Practical Software Estimation: Function Point Methods for Insourced and Outsourced Projects (Infosys Press)

"A clearly written book that is a useful primer for a very complicated set of topics." --Capers Jones, Chief Scientist Emeritus, Software Productivity Research LLC Practical Software Estimation brings together today's most valuable tips, techniques, and best practices for accurately estimating software project efforts, costs, and schedules. Written by a leading expert in the field, it addresses the full spectrum of real-world challenges faced by those who must develop reliable estimates. M. A. Parthasarathy draws on the immense experience of Infosys, one of the world's largest and most respected providers of IT-enabled business solutions, to bring you the only book with detailed guidance on estimating insourced and outsourced software projects, as well as projects that blend both approaches. He demonstrates how to successfully utilize Function Point (FP) methods, the industry's leading estimation model. Then, using real case studies, he systematically identifies pitfalls that can lead to inaccurate estimates--and offers proven solutions. Coverage includes How to estimate all types of software projects, including "fresh" development, reengineering, and maintenance How to incorporate the impact of core project elements on estimates: scope, environment, experience, and tools FP analysis from start to finish: data and transaction functions, general system characteristics, and more FP methods for any platform or business function Innovative re-estimation methods to track progress How to quote RFPs and prepare contracts: fixed price, time/material, and project execution lifecycle models Alternatives to FP: Delphi, COCOMO II, and COSMIC-FFP How to choose the right estimation tools Practical Software Estimation is the definitive reference for anyone who must estimate software projects accurately: project and IT managers, individual developers, system designers, architects, executives, consultants, and outsourcers alike. List of Figures List of Tables Foreword Preface Acknowledgments Chapter 1: Introduction Chapter 2: Role of Estimation in Software Projects Chapter 3: A Study of Function Point Analysis Chapter 4: Data Functions Chapter 5: Transactional Functions Chapter 6: General System Characteristics Chapter 7: Size, Effort, and Scheduling of Projects Chapter 8: Estimation Flavors Chapter 9: A Sense of Where You Are Chapter 10: Tips, Tricks, and Traps Chapter 11: Insourcing versus Outsourcing Chapter 12: Key Factors in Software Contracts Chapter 13: Project Estimation and Costing Chapter 14: Other Estimation Methods Chapter 15: Estimation Tools Chapter 16: Estimation Case Study Appendix A: Reference Tables: Transaction Function Counts Appendix B: Reference Tables: Data Function Points Bibliography Index Cover......Page 1 Contents......Page 8 List of Figures......Page 18 List of Tables......Page 20 Foreword......Page 26 Preface......Page 28 Acknowledgments......Page 34 What Is Software Estimation?......Page 36 Work Environment......Page 41 Usage of Tools......Page 42 Software Project Estimation......Page 43 Project Scope......Page 44 Software Environment......Page 45 Software Development Tools......Page 46 Continuous Improvement Cycle......Page 47 Why Software Estimation?......Page 50 Metrics—Past, Present, and Future......Page 51 Importance of Estimation......Page 53 Estimation—Who and How......Page 54 Conclusion......Page 56 References......Page 57 Other Interesting Reading Material......Page 58 Software Projects and Estimation......Page 60 Project Budget Approval Phase......Page 61 Project Contract Phase......Page 62 Project Execution Phase......Page 63 Estimation and Measurement......Page 66 Estimation and Measurement Complexities......Page 67 Modularized Estimation......Page 69 Case Study—Modularized Estimation......Page 72 Large Application Systems......Page 75 Heterogeneous Portfolio of Application Systems......Page 76 Conclusion......Page 77 Other Interesting Reading Material......Page 78 Why Estimation?......Page 80 What Is an Estimation Method?......Page 81 What Is a Function Point?......Page 82 Function Point as a Measuring Yardstick......Page 84 Uses and Benefits of Function Points......Page 85 Function Point Analysis......Page 86 FPA—Objectives......Page 88 The FPA Model......Page 90 The FPA Process......Page 92 Conclusion......Page 105 References......Page 107 Introduction......Page 108 A Data File Example......Page 109 Data Functions Defined by IFPUG......Page 110 ILFs and EIFs......Page 111 Embedded Terms......Page 112 Rules for Identification of ILFs and EIFs......Page 115 Determining Complexity of ILFs and EIFs......Page 116 Complexity and FP Count Contributions......Page 121 Tips to Remember......Page 123 Identifying ILF/EIF: User View versus Developer View......Page 130 Other Interesting Reading Material......Page 131 Introduction......Page 132 Definition of Transactions......Page 133 Ingredients of a Transaction......Page 135 Transactional Functions Defined by IFPUG......Page 137 External Inquiry......Page 139 Embedded Terms......Page 140 Rules for Identification of EI, EO, and EQ......Page 142 External Inputs......Page 146 Step-by-Step FP Contribution Calculation Process......Page 147 CRUD Transactions......Page 150 Invoice System—FP Counting Process......Page 151 Conclusion......Page 153 Other Interesting Reading Material......Page 154 Introduction......Page 156 