Information Systems Failure
Nearly seventy-five percent of all Information Technology (IT)projects fail. Computerworld and other research typically identify reasonsfor failure as miscommunication, hazy goals, scope creep, inept leadership,and poor project management. However, the extraordinary rate of setbacksis also attributable to other fundamental differences that exist between ITand non-IT projects. Beginning with project justification and continuingthrough planning, staffing, implementation and quality assurance, ITprojects face additional challenges and issues than do non-IT projects. Project justification can be a far more burdensome task for ITprojects than for non-IT projects that can more easily assimilate internalrate of return, discounted cash flow and payback to assist if theinvestment will deliver a positive return on investment. Many IT projectsare investments in infrastructure to support existing and futureapplications and are very difficult to asses from a return on investmentperspective. Some IT projects are undertaken to increase the company'sinsights and knowledge and the actual return on investment isn't known
In non-IT projects, quality is more of a linear process that presentsless problems and complexity than in IT projects. Non-IT projects do not require the "super human" business-technologyexperts as often as IT projects do. The netresult is that there is less of an impact on the project schedule andbudget. Despite the best effortsto make the components compatible with one another, unexpected problemsinevitably arise when the components are integrated. It's difficult for an IT project to adopt the more efficient planningstate of non-IT projects (Lyytinen and Hirschheim, 1987). First,the project is in many instances funded by many stakeholders that insist intheir participation of the project from the beginning. The constructionengineers and project managers can then interface with the business driversto determine budget and requirements at a high-level, but don't need to godown into the trenches to discuss materials to construct the building,building safety codes, and other technical details. Many quality assurance issues are not identified until the system isat or near final implementation. Implementation IT projects are subject to many implementation concerns that are notcommon to non-IT projects. First, long-term projects sometimes lead tosystems being delivered for products and services that are longer in theuse by the organization. Planning The planning process for IT projects is very different from mostother non-IT projects (Wearden, 2003). The IT planning process typicallyincludes of a committee of individuals from IT, business units, purchasing,operations, and perhaps external vendors and consultants. Yet,successful IT projects call for a sophisticated understanding of IT plusessential business skills for executing projects that can achieve theexpected business results. Quality Assurance Quality assurance in IT projects present additional challenges tothose found in non-IT projects.
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