

+RW*URXSVIRFXVRQWKHWDVNDWKDQG+RWJURXSVDUHVSHFLDODQGHOLWHWHDPVWKDWFRPHWRJHWKHUWRVROYHD
GLVFUHWHLVVXHRUÀQLVKDWURXEOHGSURMHFW7KHJURXSVJHQHUDOO\VWD\WRJHWKHURQO\DIHZGD\VWRDIHZZHHNV7KH\
DUHVPDOOEXWLQWHQVHZLWKJURXSPHPEHUVRIWHQZRUNLQJORQJKRXUVLQWRWKHQLJKWVDQGZHHNHQGV7KHKDYH
VSHFLDOVNLOOVDQGDUHKLJKO\FRPSHWHQW

CHAOS MANIFESTO 35
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 APPLICATION DEVELOPMENT TOOLS
69%
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1%
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BOOK REVIEW: HOT GROUPS

Subtitle: 6HHGLQJ7KHP)HHGLQJ7KHP 8VLQJ7KHPWR,JQLWH<RXU2UJDQL]DWLRQ
Authors:-HDQ/LSPDQ%OXPHQ +DUROG/HDYLWW
Publisher:2[IRUG8QLYHUVLW\3UHVV
Reviewer:-LP-RKQVRQ
CHAOS rating: RXWRIEXWWHUÁLHV

Focus

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XSDQGPDQDJHWKHP,WDQVZHUVVRPHLPSRUWDQWTXHVWLRQVVXFKDVZKDWWKH\DUHDQGZK\
WKH\·UHKRW7KHDXWKRUVWDONDERXWWKHNLQGVRIOHDGHUVKLSQHHGHGWRFUHDWHDQGPDQDJHKRW
JURXSVDVZHOODVKRZWRRUJDQL]HDQGVWUXFWXUHWKHVHJURXSV7KH\SURYLGHFDVHVWXGLHVDQG
H[DPSOHVRIGLIIHUHQWW\SHVRIKRWJURXSV

Wisdom Pearls

7KH ELJ WDNHDZD\ LV WKDW ÀUVW DQG IRUHPRVW KRW JURXSV DUH UHODWLYHO\ VKRUWOLYHG DQG WKDW LV
ZK\WKH\DUHVXFFHVVIXO2QFHWKHWDVNLVFRPSOHWHWKHJURXSIDGHVDZD\7KHLPSRUWDQWWKLQJ
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DUHSHRSOHZKROLNHWRJHWWKHMREGRQH$JDLQLI\RXKDYHDSDQGDEHDUW\SHRIKLJKULVNKLJK
UHZDUGSURMHFWKRWJURXSVDUHSHUIHFW

■ ■ ■ ■ ■

36 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 EXECUTION

LESSON NINE: Panda’s Law

Inaction is the purest form of failure.

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:KHQSDUWLFLSDQWVDUHDVNHGWRIRFXVRQJDLQWKHSDQGDEHDULVDOZD\VSDUW
RIWKHVROXWLRQ:KHQSDUWLFLSDQWVDUHDVNHGWRIRFXVRQULVNWKHSDQGDLV
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ULVNDQGJDLQWKHUHVXOWVDUHPL[HG,QUHDOOLIHIHZSURMHFWVKDYHWUXHSDQGD
EHDUV%XWZKHQWKH\GRFRPHDERXWWKH\QHHGWREHHPEUDFHGDQGQXUWXUHG
5LVNLVSDUWRIHYHU\SURMHFWEXWXQQHFHVVDU\ULVNVKRXOGEHDYRLGHG3DQGD·V/DZ
VWDWHVWKDWLQDFWLRQLVWKHSXUHVWIRUPRIIDLOXUH7KHQLQWKODZRI&+$26VXSSRUWVWKH
([HFXWLRQ6XFFHVV)DFWRU

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LV JHWWLQJ WKLQJV GRQH ([HFXWLRQ LV WKH VXFFHVVIXO GHSOR\PHQW RI WHFKQRORJ\ ZLWK SUREOHP VWDWHPHQWV
UHTXLUHPHQWV GRFXPHQWV DQG SURMHFW SODQV ([HFXWLRQ LV WKH DFW RI FDUU\LQJ LQWR HIIHFW RU WR FRPSOHWLRQ
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WR FUHDWH D SRVLWLYH RXWFRPH ([HFXWLRQ FRPELQHV WKH ÀQDQFLDO PDQDJHPHQW JXLGDQFH ZLWK D IRUPDO
PHWKRGRORJ\([HFXWLRQLVVLPSO\JHWWLQJWKHMREGRQHZLWKWKHOHDVWSRVVLEOHUHVRXUFHV

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SURMHFW·VSULRULWLHVDQGKRZ\RXNQRZ\RXDUHGRLQJWKHULJKWWKLQJV,QRUGHUWRH[HFXWHSURSHUO\\RXPXVW
KDYH D SUREOHP VWDWHPHQW WR HQVXUH WKDW HYHU\RQH LV VROYLQJ WKH VDPH EXVLQHVV SUREOHP (VWDEOLVK D
SURFHVVIRUJDWKHULQJDQGPDLQWDLQLQJUHTXLUHPHQWV.QRZWKHHOXVLYHÀQDQFLDOEUHDNHYHQSRLQWDQGKRZ
WKDWSRLQWFKDQJHVDVWKHSURMHFWPRYHVIRUZDUG0DQDJHFKDQJHIDLOXUHWRGRVRLVDOPRVWDOZD\VDPDMRU
FRQWULEXWRUWRSURMHFWIDLOXUH

