Why Many Projects Become Unprofitable: It’s Not Slow Development—It’s Scope Creep
Project unprofitability is often attributed to slow development, but the more critical factor is scope creep. Slow development affects efficiency, while scope creep undermines the profit structure. Small requirements accumulate, causing scope creep, distorted quotes, and gradually eroded profits. Holding the line on boundaries is more important than improving efficiency: clarify what's not included, designate decision-makers, watch out for accumulating small changes, and define clear acceptance criteria.