However, it will be a fallacy not to learn from all the accumulated wisdom of the past. After all, those who do not learn from history are condemned to repeat the same mistakes. This will enable us to understand the steps we can take from the very beginning to increase your probability of success. This will also allow you to confidently move forward with Business Network Information Technology system selection, integration and use to obtain the results that you set out to achieve. The supply networks information technology projects have become larger and larger over the past 15 years. It is quite customary to start with an expectation of spending about $50 million, but end up paying in excess of $200 million on systems renewal projects. Rough estimates indicate that, even today, about one-third of these projects are cancelled without delivering any benefits, after spending more than $100 million. Another one-third of the projects are not cancelled, but fail to deliver significant parts of what they set out to achieve. Only one-third of the projects achieve most of their strategic goals, but many still incur several budget upgrades and time overruns. Why is this pattern of failure repeated over and over again? To answer the key question above, let’s first examine a typical project cost structure. It is estimated that the software costs are no more than 15-20 percent of the overall cost of systems renewal. Programming and configuration costs run from 20-25 per cent; external consulting costs generally associated with process changes run from 15-20 per cent, data conversion costs run about 10-15 per cent, training costs run from 10-15 per cent, system startup costs run about 10 per cent, applications support costs are between 5-10 percent and hardware costs are between 2-5 percent of the overall cost structure. Out of these costs, only the software expense generally remains fixed through the systems renewal cycle. Pretty much all the rest of the cost buckets are estimated ambitiously at the start and tend to run over quite considerably as the project progresses. Programming and configuration costs tend to have the highest cost overruns from 30 per cent to as much as 300 per cent. Process improvement costs also tend to have very high overruns, from 30 to 120 per cent. The rest of the costs do not escalate as much, but they still tend to overrun anywhere between 20–100 percent. Generally speaking, companies tend to underestimate the task in front of them when embarking on systems renewal or implementation quite significantly. At the same time, they also tend to quite dramatically overestimate their capability to go through the change management either by themselves or with the help of their selected implementation partners. The expectations surrounding the system's renewal are very high. Companies want to leapfrog their competitors by streamlining their business processes and configuring planning and control systems to manage their supply networks efficiently. The costs of systems are extraordinary, running into multi-millions of dollars. It is indeed a daunting task, but many companies embark on the journey with the same staff, same systems vendors and the same implementation partners which in many cases are responsible for their current mess, or many other messes. Rarely do they pause to think about how they will be able to manage such a massive transformation without the help of the world's best content experts, who are free of personal agendas or conflicts of interest in the process. The mistakes in the Supply Network Information Technology deployment are encountered during all four steps: IT outsourcing strategy development, IT software and service provider selection, IT service provider implementation and integration,and IT service provider relationship management and service usage. Let us discuss them step by step. Try adding your company to a business directory - it will help with your search engine optimisation efforts.