<RXPD\ZDQWWRFRQVLGHUWKHXVHRIDQDORJLHVWRLPSURYHFRPPXQLFDWLRQEHWZHHQXVHUVDQGGHYHORSHUV
7KLVZLOOKHOSH[HFXWH\RXUSURMHFW,QVWHDGRIORRNLQJDWWKHSURMHFW·VHDUQHGYDOXHWDNHDORRNDWWKHQHW
YDOXH7KLVWUDFNVUHTXLUHPHQWVEDVHGRQWKHLUUHWXUQUDWHYHUVXVVSHQGLQJ&RQVLGHUWKHFRQFHSWRIWKH
3URMHFW0DQDJHPHQW2IÀFH302:HDOVRFRQVLGHUWKHXVHRIJDWHVRUVWDJHVLQWKLVOHVVRQ)LQDOO\LWLV
LPSRUWDQWWRH[SUHVVWKHEHQHÀWVRIDSURMHFWLQWKHEHVWSRVVLEOHÀQDQFLDOOLJKW

CHAOS RESOLUTION BY INDUSTRY

7KHSURMHFW Success Challenged Failed Success Challenged Failed

%DQNLQJ    0DQXIDFWXULQJ   
UHVROXWLRQE\
)LQDQFLDO    5HWDLO   
LQGXVWU\UHVXOWV
*RYHUQPHQW    6HUYLFHV   
IURPWKH&+$26
+HDOWKFDUH    7HOFRP   
UHVHDUFK 2WKHU   

CHAOS MANIFESTO 37
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 10 CHAOS SUCCESS POINTS FOR EXECUTION
Point 1: Rules
5XOHVJLYH\RXDFOHDULGHDRIDSURMHFW·VSULRULWLHVDQGKRZ\RXNQRZ\RXDUHGRLQJWKHULJKWWKLQJV5XOHVDUH
HVWDEOLVKHGVWDQGDUGVJXLGHOLQHVRUUHJXODWLRQVVHWXSE\DXWKRULW\(QJDJHPHQWLVDSOHGJHWRGRRUFRPSOHWH
VRPHWKLQJ7KHUHIRUHUXOHVRIHQJDJHPHQWDUHGLUHFWLYHVLVVXHGE\DFRPSHWHQWDXWKRULW\WKDWGHOLQHDWHWKH
FLUFXPVWDQFHVXQGHUZKLFKVWDNHKROGHUVDQGVHUYLFHZRUNHUVZLOOLQLWLDWHDQGUXQSURMHFWV$VXFFHVVIXOSURJUDP
UHTXLUHV WKH FOHDU DUWLFXODWLRQ RI LPSRUWDQW UXOHV VXFK DV ZKDW DFWLYLWLHV DUH QHFHVVDU\ KRZ WKH\ VKRXOG EH
SHUIRUPHGDQGZKDWUHVRXUFHVDUHQHHGHG7KXVUXOHVVHUYHDVWKHIXQGDPHQWDOWRROVRIDQ\SURMHFWHVSHFLDOO\
WRDOLJQWKH,7REMHFWLYHVZLWKWKHRYHUDOOEXVLQHVVJRDOVDQGVWUDWHJLHV

Point 2: Problem Statement

(YHU\SURMHFWSODQPXVWKDYHDSUREOHPVWDWHPHQWHQVXULQJWKDWHYHU\RQHLVWU\LQJWRVROYHWKHVDPHSUREOHP
$SUREOHPVWDWHPHQWLVDFOHDUFRQFLVHGHVFULSWLRQRIWKHLVVXHVWKDWQHHGWREHDGGUHVVHGE\WKHSURMHFWWHDP
DQGVWDNHKROGHUV&RQVHQVXVDQGEDVLFDJUHHPHQWRQDSUREOHPVWDWHPHQWVKRXOGEHUHDFKHGEHIRUHWKHVWDUW
RIDQ\SURMHFW$SUREOHPVWDWHPHQWVKRXOGDQVZHUWKHVHWKUHHTXHVWLRQV:KDWLVWKHSUREOHP":KRKDVWKH
SUREOHP"+RZZLOOWKHSUREOHPEHUHVROYHG"

Point 3: Formal Requirements

$OOSURMHFWPHWKRGRORJLHVVKRXOGLQFOXGHDIRUPDOSURFHVVRIJDWKHULQJDQGPDLQWDLQLQJUHTXLUHPHQWV)RUPDO
UHTXLUHPHQWVDUHZULWWHQGHVFULSWLRQVRIKRZWKHDSSOLFDWLRQDFWVDSSHDUVDQGSHUIRUPV5HTXLUHPHQWVDUH
WKHIHDWXUHVDQGIXQFWLRQVRIWKHSURMHFWGHOLYHUDEOHV)RUPDOUHTXLUHPHQWVDUHWKHZULWWHQGHWDLOHGVFRSHRI
WKHSURMHFW$IWHUWKHIRUPDOUHTXLUHPHQWVDUHDSSURYHGWKH\PD\EHFKDQJHGWKURXJKHLWKHUWKHVFRSHFKDQJH
PDQDJHPHQWSURFHVVRURQWKHÁ\

Point 4: Breakeven
3URMHFWPDQDJHUVQHHGWRÀQGWKHEUHDNHYHQSRLQW³WKHSRLQWDWZKLFKVDYLQJVDQGJDLQVHTXDOWKHWRWDOFRVWRU
EXGJHW7KHSRLQWLVORFDWHGE\EUHDNHYHQDQDO\VLVZKLFKGHWHUPLQHVZKDWFRVWVZLOOEHFRYHUHG$OOVDYLQJVRU
LQFUHDVHVRYHUWKHEUHDNHYHQSRLQWSURGXFHSURÀWVDQ\GURSLQJDLQVRUVDYLQJVEHORZWKDWSRLQWZLOOSURGXFH
ORVVHV

Point 5: Change
0DQDJLQJFKDQJHLVNH\WRPDQDJLQJSURMHFWV7KHLQDELOLW\WRGRWKLVZHOOLVDOPRVWDOZD\VDPDMRUFRQWULEXWRU
WRIDLOXUH&KDQJHLVDQ\WKLQJWKDWFDXVHVVRPHWKLQJWREHGLIIHUHQW,QSURMHFWVWKLVFDQEHIHDWXUHVIXQFWLRQV
UHTXLUHPHQWV VFKHGXOHV SHUVRQQHO DQG EXGJHW $ FKDQJH WR DQ\ RI WKHVH HOHPHQWV FDXVHV FKDQJHV LQ WKH
SURMHFWDQGZKLOHFKDQJHLVLQHYLWDEOHDVXFFHVVIXORXWFRPHLVQRW&KDQJHPXVWEHUHFRJQL]HGXQGHUVWRRG
DQGPDQDJHGFDUHIXOO\

