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Making the Software Business Case: Improvement by the Numbers

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Making the Software Business Case: Improvement by the Numbers

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Description

  • Copyright 2002
  • Dimensions: 7-3/8x9-1/4
  • Pages: 320
  • Edition: 1st
  • Book
  • ISBN-10: 0-201-72887-7
  • ISBN-13: 978-0-201-72887-3
  • eBook (Adobe DRM)
  • ISBN-10: 0-7686-8481-1
  • ISBN-13: 978-0-7686-8481-0

"Just the understanding and insights you will pick up about how people encounter and cope with combinations of technical, social, political, and economic opportunities and challenges make the book a joy to read and worth much more than the price of it alone."
--Barry Boehm, from the Foreword

This practical handbook shows you how to build an effective business case when you need to justify--and persuade management to accept--software change or improvement. Based on real-world scenarios, the book covers the most common situations in which business case analyses are required and explains specific techniques that have proved successful in practice. Drawing on years of experience in winning the "battle of the budget," the author shows you how to use commonly accepted engineering economic arguments to make your numbers "sing" to management.

The book provides examples of successful business cases; along the way, tables, tools, facts, figures, and metrics guide you through the entire analytic process. Writing in a concise and witty style, the author makes this valuable guidance accessible to every software engineer, manager, and IT professional.

Highlights include:
  • How and where business case analyses fit into the software and IT life cycle process
  • Explanations of the most common tools for business case analysis, such as present-value, return-on-investment, break-even, and cost/benefit calculation
  • Tying the business process to the software development life cycle
  • Packaging the business case for management consumption
  • Frameworks and guidelines for justifying IT productivity, quality, and delivery cycle improvement strategies
  • Case studies for applying appropriate decision situations to software process improvement
  • Strategic guidelines for various business case analyses

With this book in hand, you will find the facts, examples, hard data, and case studies needed for preparing your own winning business cases in today's complex software environment.



0201728877B09102001

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Table of Contents



Foreword.


Preface.


Acknowledgments.

I: FUNDAMENTAL CONCEPTS.

1. Improvement Is Everybody's Business.

Viewing Software as a Business.

Change Is the Nature of Software.

Making the Giant Leap Forward.

Success Is a Numbers Game.

Improvement Cycles and Tricycles.

Improvement by the Numbers.

Business Versus Technical Cases.

Why Change?

Are You Ready to Change?.

Getting Your Boss to Commit.

How This Book Can Help You.

Summary.

2. Making a Business Case.

The Whats, Whys, and Whens of Business Cases.

Relating Improvement Goals to Metrics Via Questions.

Developing Business Cases: The Front-End Process.

Tying the Business Process to the Software Development Life Cycle.

Business Cases: Stepping Through the Life Cycle.

Summary.

3. Making the Business Case: Principles, Rules, and Analysis Tools.

Tooling the Process.

Business Case Principles.

Present Value and Future Worth.

A Smorgasbord of Analysis Techniques.

Tools of the Trade.

Packaging the Business Case for Management Consumption.

Avoiding Taxes and Tax Revolts.

Summary.

4. Business Cases That Make Sense.

The Parable of the Chinese Emperor.

Improving the Process.

Cost Avoidance.

Capitalizing Software.

Quick-to-Market Strategies.

Architecting Products.

Make Versus Buy Analysis.

Moving to a Web-Based Economy.

Summary.

II: THE CASE STUDIES.

5. Playing the Game of Dungeons and Dragons: Process Improvement Case Study.

Setting the Stage.

Current Business Climate.

Developing a Game Plan.

Process Maturity: Are the Investments Justified?.

Quantifying the Return-on-Investment.

Getting Everyone Involved in Playing the Game.

Reinventing and Refreshing the Organization.

Summary.

6. Quantifying the Cost/Benefits: Capitalizing Software Case Study.

You've Got a Problem.

Organization Profile.

Initial Operational Concept.

Capital Decision-Making Process.

Make-Versus-Buy Analysis.

Putting Software Cost Models to Work.

Performing Risk Analyses.

Addressing "What If" Questions.

Making Your Numbers Believable.

Summary.

7. Making Your Numbers Sing: Architecting Case Study.

The Grand Proposal.

Developing a Strategy.

Readying the Financials.

Determining the Numbers.

Trimming the Fat.

Justifying Your Recommendations.

Why Pursue Architecture in the First Place?.

Summary.

8. Maneuvering the Maze: Web-Based Economy Case Study.

For Openers.

Finding a Likely Candidate.

Determining the "Value" of a Firm.

Computing How Much to Pay.

To Buy or Not to Buy.

Avoiding the Traps.

Going Global.

Timing Is Strategy.

Summary.

III: FINALE.

9. Overcoming Adversity: More Than a Pep Talk.

The Wary Traveler.

You Can Be Successful.

Change Tactics Abound.

Avoid the Many Bear Traps.

Focus on the Things That Count.

Other Interesting Uses of Numbers.

Where's the Technology Heading?.

Summary.

Appendix A: Recommended Reading List.
Appendix B: Compound Interest Tables.
Acronyms.
Glossary.
Index. 0201728877T05222001.

Preface

For years, I have watched software engineers struggle to justify investments of every kind and examine cost-effectiveness issues. Although they know how to present the technical issues and alternatives crisply and simply, they just can't seem to pull the numbers together. Those who try never seem to paint a convincing picture. While they fumble, the opportunity slips away. Or they are eaten alive as they pitch their ideas because they cannot answer the hard questions posed about costs/benefits, which typically involve the financials and business justifications. For example, engineers frequently fail to factor the cost of money and/or tax implications into the consideration (depreciation, R&D tax credits, and so on). If they had examined these considerations, they might have recommended a different course of action.

Why Write This Book?

The failure of engineers to adequately address the business aspects of decisions has created opportunities for me throughout my career. I have built a profitable business and a national reputation by showing my clients how to make the numbers sing for management. I have also learned many lessons and developed many tricks of the trade, which have enabled me to repeatedly help my clients win the battle of budget. The primary purpose of this book is to communicate these lessons to other people who need them so that they can take advantage of what I've learned. Because of their importance, I believe that every engineer should be taught how to prepare business cases as part of their undergraduate and graduate education.

After 30 years in the field, I have an endless supply of case studies that I can use to illustrate why this important topic needs to be taught to everyone involved in an organization, from the top executive to a new recruit. For example, can you envision the CEO of a major international firm standing on a chair to see the charts from the back of the room? That's exactly what happened when I projected the results of a productivity analysis to executives. The numbers were so important to the CEO that he almost fell over backward as the chair he stood on wobbled in his effort to see them. The moral of this story is that, independently of whatever you say, your numbers will do your talking for you when executives are in the room.

The primary goal of this book is to help you understand how to develop a successful business case. To help you learn, I present principles and case studies. Because of its importance, the book focuses attention on the process of business case development, not the case itself. After reading the book, your task is to generalize and apply what you have learned in your own work environment. As part of this effort, you will have to figure out what will work for you and adapt the advice offered accordingly.

Business cases are typically prepared throughout the software development life cycle. Some are prepared along with the business plans used to justify new projects and product developments. Others are devised on the spot to justify changes and improvement activities. My focus in the book is on the latter because they tend to be the most difficult to pull off. Because such initiatives ask for money, the expenditures involved must be justified quantitatively in terms of the costs/benefits. When you finish this book, you will understand how to quantify the numbers. But using them effectively in your organization will be up to you.

For Whom Is This Book Intended?

I wrote this book primarily for software engineers and managers, who frequently don't seem to have the foggiest idea of what it takes to prepare a business case. They may have great technical ideas, but most find it difficult to package the concepts to make the costs/benefits associated with pursuing them appealing to management. To do this, they need to highlight the cost savings, reduction in time to market, cost avoidance, and/or productivity improvement. Justifying expenditures for some good technical idea in terms of its return on investment is something that they haven't been taught in their university training or their opening stint in industry. To sell their ideas, they need to learn how to package them so that they are convincing to management.

My underlying assumption is that software engineers will be tasked to justify the improvements that they and their bosses recommend. If this is not the case, don't read any further. Instead, give your copy of this book to someone who needs help in preparing business cases.

As well as software engineers, I think people in the following positions could benefit from this book:

  • Managers and executives: Those who act as sponsors and champions of a change when they're convinced that it has both technical and business merits
  • Buyers of products and services: Those who use the technical and business data presented to justify a variety of purchasing decisions (equipment, tools, training, and so on)
  • Entrepreneurs: Those who package the technical ideas in such a way that they stimulate investment by stockholders or venture capitalists
  • Process group leaders: Those who seek to justify continued investment in process improvement (based on the returns, competitive reasons, and so on)
  • Programmers: Those who use the architectures, processes, tools, and techniques that software engineers generate or select to develop and/or maintain software products and systems
  • Students: Those pursuing undergraduate or graduate degrees in either computer science or information management. Both have a need for a book that shows them how to prepare and execute a business case.
  • Researchers: Surprisingly, many researchers don't know how to prepare business cases aimed at soliciting industry sponsorship. This book will help them acquire the support they need to put their ideas into practice.

In other words, anyone interested in the topic could get a few pointers from the material presented, especially in the case studies.

What's in the Book?

If you are looking for a general-purpose textbook on business plans and cases, look elsewhere. This book isn't written for you. There are general management textbooks on the subject that will address your need for structure and guidance. Instead, this book addresses software improvements and what you need to do to justify them in terms of their costs/benefits. Yes, it treats the business case and provides instructions on how to build one. But it also provides examples of what it takes to succeed with the business case in the form of case studies. Most of these cases are taken from real life; I've embellished them to hide identities and illustrate lessons learned. However, software improvements involve more than just process. They might entail justifying capital investments, moving to product line architectures, or valuing the purchase price to be paid for a firm.

