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Abstract: As one of the best information technology (IT) powerhouses in the world, Korea has undertaken systematic IT project evaluation since 1997 in order to maximize the performance of investment into public IT projects. Currently under the Korea's IT project evaluation method under which one third of the total projects are selected as evaluation targets every year, each organization performs self-evaluation on logic model-based survey indicators on Program Assessment Rating Tool (PART), and the Ministry of Strategy and Finance verifies the result. This system pursues outcome-oriented performance management by deducting performance achievement scores if indicators and goals are inappropriate. Moreover, it holds a strong feedback system, under which more than ten percent of the next-year budget is deducted if the final result of evaluation turns out 'poor'. The 2008 IT project evaluation shows high scores in the stages of planning and execution of IT projects. This reflects, in most part, a fair level of collecting opinions from stakeholders, recognizing laws and regulations, and securing connection with relevant projects during the planning stage. It also signifies that any problems in the execution process are responded to in an appropriate way and that time schedules are well maintained and followed. However, the performance indicators and goals were found to be very inappropriate; the reason being that a majority of projects used output or process indicators rather than outcome indicators which represent final project performance and that the performance goals were set in a way too passive compared to the budget and the past performance. Indeed, such lack of appropriateness in performance indicators and goals was reflected as a deduction factor in measuring the performance achievement. The IT project evaluation needs to be improved in the future. First, a methodology or a model that help setting of appropriate performance indicators for IT projects needs to be developed and a process needs to be adopted, which allows setting of performance indicators and goals in the stage of planning in advance. Second, the improved level of informatization raised interoperability, standardization and security issues as IT projects, which had been carried out by each ministry, are now being integrated. Therefore, it is required to establish an evaluation framework that reflects features of the IT projects in order to assess...