When deployed properly, technology has the ability to greatly increase productivity and reduce operational costs in organizations.  All too often, however, this doesn’t occur.  Why is it that so many technology implementations fail to live up to the expectations of management?  After spending tens or hundreds of thousands of dollars, it is a perfectly fair question to ask of those responsible for making the vision a reality.  This article reviews some of the most common issues for not achieving the goals of these projects and offers strategies for increasing the chances for success.

No Strategic Technology Plan
One of the most frequent causes of technology implementation failures is the lack of a strategic technology plan that results in ad hoc and reactive decision making that usually conflicts with the budget.

Success Strategy: IT and business leaders should prepare a short-range (1 year) and long-range (3-5 years) strategic technology plan to guide technology decisions.  The short-range plan should include fairly detailed tactical approaches for achieving the goals stated.  These plans should be revised annually.

Wrong Technology or System Selected
Often the wrong technology is implemented because decisions are made too quickly or without the necessary facts or due diligence.  The cost of trying to repair a failed technology project or starting over is typically too great to risk a bad decision. 

Success Strategy: Use a formal process to identify and prioritize requirements. Perform objective vendor and solution analysis to confirm that this product will meet all of the needs at an acceptable budget level.   Careful management of vendor contracts will also help to ensure that the implementation goes smoothly.

Problematic Integration With Existing or Future Systems
Technology decisions are frequently made in a vacuum, with no thought given to how this new system may impact other systems that are in place or are planned for deployment.  Not thinking about potential integrations creates risk that can lead to additional resources, time, and cost. 

Success Strategy: Make decisions using the strategic technology plans to verify how new technology will work with existing or planned implementations. Some key discussion points may include how data is shared between systems, how the platforms interact, what impact this will have on support capabilities, and how users will be trained.

Lack of Project Planning
Most organizations underestimate the need for project planning and all the components involved in this process.  Large projects require careful coordination and experienced resources in many disciplines to meet the objectives.  Without proper planning, the risk of missing deadlines, budget targets, and scope guidelines is high.

Success Strategy: Follow a standard approach for managing projects that incorporates planning and analysis of risk, scope, time/deadlines, resources, budget, integration, and communication.

Failing to Set a Reasonable Pace
Moving too quickly on a project often results in cutting corners and failing to meet expectations, not to mention placing unnecessary stress on the project team.  Moving too slowly can result in a reduced level of enthusiasm or a perception that the project priorities are not high. 

Success Strategy: The right project pace should be determined during project planning.  IT managers must consider the capabilities of their staff and infrastructure and the ability to scale to meet the needs of the business.

Failing to Define Success (How do we know when we’re done?)
Without a clear definition of the primary objectives, organizations generally fail to meet expectations.  This is because every stakeholder already has expectations in mind when the project starts, even if those expectations are not discussed and documented. 

Success Strategy:  Project teams must define and document the criteria for a successful project before it starts–this is typically in the form of the project charter. Furthermore, all relevant stakeholders and project team members should sign the charter to indicate agreement with the scope. 

About the Author
Scott Owens provides project management, business continuity planning, and management consulting services to health care organizations, helping them meet their business and technology objectives. A certified Project Management Professional (PMP) and Certified Business Continuity Professional (CBCP), Scott specializes in the identification and management of initiatives that will reduce business risk and add value through more efficient processes and controls. Scott can be reached at Wipfli’s Milwaukee office at 414.431.9389 or by e-mail at sowens@wipfli.com.