ESEconf2011 - Kaiser Traian: "How to measure productivity in software development"
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- The document summarizes a presentation given by Traian Kaiser of XING AG on software development productivity and effectiveness. - It discusses balancing effectiveness, which is doing the right things, and efficiency, which is doing things right. Effectiveness and efficiency cannot be optimized independently and their interaction is complex. - Metrics can provide feedback but should not replace trust, and certain metrics used incorrectly can be dysfunctional. Productivity metrics need to be used carefully and coupled with effectiveness metrics.
ESEconf2011 - Kaiser Traian: "How to measure productivity in software development"
- 1. ESE Conference, Zürich Traian Kaiser | XING AG | April 12, 2010
- 2. Traian Kaiser Director Agile Project Management & PMO (XING AG) 12 years of Internet-Business Companies: IBM, Yahoo, Qype, XING MBA, PMP, CSM
- 5. 130 Employees in Product Development Release per week Date: March 2011
- 7. what counts Output Surplus Productivity Value Input What is needed
- 8. 2008 2009 2010 Revenue (Output) 34 Mio. € 44 Mio. € 54 Mio. € Output Surplus Productivity Value Input 2008 2009 2010 Cost (Input) 23 Mio. € 33 Mio. € 38 Mio. €
- 9. 60 45 Productivity Lack 30 15 Input Output Output same productivity 0 2008 2009 2010 Overall Figures 2008 2009 2010 Revenue (Output) 34 Mio. € 44 Mio. € 54 Mio. € Cost (Input) 23 Mio. € 33 Mio. € 38 Mio. € „Surplus Value“ 48% 33% 42% Revenue with 48% SV 34 Mio. € 49 Mio. € 56 Mio. €
- 11. Value of developed and distributed software solutions for business requirements (including quality and time). Productivity Output In SW Development Input Cost of created and distributed software solutions trough people, services and other resources needed.
- 12. „Do the right things.“ things.“ Effectiveness Erfolg Efficiency „Do the things right“ right“
- 13. Business Models Time to market Do the right things Domain expertise Innovations Market knowledge Coordination- Coordination- & communication efforts System cost Service Costs Staff costs Do the things right Development efforts Maintanance efforts
- 14. Thesis: Software development is a creative and complex process. Effectiveness and efficiency can not be optimized independently of each other and the interactions are not detectable in their entirety. Effectiveness Efficiency
- 15. Example 1 – Discovery Process Balancing effectiveness vs. efficiency by having a pre-phase finding out if our user like what we pre- plan to do
- 16. Example 2 - Staffing Performance differences between mediocre contributors and „artists“ can be huge. artists“ huge. In addition, working team patterns and team addition, productivity is another game to play. play.
- 19. Reduce coordination and communication efforts Value adding efforts to “the right things” Reduce „Waste“ Waste“ (Efforts without value) value)
- 20. 7 Types of Waste to avoid… … and how to measure them… Partially Done Work (Blocked Cards/Tickets/Stories) Not used Documentation Extra Features (Feature- / Module usage metrics) Task Switching (Work In Progress) Handoffs (Cycle Time) Delays (Lead Time) Defects (Failure Load, Code Metrics, Test Coverage, Bugs per Line of Code, … )
- 21. Communication & coordination efforts to avoid … … are they measureable?… Insufficent or excessive process / framework Unclear or inadequate division of roles and responsibilities Too many dependencies of all kind Performance to Commit / Deadlines Productive Time Throughput / Velocity (Variance)
- 22. Beware: Efficiency metrics can be dysfunctional… Assumed efficiency metrics Working hours Utilization Lines of Code Relative metrics & metric comparison Velocity Metrics as replacement for trust All Metrics
- 23. Value adding efforts to increase… Additonal Sold / used products Milestone /Project KPIs Team KPIs User Impact Indicators Customer Satisfaction Net Promoter Score Number of Customer Complaints / 1000 Customer User Ratings
- 26. Key Performance Indexes by dedicated Team
- 27. Quality Metrics
- 28. Cycle Time & Lead Time
- 30. Visualization is a powerfull instrument Inventory Started Designed Coded Complete 240 220 200 180 160 Story Points 140 Lead Time 120 100 80 60 WIP 40 20 0 *Example by David J. Anderson
- 32. Productivity metrics can be dysfunctional. Consider Used correctly as Recognize software feedback channel, dependencies development certain metrics could between as a creative provide important effectiveness and complex feedback. Coupling and efficiency process effectiveness and efficiency metrics is essential
- 33. Thank you My Profile: http://www.xing.com/profile/Traian_Kaiser Join our Group: http://www.xing.com/net/leansoftwaredevelopment/
- 34. CREDITS • Slide 12: Graph deduced from „Projekteffizienz und Projekteffektivität“ from Dr. Dirk Olufs, Einführung in das Projektmanagement, SS 2006, Block 1, Universität Siegen, Juni 2006 • Slide 15: http://www.flickr.com/photos/dunechaser/1721982928/in/photostream/
- 35. DISCLAIMER This presentation was produced in April 2011 by XING AG (the "Company") solely for use as an information source for potential business partners and is strictly confidential. It has been made available to you solely for your own information and may not be copied, distributed or otherwise made available to any other person by any recipient. This presentation is not an offer for sale of securities in the United States. The distribution of this presentation to you does not constitute an offer or invitation to subscribe for, or purchase, any shares of the XING AG and neither this presentation nor anything contained herein shall form the basis of, or be relied on in connection with, any offer or commitment whatsoever. The facts and information contained herein are as up-to-date as is reasonably possible and are subject to revision in the future. Neither the Company nor any of its subsidiaries, any directors, officers, employees, advisors nor any other person makes any representation or warranty, express or implied as to, and no reliance should be placed on, the accuracy or completeness of the information contained in this presentation. Neither the Company nor any of its subsidiaries, any directors, officers, employees, advisors or any other person shall have any liability whatsoever for any loss arising, directly or indirectly, from any use of this presentation. The same applies to information contained in other material made available at the presentation. While all reasonable care has been taken to ensure the facts stated herein are accurate and that the opinions contained herein are fair and reasonable, this document is selective in nature and is intended to provide an introduction to, and overview of, the business of the Company. Where any information and statistics are quoted from any external source, such information or statistics should not be interpreted as having been adopted or endorsed by the Company as being accurate. This presentation contains forward-looking statements relating to the business, financial performance and results of the Company and/or the industry in which the Company operates. These statements are generally identified by words such as "believes," "expects," "predicts," "intends," "projects," "plans," "estimates," "aims," "foresees," "anticipates," "targets," and similar expressions. The forward-looking statements, including but not limited to assumptions, opinions and views of the Company or information from third party sources, contained in this presentation are based on current plans, estimates, assumptions and projections and involve uncertainties and risks. Various factors could cause actual future results, performance or events to differ materially from those described in these statements. The Company does not represent or guarantee that the assumptions underlying such forward-looking statements are free from errors nor do they accept any responsibility for the future accuracy of the opinions expressed in this presentation. No obligation is assumed to update any forward-looking statements.