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Agile Management for Software Engineering: Applying the Theory of Constraints for Business Results by Eli Schragenheim, David J. Anderson

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Chapter 2. Management Accounting for Systems

“Tell me how you will measure me and I will tell you how I will behave.”

Eli Goldratt [1990b]

Suspend for a moment everything you have already learned about software development lifecycles. Ignore concepts of sequential processes, iterative processes, spiral processes, and their like, and consider the stages of the transformation of an idea into tangible working code.

A General System

Figure 2-1 shows a generic simple single loop system. The system receives an input. It performs some operation on the input. The result is compared with some expected result, and an output and feedback are generated. The feedback is reintroduced mixed with the input to the system, and the operation is performed again. ...

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