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Information Systems as a discipline has generated thousands of research papers yet practice still suffers from poor-quality applications. This research evaluates the current state of application development, finding practice wanting in a number of areas. Changes recommended to fix historical shortcomings include improved management attention to risk management, testing, and detailed work practices. In addition, for industry's move to services orientation, recommended changes include development of usable interfaces and a view of applications as embedded in the larger business services in which they function. These business services relate to both services provided to parent-organization customers as well as services provided by the information technology organization to its constituents. Because of this shift toward service orientation, more emphasis on usability, applications, testing, and improvement of underlying process quality are needed. The shift to services can be facilitated by adopting tenets of IT service management and user-centered design and by attending to service delivery during application development.