Does the investment in the IT portfolio have an appropriate return? Obviously, if management invests in the wrong IT, i.e., IT that does not have an appropriate return, the entity has a risk of losses due to mismanagement of its IT. The same is true in mismanaging individual IT projects. Management can correctly identify an IT project that needs to be implemented and that once in operation can obtain a proper return. However, for an enterprise project or large major project, mismanagement of the project can easily lead to costs that exceed budget and thus can cost the entity a significant amount of money. This mismanagement will likely be associated with the inability to implement, or absence of, best practices of IT governance and/or project management.