1. CHAPTER 3 Pre-Project Components

2. 2 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser Learning Objectives: To discuss: Contract Review Development and Quality Plan

3. 3 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser Contract Review Contract review process and stages Contract review objectives Implementation of contract review Contract review subjects Contract review for internal projects Process and stages

4. 4 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser Contract review process and stages The need for signing a contract with a customer: Participation in a tender Proposal submission according to customer’s RFP Receipt of an order from a company’s customer Internal request from another department in the organization

5. 5 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser Contract review stages – Two stages Stage One – Review of the proposal draft prior to submission to the potential customer (“proposal draft review”). Review the final proposal drafts and the proposal’s foundation: Customer’s requirement doc, additional details and explanation of requirements, cost and resources estimates, existing contracts etc.

6. 6 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser Contract review stages – Two stages Stage Two – Review of contract draft prior to signing (“contract draft review”). Reviews the contract draft on the basis of the proposal and the understandings (including changes) reached during the contract negotiation sessions.

7. 7 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser Contract review objectives Based on stages. Proposal draft review objectives: Customer requirements have been clarified and documented. Alternative approaches for carrying out the project have been examined. Formal aspects of the relationship between the customer and the software firm have been specified. Identification of development risks.

8. 8 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser Contract review objectives Adequate estimation of project resources and timetable. Examination of the company’s capacity with respect to the project. Examination of the customer’s capacity to meet his commitments. Definition of partner and subcontractor participation. Definition and protection of proprietary rights.

9. 9 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser Contract review objectives Contract draft review objectives: to make sure that the following activities have been performed satisfactorily: No un-clarified issues remain in the contract draft. All the understandings reached between the customer and the firm are to be fully and correctly documented in the contract and its appendices. No changes, additions, or omissions that have not been discussed and agreed upon should be introduced into the contract draft.

10. 10 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser Implementation of the contract review Depends on the characteristics of the proposed project. Either technical or organizational. Different levels of professional efforts are justified for the various contract reviews. Special professional efforts are required for major proposals.

11. 11 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser Factors affecting the extent of a contract review Project magnitude – usually measured in man-month resources. Project technical complexity. Degree of staff acquaintance with and experience in the subject area. Project organizational complexity.

12. 12 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser Who performs the contract review? The leader or another member of the proposal team. The members of the proposal team. An outside professional or a company staff member who is not a member of the proposal team. A team of outside experts.

13. 13 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser The difficulties of carrying out contract reviews for major proposals Time pressure. Proper contract review requires substantial professional work. The potential contract review team members are very busy.

14. 14 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser Recommendations for carrying out major contract reviews The contract review should be scheduled. A team should carry out the contract review. A contract review team leader should be appointed.

15. 15 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser Contract review subjects Based on contract review objectives. Checklist: organize their work and achieve high coverage of the relevant subjects. Appendix 5A (pp 92-94): Proposal draft review – subject checklist. Appendix 5B (pp 94): Contract draft review – subject checklist.

16. 16 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser Contract reviews for internal projects Administrative or operative software to be applied internally – administrative and operating unit. Example? Software packages originally intended to be sold to the public as “off-the-shelf” packages – software marketing department. Example? Firmware to be embedded in the company’s products – electronic and mechanical product development departments. Example?

17. 17 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser “Loose relationship”? Characterized by insufficient examination of the project’s requirements, its schedule, resources and development risks.

18. 18 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser SubjectDisadvantages to the internal customer (1) Inadequate definition of project requirements * Implementation deviates from the needed applications * Low satisfaction (2) Poor estimate of the required resources * Unrealistic expectations about project feasibility (3) Poor timetable* Missing scheduled dates for beginning the distribution of new products (4) Inadequate awareness of development risks * Customer unprepared for project risks and their consequences Disadvantages of “loose relationships” internal project to internal customer

19. 19 ESGD5125 SEM II 2009/2010 Dr. Samy Abu Naser Disadvantages of “loose relationships” internal project to internal developer SubjectDisadvantages to the internal customer (1) Inadequate definition of project requirements * Implementation deviates from the needed applications * Low satisfaction (2) Poor estimate of the required resources * Unrealistic expectations about project feasibility (3) Poor timetable* Missing scheduled dates for beginning the distribution of new products (4) Inadequate awareness of development risks * Customer unprepared for project risks and their consequences