The Business Value of Software

Driving value is a crucial strategy in business, and it is also essential in the digital age. This book explains how a software business value culture can help organizations transform software development from a cost or profit center to a business value center, enabling them to constantly maximize business value flow through software development.

Format: Paperback / softback
Length: 240 pages
Publication date: 21 January 2023
Publisher: Taylor & Francis Ltd

In the realm of business, the pursuit of value is a fundamental strategy that often begins at the highest levels of an organization. In the context of the digital age, the driving of software value is an equally crucial, yet often overlooked, aspect of business strategy. Executives and the corporate board must demand the utmost business value from the software that their organization develops, purchases, and sells. In the dynamic landscape of today's digital transformation marketplace, it is imperative that organizations embark on initiatives to generate business value from their software development efforts.

For decades, the cost of software development has posed significant challenges for organizations. Questions such as "How do we allocate software development costs?" "Should these costs be considered an overhead expense?" and "Are we getting the most value possible for our investment?" have plagued decision-makers. A fundamental flaw in these questions lies in their emphasis on cost alone. In almost every other part of the organization, maximizing profit or, in the case of not-for-profit organizations, maximizing the funds available, provides a clear focus with metrics to assess success or failure. In theory, aligning software spending with the pursuit of maximum profit goals should suffice to eliminate any concerns about value for money. Regrettably, this alignment has proven to be more complex than anticipated, leading to persistent questions, particularly at the strategic or application portfolio level.

In his book, Michael D.S. Harris delves into the concept of a software business value culture, where all stakeholders, including technology and business, possess a clear understanding of the goals and expected business value from software development. This book serves as a valuable guide for readers, demonstrating how they can transform software development from a cost or profit center to a business value center. Only by fostering a culture of software as a value center can organizations unlock the full potential of their software investments and achieve sustainable competitive advantage.

To achieve this transformation, organizations must adopt a holistic approach that encompasses not only the technical aspects of software development but also the business implications. This includes a shift in mindset.

In conclusion, driving software value is a critical strategy for organizations in the digital age. By embracing a software business value culture, where all stakeholders have a clear understanding of the goals and expected business value from software development, organizations can transform their software development efforts from a cost or profit center to a business value center. This transformation will enable organizations to unlock the full potential of their software investments and achieve sustainable competitive advantage in the ever-evolving digital landscape.

Weight: 440g
Dimension: 234 x 156 (mm)
ISBN-13: 9781032476704