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Software Development Cost - Looking for training courses or systems

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Anonymous
I am looking for a training course (any format) that provides a good foundation and process that helps companies create a budget/cost estimate for new agile software development projects.

We are also open to purchasing a system that helps estimate & track a budget for software development.
Or if there is a consultant who helps companies create a process for estimating costs, we are open to hiring them.

My company does not have a good system/process for estimating the cost when responding to RFPs or when creating a workorder for a client.
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Kiron Bondale Retired | Mentor| Retired Welland, Ontario, Canada
A few questions:

1. How uncertain or dissimilar is the work to projects done before?

2. How capable are the delivery teams when it comes to agile delivery?

3. What time horizon is looked at for the estimates (e.g. next near term release, full project)?

4. Is this expected to be just an estimate or the basis of a fixed price contract?

Kiron
...
1 reply by Karrie Dash
Jan 12, 2023 9:11 AM
Karrie Dash
...
1. How uncertain or dissimilar is the work to projects done before?
I'm not sure what you mean.
Some projects could be new, as it would be building a brand new application.
Other projects could be maintenance work where the system is built but changes are needed.
Our company usually stays within the same industry (education technology) but have worked on other projects that are not related to ed-tech (ex: medical applications)

2. How capable are the delivery teams when it comes to agile delivery?
Everyone is very familiar with agile and all PMs are certified product owners or scrum masters.

3. What time horizon is looked at for the estimates (e.g. next near term release, full project)?
We have different projects that could either option.

4. Is this expected to be just an estimate or the basis of a fixed price contract?
Any of our projects could be both. We are now using a times/material contract because we were not able to accurately estimate for the fixed price contracts.
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Abolfazl Yousefi Darestani Manager, Quality and Continuous Improvement| Hörmann-TNR Industrial Doors Newmarket, Ontario, Canada
I think you need to be more specific. It is hard to say without the required details. Kiron asked a few important questions.
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Karrie Dash Sykesville, Md, United States
Jan 11, 2023 5:33 PM
Replying to Kiron Bondale
...
A few questions:

1. How uncertain or dissimilar is the work to projects done before?

2. How capable are the delivery teams when it comes to agile delivery?

3. What time horizon is looked at for the estimates (e.g. next near term release, full project)?

4. Is this expected to be just an estimate or the basis of a fixed price contract?

Kiron
1. How uncertain or dissimilar is the work to projects done before?
I'm not sure what you mean.
Some projects could be new, as it would be building a brand new application.
Other projects could be maintenance work where the system is built but changes are needed.
Our company usually stays within the same industry (education technology) but have worked on other projects that are not related to ed-tech (ex: medical applications)

2. How capable are the delivery teams when it comes to agile delivery?
Everyone is very familiar with agile and all PMs are certified product owners or scrum masters.

3. What time horizon is looked at for the estimates (e.g. next near term release, full project)?
We have different projects that could either option.

4. Is this expected to be just an estimate or the basis of a fixed price contract?
Any of our projects could be both. We are now using a times/material contract because we were not able to accurately estimate for the fixed price contracts.
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Sergio Luis Conte Helping to create solutions for everyone| Worldwide based Organizations Buenos Aires, Argentina
In my actual work place we use Technology Business Management (TBM) standard. Search for TBM Council into the internet.
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Kiron Bondale Retired | Mentor| Retired Welland, Ontario, Canada
Karrie -

With projects that possess great uncertainty or complexity, trying to predict long term outcomes with any accuracy is unlikely.

With an adaptive approach, you have two choices which may work:

1. Once the team has got some confidence in the scope of work, solution approach and some design/architecture exploration has been completed, they may be in a position to commit to a near term (measured in days or weeks) release.

2. If the work is not overly complex or conceptual, another choice is to fix schedule and cost using a ROM estimate (e.g. T-shirt sizing with a rule of thumb translating T-shirt sizes to effort), and let scope be flexible. This assumes that the team is confident that at least a minimum solution could be delivered within those time and cost constraints.

If neither of these is suitable, then you are better off avoiding fixed cost estimates.

Kiron
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Latha Thamma reddi Sr Product and Portfolio Management (Automation Innovation)| DXC Technology Mckinney, Tx, United States
Thanks for sharing.

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