Exploring the human and organizational aspects of software cost estimation

Ana Magazinius, ROBERT H. FELDT · 2010

Cost estimation is important for planning, scheduling, budgeting and pricing of software development. Previous research has mainly focused on improving estimates and the associated processes. However, there is still a lack of research on human and organizational aspects of cost estimation and informal uses of cost estimates. This paper presents initial findings from a qualitative study addressing these questions. Based on four semi-structured interviews with experienced managers from different software developing organizations we have identified a number of aspects not commonly discussed in the cost estimation literature. The analysis indicates that cost estimates are used not only for prediction and planning, but also play a role in power plays within the organizations based on the stakeholders' differing interests. There are also human and organizational factors that are likely to influence the quality of estimates.

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