Seems like a pretty valid question, right?
If technology and the people working for it are constantly advancing, why are so many IT projects still failing?
Look at this report and get to know the current state of the IT projects –
Two and a Half Decades of Project Failure | Sourcing Innovation
It paints a pretty concerning picture. There’s less success and more trouble mounting in the IT project management landscape.
Now think about this – As a business owner who needs an application, you do everything right…
- Research what’s needed – costs, resources, timelines.
- Find a team you trust to make it happen.
- Invest in everything they say is required.
- Wait patiently for the final application.
And then…
That application doesn’t do what it’s supposed to.
How does that feel? Like the world has turned upside down?
But is the damage only the money you’ve lost?
No – It’s also about the opportunity you missed.
Time is a resource you can’t recover!
Today every moment counts…
Being late to the market isn’t just a missed opportunity – it’s the difference between thriving and falling behind.
So, what can be done?
While you may know what to expect from the development process, there’s something equally important you need to know before you start your journey…
And that is…
Why do IT projects fail despite modern technology and skilled teams?
Well, read further to find out!
Reasons behind IT Project Failures – What’s missing?
Let us walk you through the common pitfalls that can derail an application in 2025 – and what you can do to avoid them.
1. The Right Talent Isn't Just Available - It’s Rare
Most people think hiring the right talent is about finding someone with the right skills on their resume, but in reality, it’s about finding someone with the right mindset and contextual understanding.
For example – a project where the developers are technically brilliant – write efficient code, optimize performance, and deliver features on time – but fail to understand the end user’s pain points often results in a system that meets technical specifications but fails to solve real business problems.
Good talent is more than just coding expertise – It’s about listening deeply, grasping the nuances of your industry, and making decisions that align with your goals.
That kind of talent is rare because it requires a combination of technical, business and emotional intelligence!!!
2. Not having a team that remains consistent
Imagine a relay race where the baton keeps getting dropped – that’s what happens when a project is handled by multiple teams.
For example – when multiple teams work on the same project, the code can become a jumbled mess of different styles and decisions, with no clear documentation.
New developers then spend months trying to figure out what’s already been done instead of making progress.
Consistency isn’t just about keeping the same people – it’s about having clear communication documented, shared goals, and a smooth workflow to keep the project on track.
Which unfortunately is a missing reality!
3. Business and Tech Teams not being on the Same Page
The gap between business goals and technical execution is often much wider than it seems.
Business teams usually talk in outcomes – like “We need this to scale” or “We want better engagement.”
While tech teams work on specifics – “What’s your expected traffic during peak times?” or “How many users will this feature serve?”
For example – an e-commerce platform where the business team imagined handling Black Friday-level traffic but didn’t share that detail clearly.
Developers left guessing, created a system for steady, moderate growth.
When the first big sale arrived, the site couldn’t handle the traffic and crashed!
To bridge this gap, it takes more than good intentions – it requires people who can speak both “business” and “tech,” asking the right questions to align the vision.
Without a clear definition – even a well-funded project can end in misaligned results.
4. The Expectation to deliver Fast and Cheap
The push for fast and cheap results often backfires. Businesses want quick outcomes, and tech teams, fearing they’ll lose the deal, agree to impossible timelines.
For example – a client who needed a full CRM system in six weeks.
The team worked nonstop, prioritizing speed over quality.
Sure, they delivered on time, but the product was full of bugs and missing key features.
In the end, the client spent months fixing issues – far exceeding their budget.
Setting realistic expectations isn’t about slowing down – it’s about doing things right the first time. A rushed project always costs more in the long run.
But unfortunately, there’s a misconception that development is always faster now.
Yes, it is – but not for every requirement!
5. Changing requirements just because they are in trend
Scope creep is like a snowball rolling downhill.
It starts small – seemingly a harmless request to “add one more feature” – but quickly grows into an avalanche that overwhelms the project.
For example – a healthcare app where the initial scope was clear – a simple system for scheduling appointments.
Midway through development, the client decided they also wanted telehealth functionality, patient record integration, and insurance verification.
Each addition required redesigning the architecture and delaying delivery.
The problem wasn’t the new ideas – it was the lack of change management.
Good projects have guardrails – every new request should be assessed for its impact on time, budget, and existing work before being approved!
6. Over-reliance on tools without understanding them
There’s a tendency to believe that buying the latest tool will solve all your problems.
But tools are just enablers – they’re only as effective as the people using them.
For example – a client once invested heavily in an AI-powered customer support system.
What they didn’t realize was that the system required clean, structured data to function properly.
Their data was a mess – duplicate records, missing fields, and inconsistent formats.
The AI couldn’t perform, and the client blamed the tool rather than their data.
The takeaway?
Tools amplify your existing processes but if those processes are flawed, no tool – no matter how advanced – can save you from losing your money!
Now the question is – what can one do to avoid these?
Well, here’s what we recommend you do!
Ways to save your IT projects from failing - Advice for business owners
No 1 - Do your homework!
Don’t just focus on what can go right – think about what could go wrong too. Study similar projects executed in the same domain as yours. It’ll help you avoid surprises later. Read about the causes of IT project failures.
No 2 - Hire experience - not just a team!
Look at their past projects – what worked, what didn’t. And pay attention to how honest they are about it.
No 3 - Ask your team about the risks!
After doing your research, ask them what could go wrong. Their answers show how well they really understand the project.
No 4 - Test them with a small task!
If possible, give them something small to work on first. How they solve problems and communicate will tell you a lot.
No 5 - Set clear goals from day one!
Make sure everyone knows what exactly is expected – objectives, deadlines, and priorities. It keeps everyone on the same page.
No 6 - Keep the conversation on!
Check-in with your team regularly – it helps catch issues early and keeps things aligned with your vision.
No 7 - When your tech team says – Not Needed - Ask why.
Make sure you understand the reasoning behind every Yes and NO and ask if not used would you miss out on something important?
To End Our Conversation...
There’s a lot people do to make an IT project successful…
They read tons of books, consume much content on – IT Project Management…and often talk to a lot of people… (Here is one more good read – Project Management Tips that advice on How to be a Good Project Manager)
But they often overlook one of the most important factors – Hiring the Right People!
And this is the primary reason why most IT projects fail!
Because without the right team, no amount of time or money can turn things around.
What you need to understand is that money and time can always be adjusted, but only by those who know how to manage them effectively.
So, if you have an idea that requires an application, your first step should always be…
Find the Right People with Proven Track Records! Because…
When you hire the right team they can help you -
- Select the best technology for your business.
- Craft a strategy that makes your vision a reality.
And, this is how one can transition their IT Projects from merely surviving to truly thriving!
If you are stuck with any such stalled projects and need some expert advice, you can consult our Project Managers, and share the complete scenario and they can help you manage your Project with the right guidance.