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Key IT systems fail to deliver: vendors have been accused of a 'conspiracy of silence'.

Document Cited in Related
Vincent
AuthorHayward, Cathy
PositionFinancial Software

A basic flaw exists in the way that IT systems are planned, acquired and managed--and much of the fault lies with the vendors, Martin Butler, president of the Butler Group, told an audience of IT analysts, vendors and users last month.

"The IT emperor has no clothes and the buyers' can now see that; he said. "This $1 trillion industry is not founded on any kind of economic justification: large companies invest over $20 million on an ERP system with no mechanism to justify the return on investment"

Butler's comments were backed up by a survey by management consultancy Adventus, which revealed that IT projects typically delivered fewer than 60 per cent of their promised benefits. A lack of appropriately skilled staff to work on implementations was the main reason for failure.

Butler called on the IT industry to give firms the means to measure the benefits they were obtaining from major systems. "It needs to be less about the technology and more about getting value from information," he said.

Mike Lynch, CEO of Autonomy, agreed there was "a conspiracy of silence" by vendors. "FDs are finally realising that IT isn't delivering value. Too many people have been sold a teleporting system, but have ended up with a Morris Minor," he said.

But...

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