💰 Why accurate software development cost estimation matters
A McKinsey study of 5,400 IT projects revealed a hard truth: budgets over $15M suffer an average 45% cost overrun, 7% schedule overrun, and deliver only 56% of expected value.
The difference between CTOs who consistently deliver and those who struggle isn’t luck — it’s the ability to estimate costs with discipline and precision.
💡 Keys to better estimation:
🔹 Define scope by business outcomes, not just features.
🔹 Factor in non-functional requirements (availability, security, compliance).
🔹 Account for integrations, QA, and DevOps costs upfront.
🔹 Use both top-down and bottom-up estimation to avoid blind spots.
🔹 Build realistic capacity models that reflect team ramp-up and productivity.
Accurate estimation transforms guesswork into a strategic advantage — protecting budgets, meeting deadlines, and building stakeholder trust.
Want to estimate like a pro CTO? Explore frameworks and real-world insights in our full guide HERE 👈🏻
A McKinsey study of 5,400 IT projects revealed a hard truth: budgets over $15M suffer an average 45% cost overrun, 7% schedule overrun, and deliver only 56% of expected value.
The difference between CTOs who consistently deliver and those who struggle isn’t luck — it’s the ability to estimate costs with discipline and precision.
🔹 Define scope by business outcomes, not just features.
🔹 Factor in non-functional requirements (availability, security, compliance).
🔹 Account for integrations, QA, and DevOps costs upfront.
🔹 Use both top-down and bottom-up estimation to avoid blind spots.
🔹 Build realistic capacity models that reflect team ramp-up and productivity.
Accurate estimation transforms guesswork into a strategic advantage — protecting budgets, meeting deadlines, and building stakeholder trust.
Want to estimate like a pro CTO? Explore frameworks and real-world insights in our full guide HERE 👈🏻
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Today, we honor the courage, resilience, and dedication of Ukraine’s defenders.
Your strength protects not only our land but also the values of freedom and dignity that inspire the whole world.
From all of us at Codebridge, thank you for giving us the opportunity to create, innovate, and build the future under the sky of a free Ukraine.
We stand with you and believe in our shared victory 💙💛
Your strength protects not only our land but also the values of freedom and dignity that inspire the whole world.
From all of us at Codebridge, thank you for giving us the opportunity to create, innovate, and build the future under the sky of a free Ukraine.
We stand with you and believe in our shared victory 💙💛
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