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Cost & Benefit Analysis

Cost & Benefit Analysis. Executive Overview David F. Rico. Table of Contents. Methodology Breakeven Point Analysis Actual Costs & Benefits Normalized Costs & Benefits Normalized Benefits Category Costs & Benefits Summary of Costs & Benefits Conclusion. Methodology.

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Cost & Benefit Analysis

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  1. Cost & Benefit Analysis Executive Overview David F. Rico

  2. Table of Contents • Methodology • Breakeven Point Analysis • Actual Costs & Benefits • Normalized Costs & Benefits • Normalized Benefits • Category Costs & Benefits • Summary of Costs & Benefits • Conclusion

  3. Methodology

  4. Origin of Cost & Benefit Analysis • Software Process Improvement (SPI) Study • Using Cost Benefit Analyses to Develop a Pluralistic Methodology for Selecting from Multiple Prescriptive Software Process Improvement (SPI) Strategies • David F. Rico (April 30, 1999) • Full text, graphics, data, spreadsheets, and algorithms available online • http://davidfrico.com

  5. Analytical Methodology

  6. Defect Removal Model

  7. Return-on-Investment (ROI) Model sm Personal Software Process and PSP are service marks of Carnegie Mellon University.

  8. Rico’s Inspection Cost Model

  9. PSP & Inspection Cost Models

  10. Software Cost Models

  11. Rico’s Breakeven Point Model

  12. Breakeven Point Analysis

  13. Breakeven Point Models

  14. Test vs. Ad Hoc

  15. Inspection vs. Ad Hoc

  16. PSP vs. Ad Hoc

  17. Inspection vs. Test

  18. PSP vs. Test

  19. PSP vs. Inspection

  20. Actual Costs & Benefits

  21. Overall ® Capability Maturity Model and CMM are registered in the U.S. Patent and Trademark Office.

  22. Personal Software Process (PSP)

  23. Clean Room Methodology

  24. Software Reuse

  25. Software Defect Prevention

  26. Software Inspection Process

  27. Software Testing

  28. Capability Maturity Model (CMM)

  29. ISO 9000

  30. Normalized Costs & Benefits

  31. Normalized Costs & Benefits

  32. Normalized Costs & Benefits

  33. Breakeven Hours

  34. Training Hours/Person

  35. Training Cost/Person

  36. Effort (Hours)

  37. Cycle Time Reduction

  38. Productivity Increase

  39. Quality Increase

  40. Return-on-Investment (ROI)

  41. Normalized Benefits

  42. Normalized Benefits

  43. Normalized Benefits

  44. Average Benefits

  45. Worst Normalized Benefits

  46. Worst Normalized Benefits

  47. Worst Average Benefits

  48. Poorest Normalized Benefits

  49. Poorest Normalized Benefits

  50. Poorest Average Benefits

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