Return on Software: Maximizing the Return on Your Software Investment

by Steve Tockey

This book is the only book of its kind. It covers everything you need to know to make intelligent financial decisions about software projects. Too many software projects are started with detailed work plans but without any plan about how the project will make money for the company. Naturally, too many of these projects then fail to return any value to the organization that did them. This is horrible for the company that wastes the money and it is discouraging for the programmers who waste their time on those projects. If you read this book, you'll learn how to avoid these situations.

This book covers some complicated topics and you will have to think and pay (more) attention in some chapters. However, it starts easily, taking a few chapters to build up to basic concepts such as the time value of money. What I really like is that the author doesn't just unload a bunch of financial calculations on us; he tells us how to make decisions based on the information these calculations can provide.

This is a wonderful book and if you are in a position where you influence the choice to do particular projects, how long a project runs, or how to manage a project then you owe it to yourself to read this book. More importantly, you owe it to your team and your organization to read this book.