Business value of software reuse in the digital enterprise : an industry perspective

Abstract

Many companies are accelerating investments in digital technologies to streamline internal operations and create new business models. To achieve these goals, digital enterprises are adopting management and software development practices from traditional software products and service companies. Software reuse is one of those practices. Despite being a well-documented method for increasing productivity, quality, and agility, there is a lack of good empirical data to validate the business value of reuse. This research paper compares available literature on the subject of software reuse to a set of interviews with business and technology executives on the benefits they receive from software reuse and their management practices. The analysis concludes that the most valuable benefit of software reuse is competitive advantage through differentiation. Therefore, implementing software reuse is crucial for digital enterprises to protect their long-term sustainability. The more traditional benefits of reuse are important to gain financial and operational efficiency, but they are difficult to measure and validate against profit gains. To maximize the value of software reuse, digital enterprises should connect reuse with their business strategy and apply system thinking to assess the full impact of its implementation.