4.2. Process breakdown structure

Armistead et al. (1996) describe the processes as hierarchies of different units that facilitate the analysis and description of the focal processes. This hierarchy is used to find out the influence, causality and system dynamics in the process network, cf. Section 3.1.2.

The general process structure in Fig. 25 conceptually depicts the software contracting process of the software developing company that is analysed in this study. In Section 4.1 the contracting and software development processes have been divided into four process elements: negotiation, definition, production and assessment. This was done in order to have a meaningful framework for the study. Further e.g. the negotiation element can be defined by several process activities that will be studied and searched from the empirical material as well.

Figure 25. Software contracting process breakdown structure.

These activities could e.g. be the Non Disclosure Agreement (NDA) negotiation, framework contract negotiation, technology transfer contract negotiation and bidding etc. Finally, the activities could be defined and split into still smaller units by tasks that can be written up as procedures with individual process part owners. Though in this study only the elements’ and activities’ level will be treated and there is no intention to absorb it into the task level in order not to loose the sight of the total aggregate view of the process unfolding that is the focal area of interest.

Between the activities an event that triggers the next activity to start unfolding is indicated. Events are illustrated often with some outputs, i.e. made decisions of the preceding process; also distinct milestones written in the contract depict events that act as the glue between two separate activities.

The analysed process units are as follows:

Major parts into which business processes can best be organized.

Occur when one or several actors combine, develop, exchange, or create resources by utilizing other resources (Axelsson & Easton 1992). It is also a series of tasks that individuals perform to enable the transition from an input to an output.