Why New Systems Fail: An Insider's Guide to Successful IT Projects
A Fortune 500 manufacturing company spent millions attempting to implement a new enterprise resource planning (ERP) system. Across the globe, a 150-employee marketing firm built and tried to implement a proprietary customer relationship management (CRM) system. For two very different companies doing two very different things, the outcomes were identical. In each case, the organization failed to activate and utilize its system as initially conceived by senior management. And these two organizations are hardly alone. On the contrary, research indicates that more than three in five new IT projects fail. Many miss their deadlines. Others exceed their initial budgets, often by ghastly amounts. Even systems activated on time and under budget often fail to produce their expected results and almost immediately experience major problems. Although the statistics are grim, there is at least some good news: these failures can be averted. Organizations often lack the necessary framework to minimize the chance of system failure before, during, and after beginning IT projects.Â