Price per Function Point contracts.

The software development industry has shifted from traditional waterfall methods to an Agile way of working.  Agile allows greater flexibility for requirement changes. It includes short cycles that enable the delivery of smaller project phases and user/customer feedback.

The potentially changing project-landscape of Agile projects means that it is important to have control of project cost estimates. This short report discusses the challenges that face Agile teams when choosing the type of contract to use for outsourcing projects. It looks at Price per Function Point contracts and how they can provide a valuable guide for project costs.

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