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Why IT Projects Fail and what are the main Issues


In this era IT project tend to fail, Project failure can happen in any organisation and any projects. The blog discusses about the major reasons for the failure of this project that includes industrial complexity, inadequate requirement definition, poor strategy for project implementation, inadequate data quality and system testing, communication issues, etc. Along with this, the report also discusses about the control systems that are used for scope, quality, schedule, and cost control for the project.


Major issues

There are numerous reasons that lead to the failure of IT project implementation. These reasons are the result of poor management strategy for the implementation of the project as the management lacked in handling the complexities associated with the project.

Industrial Complexity

IT industry is more complex in terms of size and nature as compared to other industries. As a example of Health Industry is serves nearly more than 40,000 people on regular basis. Thus, the development team was not able to maintain association and harmony with the stakeholders of the industry.  Complex of Industry is a major reason for project failure.

Poor implementation Strategy

Industries chose different strategy for project implementation which contributed to the increased complexity and risks associated with the project. The project was not implemented in smaller and less complex activities as it was driven by outdated LATTICE system currently being used in the departments. Thus, the strategy chosen by stakeholders lead to project failure.

Inadequate Requirements

Poor requirements management is major issues of failed projects. And system was not properly collected and documented that resulted in issues of user- acceptance testing. Thus, the lack of adequate requirements leads to scope creep that was the main reason of cost and time overrun. In few experts add validate requirements to the projects but most of the cases wasted costs for poor requirements.

Inadequate system testing

IT Project failure is often caused by lack of system testing.  Industries more focus on software developers coding part they are not dealing with testing parts. In the case of system testing was not performed in an adequate manner as only 10% of the employee’s pay was used to test the system. Due to poor requirements set, lack of change control, inadequate trained staff and project was lacking complete parallel testing because of which data integrity issues were found in the system.


Governance Complexity

The project was lacking in integrated project planning in which no critical path was defined. Thus, the project was not clear in terms of its timelines and deliverables. The governance complexity occurred as the stakeholders involving governing committees and project development team were not clear about their roles and responsibilities that caused communication issues and ultimately the project failure.

Communication Issues

Communication among the stakeholders is considered as one of the critical components while undertaking any project. However, in the system, proper communication plan was not established to have proper consultation from the higher authorities of the project. Poor communication can make conflicts among the team members, who become disconnected from the purpose of the project, their roles, responsibilities, and value of their contributions.



If You Fail to Plan, Your Plan to fail”

Final Thoughts

Overall, Project becomes a failure when it does not deliver clear outcome, due to certain issues, the project faced delay and behind schedule and over its projected budget. however, in most cases the stakeholders decide if the project was success or failure based on their feedback and satisfaction with the output.



 ……Thank you for reading this…….

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