This is not a cookbook on business cases. Cookbooks by their nature infer that results are repeatable. Put a pinch of this and an ounce of that together and bake the mixture at 400 degrees for 10 minutes and a similar result will be generated almost every time. However, the improvement opportunities I've been associated with, even when conducted within similar organizations, are by their nature different almost every time. That's because there are so many factors involved that it is almost impossible to develop a generic formula for improvement. In response, I provide a process framework, not recipes, for making improvements.

The underlying message of this book is that there needs to be some compelling reason for making organizational changes or proposed improvements. Otherwise, why pursue them? Within this context, business cases are used to gather and present the facts needed to show that your proposals are worth the effort involved.

What Is a Business Case?

In this book, I use the term business case to refer to the materials you would use to show decision makers that the idea under consideration is a good one and that the numbers that surround it make financial sense. The focus is primarily on the numbers. Topics encompassed include breakeven, cost effectiveness, and cost/benefit analysis. That's where I got the idea for the subtitle, Improvement by the Numbers.

Organization of the Book

The table on page xv shows you the organization of the book and summarizes the emphasis provided in each of its nine chapters and two appendices.

The Unifying Glue

I use the Goals-Question-Metrics framework and the business case development process that I explain in Chapter 2 as the glue to hold this book together. This framework emphasizes the use of quantitative methods throughout the software life cycle to select technical improvement options under consideration by their quantitative costs/benefits. It also helps those making improvements to identify the feasible options that will solve the organization's real problems, not the symptoms. This is important because many organizations treat the symptoms, instead of the root causes of their problem, with action.

Unique Features

Addison-Wesley hosts a Web site at http://www.awl.com/cseng/titles/0-201-72887-7 so that I can provide updates and additional resources as they become available. For example, I plan to put a set of more detailed discount tables on line so that you can use them to compute present value and future worth of money. If I have the time and energy, I will put these tools on the Web site in spreadsheet format. I also plan to use the site to address errata, identify changes in technology, and update the Recommended Readings list between editions of this book. Please feel free to recommend improvements to the book and/or the site via e-mail (dreifer@earthlink.net). I want you to use it as a resource to help build business cases.

User Road Map

The table on page xvi of the book provides you with a suggested reading road map through the book. An X designates chapters I suggest various individuals read. Of course, read more if you want to. Use the materials at the back of the book as you apply what you have read to projects you're working on. The first pointer and link that's available for reader's to access is to a "Project Diagnostic Tool and Process Improvement ROI Calculator"--http://www.spc.ca/pisn.



0201728877P09062001

Index

10-K annual data
financial analysis use, in case study; 213
management performance analysis use, in case study; 224
10-Q quarterly data, financial analysis use, in case study; 213
20/80 rule; 95
Pareto analysis as; 63
90% rule, results assessment use; 239

Abts, Chris, annotated bibliography entry; 258
ACAP (analyst capability cost driver), in COCOMO II (table); 69
accounting
depreciation as system of; 88
profits (glossary definition); 271
profits, term description; 28
as tax implications consultants; 159
acquisition
evaluation; 96
goals, in case study (figure); 219
Internet business, evaluation case study (chapter); 207
legal issues, in case study; 227
price, computation of, in case study; 218
processes and departments involved in; 211
recommendations, in case study (figure); 219
acronym list; 267
actionable plan, developing, as step in business case development; 120
ActiveX, annotated reference; 181
activities (glossary definition); 271
CMM (Capability Maturity Model), key process areas; 81
adoption models, references; 18
adversity, overcoming (chapter); 235
advertisement, of successes, tactical importance of; 241
aerospace, electronics, as case study domain; 108
AEXP (application experience cost driver), in COCOMO II (table); 69
after-tax rate of return, as investment opportunity analysis metric; 62
agents, in distributed software development environments; 86
Alberts, Christopher J.; 253
alliances, people and projects, tactical importance of; 240
alternatives
analysis of, trade studies as; 89
decision-making relative to; 54, 149
equipment, risk analysis, in case study; 166
evaluation of, value chain analysis use; 62
analysis. See also decision(s)
acquisition value; 220
of alternatives, trade studies as; 89
breakeven; 21, 48, 59
business case, tools for; 66
cause-and-effect; 60
commonality, shared component identification with, in architecture case study; 190
cost/benefit; 60
   consideration in management decision-making; 171
   (glossary definition); 273
   LCO milestone activities; 48
   worksheet, in case study; 129
COTS, spreadsheet use for; 168
defect, Pareto analysis use; 64
financials; 70, 211, 213
investment opportunity; 62
legal expenses use, in case study; 224
make-buy; 95
   as trade study; 89
   in software capitalization case study; 150
   in Web-based economy case study; 208, 222
   mind-set differences (table); 96
   tradeoffs, in case study; 152
Pareto; 49, 63, 276
payback; 64
regression (glossary definition); 277
risk factors; 166, 167, 248
ROI, in business plans; 42
sensitivity; 64, 277
strategies for, in cost justification, in case study; 203
studies, redundancy avoidance; 238
techniques, dictionary of; 59
tools; 53, 54
tradeoff
   of shutdown or continue costs; 246
   tools, in case study (table); 153
trend; 66
   (glossary definition); 278
   in milestone activities; 48, 49
   in process improvement case study; 123
value, chain; 62
value, of knowledge capital; 216, 217
in case study, cost estimate (table); 223
appendix, business plan, importance of; 42
application(s)
architecture relationship to, in dual life cycle paradigm; 93
engineering (glossary definition); 271
software (glossary definition); 271
appreciation (glossary definition); 271
architecture(s) (glossary definition); 271
-based products, time to market justification for; 92
-based reuse program, measurement tools for; 181
building-block approach; 182
component-based, advantages of; 181
development [Bass, 1998]; 180
   time and cost analysis, in case study; 190
development tasks, in architecture case study; 188
justification of, in case study; 126
layered, in software development; 180
pitch, goals, in architecture case study (figure); 183
populating with components, in case study; 191
product line relationship; 93
product line role of, in architecture case study; 179
reuse, estimated annual benefits (table); 205
senior management pitch
   benefits and costs, in case study (figure); 185
   implementation, in architecture case study; 184
   strategy, in architecture case study (figure); 184
   vision, in architecture case study (figure); 184
software, term description; 94
   advantages of; 92
   justification, case study subject; 19
software improvement strategy role; 110
Web-based, case study (chapter); 175
Asimov, Issac, quotation; 175
assessment
of corporate growth, in case study; 214
of knowledge capital, framework for, in case study (figure); 217
ongoing, in decision processes; 56
risk, numbers role; 248
assets (glossary definition); 271
software, description and management of; 93
assumptions. See also scale factor ratings
COCOMO II; 166
in COTS trade study; 169
Austin, R. D., annotated entry; 258
authority (glossary definition); 271
avoidance, cost
cost reduction vs.; 83, 84
guidelines (table); 85
in process improvement case study; 123

B-to-B (business-to-business) applications
Web sites, characteristics of; 98
Web-based
   in case study, development costs; 195, 196
   infrastructure, in architecture case study; 183
Baetjer, Howard; 217, 231
balance sheet (glossary definition); 271
Barbour, Richard E.; 253
barometric forecast (glossary definition); 272
Baruch, Bernard M.; 77, 102
baseline (glossary definition); 272
for comparison, importance for effective process change; 17
performance data, importance of insider sources; 44
product architecture, establishing, as LCA and LCO milestone activity; 48
Basili, Victor R.; 51
Bass, Len; 94, 102, 180, 206, 260
Beasley, Reyna A.; 76
Beck, Kent; 102
benchmark(s) (glossary definition); 272
generating with calibrated cost models; 91
information sources (table); 45
project, for client/server upgrade, in case study; 159
in quick-to-market strategies; 89
SLOC /SM, as process improvement metric; 123
benefits
architecture, management pitch, in case study; 185
cost/benefit analysis worksheet, in case study; 129
of early defect detection and correction, in process improvement case study; 125
economic, as motivation for change; 24
intangible, term description; 61
near-term, importance of in persuading; 113
of process improvement, hard data on; 82
reuse architecture, in architecture case study; 205
tangible, term description; 61
best practice (glossary definition); 272
Betz, Frederick; 18, 30
bibliography, annotated; 255
of URLs for business cases Web resources; 250
bicycles, implementation strategy when time is critical; 15
Bloniarz, Peter A.; 232
Boehm, Barry W., annotated entry; 257, 258
references [Boehm]; 7, 30, 34, 48, 51, 67, 76, 89, 91, 102, 118, 138, 162, 163, 173, 238, 248, 253
book value (glossary definition); 272
bottom line, impact on, as key business case strategy; 13
Brandt, Eva; 82, 102
breakeven analysis; 48, 59
analysis, business case component; 21
point (figure); 60
breakeven (glossary definition); 272
Brooks, Frederick P., Jr.; 253, 256
Brown, A. Winsor, annotated entry; 258
budget(s) (glossary definition); 272
ability to spend vs.; 34
capital; 32, 33
contingency, as funding source; 74
preparation and change, during software life cycle; 34
process group; 115
project, capital budgets compared with; 33
unspent, as funding resource; 71
business
area (glossary definition); 272
area, manager (glossary definition); 272
climate, in process improvement case study; 109
plan, development of; 40
planning process; 44, 53
plans, outline (figure); 41
process activities, MBASE mapping of (table); 46
project plans vs.; 40
questions for case development; 14
business case(s) (glossary definition); 272
analysis, tools for; 66
background for the case studies (chapter); 77
as change justification tool; 5
developing, the front-end process; 37
information sources (table); 45
making (chapter); 31
   principles, rules, and analysis tools; 54
planning process, starting point; 77
   capital decision-making use, software capitalization case study; 150
   components of (figure); 38
preparation
   as part of business plan development; 42
   Web resource needs; 250
principles; 54
priorities, critical role in achieving success; 243
process; 34
strategies, summary of (chapter); 235
technical cases vs.; 20
term description; 18, 31
Web resources (table); 251
Butler, K.; 125, 138
buy. See also tradeoffs
decision factors, in case study; 224
vs. make analysis; 95, 96

