I built up a team foundation server in VM. It goes without saying that this tool is really fabulou.
I strongly recommed you to add the server into domain before you install the service. Dealing with machine name changes truly drive me nuts.
Feature 1, two types of development processes are available
Integrated with Agile & CMM develop processes, the team can pick up proper template they need.
Other development model like scrum will be available soon as well.
CMMI waterfall working process. Analysis->Requirement->Architecture->Development->Testing->Delivery.
Here is the agile. Divided whole production into user stories, split each story into some tasks, delivery testable version regularly, every deliver package implemented several user stories.
Feature 2, Automatically build
Can automatically build on the specified time, and all unit tests will be executed and generate a report. One unit test can directly link to one user story, which means you could see which user story is failed immediately.
In addition, build service can also run every time after code is checked in.
Feature 3, A great amount of statistics reports.
Test report
User story implement report
Bug report
Velocity report
Others
My conclusion:
Team foundation is a powerful tools integrated many prevalent ideas of software development process. In addition, it is a must that the team need to have a full-time PQA, who know team foundation very well, to master the server and process.
P.S
Some diagrams above are obtained on http://www.slideshare.net/.