Unnecessary Software Requirements Cost $86 billion; Geek Gap Costs $100 billion
Setting
false deadlines has became as chronic as breaking them, reports WSJ. .In
2006, the North American software industry spent $86 billion on software
requirements that were never used, according to Standish Group, a research
advisory firm specializing in project measurement.
In the United States, more than half of the technology projects are considered failures. They don't live up to their expectations. They go way over budget, way over time, according to Minda Zetlin, author of The Geek Gap, Why Business and Technology Professionals Don't Understand Each Other, and Why They Need Each Other to Survive.
According to The Standish Group in 2004,
it costs U.S. businesses $68 billion a year for failed projects. And many
of these failed projects could be could be attributed to miscommunication
in terms of the scope of the project between technology people and
business people.
That number hits $100 billion, if you add the cost of shelf ware, projects
that are completed but nobody actually needed them, according to The
Standish Group.
More than a third of all IT projects crash and burn, according to The Standish Group, authors of the well-known CHAOS Report .
Sources and Related Commentary:
- The Geek Gap: Why Business and Technology Professionals Don't Understand Each Other - ITWorld.com
- Rise of False Deadline Means Truly Urgent Often Gets Done Late - WSJ