C++ language, vs. Java; 21, 22
in software capitalization case study; 146
CAD (computer-aided design), costs, as environment cost; 88
CAIV (Cost as an Independent Variable) analysis, in LCO milestone activities; 48
calculators, financial, as business case analysis tool; 66
calibration, cost model use
generating benchmarks with; 91
importance; 161
capabilities
as factor in business climate, of case study; 111
improvement, importance of continual support for; 241
Capability Maturity Model. See CMM
Capability Maturity Model Integration. See CMMI
capacity, improvement, importance of continual support for; 241
capital
budgeting (glossary definition); 272
budgets; 32, 33
   issues, software capitalization case study; 147
budgets, questions in business case development; 14
decision-making process (table); 151
   in software capitalization case study; 149
decisions, trade studies use for; 89
e-commerce, provisioning advantages; 97, 98
expenditures, separation from project budgets; 70
intellectual, value analysis use; 216
investment, limitations in, as change barrier; 23
knowledge; 97
   evaluating; 99
   financial rating of, in case study; 222
   framework for assessing (figure); 100
   rating scheme (table); 218
   transfer, in Web-based economy case study; 227
   value analysis use; 216
knowledge, assessment framework for, in Web-based economy case study (figure); 217
return on, as investment opportunity analysis metric; 62
total (glossary definition); 272
capitalization
costs, for common IT jobs (table); 87
vs. expensing, as business case component; 22
of software
   approaches; 85
   as case study subject; 19
   case study (chapter); 141
Captain Kirk, as example of executive mind-set; 26
Caputo, Kim; 138, 194, 206, 259
Carey, James; 190, 206
case studies (glossary definition); 272
acquisition evaluation (chapter); 96, 207
architecting products; 92, 175
chapter eight; 96, 207
chapter five; 79, 105
chapter seven; 92, 175
chapter six; 85, 141
intellectual property evaluation (chapter); 96, 207
Internet business evaluation (chapter); 207
moving to a Web-based economy (chapter); 96, 207
process improvement by productivity improvement (chapter); 79, 105
software capitalization (chapter); 85, 141
time to market, as justification; 92, 175
cash
flow, as consideration in management decision-making; 171
flow (glossary definition); 272
   future, present value relationship to; 57
limitations, as organizational change challenge; 10
position, as acquisition determinant; 210
cause-and-effect
analysis; 60
diagram for training example (figure); 61
Chambers, David C.; 136, 139
champions (glossary definition); 272
importance of preselling to; 27
preselling, role in business planning process; 42
value of; 58
change
assessing readiness for, criteria; 24
barriers to (table); 23
business case relevance for justification of; 5
cultural, white paper role in; 39
as distinguishing characteristic of software vs. hardware; 6
importance of, as adaptation strategy; 240
justification, principles for successful; 236
management, references; 18, 37
motivation for, business factors in; 22
organizational, challenges associated with; 10
overcoming resistance to, business reasons that help; 23
relationship to successful software improvement; 8
resistance to, in case study; 144
software process, Humphrey’s principles of; 16
strategies for implementing; 12
survival importance of; 5
in technology, impact on software development; 8
China, in business case summary example; 72
Chinese emperor parable; 78
Chrissis, Mary Beth; 79, 103, 127, 138, 279
Christie, A.; 18, 30
Chulani, Sunita, annotated entry; 258
Chung, Mary; 138, 257
CICS, programmers, retraining; 146
CIO (chief information officer)
Internet involvement of; 208
role, in software capitalization case study; 145
Clark, Bradford K., annotated entry; 258
entries; 82, 102, 123, 138
Clements, Paul, annotated entry; 260
entry [Bass, 1998]; 102, 206
client-server system, in case study; 142, 143
CMM (Capability Maturity Model); 79
bibliographic, reference [Paulk, 1997]; 127
e-business model compared with; 209
five levels of maturity and their process characteristics (table); 80
(glossary definition); 272
Level 3, as starting point for case study strategies; 109
Level 4, as goal of case study; 112
Level 4 skills requirements, in case study; 136
process improvement case study use (figure); 116
quantitative business benefits (table); 210
software improvement strategy role; 110
CMMI (Capability Maturity Model Integration), software processes included in; 8
CMU (Carnegie Mellon University), annotated entry; 259
Coad, Peter; 145, 173
COBOL, programmers, retraining, in case study; 146
COCOMO II software cost estimation model; 67
cost drivers (table); 69
credibility establishing role of; 238
estimate development process (figure); 164
in LCA milestone activities; 48
nominal output screen (figure); 164
process improvement case study use (figure); 116
quantifying savings with, in case study; 127
risk analysis use, in case study; 166
scale factor ratings, in case study (table); 165
scope of (table); 160
in software capitalization case study; 159
in software job estimation; 163
URL; 70
virtues of; 68
collaboration
achieving, success role of; 245
in distributed software development environments; 86
skills, critical role in achieving success; 244
commitment (glossary definition); 273
as cooperation strategy, in case study; 134
formation of, role in business planning process; 43
stakeholder involvement role; 117
structure of, in process improvement case study; 135
commonality analysis, shared component identification with, in architecture case study; 190
communication
of benefits, key role in business case success; 22
with different communities, skills involved; 22
with executives, importance of understanding their mind-set; 27
with management, tactical importance of; 239
communications equipment, productivity role; 86
comparison. See also trade studies
baseline for, importance for process change; 17
competency (glossary definition); 273. See also core competencies
competition
decision-forcing strategy use, in case study; 230
as executive concern; 27
keeping up with, as motivation for change; 24
as process improvement motivator; 109
related questions, for business case development; 14
as senior management concern; 71
as spur to change, in architecture case study; 175
target opportunity role; 38
component(s)
-based development (glossary definition); 273
fine-grained, advantages of; 181
populating architecture with, in case study; 191
productivity role; 86
shared, identifying, in case study; 190
compound interest; 263
term description; 57
compounding (glossary definition); 273
periodic, effects of (table); 57
computer science, jobs, changes in nature of; 7
configuration management, as operational concept (table); 121
conflict of interest, handling, in case study; 227
consultant, management, process improvement case study use; 117
content, packaging and, equality, in software business case preparation; 37
context, business case, GQM use in establishing; 38
contingency (glossary definition); 273
budget, as funding source; 74
Cook, R. D., annotated entry; 261
cooperation, strategies for obtaining, in case study; 134
CORBA (Common Object Request Broker Architecture), annotated reference; 181
core competencies (glossary definition); 273
as benefit, in architecture case study (table); 203
as executive concern; 27
target opportunity role; 38
corporate
culture compatibility with, as change readiness criteria; 25
goals, improvement dimensions relationship to; 6
corporation
20th vs. 21st century characteristics; 87, 148
cost(s). See also financials
alternatives for Web development, in case study; 200
architecture
   development summary, in case study; 193
   population, in case study (table); 192
architecture, senior management pitch, in case study (figure); 185
avoidance
   cost reduction vs.; 83
   cost savings compared with; 61
   guidelines (table); 85
   in process improvement case study; 123
   vs. cost reduction; 84
basis, as consideration in management decision-making; 171
benefit, ratio, cost-effectiveness determination with; 61
benefit analysis; 60
   LCO milestone activities; 48
   (glossary definition); 273
   consideration in decision-making; 171
   worksheet (diagram); 62
   worksheet, in case study; 129
of capital (glossary definition); 273
capitalization, for common IT jobs (table); 87
center (glossary definition); 273
at completion, vs. cost to date; 56
as component of improvement framework; 6
drivers; 68
   controlling; 84
   in COCOMO II; 67, 69
   in equipment alternatives risk analysis; 166
   used-defined, in COCOMO II; 166
education and training, in case study; 192
estimation
   for in-house Web capability development, in case study (table); 223
   WBS use, in architecture case study; 186
of goods sold (glossary definition); 273
infrastructure development, in case study; 194
of labor, trend analysis use; 66
models
   as business case analysis tool; 66
   calibrated, generating benchmarks with; 91
   COCOMO II; 67
   comparison, scope considerations; 161
   credibility establishing role of; 238
   in IOC milestone activities; 49
   in software capitalization case study; 159
   scope of; 160
   software estimation use; 161
of money, 56
nonrecurring, term description; 61
operational, as business case component; 22
questions, for business case development; 14
recurring, term description; 61
reduction
   cost avoidance vs.; 83, 84
   in architecture case study; 197
reuse library, development, in case study; 191
savings, cost avoidance compared with; 61
separating from productivity, in justifying improvements; 83
SG&A, in GE’s Internet use decisions; 208
shutdown, get-well plan costs vs.; 246
total estimate
   downsized, in case study (table); 199
   in architecture case study (table); 197
Web development; 200
Web-based B-to-B applications, in case study, development costs; 195, 196
CostExpert cost-estimation tool, reference; 68
costing (glossary definition); 273
COTS (commercial-off-the-shelf) software (glossary definition); 272
components, as reuse software; 93
exploitation of, in case study; 126
software
   improvement strategy role; 110
   job estimation; 163
systematic reuse of, as case study subject; 19
tradeoffs; 96, 168, 169, 170
wrapper development costs
   as factor in make vs. buy development; 96
   evaluation, in case study; 152
councils, structure of, in case study; 135
courseware, development, costs, in case study; 194
CPLX (product complexity cost driver), in COCOMO II (table); 69
creativity
capacity for, value analysis use (figure); 217
as tangible asset; 100
credibility, strategies for establishing; 238, 239
critical
path (glossary definition); 273
success factors (glossary definition); 273
cross-cultural mismatch issues; 228, 229
CTO (Chief Technology Officer), roles of; 8
culture
corporate compatibility with, as change readiness criteria; 25
cross-cultural mismatch issues, in case study; 228, 229
entrepreneurial; 25, 26
current value, as alternative analysis metric; 54
Curtis, William; 79, 103, 138, 127, 279
customer
preferences, target opportunity role; 38
preparation for, as full release milestone activity; 50
requirements, as process improvement motivation; 108
support; 27, 71, 121
customs, mismatch issues, handling, in case study; 229
Cusumano, Michael A.; 86, 102
cycle; 15. See also life cycle