8%
PMO 9%
'$576 NO PLANS
36%
UHVXOWVRIWKH
YES, as a controlling
TXHVWLRQµ'R body
\RXPDLQWDLQ YES, as an advisory 19%
D3URMHFW and educational body
NO, but planning on
0DQDJHPHQW
starting a controlling body
2IÀFH302"µ NO, but planning starting an
advisory and educational body 28%

38 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 47%
TOOLS
(3306XUYH\UHVXOWV
AD Managers
RIWKHTXHVWLRQ´:KR
Business Ops FRQWUROVWKHVHOHFWLRQ
DQGXVHRISURMHFW
IT Executives
PDQDJHPHQWWRROV"µ
PMO 29% 3%

Other 7%

14%

Point 6: Analogies
&RQVLGHUWKHXVHRIDQDORJLHVWRLPSURYHFRPPXQLFDWLRQEHWZHHQXVHUVDQGGHYHORSHUV$QDQDORJ\LVWKHSURFHVV
RIWUDQVIHUULQJLQIRUPDWLRQIURPDSDUWLFXODUVXEMHFWWRDQRWKHUSDUWLFXODUVXEMHFWE\GUDZLQJDFRPSDULVRQLQWKH
IRUPRIDVWRU\RUH[DPSOH3URMHFWPDQDJHUVFDQXVHDQDORJLHVWRFODULI\RULOOXPLQDWHDGLIÀFXOWRUXQIDPLOLDU
FRQFHSWE\FRPSDULQJVRPHWKLQJNQRZQWRWKHVWDNHKROGHUWRWKHQHZFRQFHSW

Point 7: Net Value Analysis

,QVWHDGRIORRNLQJDWWKHSURMHFW·VHDUQHGYDOXHWDNHDORRNDWWKHQHWYDOXH1HW9DOXH$QDO\VLV19$LVVLPLODU
WR(DUQHG9DOXH$QDO\VLV(9$EXWUHSODFHVWKHFRVWHOHPHQWZLWKJDLQ/LNH(9$19$LVDPHWKRGIRUTXDQWLI\LQJ
SURMHFWSHUIRUPDQFHE\FRPSDULQJWKHDPRXQWRIZRUNWKDWZDVSODQQHGZLWKWKHZRUNWKDWZDVDFFRPSOLVKHG
WKLVLVWKHYDOXHRIZRUNSHUIRUPHGFDOFXODWHGLQWHUPVRIWKHHVWLPDWHG52,RUJDLQYHUVXVDEXGJHWFRVW

Point 8: PMO
7KH 3URMHFW 0DQDJHPHQW 2IÀFH 302 LV D FRQFHSW WKDW LV UDSLGO\ JDLQLQJ IDYRU DV D ZD\ WR DOLJQ EXVLQHVV
DQGWHFKQLFDOJRDOVDQGLQFUHDVHWKHRGGVRIVXFFHVVIXOSURMHFWH[HFXWLRQLQPDQ\RUJDQL]DWLRQVRIDOOVL]HV
6RPHWLPHV UHIHUUHG WR DV D SURJUDP PDQDJHPHQW RIÀFH D 302 FRPSULVHV D JURXS RI LQGLYLGXDOV ZLWKLQ DQ
RUJDQL]DWLRQ UHVSRQVLEOH IRU VXSSO\ VXSSRUW DQG LQWHUQDO FRQVXOWLQJ WR HQVXUH WKDW SURMHFWV DUH FDUULHG RXW
FRQVLVWHQWO\DQGVXFFHVVIXOO\LQDFFRUGDQFHZLWKFRPSDQ\VWUDWHJLHV7KHUHDUHGLIIHUHQWW\SHVRI302VVRPH
DUHPRUHFRQWUROOLQJZKLOHRWKHUVDUHPRUHHGXFDWLRQDO

Point 9: Gatekeeping
$JDWLQJV\VWHPLVDPHWKRGIRUPRYLQJSURMHFWVIURPDQLGHDWRLPSOHPHQWDWLRQ,WGLYLGHVWKHHIIRUWLQWRGLVWLQFW
VWDJHVVHSDUDWHGE\PDQDJHPHQWGHFLVLRQJDWHVJDWHNHHSLQJ7KHSURMHFWWHDPVPXVWVXFFHVVIXOO\FRPSOHWHD
SUHVFULEHGVHWRIUHODWHGDFWLYLWLHVLQHDFKVWDJHSULRUWRREWDLQLQJPDQDJHPHQWDSSURYDOWRSURFHHGWRWKHQH[W
VWDJHRUJDWHRIWKHSURMHFW,QPDQ\FDVHVWKHWHDPPXVWJHWDSHHUUHYLHZWRVHFXUHPDQDJHPHQW·VDSSURYDO

Point 10: Lipstick

,W·VLPSRUWDQWWRH[SUHVVWKHEHQHÀWVRIDSURMHFWLQWKHEHVWSRVVLEOHÀQDQFLDOOLJKW$SSO\LQJOLSVWLFNLVWKHDUWRI
GHÀQLQJDQGDFFHQWXDWLQJWKHVKDSHDQGEHDXW\RIRQH·VOLSV7KHDUWRIDSSO\LQJ´OLSVWLFNµWRDSURMHFWLVGHÀQLQJ
DQGDFFHQWXDWLQJWKHÀQDQFLDOEHQHÀWVRIHLWKHUVWDUWLQJRUFRPSOHWLQJDSURMHFW2QHVKRXOGQRWJHWFRQIXVHG
ZLWKDSSO\LQJOLSVWLFNRQDSLJ

