Posted: August 24th, 2007 by Richard Banfield  Category: Tips & Tricks

If you've ever wondered why you need to create a very smart prototype and have to be very strict on project management consider any one of these wonderful pieces of info: 

• CHAOS Report: According to the Standish Group's 2003 CHAOS Report, an analysis of 13,522 IT projects shows that 15% “failed” and another 51% were considered “challenged.” While the overall failure rate is down significantly from a 1994 level of 31%, 82% of projects now experience significant schedule slippage and only 52% of required features and functions currently make it into the released product. Source: The Standish Group.

• Hackett Group: Thirty percent of all application projects lasting more than a year “failed to meet business requirements,” a Hackett Group survey found. “This failure rate would be untenable in virtually any other corporate function.” Source: The Hackett Group, “2003 Profile of World-Class IT."

• Kweku Ewusi-Mensah: A 1994 survey of 82 Fortune 500 companies by Kweku Ewusi-Mensah and Z.H. Przasnyski found that 44% of respondents had experienced “total abandonment” of an IT project and another 16% had experienced “substantial abandonment.” Source: Kweku Ewusi-Mensah, Software Development Failures.

• Gladwyne Software Surety: In a 2000 survey of 150 senior financial and technology executives, Gladwyne Software Surety found that “projects without proactive risk management are 67% more likely to be late or over-budget.” A subsequent survey of 208 members of Financial Executives International found that 84% of respondents reported at least one IT project that was delivered late, exceeded budget, or failed. Source: Gladwyne Software Surety, “Return on Investment and IT Risk Management.”

• Boston Consulting Group: “Most CRM efforts fail. Typical initiatives start in the IT department with high hopes and expensive software but very little in the way of clear business objectives. Once the projects are under way, they are delegated, dissected, and then neglected. It's not surprising that two-thirds of them crash.” Source: Boston Consulting Group, “The Antidote to Mismanaged CRM Initiatives,” 2002.

• KPMG: A 1995 KPMG study of 120 IT organizations in the U.K. found that 62% had encountered “runaway projects” that either failed to achieve their objectives or experienced cost overruns of 30% or more. Source: A. Cole, Software World (UK).

More here: http://asuret.com/research.html

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