Value‐Driven Creation of Functionality in Software Projects: Optimal Sequencing and Reuse

Abstract

We study the problem of optimally sequencing the creation of elements in a software project to optimize a time‐weighted value objective. As elements are created, certain parts of the system (referred to as “groups”) become functional and provide value, even though the entire system has not been completed. The main tradeoff in the sequencing problem arises from elements that belong to multiple groups. On the one hand, creating groups with common elements early in the project reduces the effort required to build later functionality that uses these elements. On the other hand, the early creation of such groups can delay the release of some critical functionality. We formulate the element sequencing problem and propose a heuristic to solve it. This heuristic is compared against a lower bound developed for the problem. Next, we study a more general version of the element sequencing problem in which an element requires some effort to be made reusable. When a reusable element is used in another group, some more effort is needed to specialize the element to work as desired in that group. We study reuse decisions under a weighted completion time objective (i.e., the sum of the completion time of each group weighted by its value is minimized), and show how these decisions differ from those under a traditional makespan objective (i.e., only the final completion time of the project is minimized). A variety of analytical and numerical results are presented. The model is also implemented on data obtained from a real software project. A key finding of this work is that the optimal effort on reuse is never increased (typically lowered) when a weighted completion time objective is used. This finding has implications for managing reuse in projects in which user value influences the order in which functionality is created.

The Effect of Liability and Patch Release on Software Security: The Monopoly Case

“…Issues surrounding the software market recently attracted attention from researchers in the domain of production and operations management (e.g., software pricing [Bala and Carr 2009], software project management [Liu et al 2007]). Our paper is closely related to the stream of research that analyzes the economic incentives of software vendors and users in the presence of software vulnerabilities.…”

The Management of Technology: A Production and Operations Management Perspective

“…The design and development of software has been addressed in the MOT literature. Liu et al (2007) consider the situation where the user derives value from partially completed software systems. The authors introduce an analytic model and heuristic to sequence the creation of software elements that contribute to functionality during the development project.…”

Product Life‐Cycle Management of Packaged Software

“…Further, the cost of upgrade development can be modeled in an even more detailed fashion. Thus, Liu et al (2007) discuss that firms must employ an integrated perspective over the lifetime of software to derive an optimal sequencing of functionality development. Kulkarni et al (2009) obtain the optimal service rate to address user requests to add new functionality by minimizing the sum of user wait costs and costs of development, and Ji et al (2011) consider the role of system characteristics (complexity, age, quality, etc.…”