Agile Metrics, Value, and Software
Don McGreal
don.mcgreal@improvingenterprises.com
@donmcgreal
linkedin.com/in/donmcgreal
www.synerzip.com
www.synerzip.com
Agenda
1. Types of Metrics
2. Problems with Metrics
3. Metrics in Software Development
4. Evidence-Based Management
5. Questions
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How do you measure progress on your software
projects?
How about value?
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What is Value?
val·ue
noun
the regard that something is held to deserve; the importance,
worth, or usefulness of something.
For companies, it is always presented in money terms.
Profit derived from the use of a product or service
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Delivery Metrics
Owner Metrics
Pizzas Delivered per Trip
Time taking an order
Time for Delivery
Miles per Delivery
Fuel Used
Order Accuracy (Quality)
Route Efficiency
Orders per Driver
Revenue
Investments/Costs
Customer Satisfaction
Repeat Customers
Employee Satisfaction
Growth
Market Drivers & Trends
Market Share
Circumstantial
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Direct
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Delivery Metrics
Owner Metrics
Velocity
Number of Tests
Code Coverage
Defects
Coupling
Cohesion
Code Complexity
Build Failures
Process Adherence
Revenue
Per Release
Per Employee
Investments/Costs
Customer Satisfaction
Employee Satisfaction
Lead & Cycle Time
Innovation Rate
Customer Usage
Circumstantial
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Direct
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So what?
3 Challenges
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1. Efficiency
Cargo Cults
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1. Efficiency
Using circumstantial metrics as your main guide
can lead to more overhead and waste.
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2. Vision
Are we aligned?
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2. Vision
Using circumstantial metrics as your main guide
can misalign the business and the delivery
organizations.
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3. Incentive
Suboptimal Metrics
Source: Robert D. Austin, Measuring and
Managing Performance in Organizations
measurement
indicators
Performance
true
performance
Time
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3. Incentive
Once a measure of performance is made a
target or incentive for the purpose of driving
behavior, it loses the information content that
qualifies it to play such a role.
This is even more true of circumstantial metrics.
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Who?
?
Delivery Metrics
Owner Metrics
Pizzas Delivered per Trip
Time taking an order
Time for Delivery
Miles per Delivery
Fuel Used
Order Accuracy (Quality)
Route Efficiency
Orders per Driver
Revenue
Investments/Costs
Customer Satisfaction
Repeat Customers
Employee Satisfaction
Growth
Market Drivers & Trends
Market Share
Circumstantial
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?
Direct
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Who?
?
Delivery Metrics
Owner Metrics
Velocity
Number of Tests
Code Coverage
Defects
Coupling
Cohesion
Code Complexity
Build Failures
Process Adherence
Revenue
Per Release
Per Employee
Investments/Costs
Customer Satisfaction
Employee Satisfaction
Lead & Cycle Time
Innovation Rate
Customer Usage
Circumstantial
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?
Direct
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Agile Development
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Teams Have Organizational Impediments
impediments
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management
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Management Makes Investments
impediments
management
But how do we know
these investments
are making a
difference?
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training,
coaching,
infrastructure,
tools,
facilities
Evidence Based Medicine
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1.
Frame a proper, pertinent,
focused, and answerable question
1.
Systematically assemble best
available evidence
2.
Clinically appraise evidence for
validity and usefulness
3.
Apply results in practice of the art
4.
Evaluate performance
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Evidence Based Management
http://www.ebmgt.org/
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Evidence Based Management
Revenue per
Employee
Product Cost
Ratio
Employee
Satisfaction
Release
Frequency
Installed
Version Index
Release
Stabilization
Usage Index
Cycle Time
Customer
Satisfaction
Current Value
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Innovation
Rate
Defects
Time to Market
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Ability to Innovate
Evidence Based Management
Direct Evidence
Diagnose
Circumstantial Evidence
Improve
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Tracking Metrics
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Tracking Metrics
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Tracking Metrics
Sales
Employee Satisfaction
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So…
Agility isn’t just for IT.
Agility can provide the business with a true
competitive advantage.
The right measurements are essential for this.
They can improve communication, productivity,
and business alignment.
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Thank You!
Don McGreal
don.mcgreal@improvingenterprises.com
@donmcgreal
linkedin.com/in/donmcgreal
www.synerzip.com
www.synerzip.com
www.synerzip.com
Hemant Elhence
hemant@synerzip.com
469.322.0349
www.synerzip.com
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Synerzip in a Nutshell
1.
Software product development partner for small/mid-sized technology
companies
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4.
5.
Exclusive focus on small/mid-sized technology companies, typically venture-backed
companies in growth phase
By definition, all Synerzip work is the IP of its respective clients
Deep experience in full SDLC – design, dev, QA/testing, deployment
Dedicated team of high caliber software professionals for each client
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Seamlessly extends client’s local team, offering full transparency
Stable teams with very low turn-over
NOT just “staff augmentation”, but provide full mgmt support
Actually reduces risk of development/delivery
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Experienced team - uses appropriate level of engineering discipline
Practices Agile development – responsive, yet disciplined
Reduces cost – dual-shore team, 50% cost advantage
Offers long term flexibility – allows (facilitates) taking offshore team captive –
aka “BOT” option
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Our Clients
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Thanks!
Call Us for a Free Consultation!
Hemant Elhence
hemant@synerzip.com
469.322.0349
www.synerzip.com