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E-raamat: Agile Contracts - Creating and Managing Successful Projects with Scrum: Creating and Managing Successful Projects with Scrum [Wiley Online]

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A methodologically sophisticated, comprehensive approach to applying the Agile fixed-price contract to IT projects while maximizing customer and supplier relationships

"Interesting and necessary for IT managers and IT lawyers." —Walter J. Jaburek, Dipl.-Ing., Dr. iur., Dr. techn.

Approximately 50 percent of software developers use Scrum, an iterative and incremental development method for managing software projects and product or application development, in their work. The benefit of Scrum and other Agile methods is that they can address shifts in a large project that traditional managerial methods cannot.

Written by pioneers and leaders in the field of Agile and Scrum, Agile Contracts is the only book dedicated exclusively to the legal, procurement, and project management considerations of Agile contracts. Providing templates, a toolbox, and examples of Agile fixed-price contracts, the book presents an alternative option to fixed-price, time-based, and supply-based contracts—reducing the risk for both the supplier and the customer with a contract that offers the possibility of flux and flexible scenarios as a project progresses.

Agile Contracts features in-depth chapter coverage of:





The Agile Manifesto of 2001 Agility from the perspective of procurement and the software provider The problems with traditional fixed-price contracts and time material contracts What the Agile fixed-price contract is and how it is set up Tendering based on the Agile fixed-price contract How to negotiate an Agile fixed-price contract Special guidelines for the legal framework of an Agile fixed-price contract Adaptable Scope System The Black Swan scenario Contracts and procedures for the featured methodologies

