Companies have been using metrics for quite some time.
Businesses use all kinds of measurements to understand what’s happening in the organization and how well they are satisfying their customers. This is seen especially in organizations with high volumes of information, production or deliveries.
Metrics are useful if you’re doing a marketing experiment, production analysis, lead time evaluation and others. It’s a way to evaluate if the adoption of different methodologies within the company are bearing fruit and producing the expected outcomes.
On one hand, some people might see this as a way to control what’s going on but on the other hand, others understand metrics as an opportunity to have conversations so that they can understand what’s happening and then implement the necessary changes to seek their expected outcomes.
Business Metrics
Metrics for business are very consolidated nowadays. They usually reflect the company’s ability to generate profit.
Revenue, expenses and cash flow are important in this scenario but are not the only ones available.
Venture capital and other institutions might evaluate return on equity (ROE), profit margin, asset turnover, financial leverage and others.
An interesting framework to use is the DuPont Analysis. It was created in the 1920s and essentially evaluates how the organization creates value for its shareholders.
Performance Metrics
These metrics are commonly referred to as Key Performance Indicators (KPIs). KPIs provide a perspective on how the organization is doing its work.
Good KPIs are the ones that can relate to the business metrics to either monitor if we’re performing as expected or to provide insights for better decision making.
These indicators can support the evaluation of new technology, a new process, a new method or a newly adopted framework.
Agile, like other frameworks, when adopted in the organization can leverage business results but the question is usually how do you evaluate if you’re doing it well?
There are some metrics that can be used to answer that question. Some of them have their origin in other methodologies but still very useful for this evaluation
- Story Points Delivery Rate: it measures how many story points are delivered on each sprint. A burndown chart can help you identify it.
- Work in Progress: it’s the remaining work to be finished.
- Lead Time: this is the time passing between two milestones. It can measure the necessary time to develop a story or the elapsed time between two stages. It can be calculated with the division of Work in Progress by Story Points Delivery Rate.
- Cycle Time: it’s a subset of the Lead Time that focuses on one specific step. Lead time can be the sum of many steps of cycle time.
- Velocity: it provides an average of how many story points were completed over the previous sprints.
- Number of Defects: it provides information on how many defects were found in the development process. It’s useful metric for the team to gauge the complexity of their work.
- Availability: it provides an overview of how much time was used to work divided by the available time.
- Performance: it provides a ratio between what was delivered and what was expected.
- Quality Rate: it provides a ratio between the non-defective developed stories between what was delivered.
- Overall System Effectiveness (OSE): it is the ratio between the non-defective developed stories by expected stories in the sprint.
Pro Tip
It is important to note that having all of these metrics can be useless if there’s no trust in the environment that you’re in.
Make sure you use the metrics as a support to improve the system and not to punish the teams.
Comparing the evolution for each indicator over time and connecting them to the business metrics will help you empower the teams and achieve the expected outcome.
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Kanban System Design® (KMPI)
13 to 14 JUN 2023 (2 days) - Starting Tuesday - Online - David Vicentin
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This 2-day workshop - Kanban System Design (KSD) - also known as 'Kanban for Real Agility®' - provides you with the fundamentals of the Kanban Method® . It is designed specifically for leaders starting their organization on the gentler path towards Real Agility™. This learning event is ideal for you if you are responsible for the delivery of a service. Learn the concepts of flow, pull, classes of service, and learn to deal with interruptions and multi-tasking. Learn the Systems Thinking Approach To Implementing Kanban (STATIK) through a multi-step interactive case study review.
This KSD course, (formerly known as Kanban Management Professional 1 - KMP I), is the first of two courses towards the Kanban Management Professional (KMP) credential. The KSD is the prerequisite to the Kanban Systems Improvement course (KSI). By completing both this course (KSD) and the KSI, participants can earn their KMP credential with Kanban University®.
Key Benefits
- Participate in a Kanban simulation for immersive learning
- Design your service's Kanban board with guidance from our Kanban experts
- Start your Kanban adoption and in evolving your system
- Earn 16 PDUs | 16 SEUs
- Obtain your Kanban University® KSD certificate
- Completion of this and the KSI class will earn you the Kanban University® KMP credential
- Get a profile listing on the Kanban University® alumni page
- We are a Registered Education Provider with Kanban University® and PMI®
- Taught by and overseen by Accredited Kanban Trainers (AKT's)
EXCLUSIVE: Free "Kanban for Managers" e-book written by BERTEIG consultants!
