Abstract

We develop a general model for software development process and propose a policy to manage system coordination using system fault reports (e.g., interface inconsistencies, parameter mismatches, etc.). These reports are used to determine the timing of coordination activities that remove faults. We show that under an optimal policy, coordination should be performed only if a “threshold” fault count has been exceeded. We apply the policy to software development processes and compare the management of those projects under different development conditions. A series of numerical experiments are conducted to demonstrate how the fault threshold policy needs to be adjusted to changes in system complexity, team skill, development environment, and project schedule. Moreover, we compare the optimal fault threshold policy to an optimal release‐based policy. The release‐based policy does not take into account fault data and is easier to administer. The comparisons help to define the range of project parameters for which observing fault data can provide significant benefits for managing a software project.

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