Estimating the development cost of custom software

In this paper an approach for the estimation of software development costs is presented. The method is based on the characterization of the software to be developed in terms of project and environment attributes and comparison with some similar completed project(s) recovered from a historical database. A case study is also presented, focusing on the calibration and application of the method on 59 information systems implementing supply chain functions in industry, Various strategies are explored, the best of which predicted effort quite effectively, with a mean estimation error of 24% with respect to the actual effort.

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