software outsourcing and new model of test estimation for agile development
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Over 40 -60% of the IT development are done through outsourcing
And day by day this is increasing
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Offshore Software Development

Software Outsourcing
RMIT University©2013 2
Country Name Revenue in 2012 Next Target By
Vietnam 2.3 B 6 B 2016
Philippines 1.2 B 2 B 2015
Bangladesh 15 M 2 B 2017

50 -70% of companies are more likely to have a marginal project or outright failure:
Taking over 180% of target time to deliver; Consuming in excess of 160% of estimated budget; Delivering under 70% of the target required functionality.
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Offshore Software Development

Efficiency Factor and Risk Factor Based User Case Point Test Effort Estimation Model Compatible with Agile Software Development
Masud Parvez
Senior IT Project Manager, IT ServicesRMIT International University
Email: [email protected]

Index
1.Estimation in software outsourcing
2.Our Investigation
3.Use Case Test Effort estimation
4.Our Developed New Layer
5.Project Demonstration
6.Performance Analysis
7.Future Research Opportunities
8.Question / Answer
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Software project bidding
Planning for whole project
Next cycle estimation
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Estimation in Software outsourcing

•FIA (finger in the air) or best guess •Use case point estimation method•Functional point estimation method•Ad-hoc method, WBS •Function points / Test point Analysis •Percentage of development effort method •Percentage distribution •Etc.
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Test Effort Estimation Models

•Well Used in Agile Outsourcing industry
Investigation and Challenges :•Different teams
•Different skill set of the members
•Conversion Factor
•New / Young test studio
RMIT University©2013 8
Our Motivation and Investigation

•Determine and compute the unadjusted use case point (UUCP).
•Determine and compute the technical complexity factor (TCF).
•Determine and compute the Environmental complexity factor (ECF).
•Calculate final (primary) Use case point (UCP).
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Use Case Test Effort Estimation

•Efficiency Factor (EF)
•Risk Factor (RF)
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Two Keys in our New Layer

1. Test Cycle length and cycle weight
2. Test Team member definition
3. Compute efficiency factor
4. Determine Risk factor for each tester
5. Compute average efficiency factor
6. Effort adjustment
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Steps to complete the new layer

Test Cycle length and cycle weight
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Class Duration of Test Cycle Cycle weight
Class 1 1-2 working days 0.2
Class 2 3-4 working days 0.4
Class 3 5-7 working days 0.6
Class 4 8-10 working days 0.8
Class 5 11- 12 working days 1.0

Test Team member definition
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Tester Level Skill Set Level weight
Level 1 Fresher / Young 1
Level 2 Average skill level 2
Level 3 Standard skill 3
Level 4 Expert 4

Compute efficiency factor (EF)
Formula to compute the efficiency factor for tester n :
EFn = LWn * YEn * [{ ( Bug number of Cycle Z /Cycle weight) /100 +….…….+ (Bug number of Z-tc/Cycle weight) /100 }/tc]
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Tester No. Level weight (LW)
Year of exp. (YE)
Bug in each cycleCycle z Cycle z-1 …. Cycle z-tc
BN CW BN CW BN CW
Tester 1 LW1 YE1
…..
Tester n LWn YEn

Define Risk factor for each tester (RF)
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EF score range Comment Action Risk %
0.1 – 0.39 Very low
Remove from the team and engage in training ( if not
fresher) Replace
0.4 – 0.59 Low Add risk by considering KPIs 20 % - 45 %
0.6– 0.89 Fair Add risk 10 % - 20%
0.90–0.99 Good Add no risk 0%
1+ Excellent Round it to 0.95 0%

Compute Average Efficiency Factor (AEF)
The formulate to complete Future efficiency factor :
• For Tester 1 , FEF1= (EF1 + RV1)/10
• ………….
• For Tester n, FEFn= (EFn + RFn)/10
•
Business formula to compute the average efficiency factor (AEF) :
• AEF= (FEF1+ FEF2+…………+FEFn) / n
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Test effort adjustment and Final Effort (FE)Test effort adjustment and Final Effort (FE)
The formulate to complete Final Effort (FE) :
•Final effort (FE) = Primary Total Effort (FE) / Average Efficiency Factor (AEF)
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Project Demonstration Project Demonstration
Project Profile :
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Project type Size Development methodology Team member
Web application Medium + Agile Scrum 14

Project Demonstration Project Demonstration
Project Profile :
•Unadjusted use case point (UUCP) = 44
•environmental complexity factor ( ECF) = 2.0335
•final use case point (UCP) = 76.32
•Conversion Factor (CF) = 10
• Primary total effort (PE) = 763.2Primary total effort (PE) = 763.2
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Project Demonstration – Compute (EF)
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Tester No. Level weight (LW)
Year of exp. (YE)
Bug in each cycleCycle z Cycle z-1 Cycle z-tc
BN CW BN CW BN CW
Tester 1 3 3 30 0.5 50 0.6 30 0.4
Tester 2 3 2 40 0.6 55 0.6 45 0.5
Tester 3 2 3 30 0.5 45 0.5 25 0.3
Testers Profile :

Project Demonstration – Compute (EF)
Formula to compute the efficiency factor for testers :
EFn = LWn * YEn * [{ ( Bug number of Cycle Z /Cycle weight) /100 +….…….+ (Bug number of Z-tc/Cycle weight) /100 }/tc]
EF1 = 6.54
EF2 = 5.34
EF3 = 4.62
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Project Demonstration – Compute (RF)
Define the risks on testers:
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Testers Efficiency factor (EF) Risk factor (RF) Risk value (RV)
Tester 1 6.54 25% 1.63
Tester 2 5.34 35% 1.86
Tester 3 4.62 45% 2.07

Project Demonstration – Compute (FRF) The formulate to complete Future Efficiency Factor (FEF) : •For Tester n, FEFn= (EFn + RFn)/10
•For Tester 1 , FEF1 = 0.81
•For Tester 2 , FEF2 = 0.72
•For Tester 3 , FEF3 = 0.66
Formula to compute the Average Efficiency Factor (AEF) :• AEF= (FEF1+ FEF2+…………+FEFn) / n
• AEF = 0.73
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Test effort adjustment and Final Effort (FE)Test effort adjustment and Final Effort (FE)
The formulate to complete Final Effort (FE) :
•Final effort (FE) = primary total effort (FE) / average efficiency factor (AEF)
•FE= 1045 Hours.
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Performance Analysis
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Type Size Expert (Hour) UC (Hour)
Our model (Hour)
Real effort (Hour)
Deviation with expert
Deviation with UC
Deviation with our model
Web Large 750 870 980 1090 -32% -21% -11%
Mobile Medium 484 420 530 520 -30 % -20% +2%
Web Medium 910 780 1015 985 -8% -21% +3%
Game Small 320 230 270 254 +21% -10% +6%

Future Research Opportunities Future Research Opportunities
•Conversion factor (CF)
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Questions !
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Thank you
My URL : masudparvez.weebly.comSlide URL : masudparvez.weebly.com/blog