Quotation from the National Atomic Museum (Albuquerque NM,

"The German Atomic Bomb" exhibit,

sub-section "Why Did They Fail?" (Courtesy of a NAM historian):

2.  Organization: Several government and military organizations competed to
manage the atomic bomb program.  Internal conflict between the War Office,
scientists, and the Reich Research Council compromised the effort.  The bomb
program never had strong, cohesive leadership.

3.  Resources: Factions competed for scarce resources and to gain control of
the bomb program.  With the demand for immediate success, resources were
directed toward the V-1 and V-2 rocket programs.  Allied bombing and a
stressed economy - the result of invading Russia in 1941 - left the atomic
bomb program with few materials by the end of the war.

4.  A Theoretical Approach: Some researchers focus on theoretical physics,
while others focus on observation and experimentation.  In the German atomic
bomb program, the theorists prevailed over the experimentalists.
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(Assessment made by a US governement group of experts in the field. Just visite the
National Atomic  Museum in Albuquerque NM  for detail).
 

NAM historian additional comment:

Of course there probably were other reasons why the Nazi's were not
successful in their atomic bomb program.

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This assessement gives an impression of what should be avoided in the
successfull magnetic fusion program.