Measuring and Evaluating an Agile Transformation 2017 ECOLOGIK CONSULTING GROUP LLC

Transcription

1 Measuring and Evaluating an Agile Transformation 2017 ECOLOGIK CONSULTING GROUP LLC 2017 TREYA CONSULTING LLC

2 Who we are Through our partnerships, we specialize in Lean-Agile coaching and training helping people realize the value and promise of an agile mindset Kumar 2017 TREYA CONSULTING LLC 2017 ECOLOGIK CONSULTING GROUP LLC 2017 TREYA CONSULTING LLC

3 Agile Transformations Agile Training Fundamental of Agile Business Value Management Kanban Workshops Facilitation and Coaching Workshops Business Agility Workshops Leadership Coaching and Training Scaled Agile Framework courses 2017 TREYA CONSULTING LLC 2017 ECOLOGIK CONSULTING GROUP LLC 2017 TREYA CONSULTING LLC

4 Truths about Metrics In General, Productivity Measures For Knowledge Work are Meaningless. "Tell me how you measure me, and I will tell you how I will behave." -- Eli Goldratt (of "Theory of Constraints") "When a measure becomes a target, it ceases to be a good measure." -- Goodhart's Law One of the seven deadly diseases of management is running a company on visible figures alone. -- Demming 2017 TREYA CONSULTING LLC 2017 ECOLOGIK CONSULTING GROUP LLC 2017 TREYA CONSULTING LLC

5 What metrics should we be focused on? Metrics that measure Transformation Outcomes Transformation Program Team Metrics that measure Transformation Progress Team success Team Adoption

6 Why do Large Transformations Fail? 2017 TREYA CONSULTING LLC 6

7 Top 2 reasons for failed transformation 1. No winning Strategy 2. No Performance Focus Source The 13 errors McKinsey and Company

8 A model for Success Define a Winning Strategy Envision a Future State Big, Hairy, Audacious Goals (BHAG) Align the Organization to the Strategy Create a Shared Sense of Purpose Choose the right set of Metrics Mix of Qualitative and Quantitative Benchmark Current State Avoid Vanity Metrics Make outcomes Big and Visible Create an information radiator for Agile Transformation and make it visible to the whole organization

9 AgilityHealth Overview

10 AgilityHealth Overview AgilityHealth is a powerful measurement & continuous growth platform designed for companies that want to accelerate the growth and business agility of organizations.

11 The THREE Metrics that Matter Roles Team Health & Maturity (qualitative ) Delivery /Performance (quantitative) Business Outcomes (results) Key Metrics AgilityHealth is a single source of record for your enterprise teams and their maturity, performance and outcomes

12 AgilityHealth Growth Model Copyright Agile Transformation Inc 12

13 Team Health & Maturity Qualitative Metrics

14 Team Health Copyright Agile Transformation Inc 14

15 Maturity labels can be customized

16 DevOps Health Copyright Agile Transformation Inc 16

17 SAFe Release Train Health Radar Copyright Agile Transformation Inc 17

18 Delivery and Performance Quantitative Metrics

19 Team Performance Metrics AgilityHealth integrates with Jira, Rally, VersionOne, HP & others to pull a few quantitative metrics Copyright Agile Transformation Inc 19 Escaped Defects 25

20 Release Health Metrics Features Delivered 85% Value Delivered 237% Target Date 6/09/2015 Actual Date 6/19/2015 Escaped Defects 12 Copyright Agile Transformation Inc 20

21 Performance Scale Customer NPS Delivery Cadence Ability (time to market?) Responsivenes s (Feature Cycle Time) < PRE- CRAWL 1-2 Bi- Annually or Annually Monthly, Quarterly Bi-Weekly Weekly Daily+ 10+ wks 8 wks 6 wks 4 wks <2 wks Quality (defect density, tech debt) Predictability Team Happiness Very Low Low Medium High Very High <30% 30 40% 50 60% 70 80% 90%+ CRAWL 3-4 WALK 5-6 RUN 7-8 < FLY

22 Program Improvements - Quarterly Leadership decreased by 32% Culture Improved by 62% Foundation Improved by 110% Clarity improved by 86% Performance Improved by 134%

23 Enterprise Dashboard Visualize Growth & Maturity Across All Teams Improvements over the last quarter Copyright Agile Transformation Inc 23

24 Business Outcomes

25 Objective Title: Hypothesis Statement/ Description: Key Results / Metrics: Outcome Definition Team Level Title Progress Metric Now Goal By Date Increase checkout conversion Increase customer conversion We believe that by improving the usability of Product search and browse pages on our site, we will increase conversions from shopping cart to checkout. 60% + Create New Checkout completion 50% 70% Overall Progress: May % Estimated ROI: $500,000 Estimated Capacity Cost: $160,000 Calculated based on # of weeks per team, X avrg. cost per team 20k/week Groups/Te am(s) Mktg # of Weeks (est) Reduce time to find relevant product. 20% 55% Time between Search to Add to Cart 2min 30 sec Dec BACA Team 4 Sprints (8 Weeks) Customer/org Impact metric

26 Outcome Definition Team Level Objective Title: Hypothesis Statement/ Description: Key Results / Metrics: Increase quality and reduce escaped defects We believe that by investing in test automation for our critical path customer journey use cases we will decrease the number of escaped defects in production. Overall Progress: 43% Estimated Capacity Cost: $240,000 Calculated based on # of weeks per team X avrg. cost per team 20k/week Title Progress Metric (baseline) Customer satisfaction Test automation coverage for critical path use cases 20% 55% 60% NPS (5) Automatio n (0%) No w Goal 6 9 Feb % 100 % By Date Groups/ Team(s) Dec Custom er Success LAVA Team # of Weeks (est) 6 Sprints (12 Weeks) Reduce escaped defects in production 50% Escaped defects (14) Dec LAVA Team Included above Customer/org Impact metric

27 Outcome Definition Program Level Objective Title: Hypothesis Statement/ Description: Key Results / Metrics: Improve customer satisfaction We believe that by addressing the top 3 pain points for our top 3 customers we will achieve higher customer satisfaction. Overall Progress: 60% Estimated Capacity Cost: $280,000 Calculated based on # of weeks per team X avrg. cost per team 20k/week Title Progress Metric Now Goal By Date Increase NPS score above 8 60% NPS (4) 5 7 April Groups/Te am(s) Mktg # of Weeks (est) Conduct 3 customer interview meetings Fix top 3 pain points for top 3 customers 66% 55% Interview meetings (0) Pain Points (0) 2 3 Dec Dec Mktg Program Alpha (5 sub teams) 1 Week 13 Weeks Customer/org Impact metric

28 Enterprise Agility

29 Enterprise Business Agility

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31 Transformation Challenges Roles Clarity & Alignment Measurement Intentional Growth What problem or area are we transforming? What s the maturity roadmap? Do we have a common definition? How do you measure alignment? How do you know you re improving? What metrics really matter? Measurement with no action is worthless data. How do you become intentional about growth and improvement? Where is help needed? The goal of measurement should be to enable growth, not for judgment, reward or punishment.

32 Enterprise Business Agility Copyright Agile Transformation Inc 32

33 Review Define a Winning Strategy Envision a Future State Big, Hairy, Audacious Goals Align the Organization to the Strategy Create a Shared Sense of Purpose Choose the right set of Metrics Mix of Qualitative and Quantitative Benchmark Current State Avoid Vanity Metrics Make outcomes Big and Visible Create an information radiator for Agile Transformation and make it visible to the whole organization