Business Case for Systems Engineering - Is Systems Engineering Effective?

One of the oft-discussed elements in the field of Systems Engineering is how can one justify the expenditure of program or project monies for systems engineering? In short, what is the payback, or business case, for doing systems engineering? Those who are somewhat knowledgeable in the field of systems engineering know what the value is, but what are the tangible results of doing SE on programs and projects? How do we convince our program and project managers that SE is needed, or essential?

The Systems Engineering Division of the National Defense Industrial Association, in conjunction with the Software Engineering Institute (SEI) of Carnegie Mellon University initiated a comprehensive study in 2008 to try to determine the tangible benefits of performing SE in terms of program/project performance. The study consisted of a series of questions based on SE work products as defined in CMMI® (Capability Maturity Model Integration), which is the currently accepted systems engineering process model in widespread adoption, worldwide. The study concluded that there indeed is a positive correlation of SE performed and program/project performance in terms of budget (cost), schedule and requirements.

The number of responses to this initial study survey was small, in the order of 46 valid responses, from the US defense industry. In order to validate the results with a larger response base to include commercial as well as non-US organizations, in 2011 the NDIA and SEI partnered with the IEEE Aerospace & Electronic Systems Society to reach a broader audience, and the results of this updated survey with over 180 valid responses was completed and released in late 2012.

This lecture will present the results of the updated study of SE performed on programs/projects and program performance in terms of cost, schedule and requirements. It will show that programs with the greater amount of SE performed demonstrate the best performance, while the programs with less SE had a lower rate of success. Since the study correlates program successes in terms of specific SE activities, these results can be used within organizations to assist in establishing systems engineering plans on programs and projects.