Download the recommended reading by "David J. Anderson and Andy Carmichael":
Essential Kanban Condensed
Please register using a corporate email address, for corporate loyalty program discounts.
Read MoreLocation:
Online
Date:
Tue 13-Jun-2023
Wed 14-Jun-2023
Time:
09:00 AM to 05:00 PM (EST)
Trainer:
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Kanban System Design® (KMPI)
26 to 27 SEP 2023 (2 days) - Starting Tuesday - Online - David Vicentin
Early-bird Discount! C$1795.00 C$1525.75 Until 12-Sep Register Now- Improve Knowledge Work Productivity -
This 2-day workshop - Kanban System Design (KSD) - also known as 'Kanban for Real Agility®' - provides you with the fundamentals of the Kanban Method® . It is designed specifically for leaders starting their organization on the gentler path towards Real Agility™. This learning event is ideal for you if you are responsible for the delivery of a service. Learn the concepts of flow, pull, classes of service, and learn to deal with interruptions and multi-tasking. Learn the Systems Thinking Approach To Implementing Kanban (STATIK) through a multi-step interactive case study review.
This KSD course, (formerly known as Kanban Management Professional 1 - KMP I), is the first of two courses towards the Kanban Management Professional (KMP) credential. The KSD is the prerequisite to the Kanban Systems Improvement course (KSI). By completing both this course (KSD) and the KSI, participants can earn their KMP credential with Kanban University®.
Key Benefits
- Participate in a Kanban simulation for immersive learning
- Design your service's Kanban board with guidance from our Kanban experts
- Start your Kanban adoption and in evolving your system
- Earn 16 PDUs | 16 SEUs
- Obtain your Kanban University® KSD certificate
- Completion of this and the KSI class will earn you the Kanban University® KMP credential
- Get a profile listing on the Kanban University® alumni page
- We are a Registered Education Provider with Kanban University® and PMI®
- Taught by and overseen by Accredited Kanban Trainers (AKT's)
EXCLUSIVE: Free "Kanban for Managers" e-book written by BERTEIG consultants!
Download the recommended reading by "David J. Anderson and Andy Carmichael":
Essential Kanban Condensed
Please register using a corporate email address, for corporate loyalty program discounts.
Read MoreLocation:
Online
Date:
Tue 26-Sep-2023
Wed 27-Sep-2023
Time:
09:00 AM to 05:00 PM (EST)
Trainer:
-
Kanban System Design® (KMPI)
12 to 13 DEC 2023 (2 days) - Starting Tuesday - Online - David Vicentin
Early-bird Discount! C$1795.00 C$1525.75 Until 28-Nov Register Now- Improve Knowledge Work Productivity -
This 2-day workshop - Kanban System Design (KSD) - also known as 'Kanban for Real Agility®' - provides you with the fundamentals of the Kanban Method® . It is designed specifically for leaders starting their organization on the gentler path towards Real Agility™. This learning event is ideal for you if you are responsible for the delivery of a service. Learn the concepts of flow, pull, classes of service, and learn to deal with interruptions and multi-tasking. Learn the Systems Thinking Approach To Implementing Kanban (STATIK) through a multi-step interactive case study review.
This KSD course, (formerly known as Kanban Management Professional 1 - KMP I), is the first of two courses towards the Kanban Management Professional (KMP) credential. The KSD is the prerequisite to the Kanban Systems Improvement course (KSI). By completing both this course (KSD) and the KSI, participants can earn their KMP credential with Kanban University®.
Key Benefits
- Participate in a Kanban simulation for immersive learning
- Design your service's Kanban board with guidance from our Kanban experts
- Start your Kanban adoption and in evolving your system
- Earn 16 PDUs | 16 SEUs
- Obtain your Kanban University® KSD certificate
- Completion of this and the KSI class will earn you the Kanban University® KMP credential
- Get a profile listing on the Kanban University® alumni page
- We are a Registered Education Provider with Kanban University® and PMI®
- Taught by and overseen by Accredited Kanban Trainers (AKT's)
EXCLUSIVE: Free "Kanban for Managers" e-book written by BERTEIG consultants!
Download the recommended reading by "David J. Anderson and Andy Carmichael":
Essential Kanban Condensed
Please register using a corporate email address, for corporate loyalty program discounts.
Read MoreLocation:
Online
Date:
Tue 12-Dec-2023
Wed 13-Dec-2023
Time:
09:00 AM to 05:00 PM (EST)
Trainer:
Berteig Consulting
Empower Your Entire Organization with BERTEIG Consulting in Agile, Scrum, Kanban, SAFe and LEAN.