Most IT projects require a significant investment, so the last thing a finance chief wants is to walk away without a finished product. But successful firms know when to pull the plug.
Here are the top three reasons to scrap a tech initiative:
- A change in business needs. With almost one in three (30%) citing this, it’s the top reason companies bail on a tech project. Priorities are constantly in flux these days and, often, an IT project that was a top priority won’t align with the new business goals. If this is the case, it’s not worthwhile to keep throwing cash at the project.
- Lack of delivery. If the project isn’t hitting certain benchmarks, it’s time to put it to bed. A common reason for this problem: IT spends more energy getting funding from Finance than working out the kinks in the project.
- Over the budget. With all the belt tightening that companies have been doing, bailing out early on an expensive IT project is certainly understandable. But this can be tricky. If you’re over halfway through a project, it may be worth it to just push forward.
