Re: Managing Extreme Programming

"Dale Emery <[email protected]>" <[email protected]>
Newsgroups gmane.comp.programming.extreme-programming.adoption
Message-ID <[email protected]>
Hi Glen,

> > > (6.1) How to dollarize the velocity units in terms the project
> > > accounting folks will accept.
> >
> > Lets see...  If x developers average y units per iteration, and
> > the fully-loaded cost of those x developers is $z per iteration,
> > then the cost per velocity unit is $z/y.  Not so difficult.
>
> [>] Except this calculation I a level of effort and does not
> describe the "value" in dollars of the delivered code.

In George's example, y is the Budgeted Cost of Work Performed (BCWP),
and z is the Actual Cost of Work Performed (ACWP).  So George's
cost-per-velocity-unit is ACWP/BCWP, the reciprocal of Cost
Performance Index (CPI).  If you can dollarize CPI, you can dollarize
velocity.

Dale



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