CHAOS MANIFESTO 39
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 CASE STUDY: Swiss Stock Exchange’s Unified Electronic
Trading Systems Project
7KH6ZLVV6WRFN([FKDQJHKDVWKUHHWUDGLQJÁRRUV*HQHYD%DVHODQG=XULFK7KHH[FKDQJH
KDV  PHPEHUV  SHUPDQHQW WUDGLQJ VHFXULWLHV DQG D GDLO\ WXUQRYHU RI  ELOOLRQ $
ODUJHFRQVWUDLQWRIWKHQHZXQLÀHGHOHFWURQLFWUDGLQJV\VWHPVZDVWRKDYHJXDUDQWHHGPHVVDJH
GHOLYHU\7KLVJXDUDQWHHGPHVVDJHGHOLYHU\ZDVUHTXLUHGWREHLQGHSHQGHQWRIQHWZRUNIDLOXUHV
V\VWHPIDLOXUHVDSSOLFDWLRQIDLOXUHVDQGDSSOLFDWLRQUHVWDUWV7KHV\VWHPQHHGHGWRVXSSRUW
PHVVDJHUHFRYHU\DQGIDQRXWWRPXOWLSOHUHFHLYLQJDSSOLFDWLRQV

7KH VROXWLRQ ZDV DXWRPDWLF RUGHU URXWLQJ LQWHJUDWHG FOHDULQJ DQG VHWWOHPHQW DQG WKH IXOO
LQWHJUDWLRQ RI PHPEHUV· IURQW DQG EDFN RIÀFHV WR UHGXFH WUDQVDFWLRQ FRVWV 7KHLU V\VWHP
ZRXOGFUHDWHDXQLÀHGPDUNHWSURYLGLQJPRUHOLTXLGLW\DQGWUDQVSDUHQF\7KH([FKDQJHDOVR
ZDQWHGWKHSRWHQWLDOIRUIXUWKHUFURVVERUGHUWUDGLQJ%DVHGRQDOLWWOHNQRZQVRIWZDUHSURGXFW
FDOOHG 575 IURP 'LJLWDO QRZ &RPSDT WKH ([FKDQJH EXLOW D V\VWHP WKDW VXSSRUWHG UHOLDEOH
WUDQVDFWLRQDO PHVVDJLQJ DQG EURDGFDVWLQJ 7KH V\VWHP ZDV D VWRUHIRUZDUG DSSURDFK WKDW
SURYLGHGJXDUDQWHHGDQGIDXOWWROHUDQWPHVVDJHGHOLYHU\

:KHQWKHSURMHFWEHJDQWKHGHVLJQJRDOLQFOXGHGDIDXOWWROHUDQWV\VWHPXVLQJVWDQGDUGFOXVWHU
WHFKQRORJ\7KHSURMHFWFRVWRYHUPLOOLRQWRFRPSOHWH$WWKHSHDNRIGHYHORSPHQWWKH
([FKDQJHKDGDVWDIIRISHUPDQHQWFRQVXOWDQWVZLWKPXOWLSOHWHDPV7KHSURMHFWVWDUWHG
LQ0DUFKRIDQGZDVFRPSOHWHGLQ$XJXVW³WZR\HDUVODWH7KH([FKDQJHXVHGD
SURMHFWRIÀFHIRUFRQWURODQGTXDOLW\DVVXUDQFH

7KH ([FKDQJH KDG JRRG SURMHFW RUJDQL]DWLRQ ZLWK VWURQJ SURMHFW PDQDJHUV DQG WKUHH
FRPPLVVLRQV D WHFKQLFDO FRPPLVVLRQ IRU VXSSRUW DQ H[HFXWLYH FRPPLVVLRQ IRU H[HFXWLYH
VXSSRUWDQGDXVHUPHPEHUFRPPLVVLRQIRUXVHULQYROYHPHQW7KH\KDGFRQVWDQWH[WHUQDO
UHYLHZVIRUULVNDQGFRQVXOWDQWVZHUHXVHGWRUHYLHZWKHULVNVDQGPDNHUHFRPPHQGDWLRQVWR
PLJUDWHWKHULVNV7KH([FKDQJHFUHDWHGDIXQFWLRQDOUHTXLUHPHQWVGRFXPHQWWKDWZHQWWKURXJK
DIRUPDOFKDQJHPDQDJHPHQWSURFHVVZLWKHDFKRIWKHFRPPLVVLRQV

6LQFHWKH([FKDQJHXVHGPXOWLSOHWHDPVWKHFRRUGLQDWLRQDQGLQWHJUDWLRQRIWKHWHDPVFDXVHG
WKHV\VWHPWREUHDNDQGUHTXLUHGPXFKUHZRUN7KH\XVHGWRRPDQ\GLIIHUHQWSURGXFWVZKLFK
DOVRFDXVHGLQWHJUDWLRQSUREOHPV:KLOHWKH([FKDQJHXVHGDIRUPDOUHTXLUHPHQWSURFHVVWKLV
SURFHVVFDXVHGVFRSHFUHHS

7KH([FKDQJHUHFRPPHQGVWKDWSURMHFWPDQDJHUVIXOO\XQGHUVWDQGWKHLQWHJUDWLRQSURFHVV'R
QRWXVHDVPDQ\GLIIHUHQWW\SHVRISURGXFWVDQGYHQGRUV:KHQXVLQJPXOWLSOHWHDPVEHWWHU
FRRUGLQDWLRQSURFHVVHVDUHUHTXLUHG

■ ■ ■ ■ ■

40 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 TOOLS AND INFRASTRUCTURE

LESSON TEN: LAW OF THE FOOLS

A fool with a tool is still a fool.