D/E (debt/equity) ratio, financial health analysis use, in case study; 215
Daly, Edmund B.; 106, 138
Dangler, Mary; 190, 206
DATA (database size cost driver), in COCOMO II; 69
Davidson, Alistair; 105, 138, 257
de Saint-Phalle, Thibaut; 229, 231
debt, assumption legal issues, in case study; 227
decision(s). See also analysis
acquisition, value vs. financials in; 214
alternatives role in making of; 54
capital (table); 151
   in software capitalization case study; 149
   trade studies use for; 89
handling separate; 55
Internet use, factors GE used for; 208
investment, time value of money role; 55
management, factors in; 171
shut down or continue, numbers role in determining; 245
theory, as basis for business case principles; 54
trade study use, in case study; 170
tree, value chain analysis use; 62
upgrade or replace, numbers role; 247
declining balance depreciation
equipment purchase use; 156
vs. straight-line depreciation (table); 157
term description; 88
defect(s)
analysis, Pareto analysis use; 64
detection and correction, in case study; 125
reduction in, as consequence of software reuse; 92
defining tasks, as step in business case development; 118
delegation (glossary definition); 273
deliverable (glossary definition); 273
delivery, tactics; 241
demonstration(s)
business case sales role; 239
feasibility, in business planning process; 38
of goal accomplishment, importance of; 113
as improvement justification strategy; 12
Department of Commerce [DoC]; 97, 102
Department of Defense [DoD]; 249, 253
deployment, as operational concept (table); 121
depreciation (glossary definition); 273
concepts; 88
declining balance; 88, 156, 157
straight-line term description; 88
   vs. declining balance depreciation (table); 157
sum of the years digits, term description; 88
term description; 88
vs. write-offs, in capital budget determination; 33
design, for and with reuse rule; 95
development
paradigms, references; 145, 146
process activities, MBASE mapping of (table); 46
product, focusing on, in change justification; 237
software, technology change impact on; 8
time (glossary definition); 273
Dion, R.; 82, 102
direction (glossary definition); 273
discount rates, financial calculators use; 66
discounted cash flows (glossary definition); 273
discretionary funds, justifications for use of; 34
dispute (glossary definition); 273
distributed
software development, equipment impact; 86
technology, training and support cost handling; 209
distribution management, as operational concept (table); 121
DOCU (documentation matched to life cycle needs cost driver), in COCOMO II (table); 69
domain engineering, rule of six; 95
drivers. See cost(s), drivers
Drouin, Jean-Normand; 127, 138, 279
dual life cycle paradigm; 93, 94
due diligence, in company acquisition determination; 211
Dungeons and Dragons, playing the game of; 105
duration estimates
cost driver assessment; 68
   calibrated cost model generation of; 91
reuse impact on, in case study; 128

e-business (electronic business), commercial model (figure); 210
e-commerce (electronic commerce)
capital (figure); 98
gateway, in software capitalization case study; 142
management infrastructure changes; 97
early adopters, as stage in technology adoption life cycle (figure); 11
early majority, as stage in technology adoption life cycle (figure); 11
earned value (glossary definition); 274
earned value, trend analysis use in conjunction with; 66
earnings (glossary definition); 274
easy things first
as credibility-building strategy; 238
as momentum-building strategy; 119
econometric models (glossary definition); 274
economic profits (glossary definition); 274
economies of scale (glossary definition); 274
EDI (electronic data exchange), in case study; 142
education (glossary definition); 274. See also training
costs, in architecture case study; 192
as factor in business climate, in case study; 111
efficiencies, achievement of, as motivation for change; 24
effort (glossary definition); 274
continuous, as requirement for effective process change; 17
estimate, cost driver assessment; 68
Ehrlich, Henry; 76, 206, 231
El Emam, Khaled; 127, 138, 279
engineering
domain, rule of six; 95
focus, of architecture case study organization; 178
mind-set characteristics, vs. business strategies; 20
entrepreneurial culture; 25, 26
entry conditions, defining for each case; 16
environment
as factor in business climate, in case study; 111
working, impact on productivity; 86
EPS (earnings per share), in financial analysis of takeover target; 211
equipment
acquisition, role in business planning process; 43
acquisition funding, in case study; 147
alternatives, risk analysis, in case study; 166
communications, productivity role; 86
leasing vs. purchase issues (table); 157
   in software capitalization case study; 156
productivity role; 86
purchase, tax impact (table); 158
escrow (glossary definition); 274
estimation/estimate (glossary definition); 274
of duration; 68
of effort, cost driver assessment; 68
fidelity, as consideration in management decision-making; 171
of increased COTS use; 168
software job size; 161, 162, 164
ethics, questionable, in case study; 226
evaluation
acquisition; 96
of alternatives, value chain analysis use; 62
of intellectual property; 96
of Internet startups; 99
of project managers, basis for; 33
examples. See also parable
business case executive summary (table); 72
GQM (figure); 36
life cycle; 47
training, business case principles illustration; 54
execution, immediate; 15, 43
executive(s). See also senior management
briefing, in case study (figures); 130
mind-set of; 26, 27
summary business case packaging role; 70, 72
exit conditions, defining for each case, as improvement success factor; 16
expectations, setting realistic; 119
expected value (glossary definition); 274
experience
as factor in business climate, in case study; 111
years of, value analysis use (figure); 217
extreme programming (XP), as quick-to-market strategy; 89

facilities
acquisition, role in business planning process; 43
acquisition funding, in case study; 147
as factor in business climate, in case study; 111
modifications, cost analysis in case study; 154
productivity role; 86
failure, handling as learning situation; 13
Fatemi, Nasrollah S.; 229, 231
financial(s). See also numbers
of acquisition candidate, in case study (figure); 220
analyses, business case packaging role; 70
assessment, of knowledge capital, in case study; 222
calculators, as business case analysis tool; 66
data, information sources (table); 45
health, as performance evaluation factor, in case study; 215
performance, of XYZ (figure); 212, 213
preparing, in architecture case study; 186
takeover target, analysis of; 211
fishbone chart, cause-and-effect analysis use; 60
fixed costs (glossary definition); 274
Fleischer, G. A., annotated entry; 261
FLEX (development flexibility cost driver), in COCOMO II (table); 69
flexibility, execution, importance of; 240
Florence, Al; 126, 138
flows, process, in case study; 146
focus, on business case priorities; 243
folklore, persuasion role of, in case study; 165
forcing functions, quick-to-market pitfalls; 90
forecasting, accuracy, importance of; 42
forecasting (glossary definition); 274
trend analysis use; 66
formulas
COCOMO II; 67
cost/benefit ratio; 61
future worth (FW); 57
payback period; 64
present value (PV); 57
return on investment (ROI); 58
SLOC, in software capitalization case study; 163
Fowler, P.; 18, 30
frameworks (glossary definition); 274
fine-grained, advantages of [Szyperski, 1999]; 181
knowledge capital assessment, in case study; 217
technology transition, references; 18
value, for intellectual property (figure); 99
front-end process, of business case development; 37
full release milestone; 34
business case example; 49
MBASE mapping of activities involved with; 46
function points
/hour, as productivity measure, in GQM example; 36
sizing software jobs with; 162
/staff month of effort, cost model use; 67
functional organization (glossary definition); 274
funding
avoiding taxes and tax penalties; 71
source, as consideration in management decision-making; 171
strategies for finding; 73
unspent budgets as source of; 71
funds, surplus, as funding source; 74
future, as decision-making focus; 238
FW (future worth) (glossary definition); 274
present value relationship; 56
(tables); 264
term description, formula and; 57

gains, in early error detection, for moving up a CMM level; 82
Gallagher, Brian P.; 249, 253
game plan, developing; 114
GE (General Electric), Internet use; 20
Gellman, Harvey, annotated entry; 257
Gerstner, Louis V, Jr.; 31, 51
global
corporations, Web development costs; 208
implications, of acquisition, in case study; 228
glossary; 271
glue code, as factor in make vs. buy development; 96
goal(s)
accomplishment, demonstration importance; 113
acquisition, in case study (figure); 219
in acquisition determination; 211
of the book; 28
business, alignment with, as change readiness criteria; 24
corporate, importance of aligning business case with; 38
identifying for each case, as improvement success factor; 12, 16
selection of, in GQM use; 35
Goal-Question-Metric paradigm. See GQM paradigm
good-enough results, determining; 239
goodwill, as acquisition value factor, in case study; 221
GQM paradigm
business case use; 34
capital decision-making use, in case study; 150
chart, software cycle uses; 45
example (figure); 36
process improvement case study use; 116
setting improvement goals with; 35
Grady, Robert B.; 37, 51
Griss, Martin, annotated entry; 260
group software platform, advantages, in case study; 194
growth
assessment, in case study (table); 214
trends, as performance evaluation factor, in case study; 215
guidelines
architecture and reuse-based software; 94
cost avoidance (table); 85
for packaging financials; 70
for productivity improvement (table); 79
quick-to-market (table); 91
guilt, acquisition leverage, in case study; 226

