Failed IT Projects: Dealing with Technology When Estimating Economic Damages. (PDF)

Stephen R. Bissell and Karen J. Damiano

Steve Bissell, President of Axian co-authored and this intricate and fascinating look at the dark side of IT projects gone bad. Written for attorneys and those of you responsible for bringing IT projects to realization this article looks at the all too frequent problems that happen on the road to a more productive tomorrow.

As a result of wrongful conduct, incompetence, unrealistic expectations, or simply undeliverable promises on the part of both developers and users, many IT development projects fail. In fact, according to industry statistics, more IT developments projects actually fail than succeed.

Axian, Inc. and Willamette Management Associates in Portland have teamed up to create a document which addresses the issues of the frequent failure of IT projects and the possible considerations behind the high failure rate. This discussion provides insights and tools to attorneys and to expert witnesses testifying on the issues associated with the value of highly-technical IT projects.

In addition, this article discusses the methodology of quantifying economic damages associated with the failure of an IT development project. And, this article emphasizes the importance of collaboration between the technology consultant and the damages analyst when estimating the economic loss.