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Strategic Management of Software Development: The Power of Platforms, Reusability, and Analytics

Oliver Viel
Aug 11, 2025 12:15:00 AM

In the automotive industry, companies are facing the challenge of managing software development efficiently and strategically. One of the most powerful levers in this process is the reusability of software components. Rather than developing new codebases from scratch for each project, a structured platform-based approach enables scalability, cost reductions, and significant efficiency gains.

Dr. Johannes Bohnet Redet-1

 

However, achieving this transition is not just a technical challenge—it requires a fundamental shift in mindset, organizational structure, and software development practices. This article explores how companies can move from project-based thinking to a platform-driven approach and how software analytics can play a crucial role in optimizing reusability and efficiency.


From Project Thinking to Platform Strategy

Traditionally, software development in the automotive industry has been highly project-oriented. For example, a new braking system might require an entirely new software stack. However, if each iteration of such a system starts from scratch, companies continuously reinvent the wheel, missing out on tremendous efficiency and cost-saving opportunities.

A platform approach extracts reusable, generic software components from individual projects and standardizes them, creating a common foundation. This foundation ensures that new variants—whether for different hardware configurations or entirely new vehicle models—can be built efficiently from existing software blocks rather than requiring costly and redundant redevelopment.

By shifting from isolated software projects to a structured, scalable software platform, companies benefit from:

  • Reduced time-to-market for new features and models
  • Lower development and maintenance costs through reuse
  • Higher software quality due to tested, standardized components
  • Improved long-term maintainability and adaptability

Software Analytics: The X-Ray of Software Landscapes

Implementing a platform-based approach requires visibility into existing software assets, dependencies, and inefficiencies. This is where software analytics comes into play.

Modern analytics tools provide a clear, data-driven picture of a company’s software landscape, much like an X-ray or a stethoscope does for a doctor. By analyzing millions of lines of code, these tools can pinpoint inefficiencies, such as:

  • Redundant code that could be replaced with reusable components
  • High-maintenance modules that generate excessive costs
  • Development teams spending excessive time on non-value-adding activities
  • Software components that are frequently modified, indicating instability or poor modularization

By identifying these bottlenecks, companies can systematically improve reusability, reducing development efforts and maximizing the return on investment in software assets.


Challenges in Heterogeneous Corporate Structures

Many companies struggle with historically grown, fragmented software environments. Often, different divisions, acquired subsidiaries, or legacy departments use their own tools, processes, and methodologies, making standardization difficult.

To address this, companies should adopt a structured approach, focusing on:

  • Standardizing software components and treating them as standalone products
  • Implementing centralized repositories to avoid copy-paste development across teams
  • Enforcing Continuous Integration & Deployment (CI/CD) to ensure high software quality
  • Measuring software reusability and efficiency to drive targeted improvements

Without such measures, companies risk continued software sprawl, where development efforts remain fragmented and inefficient.


Optimizing Resource Allocation and Developer Efficiency

Another critical challenge is effective allocation of software development resources. Skilled software engineers are a scarce asset, making it crucial to maximize their productivity.

Analytics can provide key insights into how development teams work, answering questions such as:

  • Are high-cost developers spending too much time on maintenance instead of innovation?
  • Are offshore teams truly cost-effective, or do complexity and rework offset their savings?
  • Are some teams making unnecessary modifications to reusable software components?

With these insights, companies can optimize their developer workflows, ensuring that top engineers focus on high-impact work rather than getting bogged down by inefficiencies.


From First-Mover Projects to Long-Term Software Strategy

Many innovative software components are initially developed as one-off solutions for a specific first-mover project. However, companies should look beyond the immediate need and consider which parts of these projects could form the foundation of a long-term software platform.

By identifying early-stage developments that have high reuse potential, companies can ensure that first-mover projects don’t become isolated software silos, but instead contribute to a broader platform strategy.

A strategic software management approach should therefore:

  1. Encourage modular development, ensuring that software is designed with reusability in mind
  2. Utilize analytics to assess software efficiency and guide standardization efforts
  3. Promote cross-team collaboration, preventing knowledge and assets from being locked within single projects

Conclusion: The Path to Strategic Software Leadership

The automotive industry can learn valuable lessons from leading digital enterprises:

  1. Software development must be long-term oriented – not treated as a series of one-off projects, but as a continuously optimized platform.
  2. Analytics provides the transparency needed to pinpoint inefficiencies and drive strategic improvements.
  3. A structured platform approach reduces costs and increases speed, making software development a competitive advantage rather than a bottleneck.

By applying these principles, companies can elevate software development from an operational necessity to a strategic asset, securing long-term competitiveness in an increasingly software-driven automotive world.

The Software Excellence Network

The Software Excellence Network (SEN) is a community exclusively for IT executives and software academics. Dedicated to tackling the biggest challenges in software development of our time through the open exchange of ideas, the SEN invites like-minded individuals to join us in our mission. Find out more about the Software Excellence Network here.