PurposeThis paper aims to examine the process for estimation of efforts for software development and suggests a framework for estimating software development costs and ensuring quality of code in e-Government projects from the Indian state of Andhra Pradesh. With no established processes for estimation of efforts, the Government relied on open bids from the market to develop these e-Government applications.Design/methodology/approachThe paper adopts an exploratory case study approach to analyze the e-Government applications in Andhra Pradesh. Using data from the information technology department of the Government of Andhra Pradesh, the paper evolves a framework to compute costs of software development, based on the software development life cycle.FindingsThe framework helps in arriving at a hurdle price before the tender process. The study has shown that an e-Government application in AP state would cost Rs. 224,000, or US$2,969.25, for a simple application, and Rs. 33,60,000, or US$44,538.71, for a complex application over a five-year period, depending on the complexity and size of the application. This information would be useful to the Government decision-makers for expanding e-Government.Research limitations/implicationsFurther research may assess the utility of this framework for e-Government support activities like automation of data centers, video conferencing facilities and ushering in financial technologies for encouraging cashless payments.Originality/valueThe paper provides information that could be of value at a national level (for India) and at the same time providing a guide for other countries that would like to adopt this framework.
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