30th May, 2014
The answer to this question can run into pages and still not be definitive. However, when I answer, that is not my intention. I will like to give a definitive indication in this regard. CMMI can be undertaken for various reasons, viz.: (a) it opens up the market for the start-up IT Company to new tenders, RFPs and bids because CMMI Maturity Level attainment is the entry criteria or the elimination criteria in such tenders, bids, RFPs (b) it creates brand position (branding) in the industry for the start-up company where it can present its CMMI Maturity Level Rating as a credibility statement and can also compete with established players by presenting its CMMI Capability as an equality-statement (c) it acts as differentiator for the start-up company from competitors which do not have the CMMI rating and provides a competitive edge (d) it acts as a talent-magnet for the employees (e) it reflects the start-up company’s commitment and vision for the future – that it is thinking big and is futuristic. All these benefits are achieved in reasonably lesser measure through ISO 9001 Certification. They are achieved but the quantum is minuscule. There are various reasons for minimized impact of ISO 9001. Perception and prevailing market about ISO 9001 are a part of these reasons. The generic nature of ISO 9001 is also to be blamed (though one can use ISO guidance for software industry). Another important decisive and distinctive criterion is the budget for ISO 9001 and CMMI Certification. CMMI is on the costlier than ISO 9001 Certification. The cost difference is pretty high. The definitive answer is that a start-up IT Company should go in for CMMI despite the differences in cost. In case the cost is an insurmountable barrier, the ISO 9001 can be taken first as a milestone and CMMI can be the second destination. The planning has to be CMMI as the final goal.
Question from a Start-up IT Company.
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Rajendra Khare (MD)
DQS Certification India Private Limited
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