1. 06-Feb-2012
Critical success factors?
Session 2
Project success & failure
Why software development
projects fail or succeed?
2 Centre for the Promotion of Imports from developing
countries | May 27, 2010
Group work Why software project fail?
1. Lack of User Inputs
2. Incomplete Requirements & Specifications
Give practical advise:
3. Changing Requirements & Specifications
4. Lack of Executive Support
How to make IT outsourcing projects 5. Technology Incompetence
successful? 6. Lack of Resources
7. Unrealistic Expectations
8. Unclear Objectives
9. Unrealistic Time Frames
10.New Technology
3 4
1

2. 06-Feb-2012
Failure areas in offshore IT outsourcing projects
• Communication
• Project management (added complexity)
• Cultural issues
• Staff turnover
• Lack of proper risk assessment
5 Centre for the Promotion of Imports from developing 6 Centre for the Promotion of Imports from developing
countries | May 27, 2010 countries | May 27, 2010
Let’s see some research results Research result 1.
Period: 1998 – 2005
• Most research suggests that 30%-60% of IT projects are
“challenged” in some important way 214 information systems (IS) projects in the EU
• An IT project is more likely to be unsuccessful than successful Number of projects Number of projects
Number of projects
Lifecycle stage overrun
• About 1 out 5 projects will bring full satisfaction cancelled completed
(schedule and/or cost)
• The larger the project the more likely the failure
Feasibility None 214 None
Requirements analysis 3 211 None
Design 28 183 32
Code 15 168 57
Testing 4 164 57
Implementation 1 163 69
Handover None 163 69
Percentages 23.8% 76.2%
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2

3. 06-Feb-2012
Research result 2. Statements most IT outsourcing companies make
Year: 2008
Subject: 10 classic mistakes which are occurring “Almost Always or
Often” We always deliver on time and within budget!
Rank Classic mistake Frequency
We complete all projects successfully!
1 Overly optimistic schedules 77%
2 Unrealistic expectations 73%
3 Excessive multi-tasking 71%
4 Shortchanged quality assurance 70%
5 Noisy, crowded offices 69%
6 Feature creep 69%
7 Wishful thinking 68%
8 Insufficient risk management 68% How do they do that?
9 Confusing estimates with targets 65%
10 Omitting necessary tasks from estimates 61%
9 10
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