ROI of Software Process Improvement: Metrics for Project Managers and Software Engineers

Methods for benefit analysis are techniques to identify, measure, and quantify the benefits of software process improvement (SPI). Methods for benefit analysis are the cornerstone of SPI, SPI methods, and the return on investment (ROI) of SPI. Methods for benefit analysis are perhaps the most elusive, evasive, and least understood area in software engineering. Few know how to measure the benefits of software project management, software quality, and SPI. All other issues aside, methods for benefit analysis are the key enablers to understanding SPI and performing ROI of SPI. Methods for benefit analysis include measurement of productivity, defect density, quality, and defect removal efficiency. Measurements using the defect removal, software effort, and total life cycle cost models are also key methods for benefit analysis. This is by no means an exhaustive list of methods for benefit analysis. However, it is a virtual treasure trove of methods for benefit analysis that can fuel your SPI and ROI of SPI activities for years.
Productivity is a measure of how much and how fast software is produced. Defect density is a measure of the number of software defects. Quality is a measure of conformance to customer requirements. Defect removal efficiency is a measure of how effective your processes are at achieving software quality. The defect removal model is an estimate of how many defects escape your software process. It is also used to measure the effectiveness of your software processes. Software effort is a measure of how many hours it will take you...