In my previous post on measuring application value, I stated that the first place to look in establishing application value, is to complete application requirements definition. Once you have clearly defined what the application is to consist of, and what value you expect the application to provide — you understand the business process that the application addresses and understand the value of having that business process improved.
With the requirements clearly defined, the next step is to establish, as a minimum, some key milestones that need to be met in order to accomplish the task at hand. A project management tool can help in this endeavor. One can get as detailed or general as required by the specific project, but with these milestones in place it provides a basis for creating a timeframe within which each task can be accomplished.
Once the timeframe has been created, it is a relatively easy task to then assign a dollar value for the time given an estimate of the individuals to be working on the project. This approach can work as well for a large project as for a small.
Your work is not done however, because a thorough examination of your milestones will be required in order to determine the proper approach to completing the project. That proper approach may take into account the particular development tools to be utilized, the pool of talent available for the development, or perhaps also require you to re-evaluate the steps to be taken as the project progresses. Establishing a clear approach to the problem will go a long way toward establishing and measuring the application’s value.