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How to Avoid Selecting Bids Based on Overoptimistic Cost Estimates
May/June 2009 (vol. 26 no. 3)
pp. 79-84
Magne Jørgensen, Simula Research Laboratory
Software development companies often produce overoptimistic cost estimates, which could lead to delivery problems for the clients and the providers. Clients can avoid selecting overoptimistic providers via their control of the bidding process and by following the strategies in this article. Conversely, the author's suggestions also help software providers identify bidding rounds in which it's likely that they'll win only if they're strongly overoptimistic.

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Index Terms:
cost estimation, bidding processes, provider selection, software acquisition
Citation:
Magne Jørgensen, "How to Avoid Selecting Bids Based on Overoptimistic Cost Estimates," IEEE Software, vol. 26, no. 3, pp. 79-84, May-June 2009, doi:10.1109/MS.2009.71
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