Ireland’s biggest companies are wasting an average of €667,000 per year on so-called “zombie projects”—a new study from Saros Consulting reveals. These lingering initiatives drain budgets and resources without contributing to current business priorities or strategic growth.
Key Findings from Saros Consulting’s 2026 Report
The research, featured in Saros Consulting’s CIO Strategy Report 2026, analyzed responses from 200 IT leaders across Irish firms employing 250+ staff. It uncovered widespread misalignment between IT investments and organizational goals, with many companies persisting in funding outdated projects.
Leadership and strategy gaps appear to fuel the problem. Nearly one in five large businesses lacks any formal IT strategy, while just half of IT decision-makers describe their existing strategy as bold or forward-thinking. Even where strategies exist, confidence in their execution is uneven: 14% of respondents say their strategy is outdated, and only two-thirds of leaders claim their teams fully grasp it.
Experts Warn of Hidden Financial Risks
Ray Armstrong, co-founder and co-CEO of Saros Consulting, called zombie projects “Zombie projects represent one of the biggest hidden costs for businesses in Ireland.” He noted that companies often keep funding these initiatives simply because shutting them down, whether due to board explanations, staff retraining, or bureaucratic hurdles, seems more burdensome than continuing the expense.
“However, over time, these projects consume budget and divert resources away from where they need to be,” Armstrong said. He urged businesses to reassess investments and make tough calls when necessary. A well-defined, up-to-date IT strategy, he added, could prevent wasted spending on misaligned technologies.
Nearly two-thirds of IT leaders (64%) said their strategy helps avoid poor technology choices, yet the persistence of zombie projects suggests many firms still struggle with execution. 61% of respondents also reported that strategic planning improves decision-making; but the data shows these benefits are not universally realized.
Broader Implications for Irish Businesses
Justin van der Spuy, Saros Consulting’s other co-founder and co-CEO, framed the issue as part of a larger risk. “When Irish organisations continue funding projects that are no longer delivering value, they not only increase costs but also create debt and risk.”
Van der Spuy stressed the need for greater transparency in technology spending, ensuring budgets reflect strategic priorities rather than inertia. He advised firms to adopt a “zero-tolerance policy” toward obsolete projects while keeping IT strategies closely tied to business objectives. Doing so, he argued, would help organizations adapt more swiftly to market shifts and emerging opportunities.
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