The purpose of this paper is to explain how function point analysis enables software developers to estimate costs and delivery schedules based on end-user requirements for software applications. Due to the failure rates and over-budget and protracted delivery dates for software applications, managers are using methods of estimating, e.g., function point analysis, to prevent these problems from occurring. In section two, software project estimating obstacles, illustrated the problems with software development. The inability to estimate projects well has been costly in terms of budget over-runs and late delivery dates. Further managers have had a difficult time managing resources to produce applications. The biggest culprit to poor estimating has been scope creep. This is a by-product of poor communication and under-developed expectations.
The using function point analysis section discussed how managers could use function point analysis to make decisions. FPA provides the manager with a metric to estimate and share with the customer how much the project will cost, and how long it will take to implement. A critical aspect of function points is how they are determined. FPs are based on the business requirements, not on programmer's ability to code, technology that is used, nor software language is used to develop the application.
Sections four and five discuss measurement considerations and additional function point analysis assumptions, and alternatives to function point analysis as an estimating tool, respectively. All measurement systems must evolve over time and incorporate the latest knowledge. Managers must incorporate the best measurement system for software development or maintenance in order to keep up with competition or gain a competitive advantage in the marketplace.
Finally in a world of increasing competition, software developers must estimate as well as, if not better than, the competition in order to be competitive. One highly touted estimating methodology, function point analysis, gives IS managers a means to determine resources early in the software development life cycle. William Marks writes in Software Magazine, "Function point analysis is an objective methodology that produces consistent results (1992)." When technology and software languages are continually changing, the IS manager wants to have the best estimating method at his or her disposal: function point analysis is that method.