Article: De-escalation of commitment in MIS projects: the implications of three economic theories.(Report)

1. INTRODUCTION

Cost and time overruns have been documented in a variety of management information systems (MIS) projects. A significant number of projects fail and are never brought to completion. A comprehensive report by the Standish Group (2004) collected data on 40,000 IT projects over ten years and demonstrated that fifteen percent of IT projects in the extensive sample are cancelled while over fifty percent are not completed on time and within the budget. The report estimated the total losses from IT project in the U.S. alone to be $55 billion in 2004, made up of $38 billion in lost dollar value and $17 billion in cost overruns.

A major ...

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