<HDUVDJRLQDIRFXVJURXSRQHRIWKHSDUWLFLSDQWVVDLG´$IRROZLWKD
WRROLVVWLOODIRROµ7KLVJDYHULVHWRWKH/DZRIWKH)RROV,WPHDQVKDYLQJ
WKH ULJKW WRRO IRU WKH SUREOHP IRU LI HYHU\ SUREOHP ZHUH D QDLO HYHU\
VROXWLRQ ZRXOG EH D KDPPHU +RZHYHU LW LV QRW MXVW KDYLQJ WKH ULJKW
WRROVEXWWKHVNLOOWRXVHWKHPSURSHUO\WKDWPDNHVDOOWKHGLIIHUHQFHLQ
VXFFHVVDQGIDLOXUH7RROVLQIUDVWUXFWXUHDQGYHQGRUVPDNHXSDELJSDUW
RIWKHSURMHFWPDQDJHPHQWHFRV\VWHP7KH7RROVDQG,QIUDVWUXFWXUH6XFFHVV
)DFWRULVVXSSRUWHGE\WKHWKODZRI&+$26

7RROVQHHGWRKHOSWKHRUJDQL]DWLRQPRYHWKHSURMHFWIRUZDUG7RROVWKDWKHOS\RXWRFROODERUDWH
ZLWK DOO SURMHFW FRQWULEXWRUV DQG VWDNHKROGHUV DUH WKH PRVW XVHIXO 7KH\ FDQ SRLQW RXW
ZHDNQHVVHVDQGWHQVLRQSRLQWVGHWHUPLQHSULRULW\DVZHOODVLGHQWLI\SRWHQWLDOVHWEDFNVEHIRUH
WKH\EHFRPHLQVXUPRXQWDEOH7KH\FDQJLYH\RXWKHSRZHUWRFRPPXQLFDWH

7KHSXUSRVHRIDQ\WRROVKRXOGEHWRVXSSRUWWKHSURMHFWPDQDJHPHQWSURFHVV+RZHYHU\RX
VKRXOGUHDOL]HWRROVGRQRWFRQWURODQLQGLYLGXDOSURMHFW·VRXWFRPH:HKDYHIRXUVXJJHVWLRQV
WRDVVLVW\RXLQXVLQJSURMHFWPDQDJHPHQWWRROVPRUHHIIHFWLYHO\&RPPXQLFDWHFRPPXQLFDWH
FRPPXQLFDWH DQG ZKHQ WKDW·V ÀQLVKHG FRPPXQLFDWH VRPH PRUH 8QGHUVWDQG WKDW
FRPPXQLFDWLRQLVWKHPRVWFUXFLDODVSHFWRIDSURMHFW

7KHODVWOHVVRQRQWRROVDQGLQIUDVWUXFWXUHVWDUWVZLWKDORRNDWDSURMHFWWRRONLWDQGWKHW\SHV
RIWRROV\RXZLOOQHHGWRPDQDJHDQGFRQWURO\RXUSURMHFWRUSURMHFWV,WFRYHUVWKHIROORZLQJ
SRLQWV <RXU WRRONLW VKRXOG KDYH D VWDQGDUG YRFDEXODU\ WR IDFLOLWDWH SURSHU FRPPXQLFDWLRQV
7KH XVH RI UHTXLUHPHQWV PDQDJHPHQW WRROV FDQ KDYH D KXJH LPSDFW RQ WKH VXFFHVV RI D
SURMHFW&KDQJHPDQDJHPHQWVRIWZDUHKDVPDQ\EHQHÀWVLQWKHG\QDPLFZRUOGRIGHYHORSLQJ
DSSOLFDWLRQVRIWZDUH&RQVLGHUDFROODERUDWLRQWRROOLNH:HE([HVSHFLDOO\IRUGLVWULEXWHGDQG
JHRJUDSKLFDOO\GLVSHUVHGWHDPV8VHLQVSHFWLRQDQGWHVWLQJWRROVOLNH\RXZRXOGXVHVSHOOFKHFN
RQ GRFXPHQWV³DSSOLFDWLRQ VRIWZDUH EXJV DUH WKH OHDGLQJ FDXVH RI GRZQWLPH &RQVLGHU WKH
EHQHÀWV RI D VWDQGDUG LQIUDVWUXFWXUH /HDUQ KRZ WR UHFRJQL]H WUXVWZRUWK\ DQG XQWUXVWZRUWK\
YHQGRUV&RQVLGHUWKHEHQHÀWVRIXVLQJRSHQVRXUFHVRIWZDUHDQGFRPSRQHQWVWRMXPSVWDUW
DSURMHFWDQGSURYLGHWKHEDVHOLQH7KLVSRLQWLQFOXGHVDFDVHVWXG\RQKRZ6WDQGLVK*URXS
FUHDWHGDPDMRUVRIWZDUHSURGXFWXVLQJWKLVWHFKQLTXH7KHODVWSRLQWLVWRXVHFRVWULVNDQG
JDLQDVWKHFHQWUDOIDFWRUVWRRSWLPL]LQJ\RXUSURMHFWSRUWIROLRDQGUHTXLUHPHQWVVHW

CHAOS MANIFESTO 41
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 10 CHAOS SUCCESS POINTS FOR TOOLS AND INFRASTRUCTURE
Point 1: Toolkit
,IFORWKHVPDNHWKHPDQRUZRPDQWRROVDQGLQIUDVWUXFWXUHPDNHWKHSURMHFW$WRRONLWLQWKLVFRQWH[WLVDVHW
RIVRIWZDUHDSSOLFDWLRQVXVHGE\WKHSURMHFWWHDPWRPDQDJHDQGWUDFNWKHSURJUHVVRIDSURMHFWRUSURMHFWV
7KHWRRONLWFDQLQFOXGHSURMHFWPDQDJHPHQWSRUWIROLRPDQDJHPHQWUHTXLUHPHQWVFKDQJHPDQDJHPHQWDQG
RSWLPL]DWLRQWRROV7KHWRROVPD\RUPD\QRWEHLQWHJUDWHG

Point 2: Vocabulary
$FRPPRQDQGDJUHHGXSRQYRFDEXODU\VKRXOGEHSDUWRIHYHU\WRRONLW$YRFDEXODU\LVDFROOHFWLRQRIZRUGV
DQGSKUDVHVWKDWDUHGHÀQHGDQGKDYHPHDQLQJ,WLVDVXPRUVWRFNRIZRUGVHPSOR\HGE\DODQJXDJHJURXS
LQGLYLGXDORUZRUNRULQDÀHOGRINQRZOHGJH+DYLQJDFRPPRQYRFDEXODU\RIZRUGVDQGSKUDVHVZLWKLQDQ
RUJDQL]DWLRQSURPRWHVJRRGFRPPXQLFDWLRQV

