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Cut the Digital Transformation Fluff: Creating Metrics That Matter

As the old adage goes, “you can’t manage what you can’t measure.” But what if the measurements are part of the problem? After all, you can move the needle on what you measure, but there may be unanticipated outcomes. When it comes to transforming how an organization delivers software, how you measure success also needs to change.

Despite a marked adoption of agile development practices in the last five years, Forrester Research found that developers haven’t made much progress at delivering software faster. What’s the disconnect? Forrester has found a number of interrelated factors behind organizations that outperform in software delivery. One of them is metrics.

Join this webinar with special guests Jeffrey Hammond, Forrester Research Analyst, and Patrick Feeney, Senior Director of IT Digital Products at Healthcare Services Corporation (HCSC), to learn:

● The types of metrics high-performance software teams are using
● Which metrics are counterproductive to improving software delivery
● How HCSC has used metrics to manage software delivery change
● Which roles should be using which metrics and when

Jeffrey Hammond, Vice President and Principal Analyst, Forrester Research
Patrick Feeney, Senior Director, IT Digital Products, Healthcare Services Corporation

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Cut the Digital Transformation Fluff: Creating Metrics That Matter

  1. 1. © Copyright 2019 Pivotal Software, Inc. All rights Reserved. Cut the Digital Transformation Fluff: Creating Metrics that Matter Jeffrey Hammond, Forrester Research Patrick Feeney, Healthcare Services Corporation Moderator: Dormain Drewitz, Pivotal July 18, 2019
  2. 2. Agenda notes ● Value Metrics ● The Metrics Journey ● Metrics missteps ● Culture
  3. 3. 3© 2018 FORRESTER. REPRODUCTION PROHIBITED. How Do Your Peers Measure Software Success? Base: 3,294,global developers Source: Forrester Analytics Global Business Technographics Developer Survey, 2019
  4. 4. Value Metrics
  5. 5. 5© 2018 FORRESTER. REPRODUCTION PROHIBITED. It’s tempting to measure data that’s easy to collect Are Developers “Done on check in?” What information can we/are we allowed to radiate? Do we measure projects? Products? Services? What cultural issues are we trying to modify?
  6. 6. Velocity Measures Value ?Velocity Measures Value ?
  7. 7. 7© 2018 FORRESTER. REPRODUCTION PROHIBITED. Making Quality “Job One” at Ultimate Software Defects found in production Defects found in pre-prod * C = Δ Developer $
  8. 8. 8© 2018 FORRESTER. REPRODUCTION PROHIBITED. Metrics Should Span Progress, Quality, Efficiency And Value
  9. 9. Phases of a Metrics Journey Value Insights Performance Engagement
  10. 10. Measuring what you need to improve Amount of time an engineer spends writing software… Amount of time it takes to get product into production...
  11. 11. Measuring your “Time to Production” @dormaindrewitz
  12. 12. Metrics: A Journey of its Own
  13. 13. 13© 2018 FORRESTER. REPRODUCTION PROHIBITED. Let Get Old Skool For a Moment Measure what we do... Measure our measures over time...
  14. 14. 14© 2018 FORRESTER. REPRODUCTION PROHIBITED. An Example: Estimation Variance Over Time
  15. 15. BCBSIL Mobile App
  16. 16. Start Measuring One Thing...
  17. 17. 17© 2018 FORRESTER. REPRODUCTION PROHIBITED. An Example: Zero Bug Bounce
  18. 18. 18© 2018 FORRESTER. REPRODUCTION PROHIBITED. How To Apply Second Order Metrics To Value 𝛥 in customer satisfaction/NPS over time, or during multivariate testing 𝛥 in revenue, operating margin, channel substitution 𝛥 in engagement frequency, product usage 𝛥 in adoption by other internal teams
  19. 19. Metrics Missteps
  20. 20. 20© 2018 FORRESTER. REPRODUCTION PROHIBITED. A Software Development Story You get what you measure - but not always in the way you might expect…
  21. 21. Creating a Culture around Metrics
  22. 22. 22© 2018 FORRESTER. REPRODUCTION PROHIBITED. Creating A Culture Around Metrics Align entire teams around shared OKRs Focus on fewer measure that matter more Include Progress, Quality, Efficiency And Value - but keep the gross number low Measure at the team/squad upward Use metrics primarily to inform and act (via information radiators)
  23. 23. Cover w/ Image Metrics That Matter are Visible ● Answering the question “how are we doing” ● Small number of highly visible metrics ● Easy to understand ● Constant reinforcement from senior leadership through middle management ● Education
  24. 24. Don’t stop at signs and lights. Add sirens!
  25. 25. Next steps... ● What value are you trying to measure ● Understand your Minimum Valuable Metrics (MVM) ● Starting with one thing… but iterate ● Finding the second order metrics