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

Chapter 7: Software Inspection Process ROI Methodology

The return on investment (ROI) methodology for the Software Inspection Process is a procedure to measure, quantify, and analyze its economic value. The Software Inspection Process is a type of meeting which is held in order to identify defects in software work products. ROI is the amount of money gained, returned, or earned above the resources spent on the Software Inspection Process. Its ROI methodology is a six-part process that consists of estimating costs, benefits, benefit/cost ratio (B/CR), return on investment percent (ROI%), net present value (NPV), and breakeven point. The ROI methodology for the Software Inspection Process has unique elements for estimating costs, benefits, and B/CR. Its cost and benefit methodologies are complex, though its B/CR, ROI%, NPV, and breakeven point methodologies are simple. Key elements include the total life cycle cost model, which is used to estimate the benefits of using the Software Inspection Process. Figure 25 illustrates the ROI methodology for the Software Inspection Process.


Figure 25: ROI Methodology for Software Inspection Process

7.1 Inspection Cost Methodology

The cost methodology for the Software Inspection Process is a procedure to measure, quantify, and analyze the amount of money spent. The Software Inspection Process incurs cost to find defects, but results in lower overall software maintenance costs. Cost is the economic consequence of using the Software Inspection Process to create a new and improved software process. Its cost methodology is a five-part process that consists of estimating training, software, meeting, test, and maintenance costs. The cost methodology for the...

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