Page #129 (Chapter 20: Optimizing Return on Investment)


20.1 Low Costs

Low cost means selecting SPI methods that are not very expensive to implement. Low cost means selecting inexpensive SPI methods and reserving investment capital for other opportunities. Low cost means buying the largest number of SPI methods possible for the amount of money that it is possible to spend .

The lowest priced SPI method examined here is the Software Inspection Process at $20,518 a person. The Personal Software Process SM is a close second at $26,400 a person, and it offers many more helpful tools and techniques. The highest priced SPI method examined here is Capability Maturity Model Integration at $277,058 per person. The Software Capability Maturity Model is not far behind at a cost of $77,858 a person.

All of these numbers far exceed the amount of money that most organizations are willing or even able to invest in SPI. Only the largest organizations can afford the Software Capability Maturity Model or Capability Maturity Model Integration . The smaller organizations could never afford even the Software Inspection Process or Personal Software Process SM . The risk of investing in expensive SPI methods is too great, and the probability of being successful with them is very low. ROI can be used as a method for quantifying the value of your investments in SPI methods. It makes sense to identify methods that will earn large profits or maximize your spending dollars versus using SPI methods that do not have a high ROI. Why invest in SPI methods that will drain your budgets or SPI methods that will waste your spending dollars?




ROI of Software Process Improvement. Metrics for Project Managers and Software Engineers
ROI of Software Process Improvement: Metrics for Project Managers and Software Engineers
ISBN: 193215924X
EAN: 2147483647
Year: 2004
Pages: 145

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