Why the Right Method is Crucial
The choice of project management method is one of the most important decisions at the start of a project. It determines how your team works, how decisions are made, and how flexibly you can respond to changes. According to the Standish Group CHAOS Report, 66% of projects fail partially or completely -- and a poorly chosen method is often a contributing factor.
The good news: There is no inherently "wrong" method. There are only methods that are better or worse suited to your specific project. In this article, we introduce you to the eight most important approaches, explain their strengths and weaknesses, and help you make the right choice.
In practice, many teams do not use a "pure" method but combine elements from different approaches. That's perfectly fine -- what's important is that the way of working is consciously chosen and not the result of chance.
1. Waterfall
The Waterfall model is the oldest and most well-known project management method. The project goes through defined phases sequentially: requirements analysis, design, implementation, testing, and deployment. Each phase must be completed before the next one begins -- like a waterfall that only flows in one direction.
When to use: Ideal for projects with clearly defined requirements that change little during the project's lifetime. Examples: construction projects, regulatory implementations, hardware development.
Advantages
- Clear structure and predictability
- Easy to understand and control
- Good documentation
- Milestones easily traceable
Disadvantages
- Little flexibility for changes
- Late customer feedback
- Risks are identified late
- Long time until first results
2. Agile / Scrum
Scrum is the most popular agile framework. Work is divided into short cycles (Sprints) of 1-4 weeks. At the end of each Sprint, there is a potentially shippable product increment. Three core roles guide the process: Product Owner (what is being built?), Scrum Master (how is the work done?), and the Development Team (who builds it?).
When to use: Ideal for complex projects with changing requirements, especially in software development. Also well-suited for innovative endeavors where the exact scope is still unclear at the beginning.
Advantages
- High flexibility for changes
- Regular customer feedback
- Early results and quick value delivery
- Self-organized, motivated teams
Disadvantages
- Difficult to plan for budgets and deadlines
- Requires experienced, disciplined teams
- Scope can grow uncontrollably
- Not ideal for fixed-contract projects
3. Kanban
Kanban originates from the Japanese manufacturing industry (Toyota) and visualizes the workflow on a board with columns like "To Do", "In Progress", and "Done". The key is the WIP limit (Work in Progress): Each column has a maximum number of tasks to avoid overload and optimize throughput.
When to use: Ideal for teams with a continuous stream of tasks, e.g., support, maintenance, marketing operations. Also good as an entry into agile work, as Kanban does not prescribe fixed roles or ceremonies.
Advantages
- Easy to implement, low overhead
- Visual transparency of work status
- Bottlenecks become quickly visible
- Flexible and without fixed iterations
Disadvantages
- Less structure for complex projects
- No built-in planning horizon
- Difficult with many dependencies
- Requires discipline with WIP limits
4. Lean
Lean project management also stems from the Japanese manufacturing industry and focuses on eliminating waste (Muda). Everything that does not create value for the customer is questioned and ideally removed. The five Lean principles are: define value, identify the value stream, create flow, apply the pull principle, and pursue perfection.
When to use: Ideal for projects focused on process optimization, efficiency improvement, and cost reduction. Often used in manufacturing, logistics, and healthcare.
Advantages
- Focus on customer benefit
- Reduces costs and lead times
- Culture of continuous improvement
- Combinable with other methods
Disadvantages
- Requires cultural change in the company
- Hard to measure for knowledge work
- Risk of over-optimization (lack of buffers)
- Not sufficient as a standalone PM method
5. PRINCE2
PRINCE2 (Projects IN Controlled Environments) is a structured framework with 7 principles, 7 themes, and 7 processes. It provides a clear role distribution (Project Board, Project Manager, Team Manager) and defined decision-making processes. PRINCE2 is particularly widespread in the public sector and in the UK but is used globally.
When to use: Ideal for large, complex projects with many stakeholders, clear governance requirements, and the need for formal decision-making processes. Common in the public sector, international projects, and regulated industries.
