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Using System Dynamics to Analyze the Effect of Funding Fluctuations on Software Development

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Author(s)
Trammell, Travis
•
Madnick, Stuart E.
•
Moulton, Allen
Date Issued
October 2013
Journal
Proceedings of the 34th International Annual Conference of the American Society for Engineering Management 2013 (ASEM 2013)
Publisher
American Society for Engineering Management (ASEM)
Citation
Trammell, Travis, Stuart Madnick, and Allen Moulton. "Using System Dynamics to Analyze the Effect of Funding Fluctuations on Software Development." 34th International Annual Conference of the American Society for Engineering Management 2013 (ASEM 2013).
Version
Original manuscript
Abstract
Almost everyone understands that budget fluctuations have an impact on software development, but it is difficult to estimate the magnitude of the impact and all the causes. This paper uses System Dynamics modeling to examine how gaps in funding affect software development productivity and product delivery delay. The results provide decision makers with an improved sense of the negative impacts of budget fluctuations. Two key insights include the “ramp up tax” that slows development and the “gap tax” due to the loss of project-related skill and familiarity when employees are transferred off of a project and then return. The model experiments also compare the different impacts of temporarily stopping a project versus stretching out a project by temporarily reducing the funding level.
MIT Department
MIT Sociotechnical Systems Research Center
Sloan School of Management
Terms of Use
Creative Commons Attribution-Noncommercial-Share Alike
http://creativecommons.org/licenses/by-nc-sa/4.0/
Persistent DSpace Link
http://hdl.handle.net/1721.1/98916
DOI of Published Version
http://www.proceedings.com/21551.html
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