Software Project Management Lec12-1
Software Project Management Lec12-1
Then we have to interpret the results of this cost benefit evaluation techniques for
analysis and then after analyzing the results of the cost benefit evaluation techniques, we
somebody are the organization it has to take appropriate action. So, now, let us see the
first step.
The first step is identifying the cost and the benefits pertaining to the project. You know
that the certain cost and benefits that easily identifiable. For example, direct cost such as
purchasing a computer and payment to the what a staff members etcetera they can be
easily identified.
These direct and the direct benefits very often they relate one to one to the direct cost,
the direct benefits will directly relate to the direct cost especially the savings that may be
obtained from reducing the cost in the activities in the questions they can be mapped to
the what benefits. Some direct cost and benefits may not be well defined they cannot be
clearly identified since they represent some estimated cost they are not the actual cost
they are estimated cost or they are estimated benefits that have some uncertainty.
So, they cannot be clearly defined, they cannot be clearly measured examples are like the
cost reserved for bad debt etcetera. So, this types of direct cost or this types of some of