Operational Objective: Reduce Cost

Relationships
Main Description

Description

Software delivery costs can be measured in dollars or effort. Cost contributors for software delivery include:

  • Fully Burdened Labor Costs
    • Labor
    • Charge back for environment (tools and hardware)
    • Office expenses
  • License Costs
    • COTS product
  • Mentoring
  • Third-party labor, including outsourced work
  • Training
  • Migration

To monitor Cost status for a project, see the Cost Dashboard.

Strategies

The following strategies help reduce the costs associated with software delivery:

  • Improve Software Delivery Efficiency
    • Reduce costs by streamlining software delivery processes, reduce manual work and increase automation
    • Reduce costs and effort by increasing design and code reuse, including existing industry standards.
    • Indicators
      • High levels of manual work
      • Ineffective procedures, bureaucratic processes
      • Low bandwidth communication
      • High communication overhead
  • Reduce Infrastructure Costs
    • Focus on optimizing hardware utilization to reduce infrastructure costs (e.g. server costs, TSO client costs)
    • Indicators
      • EM?
  • Modernize Applications
    •  EM??
  • Deliver on Customer Requirements
    • Reduce costs and effort by reducing waste, delivering low priority / low value features, or building something that may not be required
    • Indicators
      • High number of features that have not been used
      • Spending money or effort on things not directly related to production
      • Large and aging enhancement request backlog
      • Large amounts of post-delivery support