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www.agile42.com | All rights reserved. Copyright © 2007 - 2015.

agile42 - The Agile Coaching Company

agile42 | The Agile Coaching Company

Measuring What Matters "in your Agile Transformation

www.agile42.com | All rights reserved. Copyright © 2007 - 2015. agile42 | The Agile Coaching Company

Dhaval Panchal VP & Enterprise Agile Coach

@[email protected]

@dhavalpanchal

Favorite Quote:

“Stick to the basics and when you feel you have mastered them it’s time to start all over again, begin anew –again with the basics- this time paying more attention.”

– anonymous


The Enterprise Transition

Framework™��

(ETF) for empirical change

1.  Assess

2.  Strategy 3.  Pilot

4.  Rollout http://www.agile42.com/en/agile-transition/etf/


Goal PSF NC

Agile Strategy Map™

Define the Goal we want to achieve

Possible Success Factor (PSF) represents a hypothesis about a key factor that would enable us to achieve the Goal

Necessary Condition (NC): what is needed in order to fulfill the Success Factor

http://www.agile42.com/en/agile-transition/agile-strategy-map/

Agile Strategy Map™ - Framework for Strategy


Goal CSF#1 NC#1.1

NC#1.2

Agile Strategy Map™

CSF#1: we must consolidate all projects in one Portfolio, so that will be able to make better business decisions

NC#1.1.1

The Pilot was successful...

The Potential Success Factor becomes a Critical Success Factor (CSF). Update the strategy to roll out and institutionalize the change.

Pilot success! Now what?


Sustainably faster delivery of

solutions that delight

customers

Faster time to market

Alignment & support across the org

Engaged & joyful people

Transparent empirical view

of org performance

Grow and sustain agile practices

Culture of continuous learning &

improvement

Org priorities aligned with

Customer value

Agile Transformation"Sample Goal + Success Factors (PSFs / CSFs)


Sustainably faster delivery of solutions that

delight customers

Faster time to market

Balance workload & capacity: limit WIP

Alignment & support across

the org

Engaged & joyful people

Transparent empirical view of org

performance

Grow and sustain agile

practices

Culture of continuous learning

& improvement

Org priorities aligned with

customer value Dedicated "

Guiding Coaltion

Pilot projects

Clearly communicated vision & strategy

Training & coaching Build "internal "expertise

Collaborative prioritization

with stakeholders

Collaborative "cross-functional "

teams Automated testing &

deployment Incremental delivery

Visible metrics

Leaders to remove fear

Empowerment

Clear, "realistic goals

Servant leadership

Action taken to improve

Foster innovation

Celebrate failed "experiments

Sample Agile Strategy Map™

Clear career path

Goal

Success factors

Necessary conditions

Legend:


A few metrics (KPIs) for the goal Sustainably faster delivery of solutions that delight customers

These are lagging indicators; some leading indicators are described soon…


Leading & lagging indicators for each PSF / CSF PSF Leading Indicators Lagging Indicators

•  # total concurrent projects •  Avg # concurrent projects/

person •  Program burn-up chart

•  Lead time: idea to 1st delivery •  Cycle time: Dev start to 1st delivery •  Deployment frequency post 1st

delivery (MVP/V1)

•  Frequency & effectiveness of stakeholder collaboration on prioritization

•  Standard way to compare project value

•  Portfolio priorities highly visible

•  All teams working on top portfolio priorities; no ‘side projects’

•  Delivered value is measured and meets expectations

•  Customer satisfaction survey •  Sales and/or usage statistics

1.  Faster time to market

2. Org priorities aligned

with customer

value


CSF 1: Time to Market

Lead time: from request to 1st deploy Cycle time: dev start to 1st deploy


CSF 1: Time to Market – leading indicator

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CSF 1: Time to Market / predictability – lagging indicator

0

2

4

6

8

10

12

14

16

18

20

2 4 6 8 10 12 14 16 18 20 22 24 26 28 30 32 34 36 38 40

Lead time frequency

Lead time (days)

Freq

uenc

y


PSF 2: Org priorities aligned with customer value –"leading indicators

Churn = % change after

commit point


Compare actuals

with forecast

PSF 2: Org priorities aligned with customer value –"lagging indicators


Leading & lagging indicators for each PSF PSF Leading Indicators Lagging Indicators

•  Sr. Leadership consensus on strategy

•  Frequency of comms on vision & strategy; # of different forums

•  Short-term wins visibly celebrated

•  # hours spent on Guiding Coalition activities

•  Poll: % who agree with strategy •  Poll: % prefer new to old approach •  # of teams asking to ‘go agile’

•  # people trained on Agile •  # people in coached projects •  # people in the ‘coach the

coach’ program

•  Agile team practices maturity level •  # people completing ‘coach the

coach’ •  # people achieving 3rd party Agile

certifications •  Monthly attendance in Agile

Community of Practice (CoP) mtgs

4. Grow & sustain

agile practices

3. Alignment & support across the

org


PSF 3: Alignment & support


PSF 4: Grow & sustain agile practices


Your turn to try…

• Select a success factor (from the sample or your own)

• Identify a few leading and lagging indicators

• How could you measure and visualize them?


Leading & lagging indicators for each PSF

*Success ratio over 70% may indicate fear of failure

PSF Leading Indicators Lagging Indicators

•  Poll: things getting better or worse?

•  Career path defined for all roles

•  Poll: employee job satisfaction •  Attrition rate •  # employee referrals for hiring

•  Avg frequency of team retrospectives

•  # of experimental learnings celebrated (fast safe failures)

•  Poll: Do you feel safe to experiment & innovate?

•  # team-initiated process changes •  # team-initiated product

innovations •  Success ratio of experiments*

5. Engaged & joyful people

6. Culture of

continuous learning & Improve-

ment




Attack of the Killer Metrics!"

"When metrics

go bad…


Questions to ask about every metric

1. What decisions will be made based on this metric? 2.  Is this the RIGHT thing to measure or an easy-to-measure

proxy? 3. What might be the unintended consequences of this

metric? 4. How could this metric be ‘gamed’? 5. What can we do to guard against unintended

consequences and ‘gaming’? 6.  Is this a ‘management’ metric or a ‘team’ metric?


Compensating / Balancing Metrics

• What unintended consequences might happen if you measure speed of delivery?

• What is a compensating metric to counteract it? • Measure speed AND quality!


Management vs. Team Metrics

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https://www.flickr.com/photos/joeshlabotnik/ https://www.flickr.com/photos/jeroen020/


Your turn: Revisit your indicators from 1st activity…

1. What decisions will be made based on this metric? 2.  Is this the RIGHT thing to measure or an easy-to-measure

proxy? 3. What might be the unintended consequences of this

metric? 4. How could this metric be ‘gamed’? 5. What can we do to guard against unintended

consequences and ‘gaming’? 6.  Is this a ‘management’ metric or a ‘team’ metric?




Thank you!

Dhaval Panchal VP & Enterprise Agile Coach

@[email protected]

@dhavalpanchal

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