How Software Requirements Specification and Mockups Save Time and Money for Businesses

Did you know that 70% of IT projects go over budget or fail completely due to errors at the planning stage? According to the Standish Group (2023), the main reason is the lack of clear business requirements and a visual representation of the product. This is where the software requirements specification (SRS) and mockups come to the rescue — two tools that a software consulting firm uses to turn the chaos of product development and testing into a manageable process.

Good software requirements specification is not just a formality, but the foundation for the success of any development project. A well-prepared software requirements specifications SRS details what the software system should do, how it will interact with users and systems, and what quality standards it will meet.

For example, a startup from California lost $100,000 USD due to a trivial mistake: the team started writing code without an approved SRS. As a result, the customer received a product that did not meet his expectations, and it took three months to remake it.

Mockups, in turn, visualize ideas before programming begins. They allow you to coordinate design, logical interface, and user scenarios, which is especially important in IT development. Without them, the role of software in business processes can be distorted, and fixing errors at later stages will cost 10 to 100 times more (IBM, 2021). Software requirements development is essential.

Let’s take a look at how SRS and mockups save time, budget and the nerves of all participants in the development process. You will learn:

• How to write an SRS outline to avoid conflicts with contractors.
• Why functional and nonfunctional requirements are crucial and equally important.
• The tools top companies use to create an effective SRS document.
  

Ready to turn your next IT project into a success story? Let’s start with the basics.

Software consulting

Software consulting plays a crucial role in helping businesses streamline their development processes and achieve their goals effectively. A software consulting firm offers expert advice on how to create robust software architectures, implement best practices, and avoid costly mistakes. One of the key areas of focus in software consulting is the development of Software Requirements Specifications (SRS) and mockups. These tools ensure that the software development process remains structured and efficient, helping businesses save time and reduce the likelihood of expensive errors during development.

For example, according to the Standish Group (2023), 70% of IT projects fail or go over budget due to unclear requirements. An SRS is not just a bureaucratic document; it acts as a detailed blueprint for software development, covering both functional and non-functional requirements. By working with a software consulting firm or SRS consulting, businesses can avoid common pitfalls such as inadequate planning or poorly defined goals, which ultimately helps protect the project’s budget and timeline.

Mockups, which visually represent ideas before the programming phase, are another valuable tool. They help to ensure alignment between design, user experience, and functional requirements. These visuals allow stakeholders to verify that the product meets expectations, reducing the risk of costly redesigns later on.

Ultimately, software consulting provides companies with a clearer understanding of their software needs, helping them navigate complex IT projects and set themselves up for success. SRS consulting further enhances this process by ensuring precise and well-documented software requirements, minimizing risks, and aligning development efforts with business goals.

Saas development

SaaS (Software as a Service) development is the process of creating cloud-based software applications that are accessed online, rather than being installed on local machines. SaaS platforms provide businesses with scalable, subscription-based solutions that can be accessed from any device with internet connectivity. Key benefits of SaaS development include lower upfront costs, automatic updates, and easy integration with other systems. SaaS development focuses on user-friendly interfaces, security, and ensuring high availability and scalability to accommodate growing user bases.

SRS Document: Role in Software Product Engineering

Software Requirement Specification Document: Foundation of a Successful Project

The SRS (Software Requirements Specification) document is a formalized agreement between the customer and the development team that describes in detail what the software project should do, how it will work and under what conditions. This is not just a wish list, but a project “bible” that eliminates misunderstandings and reduces risks. According to the IEEE 830 standard, a good software requirements specification SRS includes clear objectives, functional requirements, performance criteria, and system constraints, forming the foundation for successful software requirements development.:

1. Goals and scope — why the product is being created.
2. Functional requirements — what the system should do (e.g., “user can upload files”).
3. Nonfunctional requirements — how the system does it (performance, security, compatibility).
4. Interfaces — interaction with external systems and users.
5. Constraints — technical or business rules.

Example: A prototype software requirements specification for a mobile bank includes a “Security Requirements” section that specifies two-factor authentication and data encryption.

Functional requirements and nonfunctional requirements: comparative analysis

In software engineering, requirements are divided into two types:

Functional requirements define the core logic of a product. For example, in an e-commerce application, a functional requirement might be: “The shopping cart must retain items for 24 hours.”

Nonfunctional requirements, however, often serve as a “lifesaver”. 

Case Study: A fintech startup included in its SRS document the requirement “the system must handle 5,000 transactions per second.” When the load increased, this requirement prevented system failures and customer losses.

