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CMMI Impact: What we know; What we need to know

Learn about the benefits of process improvement, investment requirements, and factors affecting ROI for small businesses in software engineering. Explore the critical issues of survival, risk, and quantifiable returns in decision-making.

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CMMI Impact: What we know; What we need to know

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  1. CMMI Impact:What we know;What we need to know Terry Rout Software Quality Institute Griffith University

  2. My perspective • Empirical research in software engineering • Standards development • Consultancy / support • Primarily small business • Multiple process models

  3. What we know • A lot of information is available about the benefits of process improvement; • Much of it is highly credible; • I have yet to see a small business that undertook process improvement because of this material. • It may have helped them to justify the decision

  4. What are the problems? • Information is lacking on: • The level of investment needed to obtain a return; • The entry costs for model-based (and particularly CMMI-based) process improvement; • The scaleability of the ROI data • If Company A gets a 7:1 ROI from an annual investment of $1M, what will my $10K return?

  5. Issues to consider - 1 • We often hear that the key issue is the bottom line; • For many small businesses, this is not the case – the key issue is survival. • An investment will be made if it can be shown to relate to survival. • Thus, risk issues become very important.

  6. Issues to consider - 2 • For many small businesses, the nature of costs and returns are very difficult to quantify. • In many cases they are based to a much greater extent on lifestyle issues. • Again, the real focus in deciding on improvement is RISK.

  7. Some conclusions • Less focus on direct dollars and cents, and more on the key factors driving impact, would be of benefit. • Benchmarks need to be made more meaningful for the small business. • We should explore risk issues to a greater extent.

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