Are you paying too much for software development?

In the past, the price of software development was based on the supplier's budget. The budget reflected the amount of effort (hours) estimated for the service. Although viable, that method did not allow for the client to objectively assess the supplier's price. How can one assess the effort estimated by the supplier? How does one know if the price is high, fair, or low?

This problem may be effectively solved by the Price-per-Function-Point method.

In the Price-per-Function-Point method software development/enhancement is measured in Function Points - a unit that does not depend on the technology or development method used by the supplier. Function Points depend only on what the client requests and receives. The Function Point unit price is based on the client's project history database, market benchmarking, and negotiation with the supplier. The unit price is then multipled by the number of Function Points to obtain the price to be paid for the services provided.

This method brings objectivity and transparency to the acquisition process.

The Price-per-Function-Point method (and its variations) is used by large organizations in several countries. Typical ti MÉTRICAS long-term clients are banks, insurance companies, credit card companies, hospitals, airlines, oil & gas companies, power generation enterprises, telecom corporations, and government agencies.

ti MÉTRICAS has vast experience in the high-scale implementation and operation of this software acquisition method.