Haley, T.; 82, 102
Hall, Elaine M., entries; 242, 253, 259
Hamel, Gary; 206
hardware
engineers, power of numbers in persuading; 112
focus, of architecture case study organization; 178
Harkey, Dan; 206
Harp, Elaine; 82,102
Hartman, A., annotated entry; 255
help, soliciting; 171. See also persuasion
Herbig, Paul A.; 229, 231
Herzum, Peter; 206
hidden agendas, impact on determining goals; 116
hiring talent, as business improvement strategy; 13
history, impact on current perceptionsn; 112
Hoch, D. J., annotated entry; 255
Holden, Jim; 82, 102
Horowitz, Ellis, annotated entry; 258
hostile stock takeover
as acquisition strategy; 211
pros and cons of, in case study; 222
human issues. See also politics/political; psychological
in IT group, in case study; 145
in process improvement changes; 109
in target user group, in case study; 144
Humphrey, Watts S.; 16, 30, 259
principles of software process change; 16
Hutchin, Nancy L.; 209, 231
hyperlink (glossary definition); 274
Hypertext Markup Language (HTML) (glossary definition); 274

IEEE (Institute of Electrical and Electronics Engineers); 279
“if it isn’t broken, why fix it?” as change barrier; 23
IFPUG (International Function Point User’s Group)
guidelines, measuring function points/hour; 36
image, as executive concern; 27
implementation architecture, in case study (figure); 184
improvement(s)
dimensions of (figure); 6
importance of; 12
improvement, process improvement role in; 110
ongoing, in decision processes; 56
process; 105, 108
   benefits of; 82
productivity
   as justification for process improvement; 79
   process acceleration of; 123
in productivity, underutilized resource use for; 78
role and processes in (chapter); 3
incentives. See also motivation; persuasion; politics
importance for organizational change; 10
middle management, for process improvements; 115
income statement
management performance analysis use, in case study; 224, 225
incremental improvement, role of; 238
time minimization with; 15
tax rate (glossary definition); 274
influence-makers, tactical importance of; 240
information
sources, for business plans and business cases; 45
technology. See IT
infrastructure (glossary definition); 274
architecture-based requirements; 181
definition tasks, in case study (table); 189
development costs, in case study (figure); 194
management
   compatibility importance; 113
   product line impact on; 93
   strength of, as change readiness criteria; 25
needs of reuse (figure); 93
organization, as organizational change challenge; 10
software, importance of, in future computing environments; 7
weaknesses, as change barrier (table); 23
innovation, capability, value analysis use (figure); 217
innovators, as stage in adoption life cycle; 11
input, ratio of output to; 78
intangible benefits; 61, 274
intellectual
capacity, as value factor, in case study; 221
capital, value analysis use; 216
property (glossary definition); 275
   evaluation; 96, 99
property rights, in case study; 227
interest (glossary definition); 275
simple and compound, term descriptions; 56, 57
international
corporations, Web development costs; 208
implications of acquisition, in case study; 228
Internet
business evaluation case study (chapter); 207
gateway, in software capitalization case study; 142
operating cost savings resulting from use of; 20
interoperability, Web, architecture development role; 180
investment
decisions, time value of money role; 55
information technology, as a percentage of overall capital spending; 32
justification, business case use; 31
opportunity analysis; 62
required, for moving up a CMM level; 82
serious, as requirement for process change; 17
strategies, compatibility with, as change readiness criteria; 25
tax credit (glossary definition); 275
tax credit, legal as consultant for; 159
involvement, as cooperation strategy, in case study; 134
IOC (Initial Operational Capability) milestone; 34
business case example; 49
MBASE mapping of activities involved with; 46
IPO (initial public offering), Gold Rush compared to; 97
Ireland, B.; 82, 102
IRS (Internal Revenue Service)
back taxes collection, acquisition leverage, in Web-based economy case study; 226
depreciation guidelines, for computer hardware and software; 88
Ishikawa, K.; 60, 76
diagram, cause-and-effect analysis use; 60
IT (glossary definition); 274
investment, as percentage of spending; 32
marketplace, changing characteristics of; 7
software capitalization case study; 141
iterative, nature of tricycle models; 18

Jacobson, Ivar, annotated reference; 260
Japan, software factories, example; 86
jargon, of different communities, skills involved in communication with; 22
Java programming language
vs. C++
   business factor comparisons (table); 21, 22
   in software capitalization case study; 146
transition to, as case development example; 20
Jones, T. Capers; 68, 76, 124, 138, 249, 253
Jonsson, Patrik; 92, 102, 138, 180, 206, 260
Juran, Joseph; 63, 76
justification(s)
change, principles for successful; 236
expenditure, cost/benefit analysis use; 60
of investment; 31, 122
for process, productive improvement use as; 79
project-level, importance to middle managers; 112
tactics, in software capitalization case study; 151
time to market, for architecting products; 92
time to market case study (chapter); 175

Kalb, George E.; 76, 138
Kazman, Rick, annotated entry; 260
key process areas (KPA) (glossary definition); 275
in CMM (Capability Maturity Model); 81
know-how engineering (glossary definition); 275
knowledge
base (glossary definition); 275
as capital; 97
capital
   assessment framework for, in case study; 217
   evaluation of; 99
   financial rating of, in case study; 222
   framework for assessing (figure); 100
   rating scheme (table); 218
   transfer, in case study; 227
   value analysis use; 216
determining the value of; 98
KnowledgePlan cost-estimation tool; 68
KPA. See key process areas
Kruchten, Philippe; 34, 51, 145, 173
K SLOC (thousand source lines of code)
in defect measurement; 125
in software capitalization case study; 163

labor
costs, trend analysis use; 66
rate, cost reduction strategies, in case study; 198
laggards, as stage in technology adoption life cycle; 11
language(s)
of different communities, skills involved in communication with; 22
software (tables); 21, 22
wars, in software capitalization case study; 146
Larsen, Kai R. T.; 228, 232
late majority, as stage in technology adoption life cycle (figure); 11
layered, architectures, in software development; 180
LCA (Life Cycle Architecture) milestone; 34, 46, 48
LCO milestone; 34, 46, 47
leadership (glossary definition); 275
skills, critical role in achieving success; 244
leasing
facilities issues, in case study; 155
vs. purchase issues, in case study; 156, 157
least-square method (glossary definition); 275
legacy (glossary definition); 275
legal
acquisition issues, in case study; 227
entanglement avoidance, as motivation for change; 24
expenses, as indicator, case study buy decision; 224
as investment tax credit consultants; 159
restrictions, target opportunity role; 40
level-of-effort, cost estimation in case study; 196
Levine, L.; 18, 30
Levy, Nino S.; 18, 30
liability (glossary definition); 275
limitation, in case study; 228
library reuse development costs in case study; 191
licensing
enterprise-wide, as funding source; 74
software, issues, in case study; 228
software, enterprise-wide, benefits of; 126
software tool, cost analysis, in case study; 153, 154
life cycle (glossary definition); 275
business case example; 47
dual life cycle paradigm; 93, 94
methodology support, in case study; 147
milestones, in MBASE; 34, 46
planning, frameworks for; 34
software development, tying business planning process to; 44
Lim, Wayne C.; 92, 102, 181, 206, 260
Lindner, S. K., annotated entry; 255
line organization (glossary definition); 275
linear regression, COCOMO software cost estimation model use; 67
Lloyd, Thomas, annotated entry; 256
long-lead time items; 43
market survey; 39
MBASE activity mapping help; 47
loss of key personnel, avoidance, in case study; 228
LTEX (language and tool experience cost driver), in COCOMO II (table); 69

