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The worst IT project disasters of 2013

Chris Kanaracus | Dec. 11, 2013
The Healthcare.gov rollout leads a pack of painful projects

Last month, California Comptroller John Chiang filed suit against SAP, seeking compensation. California has paid SAP $50 million for its work on the project, but it's not clear how much money the state will get back even if its lawsuit is successful.

Marin County, California, sued SAP and Deloitte over a different ERP project. The case was settled but reportedly netted the county only $3.9 million, after it spent $5 million on legal fees and more than $30 million on the system, which will be replaced with a different product.

Royal Bank of Scotland: Computer system woes continued this year for RBS, including an outage on Cyber Monday that left account holders unable to make payments or get cash.

The Cyber Monday failure was "unacceptable," RBS CEO Ross McEwan said in a statement. RBS has failed to properly invest in its IT systems for decades, but a plan is under way now to change that with details coming next year, he added.

Last year, RBS suffered an IT failure that led to delays in wage and tax credits being paid into customer accounts.

Deloitte's unemployment system woes: Deloitte found itself under fire in California, Florida and Massachusetts this year over problems with unemployment compensation systems built by the consulting firm.

The problems resulted in delayed payments to thousands of job seekers. Deloitte principal Mark Price told Massachusetts lawmakers during a public hearing in October that the state had "a successful, working system today," and only a "relatively small percentage" of jobless people had been affected. The problems stemmed from "very specific data issues" in the state's legacy system, he said. Price also said the reports of problems with Deloitte's projects in Florida and California were overblown.

 

 

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