• Title/Summary/Keyword: Size Based Cost Model

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A Software Cost Estimation Using Growth Curve Model (성장곡선을 이용한 소프트웨어 비용 추정 모델)

  • Park, Seok-Gyu;Lee, Sang-Un;Park, Jae-Heung
    • The KIPS Transactions:PartD
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    • v.11D no.3
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    • pp.597-604
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    • 2004
  • Accurate software cost estimation is essential to both developers and customers. Most of the cost estimating models based on the size measure methods, such as LOC and FP, are obtained through size estimation. The accuracy of size estimation directly influences the accuracy of cost estimation. As a result, the overall structure of regression-based cost models applies the power function based on software size. Many growth phenomenon in nature such as the growth in living organism, performance of technology, and learning capability of human show an S-shaped curve. This paper proposes a model which estimates the developing effort by using the growth curve. The presented model assumes that the relation cost and size follows the growth curve. The appropriateness of the growth curve model based on Function Point, Full-Function Point and Use-Case Point, which are the general methods in estimating the software size have been confirmed. The proposed growth curve model shows similar performance with power function model. In conclusion, the growth curve model can be applied in the estimation of the software cost.

Development and Implementation of Extension Models for Activity-Based Costing (ABC 확장모형의 개발 및 적용)

  • Choi, Sungwoon
    • Journal of the Korea Safety Management & Science
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    • v.16 no.1
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    • pp.239-250
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    • 2014
  • The purpose of this research is to implement and develop the Economic Cost Driver Size(ECDS) extended model to determine the optimal cash driver size with measurement complexity cost and allocation fail cost. ECDS model can be used to seek both measurement accuracy and time efficiency of the Activity-Base Costing (ABC). The study also develops Activity Priority Number (APN) to evaluate the importance of nonvalue-added activities improvement and to determine the representative cost driver of value-added activities when applying ECDS model. APN consists of Severity Priority Number (SPN), Undetectablitiy Priority Number (UPN) and Occurrence Priority Number (OPN). APN can be obtained from lower-stream activity, current activity, upper-stream activity in terms of hierarchical dependency of SIPOC (Supplier, Input, Process, Output, and Customer). In order to seek both efficiency of invested capital and reduction of overhead cost, the paper proposes the integrated ABC and Economic Value Added (EVA) model using redesigned ABC-based statement of comprehensive income and EVA-based statement of financial position. For a better understanding of the proposed ABC-EVA integrated model, numerical examples are demonstrated in this paper. Cost drivers of ABC and capital drivers of EVA in the proposed model can be used to reduce activity overhead cost from ABC-based statement of comprehensive income and to lessen activity capital charge from EVA-based statement of financial position.

An Empirical Study on Contract Model for IT Outsourcing Application Operation (IT 아웃소싱 어플리케이션 운영 계약모델에 대한 실증적 연구)

  • Kim, Heungshik;Park, Soah
    • Journal of Information Technology Services
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    • v.16 no.2
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    • pp.45-60
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    • 2017
  • The study suggests a contract model of application operation through case study of A bank's IT outsourcing application contract based on workload. The IT outsourcing order form has a problem in that the scope of work is ambiguous due to the integration of operation and maintenance. In this study, application operation and maintenance were separated by referring to application operation history provided in ISO/IEC15504-5 standard. The scope of the IT outsourcing service was clarified by organizing the definition and detail activities of the application operation business. Application operation contract method has generally applied estimation method by the number of input manpower and period by agreement between buyer and client. As there is no activity to calculate the number of input manpower based on the operational work history and based on the standard workload per activity. In this case is not guaranteed due to the simple agreement between the contractors. In this paper, we propose an application operating cost estimation model that measures the size of the operating software using function point analysis that is the basis of application operation tasks. In order to verify the validity of the application operation cost model, we verified the correlation between the application size and the labor cost through regression analysis using SPSS.

Distributor's Lot-sizing and Pricing Policy with Ordering Cost inclusive of a Freight Cost under Trade Credit in a Two-stage Supply Chain

  • Shinn, Seong-Whan
    • International Journal of Advanced Culture Technology
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    • v.8 no.1
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    • pp.62-70
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    • 2020
  • As an effective means of price discrimination, some suppliers offer trade credit to the distributors in order to stimulate the demand for the product they produce. The availability of the delay in payments from the supplier enables discount of the distributor's selling price from a wider range of the price option in anticipation of increased customer's demand. Since the distributor's lot-size is affected by the demand for the customer, the distributor's lot-size and the selling price determination problem is interdependent and must be solved at the same time. Also, in many common business transactions, the distributor pays the shipping cost for the order and hence, the distributor's ordering cost consists of a fixed ordering cost and the shipping cost that depend on the order quantity. In this regard, we deal with the joint lot-size and price determination problem when the supplier allows delay in payments for an order of a product. The positive effects of credit transactions can be integrated into the EOQ (economic order quantity) model through the consideration of retailing situations, where the customer's demand is a function of the distributor's selling price. It is also assumed that the distributor's order cost consists of a fixed ordering cost and the variable shipping cost. We formulate the distributor's mathematical model from which the solution algorithm is derived based on properties of an optimal solution. A numerical example is presented to illustrate the algorithm developed.