Madachy, Ray, annotated entry; 258
make-vs.-buy analysis; 95
make-buy, in case study (table); 208, 222, 223
mind-set differences (table); 96
in software capitalization case study; 150
as trade study; 89
tradeoffs, in case study; 152
management (glossary definition); 275
briefing
   financials, in case study (figure); 220
   recommendations, in case study (figure); 219
decisions, factors in; 171
infrastructure; 93, 113
issues, in reuse program [Lim, 1998]; 181
middle; 237, 240, 247
performance; 211, 215
reserve (glossary definition); 275
senior; 239, 244
shenanigans, buy decision consideration, in case study; 224
traps, characteristics; 242, 243
untrained, as risk factor; 166
Marciniak, John J.; 228, 232
market
Boehm's future software marketplace model; 7
creation, as focus of successful organizations; 40
data, information sources (table); 45
infrastructure, target opportunity role; 40
multiples, as performance evaluation factor, in case study; 215
share (glossary definition); 275
survey, business case preparation role of; 38
Maslow, Abraham; 245, 253
matrix organization (glossary definition); 275
as organizational structure, in case study; 106
maturity
level (glossary definition); 275
process, investment in, justifications for; 122
Mayfield, Mark; 145, 173
MBASE (Model-Based [System] Architecting and Software Engineering)
business case use; 34
mapping business and development process with; 46
milestones (figure); 35
McClure, Carma; 92, 102
McGibbon, Thomas; 123, 138
McMahon, P.E., annotated entry; 258
McManus, James I.; 109, 139
mean squared error (glossary definition); 275
measurement (glossary definition); 275
tools, for architecture-based reuse program; 181
meetings
as cooperation strategy, in case study; 134
effective, strategies for running; 182
Melo, Walcelio; 127, 138, 279
methods, model-based, in software development; 180
metrics (glossary definition); 275
analyst role, in case study; 136
issues, in software capitalization case study; 147
meaningful, as organizational change challenge; 10
question which to use, in GQM; 35
middle management. See also senior management
issues with top-down directives; 109
motivation of (table); 244
power of numbers in persuading; 112
questions, in case study; 116
tactical importance of alliances with; 240
ways of involving; 119
winning supprt of, product development role; 237
middleware (glossary definition); 275
milestones (glossary definition); 275
life cycle, in MBASE; 34, 35, 46
minimum attractive rate of return (glossary definition); 276
mobile code, in distributed software development environments; 86
model(s)
adoption, bibliographic references; 18
architectural development analysis, in case study; 190
-based software development; 180
Boehm’s future software marketplace model; 7
CMM; 79, 127
   e-business model compared with; 209
   Level 3, as starting point for case study strategies; 109
   Level 4, as goal of case study; 112
   Level 4 skills requirements, in case study; 136
   process improvement case study use; 116
   quantitative business benefits (table); 210
   software improvement strategy role; 110
CMMI, software processes included in; 8
COCOMO II, in LCA milestone activities; 48
commercial e-business (figure); 210
cost (glossary definition); 276
   as business case analysis tool; 66, 67
   calibrated, generating benchmarks with; 91
   comparison, scope considerations; 161
   credibility establishing role of; 238
   in software capitalization case study; 159, 161
life cycle, frameworks for; 34
MBASE, mapping the business and development process with (table); 46
MBASE, framework, business case use; 34, 35
modern process, parallelism in; 17
Plan-Try-Learn-Do improvement process model; 18
for Web-based strategy; 179, 180
Monday, Paul; 190, 206
money. See also cost(s); financials
as common denominator in evaluating alternatives; 54
saving, by spending money; 85
system, role in improvement justifications; 83
time value of, role in investment decisions; 55
traps, characteristics; 242, 243
Moore, Geoffrey A., annotated entry; 256
technology adoption life cycle model; 10, 11
morale, as factor in business climate, of process improvement case study; 111
motivation (glossary definition); 276
for change, business factors in; 22
stakeholder, needs that must be addressed; 244
Muller, R., annotated entry; 255
multinational corporations; 208, 229
Myers, Ware; 68, 76

Nash, D.; 82, 102
near-term benefits, importance of in persuading middle management; 113
net income (glossary definition); 276
growth trend analysis use, in case study; 215
networks; 86, 141
NIH (not invented here) syndrome, as change barrier (table); 23
nondiscounted ROI, process improvement case study use (figure); 116
nonrecurring costs, term description; 61
nonverbal communications, cultural mismatch issues, handling, in case study; 229
normal distribution, in value chain analysis; 62
norms, mismatch issues, handling, in case study; 229
North, David; 145, 173
Northrop, enterprise-wide software licensing savings; 126
notional, architecture, in case study; 191
numbers; 190. See also financials
accuracy importance; 235
decision-making role; 245
improvement justification role; 18
as postdecision reassurance tool; 13
power of, in convincing middle managers; 112
presentation role of; 26

object-oriented methods [Coad, 1996]; 145
occupations, fastest growing (table); 4
open systems, software improvement strategy role; 110
operating costs, savings resulting from Internet use; 207
operational
business case use, difficulty and importance of; 242
change tactics, relationship to principles for; 239
operational concepts (table); 121
environmental, in case study; 148, 150
infrastructure and, role in business planning process; 43
in software capitalization case study; 144
starting with, as step in business case development; 120
opportunity costs (glossary definition); 276
optimum price (glossary definition); 276
Orfali, Robert; 206
organization(al) (glossary definition); 276
change; 9, 10
goals, tieing improvements to, as business case strategy; 12
impact on, of CMMI processes; 9
profile, in software capitalization case study; 145
reinventing, in case study; 135
structure, in architecture case study (figure); 176
outputs, ratio to inputs, as productivity definition; 78
overcoming, adversity (chapter); 235
overhead, assignments, vs. project assignments, perceptions impact on turnover; 114

P&L (profit and loss) statement (glossary definition); 277
as consideration in management decision-making; 171
P/E (price/earnings) ratio, analysis use, in case study; 214, 215
P/S (price/sales) ratio, analysis use, in case study; 214, 215
packaging
business case, for management consumption; 70
numbers, skills involved with; 22
presentation, for executive mind-set; 26
proposals, for success in selling the proposal; 32
PAL (process asset library); 115, 119
parable, 78. See also examples
paradigm(s) (glossary definition); 276
development, references; 145, 146
dual life cycle; 93, 94
GQM, business case use; 34
incremental improvement, time minimization; 15
parallelism
implementation strategy when time is critical; 15
in modern process models; 18
in process group building; 114
in productivity improvement, advantages of; 78
as quick-to-market strategy; 89
parametric value changes, sensitivity analysis of; 64
Pareto analysis; 63
in full release milestone activities; 49
(glossary definition); 276
partnerships, building, as step in business case development; 120
pathfinder projects, as improvement justification strategy; 12
Paulk, Mark C.; 79, 103, 127, 138, 279
payback, 64
period (glossary definition); 276
PCAP (programmer capability cost driver), in COCOMO II (table); 69
PCON (personnel continuity cost driver), in COCOMO II (table); 69
peak pricing (glossary definition); 276
Peltz, James P.; 207, 232
penalties, tax, avoidance of; 71
perceptions
customer, strategies for changing, in case study; 176
importance of; 120
small and well-advertised success value; 241
performance (glossary definition); 276
baseline performance data, importance of insider sources for; 44
evaluation, in case study (table); 215
management; 211, 224
performer organizations; 106, 107
periodic assessment, of decision processes; 56, 57
personnel. See also human issues
improvement, importance of support for; 241
involvement, balancing the tradeoffs; 237
key, clause, in case study; 228
knowledge capital role, in case study; 216
persuasion
asking for help role in; 171
backup data use, in case study; 183
benchmark value; 159, 160
folklore role of, in case study; 165
management, nontechnical considerations (list); 171
of management, power of numbers for; 19, 112
in process improvement case study; 116
pervasive organizational change, implementation requirements; 9
PEXP (platform experience cost driver), in COCOMO II (table); 69
pilot projects, as improvement justification strategy; 12
plan of action, immediate execution of; 15, 43
Plan-Try-Learn-Do improvement process model; 18
planning (glossary definition); 276
in process improvement case study; 117
players, identifying key, as improvement success factor; 16
PMAT (process maturity cost driver); 69, 127
politics. See also cooperation; human issues; involvement; middle management; persuasion; psychological; senior management
challenges, in organizational change; 9
getting people involved, in case study; 134
implications of shutdown decisions; 245
progress reports, tactical importance of; 239
traps, characteristics; 242, 243
value, of small and well-advertised successes; 241
Pont, Michael J.; 146, 173
populating architecture with components, in case study; 191
postdecision dissonance, numbers as tool for overcoming; 13
Poulin, Jeffrey S.; 181, 260
power (glossary definition); 276
practice (glossary definition); 276
Prahalad, C. K.; 206
PREC (project precedentedness cost driver), in COCOMO II (table); 69
preselling idea, role in business planning process; 42
present value (PV) (glossary definition); 276
business case packaging use; 70
as consideration in management decision-making; 171
financial calculators use; 66
future worth relationship; 56
(tables); 263
term description; 36, 57
training example calculation; 58
of uniform series of cash flows (tables); 265
value of money as function of time use; 62
Pressman, Rogers S., annotated entry; 258
price acquisition; 218, 220. See also cost(s)
PRICE-S cost-estimation tool, reference [Jones, 1998]; 68
pricing (glossary definition); 276
priorities. See also goals
in credibility establishing strategies; 238
critical role of, in achieving success; 243
tasks, establishing; 119
process(es) (glossary definition); 276
acceleration of productivity improvement; 123
arbitrator role, in case study; 136
business, case; 34
business
   in software capitalization case study; 144
   use in supporting improvements; 12
business, planning analysis tools that quantify; 53
change management, references; 18
change, Humphrey’s principles of; 16
control systems, in case study organization; 178
decision, periodic assessment of; 56
development
   as operational concept (table); 121
   costs, in architecture case study; 189, 195
framework, rules and tools relationship to; 54
group model, advantages of, in case study; 194
group, organization chart (figure); 114
improvement case study; 105, 107, 108
   benefits of, supporting data; 82
   productivity improvement as justification for; 79
maturity (glossary definition); 276
   investment in, justifications for; 122
   issues [Lim, 1998]; 181
ownership, importance to successful software improvement; 8
software, included in CMMI; 8
product (glossary definition); 276
development; 195, 198
   focusing on, in change justification; 237
needs, support for, as motivation for change; 24
release, preparation, as IOC milestone activity; 49
product lines (glossary definition); 276
in architecture case study; 175, 177
architecture development role [Bass, 1998]; 180
benefits, in architecture case study (figure); 185
competitive advantage of, in case study; 179
cost justification for, in case study; 204
infrastructure requirements [Reifer, 1997]; 181
justification of, in case study; 126
lines; 92, 93
management (glossary definition); 277
production capacity, value analysis use; 216
productivity, term description; 78, 123
acceleration, savings, in case study (table); 124
as component of improvement framework; 6
as goal, in GQM example; 36
improvement
   as justification for process improvement; 79
   process acceleration of; 123
   underutilized resource use for; 78
process improvement as tool for, case study; 105
separating from cost, in justifying improvements; 83
products, of architecture case study organization; 177
professionals, software, motivation of (table); 244
profit and loss. See P&L
profitability, as executive concern; 27
profits, accounting, term description; 28
separating from cost, in justifying improvements; 83
program management; 107, 109, 112
progress reports, tactical importance of; 239
project(s) (glossary definition); 277
-based organizations, product line strategy difficulties; 92
benchmark, for client/server upgrade, in case study; 159
budgets, capital budgets compared with; 33
management (glossary definition); 277
   costs, in architecture case study; 197
management tasks, in case study; 190
organization (glossary definition); 277
pathfinder, as improvement justification strategy; 12
pilot, as improvement justification strategy; 12
plans; 40, 43
schedule, for Web initiative, in case study; 188
vs. total organization, as organizational change challenge; 10
promotion
of achievements, ongoing need for; 122
of successes, tactical importance of; 241
property, intellectual; 216, 227
value framework for (figure); 99
proposal (glossary definition); 277
proprietary, information, shielding during presentation of number; 123
prototyping
business case preparation role of; 38
as improvement justification strategy; 12
as risk minimization strategy; 15
psychological. See also human issues; politics
aspects, in cost model use; 162
challenges, in organizational change; 9, 13
issues, in upgrade or replace decisions; 248
publicizing success, importance for engendering support; 120
publishing results; 117
purchase of equipment; 156, 157, 158
Purker, G., annotated entry; 255
Putnam, Lawrence H.; 68, 76
PV. See present value
PVOL (platform volatility cost driver), in COCOMO II (table); 69

