The Economic Impact of Learning and Flexibility on Process Decisions

Authors:
Hakan Erdogmus
Affiliations:
National Research Council Canada
Venue:
IEEE Software
Year:
2005

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Abstract

Organizations can rest their software process decisions on a more solid basis than subjective preferences and dogma. Economics is one such basis. Understanding how high-level process characteristics alter a software project's economics can lead to informed decisions and improve value creation. This article illustrates this point by focusing on two central characteristics of iterative and incremental development驴flexibility and learning驴and how these characteristics support creation of economic value under uncertainty.