13.5 ISO 9001


12.6 CMMI Breakeven Point Methodology

The breakeven point methodology for Capability Maturity Model Integration is a procedure to determine when benefits exceed costs. The benefits for Capability Maturity Model Integration rapidly exceed its cost due to reduced maintenance costs. Breakeven point is the value at which the benefits overtake the costs for using Capability Maturity Model Integration . Its breakeven point methodology is a four-part process that consists of estimating productivity and the cost to productivity difference ratio. Its breakeven point methodology consists of combining costs with productivity difference using the breakeven point formula. Key elements include determining the ratio of productivity for the old and new software process improvement methods . These are used to determine the point when the benefits overtake the costs. (As indicated earlier, benefits, B/CR, ROI%, NPV, and breakeven point are directly impacted by the use of peer reviews. Rigorous peer reviews improve the economic outlook, while their absence hinders it.) Figure 66 illustrates the breakeven point methodology for Capability Maturity Model Integration .

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Figure 66: Breakeven Point Methodology for Capability Maturity Model Integration

Estimate testing productivity for CMMI : The objective of this activity is to determine the software productivity associated with using the software testing process. This substep includes: divide software size by total life cycle cost of testing for CMMI .

Estimate CMMI productivity for CMMI : The objective of this activity is to determine the software productivity associated with using CMMI . This substep includes: divide software size by total life cycle cost of CMMI for CMMI .

Estimate productivity difference for CMMI : The objective of this activity is to compare the productivity of software testing to that of CMMI . This substep includes: divide test productivity by CMMI productivity for CMMI .

Estimate cost to productivity difference ratio for CMMI : The objective of this activity is to determine when CMMI will begin paying for itself. This substep includes: divide special cost by one less productivity difference for CMMI .




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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