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| Escalating Software Development Costs? Strategies for containing them |
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Ever since Fredrick Taylor introduced scientific management almost a century ago, business managers have been attempting to reduce manufacturing costs in a systematic manner. Operations Research in 1930's and 40's, re-engineering in the eighties and more recently Six Sigma [Total Quality Management] are all manifestations of the same pursuit: How to make the product faster, cheaper and better? Software development is no exception.
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In spite of all the automated tools available for requirements management, code generation, testing, configuration management, etc., software development is very labour intensive, and very well paid labour at that. Business managers are looking for ways to reduce the cost of running their software development factory. This article presents four strategies that will be of interest to C-levels. Full Story..
This article first appeared in CIPS Across Canada in Winter 2004
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| Offshore Outsourcing: 'Nirvana' for Application Development? |
| Although originally intended to be a cost-saving measure – cost savings in the 30 to 70% range are possible even today – organizations are pursuing offshore outsourcing of Applications Development and Maintenance to shorten time to market, develop quality software, and stabilize workforce levels. Information Technology (IT) represents 26 percent of this global outsourcing. IT outsourcing expenditures are enjoying an annual growth rate of 25%. This trend has continued since the early 1990's.
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What is SR & ED? |
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Scientific Research & Experimental Development tax credits
Refundable Tax Credit – up to 41.5% of eligible costs for CCPC's
Encourages development of new or improved product or process
Must claim within 18 months of fiscal year end
$2 Billion credited to over 18, 000 Canadian companies annually
Over 75% of claimants are small businesses
Estimated for every $1 paid, $2 goes unclaimed
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| R & D Tax Credits |
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For SR & ED Tax Credits, we help: |
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This article shares some of the staggering numbers related to outsourcing by IT organizations in the US to software development organizations in India. It also provides tips to Canadian IT organizations contemplating offshore outsourcing.
Full Story..
This article appeared in CIO Canada, May 2001 and IT Ontario, Winter 2001
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| Sustaining Organization Change |
When we talk about effecting change, it is assumed to be a positive step, or change for the better. Most companies strive for continuous improvement over time. Maintaining the status quo or undergoing enterprise-wide reengineering are not healthy options.
To be sustainable, organizational change must be an evolutionary process involving process improvement and redesign. The magnitude of improvement sought depends upon several external and internal factors, including the organization's current profitability level, the opportunities and threats it is facing, and the nature and maturity level of the industry in which it is operating. The magnitude of improvement or change ranges from maintaining the status quo to revolutionary enterprise-wide reengineering. Sandwiched between these two extremes are varying degrees of evolutionary change through process improvement and (re)design.
Full Story..
This article first appeared Engineering Digest , March-April 1999
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