Q.E.D.

73
Frank
AB2KT

On Dec 28, 2007 11:52 PM, Jim Lux <[EMAIL PROTECTED]> wrote:

> Quoting Frank Brickle <[EMAIL PROTECTED]>, on Fri 28 Dec 2007 07:57:42 PM
> PST:
>
> > On Dec 28, 2007 10:14 PM, <[EMAIL PROTECTED]> wrote:
> >
> >
> >> $250K/yr radio development engineers?  What radio industry do you work
> in
> >> and where do I sign-on?
> >
> >
> > Dan --
> >
> > Most of these numbers reflect the Martian world of huge govvie
> contractors,
> > locked-up IP, and executing dollars. They're staggering under their own
> > inertia and dead weight as it is. It's illuminating to realize that
> software
> > development methodologies are all about cost accounting. They have
> nothing
> > to do with software.
>
>
> Nonsense on many fronts.
>
> 10 holidays yr + 15 days vacation/yr = 25 days. Out of 260 nominal
> days/yr (52 wks), that's about 10% right there.
>
> Payroll and other taxes add about 10-15% (depending on the state, etc.)
>
> Rent/heat/lights is probably around $20-25/square foot/year and for a
> 100 square foot cubicle, that's $2000-2500/yr, but, of course, you
> probably also need lab space, so double or triple that.
>
> $300/month for desktop computer (lease + support+network infrastructure)
>
> Health insurance, etc. also adds up.
>
> Then you get into the overheads.
> 10-20% of the employee's time is on non-task-productive work
> (seminars, institutionally required training, etc.) (e.g. a lot of
> companies allow 40hrs/yr for training.. that's 2% right there)
>
> 10-20% for administrative support (secretary, copying, etc.)
> 10-20% for line management (G&A)
> 10-20% for profit
>
> And, then, I assume you need to invest in some equipment periodically,
> etc.
>
> It all adds up.  I'll bet you'll find if you look at most surveys or
> company balance sheets, a senior engineer, sitting at a desk, with all
> the mod cons, will be pretty close to $200-250K/yr, depending on the
> location.
>
> Interestingly, I just read a paper looking at the equivalent
> development cost for Linux (full up RH7 distro with all the add-ons)
> and he came up with a gigabuck.  His data showed a "wrap rate" (fully
> burdened multiplier) of 2.4 over raw salary cost (which is comparable
> to my number above).
>
>
> FWIW, a very, very tiny fraction of the cost is in closed source IP.
> Most of it is just having a warm body sitting there doing useful work
> on *your* task.
>
>
> I'd also differ with you about software methodologies and cost
> accounting, at least as a starting point. It's true that there IS a
> fair amount of interest in measuring progress against funds expended,
> but that's true of ALL industries, if they want to stay in business.
> Most businesses don't have the luxury of being able to arbitrarily
> slip delivery dates, have unlimited development funds, etc., and so,
> they need to be able to have some way to know if they're making
> progress, and what it's going to cost, so they can make those
> investment decisions (make vs buy, if nothing else).  No surprise then
> that businesses want to be able to cast software development into a
> conceptual framework that can be related to other investments the
> company might make.  I agree that a lot of the software development
> methodology 'science' is aimed at making it possible for people who
> know nothing about software development to manage it (a hopeless task,
> in my opinion), but there is value in some of the fallout of that
> desire.
>
> It's also interesting to note that the vast majority (80% plus,
> according to an interview in 2004 with Andrew Morton) of the kernel
> changes to Linux were made by someone being *paid* to make them.(that
> is, it wasn't the work of unpaid volunteers)  Clearly, whoever is
> doing the paying has made some decision that the value of contributing
> to the code base is worth some substantial non-zero investment of cash.
>
> >
> > If you have a chance to read or hear any of what Bruce Perens has to say
> > about shared infrastructure and Open Source vs. differentiating
> technology,
> > jump at the opportunity. He's really funny and eye-opening.
> >
> > 73
> > Frank
> > AB2KT
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