Agile Metrics : Velocity is NOT the Goal - NDC Oslo 2014

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Velocity is one of the most common metrics used-and one of the most commonly misused-on agile projects. Velocity is simply a measurement of speed in a given direction-the rate at which a team is delivering toward a product release. As with a vehicle en route to a particular destination, increasing the speed may appear to ensure a timely arrival. However, that assumption is dangerous because it ignores the risks with higher speeds. And while it’s easy to increase a vehicle’s speed, where exactly is the accelerator on a software team? Michael “Doc" Norton walks us through the Hawthorne Effect and Goodhart’s Law to explain why setting goals for velocity can actually hurt a project's chances. Take a look at what can negatively impact velocity, ways to stabilize fluctuating velocity, and methods to improve velocity without the risks. Leave with a toolkit of additional metrics that, coupled with velocity, give a better view of the project's overall health.

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Velocity Is NOT the Goal

Michael “Doc” Norton :: Groupon :: @DocOnDev

Agile Metrics

Velocity Is NOT the GoalAgile Metrics

Doc Norton!Global Director of Engineering Culture!doc@groupon.com | @DocOnDev

Velocity Is NOT the Goal

Michael “Doc” Norton :: Groupon :: @DocOnDev

Agile Metrics

Velocity Is NOT the Goal

Velocity

Velocity

What’s Velocity?

Work Units / Time

Lagging Indicator

Measure of a Complex System

Lagging Indicator for a Complex System

A Tale of Two

Velocities

A

10, 11, 9, 10

B

7, 14, 6, 10

Disclaimer

A

10, 11, 9, 10 Yesterday’s Weather: 10

B

7, 14, 6, 10 Yesterday’s Weather: 10

A

10, 11, 9, 10 Yesterday’s Weather: 10 Rolling Average: 10

B

7, 14, 6, 10 Yesterday’s Weather: 10 Rolling Average: 10

A

10, 11, 9, 10 Yesterday’s Weather: 10 Rolling Average: 10 Std. Deviation: 0.7

B

7, 14, 6, 10 Yesterday’s Weather: 10 Rolling Average: 10 Std. Deviation: 3.1

A

10, 11, 9, 10 Yesterday’s Weather: 10 Rolling Average: 10 Std. Deviation: 0.7 Next: 9.3-10.7

B

7, 14, 6, 10 Yesterday’s Weather: 10 Rolling Average: 10 Std. Deviation: 3.1 Next: 6.9-13.1

The Need for Speed

The Hawthorn Effect

That which is measured, will improve

That which is measured, will improve ... at a cost

Goodhart’s Law

When a measure becomes a target, it ceases to be a

good measure

Perverse Incentives

... an unintended result, contrary to interests of the

incentive makers

Dr. Deming

“What matters is not setting quantitative goals but fixing the method by which those goals are attained”

What causes variable Velocity?

Time Poorly Spent

Dependency on Other Teams

Poor Story Composition

Too Much Work In Progress

Scatter Diagrams

0

5000

10000

15000

20000

0 2 4 6 8

Scatter DiagramsAuto Prices by Year

0

12.5

25

37.5

50

0 25 50 75 100

Scatter DiagramsVelocity by Complexity

0

12.5

25

37.5

50

0 10000 20000 30000 40000

Scatter DiagramsVelocity by Value

0

12.5

25

37.5

50

0 22.5 45 67.5 90

Scatter DiagramsVelocity by Coverage

“Friedman’s Thermostat”

Correlation is not causation

Correlation is not causation but it sure is a hint

Cumulative Flow Diagrams

Backlog

Cumulative Flow Diagram

0

5

10

15

20

1 2 3 4 5 6 7 8 9 10

Velocity Chart

Same Different Perspective

Team &

Data

CFD

0

25

50

75

100

1 2 3 4 5 6 7 8 9 10

Deployed Ready for Approval In Testing In Progress Ready To Start

Measure Many Things

Measure Many Things

0

4

8

12

16

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15

Velocity

Measure Many Things

0

12.5

25

37.5

50

0

4

8

12

16

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15

Velocity Quality

Measure Many Things

0

12.5

25

37.5

50

0

4

8

12

16

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15

Velocity Quality Avg. Hours

Measure Many Things

0

12.5

25

37.5

50

0

4

8

12

16

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15

Velocity Quality Avg. Hours Team Joy

Real World Examples

Application Performance

Velocity w/Std. Deviation

Burn w/Std. Deviation

Cumulative Flow

Team Joy

Department Joy

One Last Thing

Metrics are not for

Managers

Metrics are for Teams

Velocity Is NOT the GoalAgile Metrics

Doc Norton!Global Director of Engineering Culture!doc@groupon.com | @DocOnDev

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