Point 3: Impact Tools

$UHTXLUHPHQWVPDQDJHPHQWWRROQHHGVWREHDWWKHWRSRIWKHVKRSSLQJOLVWIRUDQ\ÀUPLQYROYHGLQGHYHORSLQJ
VRIWZDUH DSSOLFDWLRQV ,PSDFW PHDQV WKH SRZHU WR PDNH D VWURQJ LPPHGLDWH LPSUHVVLRQ RU LPSURYHPHQW $
WRRO LV VRPHWKLQJ WKDW DLGV LQ DFFRPSOLVKLQJ D WDVN 7KHUHIRUH ´LPSDFW WRROVµ DUH WKLQJV WKDW PDNH D VWURQJ
LPSUHVVLRQDQGRULPSURYHPHQWLQDFFRPSOLVKLQJDWDVNRUDSURMHFW

Point 4: Changes
3URMHFWFKDQJHVDUHLQHYLWDEOHEXWFKDQJHPDQDJHPHQWWRROVFDQKHOS\RXNHHSFKDQJHXQGHUFRQWURO&KDQJH
PDQDJHPHQW WRROV DUH VRIWZDUH SURGXFWV WKDW WUDFN FKDQJH UHTXHVWV DQG SURYLGH WKH VWDWXV RI ZKHUH WKHVH
UHTXHVWV DUH LQ WKH SURFHVV )RU H[DPSOH WKH VWDJHV PD\ LQFOXGH UHYLHZ IRU LPSDFW JDLQ DSSURYDO DVVLJQ
UHVRXUFHV WR SURJUDP DQG WHVW DQG LPSOHPHQW WKH FKDQJHV LQWR WKH FXUUHQW HQYLURQPHQW 0RGHUQ FKDQJH
PDQDJHPHQWWRROVLQWHJUDWHZLWKDFFRXQWLQJIRUSROLFLHVDVZHOODVWHFKQRORJ\SHUVRQQHODQGWKHLPSDFWRI
FKDQJHRQDQHQWHUSULVHDVDZKROH

Point 5: WebEx
$ :HEEDVHG FROODERUDWLRQ SURGXFW :HE([ LV D JUHDW WRRO IRU PDQDJLQJ SURMHFWV &ROODERUDWLRQ LV ZRUNLQJ
WRJHWKHUHVSHFLDOO\LQDMRLQWLQWHOOHFWXDOHIIRUW,WLVWRFRRSHUDWHZLWKLQDJURXSWRREWDLQDFHUWDLQJRDO$WRROLV
VRPHWKLQJWKDWDLGVLQDFFRPSOLVKLQJDWDVN7KHUHIRUHFROODERUDWLRQWRROVDUHWKLQJVWKDWDLGLQFROODERUDWLQJ
RQDWDVNRUDSURMHFW

Point 6: Reasoning
$XWRPDWHGVRIWZDUHWHVWLQJWRROVKHOSNHHSWKHEXJVRXW4XDOLW\DVVXUDQFH4$LVDPHWKRGRIWHVWLQJDQG

REQUIREMENTS TOOLS*

7KHSURMHFWUHVROXWLRQ Success Challenged Failed

E\ZKHWKHURUQRWD
8VHG   
UHTXLUHPHQWVWRROZDV
1RW8VHG   
XVHG3URMHFWVVDPSOH
2YHUDOO   
ZDVIURPWKH&+$26
UHVHDUFK
$'3URMHFWVZLWKRYHULQODERUFRVW

42 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 100 PAIN METER
93
88 '$576UHVXOWVRI
75 78 WKHTXHVWLRQ´+RZ
73
71 69
ZRXOG\RXGHVFULEH
68
66
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CHAOS MANIFESTO 43
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
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44 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 IN SUMMARY
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CHAOS MANIFESTO 45
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
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46 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
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CHAOS MANIFESTO 47
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 PROJECT MANAGERS

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48 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 CHAOS PROJECT MANAGER ASSESSMENT
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WKHLUSURMHFWVDQGLPSURYHWKHLUVNLOOV

2. Weaknesses:7KHDSSUDLVDOFDQDOVRKLJKOLJKWVNLOOVWKDWDSURMHFWPDQDJHUODFNVDQGWKHUHIRUHSURYLGH
JRDOVLQDUHDVZKHUHWKHSURMHFWPDQDJHUFDQVHHNWRLPSURYH,WDOVRFDQEHXVHGWRPDSDJDLQVWSURJUDPV
DQGSURMHFWVWKDWUHTXLUHWKRVHVNLOOV

3. Levels:7KHDSSUDLVDOFDQEHXVHGWRVHJPHQWSURMHFWPDQDJHUVLQWRGLIIHUHQWOHYHOVWKHUHE\SURYLGLQJD
PHWKRGWRSXWSURJUDPVDQGSURMHFWVLQWRFDWHJRULHVVXFKDVKLJKULVNKLJKFRVWHWFDQGPDWFKWKHPWR
WKHULJKWSURMHFWPDQDJHU

4. Reviews: 7KHDSSUDLVDOFDQEHXVHGDVSDUWRID\HDUO\UHYLHZWRGHWHUPLQHFRPSHQVDWLRQDQGHOHYDWLRQ

SUMMARY
,Q VXPPDU\ D &30$ LV SDUW RI DQ RYHUDOO KHDOWK\ SURMHFW PDQDJHPHQW HFRV\VWHP $ KHDOWK\ SURMHFW
PDQDJHPHQWHFRV\VWHPZLOOERWKVDYHDQGPDNHPRQH\IRU\RXUFRPSDQ\$GGLWLRQDOO\LWZLOOVDYHWLPHDQG
LPSURYHSURMHFWPDQDJHPHQWSHUIRUPDQFHE\LGHQWLI\LQJDQGLVRODWLQJVRXUFHVRIPDQDJHPHQWIUXVWUDWLRQDW
DOO OHYHOV LQ WKH RUJDQL]DWLRQ ,W VKRXOG FRPH DV QR VXUSULVH WKDW KHDOWK\ SURMHFW HQYLURQPHQWV SURGXFH PRUH
VXFFHVVIXOSURMHFWV