qualitative, factors, role in decision making; 55
quality
assurance, as operational concept (table); 121
assurance, process improvement case study role; 106, 107
as component of improvement framework; 6
management, reference; 109
rules, ten times the norm; 95
quantitative
control (glossary definition); 277
factors and risks, role in decision making; 55
risk impact, in case study; 166
techniques, principles that underlie; 54
question(s), selection of, in GQM use; 35
quick-to-market strategies; 89, 91
quicken.excite.com securities evaluator, value computation by; 216

RAD (rapid application development); 89, 90
Ragan, Tara; 76, 138
ranges
importance in business case packaging; 70
inclusion in number packaging; 236
rate of return (glossary definition); 277
after-tax, as investment opportunity analysis metric; 62
rating of project managers, basis for; 33
Rational Unified Process Life Cycle model, reference [Kruchten, 1998]; 34, 145
readiness, for change, assessment criteria; 24
real value, as performance evaluation factor, in case study; 215
recommendations, acquisition, in case study; 219
recurring costs, term description; 61
reduction of costs
cost avoidance vs.; 83, 84
strategies for, in architecture case study; 197
redundancy, avoidance, in analysis studies; 238
Redwine, Samuel; 12, 30
reference architecture (glossary definition); 277
refreshing organizations, in case study; 135
regression analysis (glossary definition); 277
reinventing organizations, in case study; 135
RELY (required software reliability cost driver), in COCOMO II (table); 69
reputation as acquisition value factor, in case study; 221
requirements
change, impact on budget and expenditures in software life cycle; 34
for CMM Level 4, in case study; 136
customer, as process improvement motivation; 108
resistance to change, business reasons that help overcome; 23
RESL (architecture and known risk resolution cost driver), in COCOMO II (table); 69
resources (glossary definition); 277
acquisition of, as company purchase goal; 211
getting committed, as improvement success factor; 16
lack of, as barrier to change; 9
leveraging, as step in business case development; 120
related questions, for business case development; 14
serious investment in, as requirement for effective process change; 17
underutilized, productivity improvement use; 78
Web, for business case preparation; 250
responsiveness, value analysis use (figure); 217
results, good-enough and short-term; 239
return on capital, as investment opportunity analysis metric; 62
return on investment. See ROI
reuse
architecture, estimated annual benefits (table); 205
in architecture case study (chapter); 175
architecture-based, measurement tools for; 181
design for and with reuse rule; 95
infrastructure needs (figure); 93, 181
justification of, in case study; 126
library development costs, in study; 191
management issues [Lim, 1998]; 181
populating architecture with components, in case study; 191
savings attributable to; 127
shared component identification with, in case study; 190
software (glossary definition); 277
   advantages of; 93
   architecture and product line implementation role; 179
   improvement strategy role; 110
   library, asset management with; 93
   time to market as justification for; 92
system-level, reference; 127
tools that facilitate, reference; 129
revenue growth trend analysis use, in case study; 215
revitalizing, organizations, in case study; 135
Rice, Valerie; 5, 30
risk(s) (glossary definition); 277
addressing, in prototype demonstrations; 38
analysis; 166, 248
as consideration in management decision-making; 171
identifying, as improvement success factor; 16
implementation strategy when risk minimization is critical; 15
management (glossary definition); 277
   funding reserves use for; 34
   in conjunction with quick-to-market strategies; 91
matrix, top 10 list (table); 249
quantification of, in decision-making; 55
taking; 9, 13
ROA (return on assets), management performance analysis use, in case study; 215
road maps, treating plans as, importance of; 240
Roberts, William; 98, 103
ROE (return on earnings); 213, 214, 215
Roeding, C. R., annotated entry; 255
Roetzheim, William H.; 68, 76
ROI (return on investment) (glossary definition); 277
analysis, in business plans; 42
COTS use inclusion, in case study; 126
formula for; 58
as investment opportunity analysis metric; 63
as justification, in GQM example; 36
nondiscounted, use in case study (figure); 116
in product line cost justification, in case study; 204
quantifying, in case study; 129
ROM (rough order of magnitude), software job size estimation use; 162
Romback, H. Dieter; 51
rotation, group dynamics benefits, in case study; 135
Royce, Walker, annotated entry; 259
rule(s); 95
RUSE (developed for reusability cost driver), in COCOMO II (table); 69

sales; 14, 17, 18
tools, white paper; 38
salvage value (glossary definition); 277
scale factor; 165, 166
SCED (Required development schedule cost driver), in COCOMO II (table); 69
schedule (glossary definition); 277
project, for Web initiative, in case study; 188
scheduling (glossary definition); 277
Schneider, Geri; 146, 173
Schulmeyer, G. Gordon; 109, 139
scope, of cost models; 160, 161
Scott-Morgan, Peter; 243, 253
SEC (Securities and Exchange Commission), financial analysis use, in case study; 213
secrecy, maintaining, in presentation of number; 123
securities evaluator, quicken.excite.com, value computation by; 216
security, impact on software sharing; 127
SEER cost-estimation tool, reference [Jones, 1998]; 68
SEI (Software Engineering Institute), annotated entry; 259
change management tools, URL reference; 18
CMM; 116, 209
organizational ratings, by industry and maturity level (figures); 81, 82
SW-CMM ; 79
selling ideas, ongoing need for; 122
senior management. See also human issues; middle management
benchmark as persuasion tool; 159
communication with, importance of; 239
lack of support by, as change barrier (table); 23
motivation of (table); 244
numbers importance to; 19
process improvement case study role; 106, 107
questions, in case study; 116
role in effective process change; 16
software understanding difficulties; 110
sensitivity analysis; 64
(glossary definition); 277
separation, of concerns, in decision-making; 55
seven-phase traditional improvement cycle; 15
seven-step business planning process (figure); 38
SG&A (selling, general, and administrative) costs, in GE’s Internet use decisions; 208
Shaffer, Steven L.; 206
Shim, J. K., annotated entry; 261
short-term results, value of; 239
shut down or continue, numbers role in determining; 245
Siegel, J. G., annotated entry; 261
Sifonis, J., annotated entry; 255
Simon, Alan R.; 206
simple interest, term description; 56
Sims, Oliver; 76, 206
simulation; 15, 38
SITE (multisite development cost driver), in COCOMO II (table); 69
sizing software jobs, SLOC use; 162
skills, strength of, value analysis use (figure); 217
SLIM cost-estimation tool, reference [Putnam, 1992]; 68
SLOC (source lines of code)
in COTS trade study; 169
/hour, as metric in case study (figure); 116
sizing software jobs with; 162
/SM, benchmark, as process improvement metric; 123
social, trends, target opportunity role; 40
SoftCost cost-estimation tool, reference [Tausworthe, 1981]; 68
software
architecture, term description; 94
   as case study subject; 19
assets, term description; 93
Boehm’s future software marketplace model; 7
capitalization, approaches; 85
   as case study subject; 19
   case study (chapter); 141
changes in perceptions of; 5
cost estimation model, COCOMO II; 67
development, technology change impact on; 8
estimating, process for (figure); 161
improvement, process improvement role in; 110
as intellectual property, value analysis use; 216
as knowledge, potential acquisition value determination use; 99
languages, comparison study results (table); 21
license (glossary definition); 277
licensing; 153, 228
life cycle (glossary definition); 278
make-vs.-buy analysis; 95
process change, Humphrey’s principles of; 16
processes, included in CMMI; 8
reuse; 92, 93
system, capabilities, in case study (table); 143
tools, productivity role; 86
viewing as a business; 3
Software Capability Maturity Model (SW-CMM). See CMM
Software Productivity Consortium (SPC), change management tools, URL reference; 18
source lines of code. See SLOC
sources, of business plan information; 45
SPICE (software process improvement and capability determination), reference [Emam, 1997]; 127
SPIN (Software Process Improvement Network), CMM use reports by; 81
spiral cycle, reference [Boehm, 1998]; 34
risk minimization with; 15
sponsors/sponsorship
change, importance to successful software improvement; 8
as funding source; 74
importance of preselling to; 27
spreadsheets; 66, 168
SPV (series present value), present value use; 58
staff (glossary definition); 278
staffing (glossary definition); 278
cost reduction strategies, in case study; 198
role in business planning process; 43
stakeholders; 117, 244
standard deviation (glossary definition); 278
standards, of term definitions, importance of using; 236
startups, determining the value of; 98
statistical, process-control tools, U-chart as example of; 126
Steece, Bert; 30, 51, 76, 102, 138, 173, 253
stock performance, of XYZ; 212
stockholders, as change drivers, in case study; 176
STOR (main storage constraint cost driver), in COCOMO II (table); 69
straight-line depreciation, term description; 88
strategy(s)
architecture-based, development of; 182, 184
business case, summary of (chapter); 235
considerations, acquisition in case study; 221
cost reduction, in architecture case study; 197
for implementing change; 12
investment, compatibility with, as change readiness criteria; 25
quick-to-market; 89, 91
relationships, target opportunity role; 40
software improvement (figure); 110
timing role, in case study; 230
for vision accomplishment, as step in business case development; 118
Web-based model for, in case study; 179, 180
structure, organizational, in case study; 145
success(es)
barriers to, trap lists (figure); 242
foundations for; 122
keys for, in improvement cycle implementation; 16
multiple small, value of; 239
small and well-advertised, tactical importance of; 241
sum of the years digits depreciation, term description; 88
sunk costs (glossary definition); 278
decision-making irrelevance; 238
decision-making role; 55
term description; 28
support
base, development of, role in planning process; 42
small and well-advertised success value in obtaining; 241
by those impacted by change; 16
Web development costs; 208
surplus, funds, as funding source; 74
Sveiby, Karl Erik; 100, 103, 256
SW-CMM (Software Capability Maturity Model). See CMM
system, software capabilities, in case study (table); 143
Szyperski, Clemens; 181, 206, 261

