SAFe® 4.0 Distilled: Applying the Scaled Agile Framework® for Lean Software and Systems Engineering, First Edition

14. Lean-Agile Budgeting, Forecasting, and Contracting

Agile software development and traditional cost accounting don’t match.

—Rami Sirkia and Maarit Laanti

Introduction

Lean-Agile Budgeting

Lean-Agile Planning and Forecasting

Lean-Agile Contracting

Agile Capitalization Strategies

Summary

Introduction

Many enterprises discover that applying Lean-Agile development to improve business agility directly conflicts with traditional methods for project-based budgeting and cost accounting, planning and forecasting, supplier contracting, and strategies for managing capitalization of software development. As a result, the potential benefits of the move to SAFe may become compromised. This chapter describes SAFe’s Lean-Agile approach to each of these ...