A method, system, and computer-readable medium for determining competence levels of factory teams are presented. In a preferred embodiment, the method includes the steps of: creating a template for an initial work packet, wherein the initial work packet is a self-contained work unit that is assembled within the software factory; creating a partially instantiated work packet by populating the template with details that describe pre-conditions and post-conditions necessary to execute the work packet; provisionally selecting a human team to complete coding of the partially instantiated work packet to create a final work packet; determining whether the human team is competent to create the final work packet; and in response to determining that the human team is competent to create the final work packet, ordering the human team to create the final work packet within the software factory.