tactics, change, relationship to principles for; 239
takeover, target, financial analysis of; 211
tangible
assets, depreciation of; 88
benefits (glossary definition); 278
benefits, term description; 61
task(s) (glossary definition); 278
breakdown structures (figure); 118
cost estimation, in architecture case study; 186
defining, as step in business case development; 118
oriented, software estimating; 161
term description; 119
Tau, Robert Lai Chi; 126, 139
Tausworthe, Robert C.; 68, 76
tax(es)
after-tax rate of return, as investment opportunity analysis metric; 62
avoiding; 71
back, acquisition leverage, in case study; 226
benefits, as business case component; 22
consequences, of capital budgets; 33
impact, of equipment purchase (table); 158
implications; 56, 62, 171
investment tax credit, legal as consultant for; 159
questions, for business case development; 14
TEAM (development team cooperation cost driver); 69, 167
technology
adoption, factor in case study; 111
cases vs. business cases; 20
change, in business case preparation; 250
change in, impact on software development; 8
immaturity issues, as change barrier (table); 23
organizational impact, of CMMI processes; 9
reliability determination tradeoffs; 237
transfer (glossary definition); 278
transfer, training and support cost handling; 209
transition frameworks, references; 18
traps, characteristics; 242
trends, target opportunity role; 40
telephone industry, post-WWII paradigm shift; 7
terminology
definitions; 70, 236
of different communities, skills involved in communication with; 22
effective communication issues, in case study; 182
terms and conditions (glossary definition); 278
“the devil is in the details,” importance to successful business case preparation; 37
“The Mythical Man-Month,” time issues illustrated by; 89
Thorp, J., annotated entry; 257
three strikes you’re out rule; 95
three uses rule; 95
throw away code rule; 95
TIME (execution time constraint cost driver), in COCOMO II (table); 69
time value of assets (glossary definition); 278
role in investment decisions; 55
time-to-market
benefits, in architecture case study (figure); 185
as component of improvement framework; 6
as spur to change, case study (chapter); 175
time/timing
achievable timetables, as change readiness criteria; 25
adoption, target opportunity role; 40
data movement as function of; 66
development (glossary definition); 273
implementation strategy when time is critical; 15
to market, as justification for architecting products; 92
required, for moving up a CMM level; 82
as requirement for effective process change; 17
role, in decision-making; 55
strategy role of; 241
utility, term description; 219
value of money as function of; 62
Toffler, Alvin; 3, 30
TOOL (use of software tools cost driver), in COCOMO II (table); 69
tools
acquisition, role in business planning process; 43
alternatives, risk analysis, in case study; 166
analysis, for business planning process; 53, 54
business case analysis; 66
in-house, as alternative, in case study; 151
issues, in software capitalization case study; 146
software; 8, 32, 86
tradeoff analysis, in case study (table); 153
top-down directives, compliance issues; 109
total quality management, reference [Schulmeyer 1992]; 109
Townsend, Robert; 235, 253
traceability matrix, issue tracking with, in software capitalization case study; 149
tracking (glossary definition); 278
goal progress, importance of; 113
trade studies
business case use; 47
capital decision use; 89
of COTS; 168, 169, 170
development of; 40
in IOC milestone activities; 49
as “what-if” analysis tool; 167
tradeoffs. See also trade studies
analysis, of shutdown or continue costs; 246
analysis, tools, in case study (table); 153
COTS vs. make; 96
in make/buy decision-making, in case study; 152
tool options, in case study (table); 153
training (glossary definition); 278. See also education
costs; 191, 192, 223
example; 54, 84
as factor in business climate, of process improvement case study; 111
issues, in software capitalization case study; 146
software improvement strategy role; 110
Web development costs; 208
transactions; 97, 143
transfer, of intellectual property rights, in case study; 227
transition; 18, 121
traps
acquisition, strategies for avoiding, in case study; 226
avoidance strategies; 242
management, characteristics; 243
money, characteristics; 242, 243
political, characteristics; 242, 243
technical, characteristics; 242
trend(s)
analysis; 66
   (glossary definition); 278
   in IOC and LCO milestone activities; 48, 49
   in process improvement case study; 123
social and technology, target opportunity roles; 40
tricycles; 15, 18
try before you buy, as benefit of enterprise-wide software licensing savings; 126

U-chart, term description; 126
uncertainty (glossary definition); 278
union difficulties, in case study; 144
University of Southern California (USC)
as COCOMO II source; 70
MBASE development at; 34
UNIX operating system, life cycle stages; 12
upgrade or replace, role of numbers; 247
URL reference
for business cases Web resources (table); 250
COCOMO II; 70
SEI and SPC; 18
use cases, references; 146, 180
useful life (glossary definition); 278
user support, as operational concept (table); 121

value (glossary definition); 278
acquisition, analysis and formula; 220
analysis, of knowledge capital; 216, 217
bottom line, as business case sales tool; 14
chain analysis; 62
computation, securities evaluator use in; 216
of creativity [Sveiby, 1987]; 100
vs. financials, in acquisition decision making; 214
framework, for intellectual property (figure); 99
of improvements, methods for demonstrating; 12
present, future worth relationship; 56
real, as performance evaluation factor, in case study; 215
variable costs (glossary definition); 278
version control, in distributed software development environments; 86
virtual
environment, support and justification issues, in software capitalization case study; 149
repository, in environmental operational concept, in software capitalization case study; 150
visibility, of improvements, as business case strategy; 12
vision
architecture, management pitch, in case study; 184
corporation characteristics, in 21st vs. 20th century (table); 148
development of, as step in business case development; 118
selling of, in case study; 147

Walters, C. Doug; 82, 102
WAN (wide area networks), in case study; 141
warranties (glossary definition); 278
survival of, in Web-based economy case study; 228
Waterman, R. H., Jr., annotated entry; 256
WBS (work breakdown structure)
cost estimation use, in architecture case study; 186
dictionary, for Web initiative, in case study; 188
for Web initiative, in architecture case study; 187
Web. See also Internet; URL references
architecture development for, case study; 175
-based B-to-B applications, in architecture case study, development costs; 195, 196
-based economy, as migration to, case study subject; 19
-based economy, moving to; 96
-based economy case study (chapter); 207
-based strategy, model for in architecture case study; 179, 180
B-to-B use, in architecture case study; 176
development; 200, 201
-enabled B-to-B infrastructure, in case study; 183
initiative, WBS for, in case study (figure); 187
interoperability, architecture development role [Bass, 1998]; 180
objects metric, in architecture case study; 196
presence, development strategies; 208
resources, for business case preparation; 250, 251
Web site development for PAL, as process group task; 115
Web, software development impact; 86
Weber, Charles V.; 79, 103, 127, 138, 279
Weinberg, G. M., annotated entry; 257
Weisbert, S., annotated entry; 261
Weiss, David M.; 126, 139
Welch, John, Internet initiatives; 207
“what-if” questions; 165, 167
Wheeler, Donald J.; 136, 139
white paper
business planning process role of; 38
tangible metrics backup for; 77
writing, as step in business case development; 118
why, importance of answering, in business objectives terms; 35
wide area networks. See WAN
Wiegers, K. E., annotated entry; 256
Williams, Gail; 229, 231
Win-Win life cycle model, reference [Boehm, 1996]; 34
window of opportunity, target opportunity role; 40
Winters, Jason P.; 146, 173
Wojtaszek, E.; 82, 102
work (glossary definition); 278
package (glossary definition); 278
product (glossary definition); 278
working groups, structure of, in case study; 135
worldwide corporations; 208, 209
wrappers for COTS
development costs, as factor in make-vs.-buy development; 96
development costs, evaluation, in case study; 152
write-offs vs. depreciation, in capital budget determination; 33
WWW (World Wide Web). See Web

XYZ Internet Corporation
financials analysis in case study; 211, 213
growth assessment, in case study (table); 214
performance evaluation (table); 215
stock performance, in case study; 212

Yourdon, Edward, annotated; 257
quotation; 141, 207

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