CHAOS MANIFESTO 49
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 STANDISH GROUP PM ASSESSMENT METHODOLOGY

Since our groundbreaking CHAOS report of 1994, The Standish Group has been
studying real IT projects - determining the factors of success and the causes of failure.
We have amassed a database of more than 70,000 projects and have spent years out
in the real world of IT projects working and talking to people, asking questions, and
learning about project management environments. The Standish Group clients span
the globe and are among the world’s leading organizations.

50 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 CHAOS HEALTHCHECK SERVICE
OVERVIEW
7KH &+$26 (FRV\VWHP +HDOWK&KHFN 6HUYLFH LV DQ DVVHVVPHQW DQG EHQFKPDUN RI DQ RUJDQL]DWLRQ·V SURMHFW
HQYLURQPHQW8VLQJVSHFLDOL]HGWRROVGDWDEDVHVDQGDGYLVRU\FDSDELOLWLHV7KH6WDQGLVK*URXSZLOOH[HFXWHD
VHULHVRIZHOOGHYHORSHGIRFXVHGDQGVKRUWHYHQWVWRSURYLGHDSODWIRUPIRUSURMHFWLPSURYHPHQW7KHVHHYHQWV
LQFOXGHSURMHFWSURÀOHVLQWHUYLHZVDQGZRUNVKRSV

The Ecosystem HealthCheck Service offers 4 major deliverables:

1. Project Profiles: %HQFKPDUNWKHRUJDQL]DWLRQ·VSURMHFWVDJDLQVWWKH&+$26GDWDEDVHRISURMHFWV
WRXQGHUVWDQGWKHHQYLURQPHQWIURPDUHVROXWLRQSRLQWRIYLHZ

2. Interviews: ,QDVHULHVRIUROHEDVHGRQHKRXURQVLWHLQWHUYLHZVZLWK,7H[HFXWLYHPDQDJHPHQWDQGWKH
SURMHFW H[HFXWLYH PDQDJHPHQW WHDP 6WDQGLVK VWDUWV WR GHYHORS D SLFWXUH RI WKH RUJDQL]DWLRQ·V SURMHFW
FDSDELOLWLHV

3. Workshops: ,Q D VXFFHVVLRQ RI LQGLYLGXDO SURMHFWV SURMHFW PDQDJHUV DQG IXQFWLRQDO ZRUNVKRSV 7KH
6WDQGLVK*URXSJDLQVERWKTXDOLWDWLYHDQGTXDQWLWDWLYHLQVLJKWLQWR\RXUSURMHFWHQYLURQPHQW

4. Recommendations: 6WDQGLVKZLOOWDNHWKHUHVXOWVRIDOOWKHGDWDJDWKHUHGFRPSLOHDQGDQDO\]HLWDQG
SURYLGH D GHWDLOHG UHSRUW RI WKH ÀQGLQJV ZLWK UHFRPPHQGDWLRQV RQ KRZ WR LPSURYH WKH KHDOWK RI \RXU
HFRV\VWHP LQFUHDVH HIÀFLHQF\ RI SURMHFW GHOLYHU\ DQG UDLVH WKH YDOXH RI ,7 LQYHVWPHQWV LQ LQIRUPDWLRQ
WHFKQRORJ\SURMHFWV

The Ecosystem HealthCheck Service offers four major benefits:

1. Improve Project Success Rates:2XUVLPSOLÀFDWLRQSUDFWLFHVDOORZ\RXWRPDNHPLQRUFKDQJHVWR\RXU
SURFHVVZLWKRXWWKHDGGHGEXUGHQRIQHZFRVWO\PHWKRGRORJLHVWKDWDUHXQSURYHQLQ\RXUHQYLURQPHQW
2QHRIRXUFXVWRPHUVLQVWLWXWHGRXUPHWKRGVDQGLQWKUHH\HDUVZHQWIURPDQRQWLPHRQEXGJHWDYHUDJH
VXFFHVVUDWHRIWR

2. Improve Return on Investment: %\UHGXFLQJRYHUKHDGFRVWPDUJLQDOUHTXLUHPHQWVSURMHFWVDQGIDLOHG

DQG FKDOOHQJHG SURMHFWV DQG GHFUHDVLQJ WKH WLPH WR GHOLYHU\ WKH UHWXUQ UDWHV RQ SURMHFWV WKDW KDYH
XQGHUJRQHWKH&+$26SUDFWLFHVKDYHRQDYHUDJHPRUHWKDQGRXEOHG:HUHFRPPHQGDÀUVW\HDUWDUJHWRI
DLPSURYHPHQW

3. Match: :LWKLQWKH+HDOWK&KHFNWRROVHWLVDPHWKRGWRDVVLJQULVNWRSURMHFWVDQGUHTXLUHPHQWV.QRZLQJ
ZKDWSURMHFWVDQGUHTXLUHPHQWVSRVHWKHJUHDWHVWULVNDOORZVIRUPLWLJDWLRQWREHGHSOR\HGUHGXFLQJWKHVH
ULVNV

