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Muntean Ramona Measurements & Best Practices @ISDC Implementing a successful metrics system in an IT company

Implementing a successful metrics system

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There is a tendency to avoid using measurements in the organization as it is assumed they are not accurate. It is important to understand the difference between counting and measurement. By counting we determine the exact number or value of an indicator (hours worked, billable hours, Facebook fans, defects), while measurement can be defined as a quantitatively expressed reduction of uncertainty, based on one or more observations. So, no matter how fuzzy or inaccurate a measurement is, it is still valuable if it tells us more than what we knew before.

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Page 1: Implementing a successful metrics system

Muntean RamonaMeasurements & Best Practices @ISDC

Implementing a successful metrics system in an IT company

Page 2: Implementing a successful metrics system

WE CAN MANAGE WHAT WE CAN EASILY MEASURE

IT’S IMPORTANT TO YOU

Better informed decisionsTracking the progress of the objectives Managing the achievements of goals

IT’S REDUCING UNCERTAINTY

TELLS YOU MORE THAN YOU KNEW BEFORE

Page 3: Implementing a successful metrics system

Key Performance Indicators

Goal

Success Factors

GOALSBusiness growth rateProfit margin Bids success rate Personnel turnover

SUCCES FACTORSProductivityPredictabilityQualityCompetitivenessClient SatisfactionEmployee Satisfaction

TOP DOWN APPROACH – COMPANY GOALS

Metrics / Data

Projects, Processes, People

Page 4: Implementing a successful metrics system

QUALITY

Cost of Quality (CoQ)

Reviews (1st time) Code Requirements Design Test plans, test scriptsTesting (1st time)Audits

Cost of Appraisal (CoA)

Training Procedures, methods Tools, systems Planning Quality improvement Measurements

Cost of Prevention (CoP)

Fixing defects Re-work code review Re-work doc review Re-reviews Re-testing

Cost of Non-Conformance (CNC)

Page 5: Implementing a successful metrics system

QUALITY TRENDS

Page 6: Implementing a successful metrics system

Im-proveKPI’s

ProductivityPredictabilityQualityClient SatisfactionTeam Satisfaction

BOTTOM UP APPROACH – PROJECT’S KPI

Projects, Processes, People

Tooling, Data

Key Performance Indicators

Metrics, Trends

METRICS ANALIZED Velocity: Story Points/sprintEstimation deviation%Re-work, DDR, CoQ trendsDemo / Release success score

Page 7: Implementing a successful metrics system

TRENDS

S4 S5 S6 S8 S9 S10 S11 S12 S131015202530354045505560

41

22

43 43

2923

55

32

22

Story Points done / sprint

Page 8: Implementing a successful metrics system

TRENDS

We can learn how review is influencing the product quality in correlation with defects found by testers.

S4 S5 S6 S7 S8 S9 S10 S11 S12 S130.00%

10.00%

20.00%

30.00%

40.00%

50.00%

60.00%

70.00%

80.00%

90.00%

Defect Detection Rate (DDR)

DDR_Review DDR_Testing DDR_Customer

Page 9: Implementing a successful metrics system

DEVELOPING MEASUREMENT PROCESS

Identify scope:- Goals, objectives - “Problems” that need answer- Measurements needs

Collect metrics:- Tailor procedures (if the case)- Record and store data- Use proper tools & templates - Check data accuracy

Analyze metrics:- Aggregate, correlate data- Prepare reports- Discuss trends, identify thresholds- Revise procedures

Evolve process:- Evaluate progress- Evaluate process- Recommend improvements

Define procedures:- Metrics to be collected- Collection practices & tooling- Analysis & reporting- Feedback integration

PLAN DO

CHECKACT

Page 10: Implementing a successful metrics system

MEASUREMENT PARADOX?

Test drive 1 Test drive 2 Test drive 3 Average

Car A 1 km/l 1 km/l 4 km/l 2 km/l

Car B 1.5 km/l 1.5 km/l 1.5 km/l 1.5 km/l

I want a car that uses as little petrol as possible. I have chosen 2 cars and will do 3 test drives with both of them.

The car that uses less petrol is car A which does more kilometres per litre.

But, if I had measured litres per kilometre, car B uses less litres per kilometre and is the better car.

Test drive 1 Test drive 2 Test drive 3 Average

Car A 1 l/km 1 l/km 0.25 l/km 0.75 l/km

Car B 0.667 l/km 0.667 l/km 0.667 l/km 0.667 l/km

Page 11: Implementing a successful metrics system