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I've heard this before when I give interviews or meet new developers at tradeshows. The thinking seems to go that "While I'd personally love to do this best practice of 'Unit Tests', adding them takes a lot longer (like adding a new development phase), which costs extra money, therefore I need managerial approval." This is fundamentally backwards.
The whole point of Unit Tests is that:
Here's an analogy: Think of your schedule like a bucket, and your tasks are like rocks that fill up the bucket. You can't increase the size of your bucket, or decrease the number of rocks, therefore the bucket (i.e. your schedule) seems full. However, there are gaps between the rocks (just like there are gaps between tasks - like setting up the context and regression testing). You could pour sand into a full bucket, in the cracks in between the rocks. That's what unit tests are like. If you do them as you develop, you can squeeze them into your schedule without overflowing it.