Especially applicable within highly structured business organizations, Agile Contracts is a must-read for project managers, agile practitioners, procurement representatives, and IT lawyers.
Preface ix
Acknowledgments xiii
1 Agility: What Is That?
1(32)
1.1 The Agile Manifesto of 2001
6(5)
1.2 Agile Development Based on Scrum
11(12)
1.2.1 The Principles of Organization
14(1)
1.2.2 The Process Model
14(5)
1.2.3 Estimation in Scrum
19(4)
1.3 Agility from the Perspective of Procurement
23(2)
1.4 Agility from the Perspective of the Software Provider
25(1)
1.5 The 12 Principles of Agile Software Development
26(6)
1.6 Summary
32(1)
2 The Missing Piece of the Puzzle
33(14)
2.1 The Problems with Traditional Fixed-Price Contracts
37(6)
2.2 The Problems with Time and Materials Contracts
43(1)
2.3 Something New: The Agile Fixed-Price Contract
44(1)
2.4 Summary
45(2)
3 What Is an Agile Fixed-Price Contract?
47(26)
3.1 Existing Approaches
48(1)
3.2 The Agile Fixed-Price Contract
49(22)
3.2.1 How Is an Agile Fixed-Price Contract Set Up?
50(21)
3.3 Summary
71(2)
4 Sample of an Agile Fixed-Price Contract
73(15)
Preamble
74(14)
§1 Definitions and Clarifications of Terms
75(3)
§2 Contract Scope and Hierarchy of Documents
78(1)
§3 Usage Rights
79(1)
§4 Transparency and "Open Books"
79(1)
§5 Acceptance
80(1)
§6 Obligation of Both Parties to Co-Operate
81(3)
§7 Client's Obligations
84(1)
§8 Escalation to the Steering Board and the Independent Experts
84(1)
§9 Project Period
85(1)
§10 Warranty, Compensation, and Indemnification
86(1)
§11 Limitation of Liability
86(1)
§12 Contractor's Compensation
87(1)
§13 Force Majeure
87(1)
§14 Secrecy
87(1)
§15 Severability Clause
88(1)
§16 Place of Performance, Jurisdiction, and Applicable Law
88(1)
Appendix A Commercial Agreements
88(4)
Prices
88(2)
Commercial Approach to the Project
90(2)
Payment Milestones
92(1)
Appendix B Technical Scope and Process
92(9)
Requirements: Backlog and Vision
92(1)
Process for Development and Approval
93(2)
Changes to the Contract (Exchange for Free)
95(2)
Deliverables and Services
97(1)
Mechanism to Calculate Costs of Future User Stories
98(3)
Appendix C 12 Principles of Cooperation
101(6)
Appendix D Quality Standards---Definition of Done
107(164)
5 Tendering Based on an Agile Fixed-Price Contract
109(28)
5.1 Appropriate Tender Content for an Agile Fixed-Price Contract
112(4)
5.2 Requirements for Tendering and Selection
116(6)
5.2.1 Competition
116(3)
5.2.2 Comparability and Transparency
119(3)
5.3 Tendering Steps with a Focus on Agile Fixed Price
122(12)
5.3.1 Internal Goal Setting and Coordination
123(1)
5.3.2 Preparation for the Invitation to Tender
124(2)
5.3.3 Tender
126(4)
5.3.4 Awarding of the Tender
130(2)
5.3.5 Price Optimization Options
132(2)
5.3.6 Project and Contract Management
134(1)
5.3.7 Effort Inherent in the Tendering Process
134(1)
5.4 Summary
134(3)
6 Special Requirements for the Legal Framework of an Agile Fixed-Price Contract
137(8)
6.1 Adaptable System for Scope
139(1)
6.2 Warranty and Damages
140(1)
6.3 Schedule and Milestones
141(1)
6.4 Path of Escalation
142(1)
6.5 Obligations
143(1)
6.6 Summary
143(2)
7 Guideline for the Negotiation of an Agile Fixed-Price Contract
145(12)
7.1 Objectives of the Client
147(1)
7.2 Objectives of the Contractor
148(1)
7.3 Objectives and Bonus Payouts of the People Involved
149(2)
7.4 Strategy for the Project and the Negotiation
151(1)
7.5 Tactics for the Negotiation
152(3)
7.6 Price Determination
155(1)
7.7 Conclusion of the Negotiation and Project Steering
155(1)
7.8 Conclusions
156(1)
8 Advantages and Disadvantages of Agile Fixed-Price Contracts
157(28)
8.1 Detailed Analysis of the Pros and Cons
158(24)
8.1.1 Budget Security
159(1)
8.1.2 Requirement Flexibility
159(1)
8.1.3 Detailed Requirements
160(1)
8.1.4 Negotiating Costs
160(1)
8.1.5 Estimate Security
160(1)
8.1.6 Quality Risk
160(1)
8.1.7 Price Elevation Tendency
161(1)
8.1.8 Probability of Winning a Project Tender
161(1)
8.1.9 Cost Risk
161(1)
8.1.10 Security to Deliver a Project as a Whole
161(13)
8.1.11 Acceptance Efforts
174(1)
8.1.12 Pricing Transparency
174(1)
8.1.13 Progress Transparency
174(1)
8.1.14 Permanent Regulation
174(1)
8.1.15 Securing the Investment
174(8)
8.2 Summary and Overview
182(2)
8.3 Conclusions
184(1)
9 Toolbox for Agile Fixed-Price Contracts
185(14)
9.1 Stimulating Interest Before the Negotiation
186(3)
9.2 Identifying Issues of the Other Party
189(1)
9.3 Establishing Common Language and Experiences
189(2)
9.4 Feature Shoot-out
191(1)
9.5 The Black Swan Scenario
192(1)
9.6 Workshop on Contract Setup
192(4)
9.7 Reports and Metrics
196(3)
9.7.1 KISS Backlog View
196(1)
9.7.2 Focus: There Is a Single Goal!
197(2)
10 Practical Examples
199(72)
10.1 Example 1: Software Integration in a Migration Project
200(40)
10.1.1 Initial Situation
200(2)
10.1.2 Contract and Procedure for Traditional Methodologies
202(11)
10.1.3 Contract and Procedure for Agile Methodologies
213(9)
10.1.4 Contract for Example 1
222(18)
10.2 Example 2: Creating a Software Product
240(31)
10.2.1 Initial Situation
241(1)
10.2.2 Contract and Procedure for a Traditional Fixed-Price Contract
241(12)
10.2.3 Contract and Procedure for a Time and Materials Contract
253(8)
10.2.4 Contract and Procedure for an Agile Fixed-Price Contract
261(7)
10.2.5 Conclusions
268(3)
Appendix: Questions and Answers 271(4)
References 275(4)
Index 279
Andreas Opelt is Vice President for Sales, Product Marketing, and Partner Management at Infonova.

Boris Gloger is ranked worldwide among the pioneers of Scrum. He continues to develop practices and set training standards internationally.

Wolfgang Pfarl is a trained lawyer and is responsible for the IT procurement at the Austrian Post.

Ralf Mittermayr is a partner at BearingPoint and focuses on conceptual design and delivery of complex software solutions to the banking, telecommunications, and supply industries.