SmartOfficeNews summarized a Wall Street Journal article on Microsoft, covering how they fixed their software engineering process. Spin aside, the best part (emphasis mine):
By late October, Mr. Srivastava’s team was beginning to automate the testing that had historically been done by hand. If a feature had too many bugs, software “gates” rejected it from being used in Longhorn. If engineers had too many outstanding bugs they were tossed in “bug jail” and banned from writing new code. The goal, he says, was to get engineers to “do it right the first time.”