Planning Fallacy and Managing Projects

Planning Fallacy in Project Management

The Planning Fallacy is a phenomenon in project management where individuals or teams must pay more attention to the time, resources, and costs required to complete a project. This can lead to unrealistic project schedules, missed deadlines, and project failure.

The Pitfalls of Over-Optimism in Project Management

In the world of project management, time is money. Successful projects must be completed on time, and within budget, but too often, they fall victim to a phenomenon known as the planning fallacy. Planning fallacy is the tendency to underestimate a project’s time, resources, and risks, leading to delays, cost overruns, and subpar results.  We'll explore the concept of planning fallacy, its causes and consequences, and strategies for overcoming it.

The term "planning fallacy" was coined by psychologists Daniel Kahneman and Amos Tversky in their seminal paper "Judgment under Uncertainty: Heuristics and Biases," published in 1979. In this paper,…