A Bit Over Budget

Originally estimated at *only* 10 million, an inventory management system project by SAP for the Shane Co – a family-owned jewelry store – ended up costing $36 million and is now blamed (partly) for a recent bankruptcy filing. Ouch.

As a project manager, the story leaves me with a couple questions:

1. Was the increase all at once or did it happen after a variety of change orders and functionality additions?
2. Who actually got to be the person to request the additional $26Million? I would have loved to hear that conversation.
3. What sort of legal language was in the original contract that is preventing (for now) a lawsuit against SAP?

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