Functional Requirements......Page 157 Introduction to General System Characteristics......Page 158 Guidelines for General System Characteristics......Page 160 GSC-2: Distributed Data Processing......Page 161 GSC-4: Heavily Used Configuration......Page 162 GSC-6: Online Data Entry......Page 164 GSC-7: End-User Efficiency......Page 165 GSC-9: Complex Processing......Page 166 GSC-10: Reusability......Page 167 GSC-12: Operational Ease......Page 169 GSC-14: Facilitate Change......Page 170 GSC and NFR......Page 172 Tiers......Page 174 ISO/IEC 14143-1: Definition of User Requirements......Page 175 From the Dinosaur Era to the Jet Age......Page 176 The Relationship among GSC, NFR, and Technology Platform......Page 178 Case Study......Page 180 Other Interesting Reading Material......Page 182 Key Inputs to Software Sizing......Page 184 Differentiate Functions from Production Effort/Costs......Page 185 Function Point Analysis Method......Page 187 Size—The Differentiator......Page 189 Inputs to Sizing......Page 190 Source of Inputs......Page 191 Accuracy of Requirements......Page 192 Role of Size in the Software Development Lifecycle......Page 193 Productivity Drivers......Page 194 Software Development Environment......Page 195 Productivity Measurement......Page 196 Productivity......Page 197 Effort and Schedule......Page 198 Deriving Effort......Page 199 Resource Loading......Page 200 Conclusion......Page 202 References......Page 203 Other Interesting Reading Material......Page 204 Change Forever......Page 206 Functional Decomposition of Modules......Page 208 Case Study—Invoicing Application......Page 209 Development—Function Point Analysis Method......Page 211 Reengineering Projects......Page 212 Reengineering—Function Point Analysis Method......Page 214 Migration Projects......Page 217 Maintenance Projects......Page 218 Request for Service......Page 219 Estimating Maintenance Requests—Function Point Analysis......Page 220 Case Study—Maintenance Request......Page 221 Complexity in Estimation of Request for Service......Page 223 References......Page 227 On the Right Track, On Time......Page 228 Pervasive Estimations......Page 231 The Rippling Effect......Page 232 Agile Software Projects......Page 234 Case Study......Page 237 Estimation Maturity......Page 243 Mentor and Monitor Estimation Methods......Page 245 Conclusion......Page 246 References......Page 247 Other Interesting Reading Material......Page 248 Setting the Context......Page 250 Estimate Invisible Overheads......Page 251 Tip 1: Project Team Size......Page 252 Tip 2: Lifecycle Model......Page 253 Tip 5: Proof-of-Concept......Page 255 Trick 1: Manipulating Project Costs......Page 256 Trick 2: The Balancing Effect......Page 257 Trick 3: User versus Developer View......Page 258 Trick 4: Accuracy of Inputs to Estimation......Page 259 Trap 1: Estimation Tools......Page 260 Trap 3: GSC—The Killer......Page 261 Trap 4: Application Size and Delivery Schedule......Page 263 Trap 5: Caution while Counting FP of Existing Applications......Page 264 Conclusion......Page 265 Other Interesting Reading Material......Page 266 Introduction......Page 268 The Insourcing IT Organization......Page 269 The Outsourcing IT Organization......Page 271 Insourcing Estimation......Page 274 Outsourcing Estimation......Page 275 Insourcing versus Outsourcing: Pros and Cons......Page 277 Reference......Page 282 Introduction......Page 284 The Fixed Price Contract......Page 285 The Time and Material Contract......Page 287 The Flexible Contract......Page 290 Project Execution Methods......Page 292 References......Page 298 Ingredients of Project Costs......Page 300 Requirements Phase......Page 301 Design Phase......Page 303 Build and Test Phase......Page 304 Lifecycle Model......Page 305 Develop a Cost Matrix......Page 306 Estimation and TCO......Page 307 Conclusion......Page 309 Other Interesting Reading Material......Page 310 Estimation Methods......Page 312 Estimation Approaches......Page 313 Top-Down Estimation Approach......Page 314 The Bottom-Up Approach......Page 318 Parametric Approach......Page 320 COCOMO II Model......Page 321 COSMIC-FFP Method......Page 323 Estimation Models Pros and Cons......Page 326 References......Page 329 Other Interesting Reading Material......Page 330 Why Use Tools?......Page 332 Ingredients of a Good Estimation Tool......Page 333 Deploying Estimation Tools in IT Organizations......Page 335 List of Tools......Page 337 Conclusion......Page 340 Other Interesting Reading Material......Page 341 Basic Assumptions......Page 342 Step-by-Step FP Counting Process (Development Projects)......Page 344 Case Study: 1—Invoicing System......Page 347 Invoice Module......Page 350 Step-by-Step FP Counting Process (Enhancement Projects)......Page 385 Assessing the Impact of Enhancing the Invoice Application......Page 387 Other Interesting Reading Material......Page 394 Reference Table to Calculate ILF/EIF FP Count......Page 396 Reference Table to Calculate Total FP Count......Page 397 Reference Table to Calculate VAF from GSC—Total Degree of Influence......Page 398 Internal Logical Files and External Interface Files......Page 400 External Inputs/External Outputs/External Inquiries......Page 401 Bibliography......Page 404 B......Page 408 C......Page 409 D......Page 410 E......Page 411 F......Page 413 G......Page 414 I......Page 415 L......Page 416 O......Page 417 P......Page 418 R......Page 419 S......Page 420 T......Page 421 U......Page 422 W......Page 423

