Sarah, a project sponsor for a mid-sized organisation, had led countless projects before. So when she was tasked with implementing a new company-wide digital workplace platform, she expected a straightforward journey. It wasn’t a massive construction project or a multi-million-dollar initiative, just a technology upgrade that would improve collaboration across teams.

What could go wrong?

As it turned out, everything. The rollout, originally scoped to be completed in six months, dragged into its second year. Adoption resistance was fierce, interdepartmental conflicts arose, and unexpected compliance hurdles surfaced. What seemed like a “small” project was, in reality, highly complex but not for the reasons Sarah had anticipated.

Many project sponsors fall into the same trap Sarah did, believing that size dictates complexity. However, as this experience revealed, complexity is driven by factors far more nuanced than just budget or scale. Let’s explore the real forces behind project complexity and how leaders can navigate them.

Interdependencies and Uncertainty

Projects don’t exist in isolation. They are woven into the fabric of an organisation, with dependencies across people, processes, and technology. While large projects often have well-defined processes, some smaller ones, especially those introducing new ways of working are filled with uncertainty.

Take Sarah’s project, for example. Implementing a digital workplace platform wasn’t just about installing software; it required integration with existing tools, changes to employee workflows, and alignment across departments. Each of these factors introduced a level of unpredictability that no amount of planning could fully account for.

Navigating It: Instead of assuming all elements will fall neatly into place, successful leaders approach complex projects with systems thinking – recognising interdependencies early and treating uncertainty as a given rather than a surprise. Iterative approaches, regular check-ins, and scenario planning can help mitigate unforeseen obstacles.

Stakeholder Diversity and Influence

The more stakeholders a project involves, the more difficult it becomes to align interests, gain consensus, and maintain momentum. Sarah quickly realised this when the HR department wanted more control over user policies, IT had security concerns, and executives were split on whether the platform was even necessary.

A project that seemed technically simple became politically challenging. Conflicting priorities created roadblocks, and with every new meeting, the complexity deepened.

Navigating It: Mapping out stakeholder influence early is key. Who are the decision-makers? Who are the blockers? Who are the hidden influencers? Engaging stakeholders in meaningful discussions from the outset rather than after problems arise can prevent misalignment and ensure smoother progress.

Rate of Change and External Factors

While Sarah was focused on internal challenges, external forces added another layer of complexity. Midway through the project, a new data privacy regulation was introduced, requiring additional compliance checks. At the same time, a shift in company strategy deprioritised digital initiatives, making it harder to secure ongoing executive support.

These weren’t issues Sarah had control over, but they significantly impacted the project’s direction and feasibility.

A McKinsey report found that 70% of digital transformation initiatives fail, often due to an underestimation of change adoption complexities and external business model shifts.

Navigating It: Complex projects don’t operate in a vacuum. Leaders must constantly monitor external influences – be it regulatory changes, market trends, or evolving business priorities – and build flexibility into project governance to adjust when needed.

Cultural and Behavioural Factors

At the heart of every project is people. And people, unlike technology or budgets, don’t always behave predictably.

Even after Sarah addressed the technical and regulatory challenges, a new problem emerged, employees didn’t want to use the platform. They were comfortable with their existing workflows and saw the new system as a disruption rather than an improvement. Resistance built up, morale declined, and adoption rates stalled.

This was perhaps the greatest lesson Sarah learned: complexity isn’t just about processes and technology – it’s about how people react to change.

Navigating It: Change management must be embedded in every complex project. Identifying cultural blockers early, involving employees in co-creating solutions, and ensuring leadership champions the change are critical success factors.

Rethinking Complexity as a Sponsor

Sarah’s story is not unique. Many project sponsors and team leaders underestimate complexity because they focus on size rather than the real drivers of uncertainty and resistance.

Instead of asking, “How big is this project?”, ask:

  • How many interdependencies exist?
  • How diverse are the stakeholders?
  • How fast is the environment changing?
  • How will people respond to the change?

The best project sponsors don’t fight complexity – they navigate it. By embracing adaptability, stakeholder engagement, and cultural awareness, leaders can turn complex projects from frustrating failures into transformative successes.