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Reasons for IT Projects failure

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Statistics show that most projects fail for some reason or other. What are the major reasons that IT projects succeed?

Be very specific when you identify the reasons for success. Make sure that you justify your reasoning; indicate your source of information (observation, own experience, studies done by others, etc.).

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This posting provides reasons for IT Projects failure and factors that ensures success of IT Projects.

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Study of 23,000 IT projects reveals that only 26% of the projects were delivered on time, within budget and with the promised functionality. The remaining 74% were either cancelled before the development cycle completed or were delivered late, over budget or with less functionality than was originally promised1. A more recent report from Software Engineering Institute puts the rate of failure at around 70%2.

The high rate of failure in IT projects is reported due to several challenges faced by firms while catering to customer's requirements (Smith and Keil, 2003). The foremost challenge is when the customer of a software system desires that the software be delivered with the best quality, on time, within budget and with all the functionalities promised by the software service provider (Milstein, 2002). Such expectations are quite normal from customer's perspective; but from a service provider's perspective, managing software development project considering so many ...

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