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Learning From Project Failures: How Internal Failures Can Accelerate – or Set Back – Innovation

  • Writer: Tracwater
    Tracwater
  • Nov 20, 2025
  • 4 min read

4th SWAN APAC Workshop Round Table Outcomes, 10th November 2025

Prepared by: TracWater Pty Ltd

Published by: Smart Water Networks Forum (SWAN)


The 4th SWAN Asia-Pacific Workshop was held in Sydney on the 10th & 11th November 2025. SWAN is a global not-for-profit organisation that runs events like this one to bring everyone in the water industry together, regionally and globally, from water experts to utilities, researchers and young water professionals to aid the digital transformation. The workshop provided a supportive, non-competitive environment where participants could share their experiences, lessons learned, project challenges, and the innovative changes currently being implemented across the sector.


This year’s workshop featured keynote presentations, panel discussions, and interactive “Tipping Point” strategy sessions. TracWater’s Managing Director, Len McKlevey, moderated one of the round-table discussions together with Andrea Thayer, Commercial Support Advisor from Mackay Regional Council.


Their session tackled the tough topic:


 Learning from Project Failure: How can failures accelerate innovation rather than set it back?

 

This roundtable session brought together senior practitioners from across the water sector – including large and small utilities, engineering consultants, experienced water technology companies, and project delivery leaders responsible for initiatives ranging from small pilots to multimillion-dollar deployments. The group examined how internal project failures arise, what impact they have on innovation, and how organisations can transform setbacks into opportunities for accelerated technological advancement.


Our discussion centred on two core questions:


  1. What do we learn when projects do not go to plan?

  2. How can internal failures accelerate innovation rather than hinder it?


Below is the synthesis of the key themes, failure modes, lessons, and practical strategies identified by participants.


1. How Internal Failures Emerge


1.1 Undefined Objectives and Outcomes


A recurring root cause of project failure is the absence of clearly articulated measurable

objectives before initiating a technology project. When purpose and deliverables are

vague or undefined, project teams face:


  • Missed or unrealistic milestones

  • Late-stage user needs that cannot be met

  • Predictable negative outcomes that were not addressed in advance


1.2 Cumbersome Internal Governance


Overly burdensome internal governance processes stall momentum, fragment

responsibilities, and obscure project ownership – especially when new technologies or

processes are being adopted.


  • Key decisions are delayed or avoided due to external influence or lack of clarity.

  • Projects can stall indefinitely, undermining innovation and discouraging adoption of new solutions.


1.3 Lack of Transparent Agendas and Communication


Failure to observe basic project-management discipline often reveals a deeper issue:

unclear agendas and misaligned expectations. This manifests as:


  • Communication breakdowns

  • Responsibility confusion and delays

  • Slipped timelines and inconsistent reporting

  • Critical information held by management or consultants that is not shared with delivery teams


1.4 Inadequate Resourcing for Innovation Projects


Projects involving new technology require more than standard project management.

They need:


  • A clearly empowered project champion

  • Strong leadership sponsorship

  • Early identification of failure triggers

  • The ability to motivate and unite the team in navigating rapid pivots when required


2. Steps to Prevent Internal Failures in Innovation Projects


To reduce the risk of setbacks and ensure innovation accelerates rather than stalls,

organisations should implement the following practices:


2.1 Embed the Right Expertise


Ensure the project leadership and delivery teams are staffed with individuals who

possess the relevant technical, operational, and decision-making expertise.


2.2 Define a Clear Decision Framework


Project teams must operate within an agreed, transparent decision-making structure

that enables fast escalation and resolution.


2.3 Improve Reporting and Feedback Loops


Early detection of unintended impacts requires:

  • Frequent reporting

  • Rapid feedback mechanisms

  • Acceptance of iterative course corrections


2.4 Enable Flexible, Delegated Leadership


Project leaders must have:

  • Authority to adjust team roles and personnel

  • Freedom to act without undue interference

  • Accountability for outcomes – but also the freedom to respond dynamically as new challenges emerge


2.5 Encourage Full Information Transparency


All relevant information – technical, operational, contractual, and financial – must be

made accessible to the delivery team. Lack of visibility is a primary driver of avoidable

mistakes.


3. Turning Failure-Informed Insights into Innovation Acceleration


3.1 Strong, Visible Sponsorship


A successful innovation project depends on a senior sponsor or "project champion"

who holds clear accountability for both project outcomes and team performance.


3.2 Treat Failure Planning with the Same Discipline as Success Planning


Teams must actively plan for foreseeable failures, not just ideal outcomes. This

includes:

  • Pre-defined contingency plans

  • Documented risk triggers and response protocols

  • Reviews of past industry project failures to avoid repeating them


3.3 Integrate Lessons Learned Into Organisational Knowledge


Every project – successful or not – generates valuable knowledge. When captured

properly, this creates:

  • Faster pathways for future innovation

  • Stronger organisational resilience

  • Improved capability to integrate new technology

  • A culture that supports experimentation and adaptation rather than fear of failure


4. Key Takeaways


1. Strong Sponsorship is Essential

  • A clearly empowered project champion with delegated authority is critical for innovation success.


2. Failure-Informed Innovation Can Be a Strategic Advantage

  • Foreseeing and planning for potential failures accelerate learning and reduces disruption.

  • Using failures as learning tools helps balance innovative ambition with operational continuity.


3. Robust Technology Projects Advance Industry Knowledge

  • Transparent documentation of missteps and learnings contributes to faster technology adoption.

  • Project teams operating under supportive leadership are more capable of delivering transformative solutions.


Conclusion: Embracing Failure as a Catalyst for Innovation


When project failures are acknowledged openly and treated as opportunities for

structured learning, organisations can significantly accelerate their innovation cycles.

The water industry – facing unprecedented challenges and transformation – benefits

most when leadership fosters an environment that rewards investigation, resilience,

and adaptation.


“Every failure plants the seed of future success – if we listen, adapt, and act together.”


 
 
 
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