The Cost of Ignoring Non-Functional Requirements

Neglecting them is a common mistake. In 2022, HealthCareSoft launched a software application for clinics without backup requirements.

Result: A server crash deleted 10,000 patient records. Recovery took $2 million and six months.

Conclusion: An SRS document is not bureaucracy; it is an investment in predictability. It transforms abstract ideas into clear instructions for the development team while also protecting the budget from surprises.

Writing an SRS Document: Steps and Tools

Step-by-Step Guide to Creating an SRS

Writing an SRS might seem complex at first. Let’s break it down, what an SRS document must contain and below are four stages to turn chaotic ideas into structured documentation:

1. Requirements Gathering
   • Conduct client interviews, market research, and user scenario analysis.
   • Capture both functional (“what the system does”) and nonfunctional (“how it does it”) requirements.
   • Example: For an online banking product, requirements include security, request processing speed, and payment system integration.
2. Analysis and Prioritization
   • Ensure requirements do not contradict each other or business objectives.
   • Use the MoSCoW method: Must have, Should have, Could have, Won’t have.
3. Documentation
   • Format requirements using an SRS template (e.g., IEEE 830 standard).
   • Include sections: Introduction, Functional & Non-Functional Requirements, Interfaces, Constraints.
4. Approval
   • Align the document with the client and development team.
   • Example: The SRS document must have stakeholder approval before coding begins.

Automation Tools for SRS Development

To simplify the SRS process, use:

• Jira – for tracking requirements and tasks.
• Confluence – for storing and collaboratively editing SRS documentation.
• Helix ALM – for version control and testing.

These tools reduce data loss risks and speed up requirements management.

Example of a Failed SRS Implementation

A Berlin-based startup developed warehouse management software. Due to time constraints, the team skipped detailed requirements for the external interface. As a result:

• Developers built the system based on assumptions.
• The client rejected the product because the UI did not meet employee needs.
• $30,000 and two months were spent on redesign.

Conclusion: Cutting corners on SRS led to project failure.

Why SRS Errors Are Expensive

According to IBM research, the cost of fixing bugs increases significantly over time:

• Fixing a bug during at design stage: $1.
• During the testing phase: $15.
• After release: $100+.

Source: IBM Systems Sciences Institute, 2023.

Conclusion: An SRS and system requirement document is not bureaucracy—it is insurance against financial losses. Investing time to create an SRS document protects your project from costly surprises and accelerates software development process.

IT Development: SRS Documentation Features

IT development is more than just writing code; it’s about creating a product that operates in a constantly evolving digital environment. Unlike desktop applications, web projects (SaaS, e-commerce, corporate portals) face unique challenges:

• Scalability – the system must handle traffic growth.
• Cross-browser compatibility – consistent display on Chrome, Safari, and Firefox.
• Integrations – payment systems, CRM, analytics tools.

For example, an SRS document for a SaaS project management platform might include a requirements section stating: “The system must support 1,000 concurrent users without delays.”

SRS Features for SaaS and E-commerce

1. SaaS Solutions:
   • Focus on types of nonfunctional requirements: data security (encryption, role-based access), 99.9% uptime.
   • Example: An SRS for a cloud-based text editor might specify:

“Auto-save every 2 minutes.”

1. E-commerce Websites:
   • Header: logo, search bar, cart icon.
   • Product section: filters by price, category, and rating.
   • Footer: contact details, social media links.
     
   • Emphasis on UI/UX requirements: a user-friendly shopping cart, PayPal/Stripe integration.
   • Case study: The main page layout of an e-commerce site includes:

This structure helps align expectations between developers and clients before development starts.

Software Development Outsourcing: A Success Story

A Dutch startup was building a SaaS platform for online education. Lacking in-house resources, they opted for outsourced development but first:

• Created a detailed SRS specifying functionality (video webinars, quizzes) and security compliance (GDPR).
• Included benchmarking requirements from similar projects.
• Defined performance expectations: support 5,000 concurrent users.

Result:

• The contractor accurately estimated the timeline & budget ($150K instead of the initial $200K).
• The final product passed a security audit on the first attempt.
• The startup secured $2M in investment due to a well-defined MVP and SRS alignment.

Why SRS Is Your Secret Weapon in IT Development?

• For Clients: Turns abstract ideas into a clear technical specification, protecting against unreliable contractors.
• For Developers: Reduces revisions and miscommunications.

Key takeaway: Outsourced development only works if you have a detailed SRS. Without it, you risk getting a product that fails your business needs.

