EC-14-bigproject1618

EC-14-bigproject1618 - Software Decision Analysis...

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Software Decision Analysis Techniques Chapters 10-20 in Software Engineering Economics Economics – The study of how people make decisions in resource-limited situations Macroeconomics Inflation, taxation, balance of payments Microeconomics Make-or-buy, pricing, how much to build Software economics decisions Make-or-buy: Software Product How many options to build? Which DP architecture to use? How much testing (prototyping, specifying) is enough? How much software to re-use? Which new features to add first?
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Outline of Chapters 10-12. Context; TPS II Example; Cost-Effectiveness Analysis Models, optimization, production functions, economies of scale decision criteria 13-15. Multiple-Goal Decision Analysis I Net value, marginal analysis, present value, figures of merit. 16-18. Multiple-Goal Decision Analysis II Goals as constraints, constrained optimization, system analysis, unquantifiable goals 19-20. Dealing with Uncertainties Expected value, utility functions, statistical decision theory, value of information
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Decision Analysis Techniques Use present value techniques to convert future $ to present $ (chapter 14) Use statistical decision theory techniques (Chapters 19,20) Yes Yes Yes Yes No No No No All decision criteria (DCs) convertible to present $? All Non-$ DCs expressible as constraints? All Non- $ DCs expressed as single “benefit” criterion? All Non-$ DCs quantifiable? Use standard optimization, net value techniques (chapters 10, 13) Use standard constrained- optimization techniques (chapter 16) Use cost-benefit (CB) decision making techniques (chapters 11, 12) Use figure of-merit techniques, CB techniques (chapter 15) Use techniques for reconciling non- quantifiable DCs (chapter 18) Is outcome of decision highly sensitive to assumptions? (chapter 17)
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EC-14-bigproject1618 - Software Decision Analysis...

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