Estimating the design and development cost of electronic items

This thesis is concerned with understanding the issues in generating cost estimates at the conceptual design stage for Embedded Systems Design and Development (ES D&D), based on specifications. The research examines if there are any relationships between the system’s specifications and the system’s cost, and if these relationships can be formalised. The aim is to develop a framework that will structure, formalise and improve the ES D&D Cost Estimating process. Literature review examines current situation regarding ES D&D Cost Estimating and the information requirements for generating cost estimates. The review identifies that research concentrates on Embedded Systems manufacturing cost estimation, there is a lack of research regarding D&D cost estimation, as well as on the information requirements for generating D&D cost estimates. By conducting an industrial survey, the author identifies the internal practice on ES D&D Cost Estimating for the automotive and aerospace industries and identifies trends, commonalties and differences within and between them. The survey establishes that in order to improve the ES D&D Cost Estimating process, it is essential to establish a data infrastructure that will avoid issues with shortage of information imposed by suppliers and will link the Embedded System’s specifications with the system’s actual implementation and expected functionality. Using a case study approach, the author also establishes that it is essential to analyse the product functionality in such a way that will enable the development of a detailed cost estimating framework at the specification’s design stage. The framework is developed in three parts for hardware, software and integration and reuse. The ES hardware design and development effort is predicted using a complexity based cost estimating approach. The research has demonstrated that Use Case Points can be used to predict software development effort for ES software development when the specification is expressed as use cases. In case of statechart based specifications, the development effort is predicted, like in the case of Hardware, using a complexity based cost estimating approach. The study then investigates factors that affect Integration and Reuse effort for ES D&D. The Integration and Reuse effort is predicted using a expert judgement based methodology. The developed results provide automotive industry with a structured, consistent approach to develop cost estimates for the ES D&D Cost at the specifications design stage. The approach contributes towards improvement of the cost estimating practice within the automotive industry.