Advantages
- Clear governance and role distribution
- Scalable for different project sizes
- Strong focus on business case
- International standard with certification
Disadvantages
- High documentation effort
- Can appear bureaucratic
- Requires training and experience
- Less suitable for small, agile teams
6. Hybrid
Hybrid project management combines elements from classical and agile methods. Typically, the overarching planning is designed according to the Waterfall model with fixed milestones and phases, while the implementation of individual phases is done agilely in Sprints. This way, teams combine the predictability of Waterfall with the flexibility of Agile.
When to use: Ideal for organizations transitioning from classical to agile project management. Also well-suited for projects that require both fixed constraints (budget, deadline) and flexible implementation -- e.g., an IT migration project with a fixed go-live date.
Advantages
- Combines predictability and flexibility
- Pragmatic approach for practice
- Adaptable to company culture
- Acceptance among traditional stakeholders
Disadvantages
- Can lead to confusion without clear rules
- Risk: "Waterfall with stand-ups" instead of true hybrid
- Requires PM experience in both worlds
- No uniform standard
7. Design Thinking
Design Thinking is not a classic project management framework, but a creative problem-solving approach. It places the user at the center and goes through five phases: Empathize, Define, Ideate, Prototype, and Test. The phases are iterated.
When to use: Ideal for innovation projects, product development, and projects where user needs are not yet clearly defined. Especially in combination with agile methods for subsequent implementation.
Advantages
- Strong user focus prevents misguided developments
- Promotes creative thinking in the team
- Rapid validation through prototyping
- Interdisciplinary collaboration
Disadvantages
- Not a complete PM framework
- Difficult to scale for large projects
- Requires moderation competence
- Time-intensive in the initial phase
8. Critical Path Method (CPM)
The Critical Path Method identifies the longest chain of dependent tasks in a project -- the "critical path". Any delay on this path delays the entire project. CPM helps set priorities: tasks on the critical path have no buffer time and must be completed on schedule. Tasks outside the critical path have leeway.
When to use: Ideal for complex projects with many dependencies, e.g., construction projects, infrastructure projects, or production processes. Also useful in the planning phase of any project to determine the realistic minimum timeframe.
Advantages
- Identifies time-critical tasks
- Enables realistic scheduling
- Reveals buffer times
- Optimizes resource utilization
Disadvantages
- Complex with many tasks and dependencies
- Static -- changes require recalculation
- Ignores resource conflicts
- Requires detailed effort estimation
Comparison Table: All 8 Methods at a Glance
The following table summarizes the core characteristics of all methods:
| Method | Approach | Flexibility | Best Application | Team Size |
|---|---|---|---|---|
| Waterfall | Sequential | Low | Construction projects, regulatory rollouts | All sizes |
| Scrum | Iterative (Sprints) | High | Software development, product development | 3-9 per team |
| Kanban | Continuous flow | High | Support, maintenance, marketing ops | Flexible |
| Lean | Value-oriented | Medium | Process optimization, manufacturing | All sizes |
| PRINCE2 | Process-based | Low-Medium | Large projects, public sector | Medium-Large |
| Hybrid | Combined | Medium-High | IT migration, corporate transformation | All sizes |
| Design Thinking | User-centered | High | Innovation, product design | 5-8 per workshop |
| CPM | Network-based | Low | Construction, infrastructure, production | All sizes |
Which Method for Which Project?
The choice of the right method depends on several factors. Here is a pragmatic decision aid:
- Requirements are clear and stable? → Waterfall or PRINCE2
- Requirements change frequently? → Scrum or Kanban
- You need both -- structure and flexibility? → Hybrid
- Focus on cost efficiency and processes? → Lean
- You're building something new and the user is unclear? → Design Thinking + Scrum
- Many dependencies and a fixed end date? → Critical Path Method
- Continuous stream of tasks without a fixed project end? → Kanban
- Public sector with governance requirements? → PRINCE2
You don't have to choose a single method. Many successful teams use PRINCE2 for governance, Scrum for implementation, and Kanban for ongoing operations. The most important thing is that all involved parties know the rules by which work is done.