In addition, the information systems are also required to complete within the allocated funds invested by the management. Carr (2003) identified that complexity of the IT projects is the main reason for its failure. Irrespective of the reasons, failure of the IT projects causes a huge financial loss for the companies. Moreover, it affects the brand image and the progress of the company. The reasons for the failure of information systems have been discussed as follows: A proper strategic planning is the key for the success of any projects (Fincham, 2002). In this regards, Claver and Llopis (2001) mentioned that the effective strategies enables the project managers to guide the project in a right direction.
IT projects include a lot of complex steps that also include uncertainty. Therefore, designing proper strategies plays a significant role for ensuring success. On the other hand, improper planning increases the chances of failure to an IT project (El Emam and Koru, 2008). The strategies developed by the software engineers may not be feasible enough from the present business context of the organisation. In most of the cases, the project does not cater the need of the business.
If the output of the IT project does not solve the business requirements, it can be considered as wastage of time, funds and manpower. It can be inferred that the IT projects fail to deliver the desired output, as the strategies developed are not linked with the organisational objectives. The IT projects fail to deliver the desired result due to the improper organisational infrastructure. DeLone and McLean (2002) mentioned that a robust IT infrastructure is required to complete the project successfully.
In the absence of the proper IT framework, the staff may face problems to execute planning in a sequential way (White and Leife. Lack of funds can be considered as one of the major reasons for the failure of the IT projects (El Emam and Koru, 2008). According to DeLone and McLean (2003), most of the brands do not prepare budgeting before undertaking the projects. It creates problems for the managers to assign funds in the individual activities related to the projects. IT projects incur a huge initial cost for the companies for purchasing the authentic software, hiring software engineers or designing a robust IT infrastructure.
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