A clearly written book that is a useful primer for a very complicated set of topics.

—Capers Jones, Chief Scientist Emeritus, Software Productivity Research LLC

Practical Software Estimation brings together today's most valuable tips, techniques, and best practices for accurately estimating software project efforts, costs, and schedules. Written by a leading expert in the field, it addresses the full spectrum of real-world challenges faced by those who must develop reliable estimates.

M. A. Parthasarathy draws on the immense experience of Infosys, one of the world's largest and most respected providers of IT-enabled business solutions, to bring you the only book with detailed guidance on estimating insourced and outsourced software projects, as well as projects that blend both approaches. He demonstrates how to successfully utilize Function Point (FP) methods, the industry's leading estimation model. Then, using real case studies, he systematically identifies pitfalls that can lead to inaccurate estimates—and offers proven solutions.

Coverage includes

• How to estimate all types of software projects, including fresh development, reengineering, and maintenance
• How to incorporate the impact of core project elements on estimates: scope, environment, experience, and tools
• FP analysis from start to finish: data and transaction functions, general system characteristics, and more
• FP methods for any platform or business function
• Innovative re-estimation methods to track progress
• How to quote RFPs and prepare contracts: fixed price, time/material, and project execution lifecycle models
• Alternatives to FP:Delphi, COCOMO II, and COSMIC-FFP
• How to choose the right estimation tools

Practical Software Estimation is the definitive reference for anyone who must estimate software projects accurately: project and IT managers, individual developers, system designers, architects, executives, consultants, and outsourcers alike.

List of Figures
List of Tables 
Foreword
Preface
Acknowledgments
Chapter 1: Introduction
Chapter 2: Role of Estimation in Software Projects
Chapter 3: A Study of Function Point Analysis
Chapter 4: Data Functions
Chapter 5: Transactional Functions
Chapter 6: General System Characteristics
Chapter 7: Size, Effort, and Scheduling of Projects
Chapter 8: Estimation Flavors
Chapter 9: A Sense of Where You Are
Chapter 10: Tips, Tricks, and Traps
Chapter 11: Insourcing versus Outsourcing
Chapter 12: Key Factors in Software Contracts
Chapter 13: Project Estimation and Costing
Chapter 14: Other Estimation Methods
Chapter 15: Estimation Tools
Chapter 16: Estimation Case Study
Appendix A: Reference Tables: Transaction Function Counts
Appendix B: Reference Tables: Data Function Points
Bibliography
Index 

__"A clearly written book that is a useful primer for a very complicated set of topics."__**__Practical Software Estimation__**How to estimate all types of software projects, including "fresh" development, reengineering, and maintenance How to incorporate the impact of core project elements on estimates: scope, environment, experience, and tools FP analysis from start to finish: data and transaction functions, general system characteristics, and more FP methods for any platform or business function Innovative re-estimation methods to track progress How to quote RFPs and prepare contracts: fixed price, time/material, and project execution lifecycle models Alternatives to FP: Delphi, COCOMO II, and COSMIC-FFP How to choose the right estimation toolsis the definitive reference for anyone who must estimate software projects accurately: project and IT managers, individual developers, system designers, architects, executives, consultants, and outsourcers alike.__List of Figures__ __Foreword__ __Acknowledgments__Chapter 1: IntroductionChapter 2: Role of Estimation in Software ProjectsChapter 3: A Study of Function Point AnalysisChapter 4: Data FunctionsChapter 5: Transactional FunctionsChapter 6: General System CharacteristicsChapter 7: Size, Effort, and Scheduling of ProjectsChapter 8: Estimation FlavorsChapter 9: A Sense of Where You AreChapter 10: Tips, Tricks, and TrapsChapter 11: Insourcing versus OutsourcingChapter 12: Key Factors in Software ContractsChapter 13: Project Estimation and CostingChapter 14: Other Estimation MethodsChapter 15: Estimation ToolsChapter 16: Estimation Case StudyAppendix A: Reference Tables: Transaction Function CountsAppendix B: Reference Tables: Data Function Points__Bibliography____Index__