A Fuzzy Logic Based Software Development Cost Estimation Model with improved Accuracy

  • Shrabani Mallick;Dharmender Singh Kushwaha
    • International Journal of Computer Science & Network Security
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    • v.24 no.6
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    • pp.17-22
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    • 2024
  • Software cost and schedule estimation is usually based on the estimated size of the software. Advanced estimation techniques also make use of the diverse factors viz, nature of the project, staff skills available, time constraints, performance constraints, technology required and so on. Usually, estimation is based on an estimation model prepared with the help of experienced project managers. Estimation of software cost is predominantly a crucial activity as it incurs huge economic and strategic investment. However accurate estimation still remains a challenge as the algorithmic models used for Software Project planning and Estimation doesn't address the true dynamic nature of Software Development. This paper presents an efficient approach using the contemporary Constructive Cost Model (COCOMO) augmented with the desirable feature of fuzzy logic to address the uncertainty and flexibility associated with the cost drivers (Effort Multiplier Factor). The approach has been validated and interpreted by project experts and shows convincing results as compared to simple algorithmic models.

A Software Maintenance Cost Estimation Model based on Real Maintenance Efforts (투입노력 양에 기반한 소프트웨어 유지보수 비용산정 모형)

  • Jeong, Eun-Joo;Yoo, Cheon-Soo
    • Journal of Information Technology Applications and Management
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    • v.19 no.2
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    • pp.181-196
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    • 2012
  • The cost of software maintenance occupies about two thirds in the software lifecycle. However, it is not easy to estimate the cost of software maintenance because of various viewpoints about software maintenance, unclear estimation methods, and complex procedures. Until now, the cost estimation model has used compensation factors for software characteristic and environment on the basis of program size. Especially, most of existing models use maintenance rate of total software cost as a main variable. This paper suggests the software maintenance cost estimation model that uses the result of calculating real maintenance efforts. In this paper, we classify functional maintenance and non-functional maintenance as software maintenance activity type. For functional maintenance, present function point of target software is needed to evaluate. The suggested maintenance cost evaluation model is applied to a software case in public sector. This paper discusses some differences between our model and other modes.

A FFP-based Model to Estimate Software Development Cost (소프트웨어 개발비용을 추정하기 위한 FFP 기반 모델)

  • Park, Ju-Seok;Chong, Ki-Won
    • The KIPS Transactions:PartD
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    • v.10D no.7
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    • pp.1137-1144
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    • 2003
  • The existing Function Point method to estimate the software size has been utilized frequently with the management information system. Due to the expanding usage of the real-time and embedded system, the Full Function Point method is being proposed. However, despite many research is being carried out relation to the software size, the research on the model to estimate the development cost from the measured software size is inadequate. This paper analyzed the linear regression model and power regression model which estimate the development cost from the software FFP The power model is selected, which shows its estimation is most adequate.

Comparative Study on Size Optimization of a Solar Water Heating System in the Early Design Phase Using a RETScreen Model with TRNSYS Model Optimization (RETScreen 모델이용 태양열온수시스템 초기설계단계 설계용량 최적화기법의 TRNSYS 모델과의 비교분석)

  • Lee, Kyoung-Ho
    • Korean Journal of Air-Conditioning and Refrigeration Engineering
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    • v.25 no.12
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    • pp.693-699
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    • 2013
  • This paper describes a method for size optimization of the major design variables for solar water heating systems at the stage of concept design. The widely used RETScreen simulation tool was used for optimization. Currently, the RETScreen tool itself does not provide a function for optimization of the design parameters. In this study, an optimizer was combined with the software. A comparative study was performed to evaluate the RETScreen-based approach with the case study of a solar heating system in an office building. The optimized results using the RETScreen model were compared to previously published results with the TRNSYS model. The objective function of the optimization is the life-cycle cost of the system. The optimized design results from the RETScreen model showed good agreement with the optimized TRNSYS results for the solar collector area and storage volume, but presented a slight difference for the collector slope angle in terms of the converged direction of the solutions. The energy cost, life-cycle cost, and thermal performance regarding collector efficiency, system efficiency, and solar fraction were compared as well, and the RETScreen model showed good agreement with the TRNSYS model for the conditions of the base case and optimized design.

A Predictive Model for Software Development Team Size and Duration Based on Function Point (기능점수 기반 소프트웨어 개발팀 규모와 개발기간 예측 모델)

  • Park, Seok-Gyu;Lee, Sang-Un
    • The KIPS Transactions:PartD
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    • v.10D no.7
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    • pp.1127-1136
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    • 2003
  • Estimation of software project cost, effort and duration in the early stage of software development cycle is a difficult and key problem in software engineering. Most of models estimate the development effort using the function point that is measured from the requirement specification. This paper presents optimal team size and duration prediction based on function point in order to provide information that can be used as a guide in selecting the most Practical and productive team size for a software development project. We introduce to productive metrics and cost for decision criteria of ideal team size and duration. The experimental is based on the analysis of 300 development and enhancement software project data. These data sets are divide in two subgroups. One is a development project; the other is a maintenance project. As a result of evaluation by productivity and cost measured criteria in two subgroups, we come to the conclusion that the most successful projects has small teams and minimum duration. Also, I proposed that predictive model for team sire and duration according to function point size based on experimental results. The presented models gives a criteria for necessary team site and duration according to the software size.

A Merchant Ships Size Optimization Model

  • Choi, Ki-Chul
    • Journal of the military operations research society of Korea
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    • v.12 no.1
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    • pp.78-86
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    • 1986
  • This paper analyzes how a shipowner or charterer may determine the specification of optimal ship size for a given route with respect to certain market requirements. The theory of optimal ship size, a methodology for estimating scale economics, and the various factors affecting ship size are examined using a typical conventional cargo ship and bulk cargo carriers based on shipowners' cost data.

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