This paper reports an extension of a commonly used method for Software Process Assessment by incorporating a detailed breakdown and analysis of quality costs.The quality cost assessment is based on evaluating a set of baseline activities and corresponding indicators. The results of a case study indicate that the combination of software process assessment and quality cost measurement provides a good indication of the success of process improvement programs.
L INTRODUCTIONIn 1990, Schulmeyer [I] declared that "we are in the midst of a software crisis", following a Price Waterhouse [2] study that revealed non-conformance costs accounted for over 50% of total effort. Schulmeyer [I] called for a "complete restructuring of the software development process" suggesting that the fundamental philosophies of Total Quality Management could be applied to software.TQM focuses on the process, describing an overall philosophy of continuous process improvement, working to the goal of continually improving the development process. The key notion of TQM is that increasing quality will decrease development costs and consequently increase productivity. Productivity increases as quality costs decrease because of less rework, fewer mistakes and fewer delays. Customers receive higher quality products at a lower cost causing the organisation to dominate the market.Quality costs are an effective means of controlling the process, ie. quantifying the disadvantages of poor quality and the benefits of quality improvement.The