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Practical suggestions are presented for effectively managing software development in small-project environments (i.e., no more than several million dollars per year). The suggestions are based on an approach to product development using a product assurance group that is independent from the development group. Within this check-and-balance management/development/product assurance structure, a design review process is described that effects an orderly transition from customer needs statement to software code. The testing activity that follows this process is then explained. Finally, the activities of a change control body (called a configuration control board) and supporting functions geared to maintaining delivered software are described. The suggested software management practices result from the experience of a small (approximately 100 employees) software engineering company that develops and maintains computer systems supporting real-time interactive commercial, industrial, and military applications.