4. Improve Customer Satisfaction: 7KH DSSUDLVDO SURYLGHV PXFK LQIRUPDWLRQ DV LQSXW LQWR DQ RYHUDOO
(FRV\VWHP+HDOWK&KHFN

SUMMARY
,Q VXPPDU\ D KHDOWK\ SURMHFW PDQDJHPHQW HFRV\VWHP ZLOO ERWK VDYH DQG PDNH PRQH\ IRU \RXU FRPSDQ\
$GGLWLRQDOO\LWZLOOVDYHWLPHDQGLPSURYHSURMHFWPDQDJHPHQWSHUIRUPDQFHE\LGHQWLI\LQJDQGLVRODWLQJVRXUFHV
RIPDQDJHPHQWIUXVWUDWLRQDWDOOOHYHOVLQWKHRUJDQL]DWLRQ,WVKRXOGFRPHDVQRVXUSULVHWKDWKHDOWK\SURMHFW
HQYLURQPHQWVSURGXFHPRUHVXFFHVVIXOSURMHFWV
CHAOS MANIFESTO 51
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 STANDISH GROUP ECOSYSTEM HEALTHCHECK METHODOLOGY

Since our groundbreaking CHAOS report of 1994, The Standish Group has been
studying real IT projects - determining the factors of success and the causes of failure.
We have amassed a database of more than 70,000 projects and have spent years out
in the real world of IT projects working and talking to people, asking questions, and
learning about project management environments. The Standish Group clients span
the globe and are among the world’s leading organizations.

52 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 CHAOS KNOWLEDGE CENTER (BASIC)
OVERVIEW
7KH &+$26 .QRZOHGJH &HQWHU FRQWDLQV WKH  PRVW LPSRUWDQW EHVW
SUDFWLFHV \RX QHHG WR GHYHORS DQG PDLQWDLQ D VXFFHVVIXO SURMHFW
PDQDJHPHQWHQYLURQPHQW,WLVIUHVKDQGDOZD\VXSWRGDWHZLWKWKH
ODWHVWWKLQNLQJRQWKHPRVWLPSRUWDQWWKLQJVWKDW\RXURUJDQL]DWLRQFDQ
GRWRIRVWHUJUHDWHUSURMHFWPDQDJHPHQWOHDGHUVKLS

The CKC offers four major deliverables:

1. Best Practices:7KHEHVWSUDFWLFHVFROOHFWLRQLVRUJDQL]HGDURXQG
WKH  &+$26 6XFFHVV )DFWRUV RU /HVVRQV /HDUQHG (DFK OHVVRQ
KDVIRFXVSRLQWV

2. HowTos: 6XSSRUWLQJHDFKRIWKHSRLQWVDUHVXJJHVWLRQVRQKRZWRXVHWKHEHVW
SUDFWLFHVDQGLPSOHPHQWWKHPLQ\RXURUJDQL]DWLRQ

3. CHARTS: 6XSSRUWLQJWKHSRLQWVLVDFROOHFWLRQRIRYHUFKDUWVRQGDWDFROOHFWHGZLWKWKH&+$26UH
VHDUFKSURMHFW

4. More CHAOS: $GGLWLRQDO VXSSRUW IRU WKH SRLQWV LQFOXGHV WKH &+$26 $FWLYLW\ 1HZVOHWWHU FDVH VWXGLHV
FRPPHQWDULHVGHÀQLWLRQVDQGRWKHUVXSSRUWLQJSDSHUVDQGGRFXPHQWV

The CKC offers four major benefits:

1. Success Rates: 2UJDQL]DWLRQV WKDW KDYH DGRSWHG WKH &+$26 %HVW 3UDFWLFHV KDYH VHHQ UHPDUNDEOH
LQFUHDVHVLQWKHLUVXFFHVVUDWHV2QHÀUPZHQWIURPWRLQMXVWDIHZ\HDUV

2. Crowd Knowledge: 7KH&.&LVGHYHORSHGIURPDPDVVLYHFROOHFWLRQRINQRZOHGJHIURP,7SURIHVVLRQDOV

RYHUDQH[WHQGHGRISHULRGWLPH7KLVFROOHFWHGZLVGRPZLOOKHOS\RXURUJDQL]DWLRQWRPRUHUDSLGO\DGRSW
EHVWSUDFWLFHVWKDWZLOOLQFUHDVH\RXUVXFFHVVUDWH

3. Multiple Views: 6LQFHD&+$26UHVHDUFKSURMHFWXVHVDPXOWLWXGHRILQVWUXPHQWVLWSURYLGHVGLIIHUHQW

YLHZVWKDWZLOODOORZ\RXWREHWWHUPDWFK\RXUVLWXDWLRQWRÀQGDQVZHUV

4. Data: 7KH&.&LVFKRFNIXOORIGDWDIURPDURXQGWKHZRUOGWRKHOSEXLOGLQWHUQDODQGH[WHUQDOSUHVHQWDWLRQV

SUMMARY
,Q VXPPDU\ WKH &.& LV SDUW RI DQ RYHUDOO KHDOWK\ SURMHFW PDQDJHPHQW HFRV\VWHP $ KHDOWK\ SURMHFW
PDQDJHPHQWHFRV\VWHPZLOOERWKVDYHDQGPDNHPRQH\IRU\RXUFRPSDQ\$GGLWLRQDOO\LWZLOOVDYHWLPHDQG
LPSURYHSURMHFWPDQDJHPHQWSHUIRUPDQFHE\LGHQWLI\LQJDQGLVRODWLQJVRXUFHVRIPDQDJHPHQWIUXVWUDWLRQDW
DOO OHYHOV LQ WKH RUJDQL]DWLRQ ,W VKRXOG FRPH DV QR VXUSULVH WKDW KHDOWK\ SURMHFW HQYLURQPHQWV SURGXFH PRUH
VXFFHVVIXOSURMHFWV

CHAOS MANIFESTO 53
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.
 CHAOS KNOWLEDGE CENTER (BASIC)

Since our groundbreaking CHAOS report of 1994, The Standish Group has been
studying real IT projects - determining the factors of success and the causes of failure.
We have amassed a database of more than 70,000 projects and have spent years out
in the real world of IT projects working and talking to people, asking questions, and
learning about project management environments. The Standish Group clients span
the globe and are among the world’s leading organizations.

54 CHAOS MANIFESTO
Copyright © 2010 The CHAOS Manifesto is protected by copyright and is the sole property of The Standish Group International, Incorporated. It may not
under any circumstances be retransmitted in any form, repackaged in any way, or resold through any media. All rights reserved.