The Benefits of Agile vs. Fixed Price Software Development
Fixed Price vs Agile Software Development
Jul 15, 2015
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The Benefits of Agile vs.
Fixed Price Software Development
If you want to get custom software developed for your business, you’ll usually have:
So, let’s say you have a budget of £100,000 and need the software completeand deployed in 10 weeks’ time.
You have two options…
Option 1: Keep Quiet About the Budget
Option 1: Keep Quiet About the £100k Budget
“I need custom software developed for my business. My deadline is 10 weeks from now.”
You.Software
development company
Option 1: Keep Quiet About the £100k Budget
You.Software
development company
Sure, we can do that in time for your deadline. It’ll cost £80,000. Any additional work required due to unforeseen circumstances or a change in your requirements will be charged at our hourly rate.”
Scenario 1:“I need custom software developed for my business. My deadline is 10 weeks from now.”
Option 1: Keep Quiet About the £100k Budget
You.Software
development company
Sure, we can do that in time for your deadline. It’ll cost £80,000. Any additional work required due to unforeseen circumstances or a change in your requirements will be charged at our hourly rate.” !(In other words, you could end up paying much more than your original budget)
Scenario 1:“I need custom software developed for my business. My deadline is 10 weeks from now.”
Option 1: Keep Quiet About the £100k Budget
You.Software
development company
Scenario 1:
Scenario 2: “Sure, we can do that in time for your deadline. Allowing for all possible permutations we can do it for £180,000.”
Sure, we can do that in time for your deadline. It’ll cost £80,000. Any additional work required due to unforeseen circumstances or a change in your requirements will be charged at our hourly rate.” !(In other words, you could end up paying much more than your original budget)
“I need custom software developed for my business. My deadline is 10 weeks from now.”
Option 1: Keep Quiet About the £100k Budget
You.Software
development company
So you sign a contract with a fixed price, and details of exactly what you’re getting for your
money
So what about Option 2?
Option 2: Disclose your budget
Option 2: Disclose your budget
You.Software
development company
Option 2: Disclose your budget
You.Software
development company
“I need custom software developed for my business. I’ve got a budget of £100,000.”
You’ll have a ‘working version’ to review almost right away, giving you scope to provide immediate feedback…
You can see the software developing in real-time, ensuring you’re on the right track…
This way of working is called ‘Agile.’
No need to spend days creating a long technical specification that few people read and even fewer understand!
The benefits of Agile software development include:
Fixed deadlines - work is carried out through a series offixed development phases (sprints) which are usually 1-2 weeks long.
The benefits of Agile software development include:
Highly visible progress - at the end of each sprint, you’ll haveproperly finished, working features, which can be tested byyour project team and end users.
The benefits of Agile software development include:
Face to face analysis - all analysis and design work is done together in a face to face Sprint Planning meeting.
The benefits of Agile software development include:
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