Improving the Software Factory Contracting Process in the Public Area: The Rio de Janeiro City Hall's Experience

In the year 2012, Brazil reached the 7th position in the world ranking with software and services domestic market of US$ 24,934 billion. In this same year, there was an increase of more than 153% of the costs associated to acquisition of software development services by the Brazilian federal government reaching around US $ 45.5 million. Although the costs concerning IT outsourcing are increasing in Brazil in a fast pace, few Brazilian government organizations adopt software acquisition best practices, thus imposing serious risks to acquisition projects, like projects being cancelled and over budget. This paper presents a proposal of acquisition architecture and software factory operation in public organizations. We will also discuss some of the benefits and lessons learned of implementing this proposal in IPLANRIO, a government unit responsible for managing software contracting at the Rio de Janeiro City Hall.