Non-Functional Requirements: Key Element of SRS

Imagine your app works perfectly on a local server but crashes with 100 users online. Or gets hacked a week after launch. These are not hypothetical horror stories but real-world consequences of ignoring nonfunctional requirements (NFRs). Even if functionality is flawless, without a “hidden framework”, your product is doomed.

What Are Non-Functional Requirements (NFRs)?

NFRs define how the system should operate, rather than what it does. Key categories include:

• Performance – response time, server load capacity.
• Security – data protection, authentication.
• Scalability – ability to grow without rewriting code.
• Usability – user-friendly interface design.

Example: In an online banking system, functional requirements cover money transfers & payments, while non-functional requirements ensure data encryption & DDoS attack resistance.

Case Study: How Ignoring NFRs Wasted $2M

In 2021, an EdTech startup launched an online course platform. Their SRS covered detailed functional requirements (video lectures, quizzes) but ignored performance requirements.

Outcome:

• With 500 concurrent users, the servers overloaded.
• Videos buffered for 10–15 seconds, causing mass user churn.
• Emergency infrastructure optimization cost $2M and took 4 months.

Conclusion: NFRs Are Not Optional—They Are the Foundation of Stability

How to Define Non-Functional Requirements in an SRS?

1. Be Specific, Not Abstract
   • ❌ Bad: “The system must be fast.”
   • ✅ Good: “Page load time must be ≤ 2 seconds with 1,000 concurrent users.”
2. Use Standards
   • For security: GDPR, ISO 27001.
   • For performance: SLA (example, uptime 99.9%).

Why Is This Important for Outsourcing?

When outsourcing software development, defining NFRs in the SRS:

• Helps the vendor choose the right technologies (e.g., cloud solutions for scalability).
• Prevents disputes during acceptance testing (“You didn’t specify load requirements!”).
• Saves budget – fixing architectural mistakes later costs 10–20x more. 

Bottom Line: Functional requirements answer “What?”, Non-functional requirements answer “How?” and “How well? Ignoring NFRs is like building a house without a foundation. Make sure your SRS covers both to avoid product failures when it matters most.

Outsourcing Software Development: The Role of SRS

Imagine outsourcing your project to an external team, only to realize a month later that they’re building something entirely different from what you expected. Sound familiar? This happens when outsourcing without a detailed SRS.

Why Is SRS Your “Shield” in Outsourcing Contracts?

An SRS is not just a wish list—it’s a legally significant document that:

1. Locks in requirements – ensuring both parties have the same goals.
2. Reduces the risk of manipulation — the contractor won’t be able to impose unnecessary functionality “by default.”
3. Serves as a basis for testing — acceptance is conducted according to clear criteria.

For example, if the SRS states: “the software must process 100 orders per minute,” but the contractor delivers a system that handles only 50 orders — this is a direct breach of the contract.

Case study: How SRS saved $50k and company reputation

A startup from Barcelona outsourced software development for a fitness tracker mobile app. Instead of an abstract technical specification, they provided:

• A detailed software requirements specification (SRS) with interface examples.
• Performance requirements: Data synchronization with Apple Health in ≤ 3 seconds.
• Non-functional requirements: 24-hour autonomous operation.

Result:

• The contractor couldn’t inflate the budget with hidden revisions.
• The final project cost was $50K lower than the market average.
• The app received 4.8 stars in the App Store thanks to a well-thought-out UX.

5 Risks of Outsourcing Without an SRS

If you decide to skip writing an SRS to save time, here’s what awaits you:

1. Shifting deadlines – Without clear requirements, time and budget estimates become guesswork.
2. Conflicts during acceptance – “We did what you asked!” vs. “This isn’t what we wanted!”
3. Technical debt – Contractors may use cheap solutions that will need costly rework.
4. Loss of knowledge – If the team leaves, a new one won’t understand how to develop the product.
5. Legal risks – Disputes can’t be resolved without referring to an SRS.

How to Protect Yourself?

If you’re outsourcing software development, take three steps:

1. Invest in creating an SRS – It takes 2–3 weeks but saves months of work.
2. Ensure your contractor understands and agrees with every requirement.
3. Use the SRS as a checklist at every project milestone.

Remember: SRS isn’t bureaucracy; it’s your key control tool. Don’t let your project turn into a budget black hole!

SRS and Wireframes – Your Insurance Policy for IT Projects

Imagine every project launching on time, within budget, and meeting expectations. This isn’t a utopia—it’s reality for those who invest in software requirement specifications (SRS) and wireframes. These tools act as insurance: they won’t eliminate all risks but will minimize their financial impact.

According to IBM, every $1 invested in planning saves $15 in post-release bug fixes. An SRS turns abstract ideas into clear instructions, while wireframes visualize concepts before a single line of code is written. Together, they:

• Reduce the need for revisions by 60–70%.
• Speed up contractor approvals.
• Enable more accurate ROI predictions.

What happens if you skip the SRS? Vague requirements, endless revisions, missed deadlines—and in the end, a 40–200% budget overrun.

Conclusion

A well-structured Software Requirements Specification (SRS) document ensures the software meets business needs by describing what the software should do and detailing the requirements necessary for development. The SRS provides a comprehensive set of software use cases that accurately outline functional and technical requirements, including the constraints under which the software must operate. Writing an SRS document helps project managers within the software development process manage requirements effectively, reducing discrepancies between the document and the software’s final implementation. 

An existing SRS can serve as a reference for new projects, while an example SRS outline can help standardize the requirements management process. Businesses looking to outsource software development can benefit from completing the SRS before engaging external teams, ensuring clarity and reducing costly revisions. Whether developing a cloud-based document management system or another complex solution, formulating a strong SRS document streamlines the system and software development processes, ultimately saving time and money.

Don’t turn development into a lottery. Let the professionals at Camel Expert create your SRS—we’ll help formalize your ideas, prepare wireframes, and select the right contractor. Result? You’ll save up to 40% of your budget and launch your product faster than competitors.

Why pay for mistakes when you can prevent them? Start with planning—it’s the only stage where your investment is guaranteed to pay off.

Appendix: Checklist for Self-Verification of SRS

Checklist 1: Requirement Completeness

✅ All functional requirements are clearly described (e.g., “Users can register via Google”).
✅ Non-functional requirements are specified: security, performance, scalability.
✅ The “External Interface Requirements” section is included (UI/UX, cross-browser compatibility).
✅ Constraints are documented (e.g., compatibility with Windows 10+).
✅ User scenarios (use cases) for key features are provided.
✅ All business objectives of the client are considered.

Checklist 2: Good SRS Document Structure

✅ An SRS template is used (e.g., IEEE 830 or ISO/IEC/IEEE 29148).
✅ The document includes:

• Introduction (purpose, set of software use cases and role).
• Functional and non-functional requirements.
• Interfaces (APIs, hardware/software integrations).
• Constraints and dependencies.
  Example SRS specifications for similar projects are included.
  Requirements are numbered with unique IDs (e.g., FTR-001, NFR-005).

Checklist 3: Consistency Check

✅ No conflicting requirements (e.g., “The system must work offline” vs. “Requires a constant internet connection”).
✅ Performance requirements align with technical limitations (e.g., “10,000 requests/sec” on shared hosting is unrealistic).
✅ System requirement specifications are synchronized with the SRS (e.g., server capacity matches workload).

Checklist 4: Preparation for Outsourcing

✅ The SRS includes acceptance criteria (e.g., “Supports 5,000 concurrent users”).
✅ Security standards are specified (GDPR, ISO 27001 for software).
✅ Documentation requirements are outlined (e.g., user manual in English).
✅ All glossary terms are clearly defined (e.g., “autonomous operation” = 24 hours without charging).

Checklist 5: Validation of Requirements

✅ Interviews with project managers and stakeholders have been conducted.
✅ Requirements are tested through use case scenarios (e.g., “Registration → Payment → Delivery”).
✅ Web development specifications are considered: SEO, mobile adaptation, caching.
✅ Requirement management tools are used (Jira, Helix ALM).

Checklist 6: SRS Quality Assessment

✅ A strong SRS meets these criteria:

• Completeness: No missing functions.
• Clarity: No ambiguous interpretations.
• Testability: Each requirement can be verified.
  References to supporting documentation (technical specs, API docs) are included.
  The document is approved by all parties (developers, the client, testers).
  

Checklist 7: Preparation for Development

✅ Clear software requirements align with the development process.
✅ Suitable methodologies are chosen for software engineering (Agile, Waterfall).
✅ A live document is maintained with an ability to make changes (e.g., Confluence + Jira).

How to use the checklists:

1. Review each point against your SRS document formulation.
2. If the answer is “No,” revise the SRS before proceeding.
3. For software development, provide the checklist to the contractor as part of the contract.
   

Example:

For an e-commerce web development project, check:

• Is PayPal integration mentioned in the SRS (functional requirement)?
• Is a page load time of ≤ 2 seconds specified (non-functional requirement)?