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LEAN METRICSTEAM HACKING WITH
HI! I’M TIM!▸ Agile Consultant, Co-founder Skillfire.co
▸ Say hi: @timnwbld & linkedin.com/in/timnewbold
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▸ Skillfire Project Forecaster (Monte Carlo)
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KEEP STORIES TO A SIMILAR SIZE OTHERWISE, YOUR METRICS DON’T MEAN MUCH
HOW ARE METRICS USEFUL?
▸ Understand changes in team dynamics
▸ Highlight opportunities for improvements
▸ Highlight challenges the team is facing
▸ Forecasting
▸ Inspect and adapt
WHERE ARE THEY DANGEROUS
▸ Don’t reflect productivity
▸ Lack qualitative observations
▸ Partial view
▸ Most are lagging
▸ Gaming
“WHEN A MEASURE BECOMES A TARGET, IT CEASES TO BE A GOOD MEASURE.”
Goodhart's law
HONEST SIMPLE
ACTIONABLE
QUALITY METRICS
WORK IN PROGRESS QUEUE SIZE
LEADING INDICATORS
TIME IN QUEUESPROCESS EFFICIENCY
COST OF DELAYWHAT’S A QCOST?
WSJF = Value + Time + Risk + Opportunity
Size
Story Value PA = Projected Revenue
Story Count
Story Value PA
Business DaysDaily COD =
IDEAS TO QUANTIFY
1
2
3
WSJF
DAILY AVERAGE
OTHERS?
THROUGHPUT LEADTIME
HOW MUCH, HOW FAST?
PRODUCTION-LEAD TIME
TIME TO PRODUCE
Coun
t
0
7.5
15
22.5
30
Days to complete
1 2 3 4 5 6 7 8 9 10 11+
PRODUCTION LEAD TIME DISTRIBUTION
Days Count % % SUM 1 12 11 112 15 14 263 24 23 494 17 16 655 15 14 796 10 10 897 5 5 938 3 3 969 2 2 98
10 1 1 9911+ 1 1 100
CYCLE TIME TAKT TIME
FREQUENCY
[AVERAGE] CYCLE TIME IS COMPUTED BY DIVIDING OPERATING HOURS BY THE QUANTITY REQUIRED PER DAY. EVEN WHEN CYCLE TIME IS DETERMINED THIS WAY, INDIVIDUAL TIMES MAY DIFFER.
Taiichi Ohno (1988)
CYCLE TIME != PRODUCTION LEAD TIME!!! WELL… IN THE TPS & MOST LEAN TEXTS ANYHOW.
CYCLE TIME
30 min cycle time30 min /2
15 min cycle time
CYCLE TIME - SEQUENTIAL STEPS
30 min cycle time
WASH DRY FOLD
CYCLE TIME 30 MIN
30 min cycle time
30 min cycle time
THEORY OF CONSTRAINTS
IDENTIFY
EXPLOIT
ELEVATE SUBORDINATE
REPEAT
LITTLE’S LAWWHAT TO CHANGE?
WIP = THROUGHPUT * PRODUCTION LEAD TIME
50 = 5 * 10
PRODUCTION LEAD TIME = WIP /THROUGHPUT
10 = 50 /5
THROUGHPUT = WIP /PRODUCTION LEAD TIME
5 = 50 /10
WIP 4
4 DAYS
WIP = THROUGHPUT * PRODUCTION LEAD TIME
4 = 1 * 4
WIP 22 DAYS
(4 = 1 * 4)/2
2 = .5 * 2
DEFECTS PER STORY MTTR
FAILURE DEMAND
"HIGH-QUALITY SOFTWARE IS NOT EXPENSIVE. HIGH-QUALITY SOFTWARE IS FASTER AND CHEAPER TO BUILD AND MAINTAIN THAN LOW-QUALITY SOFTWARE, FROM INITIAL DEVELOPMENT ALL THE WAY THROUGH TOTAL COST OF OWNERSHIP."
Capers Jones
TIME TO FEEDBACK
NO SURPRISES
NET FLOWARE WE TAKING ON TOO MUCH?
UTILISATIONSOME THINGS BEST LEFT ALONE
DARK MATTER!
WHERE DID THAT COME FROM?
SOLVING THE CUSTOMER’S PROBLEM
FOCUS ON IMPACT
TEAM HAPPINESS
FLOW IS GREAT, BUT…
A QUICK RECAP SO FAR…
▸ Queue size
▸ Work In Progress
▸ Cost of Delay
▸ Throughput
▸ Lead time
▸ Production Lead Time (AKA Processing time)
▸ Mean Time To Resolve
▸ Cycle Time/Takt Time
▸ Theory of Constraints
▸ Little’s Law
▸ Net flow
▸ Time to Feedback
▸ Dark Matter
▸ NPS
▸ Team Happiness
Create your own from: https://docs.google.com/spreadsheets/d/16YuUH298KMV4ummXv2fGHmORvUGXMW2wZhAX2VtCkkM/edit?hl=en#gid=2
CUMULATIVE FLOW DIAGRAMS (CFD)
Prod Lead Time
CFD EXAMPLES
SCOPE CHANGE INCREASED WIP DEV WIP/QA CAPACITY ISSUE?
BIG BATCH LASTING PROBLEM TROUBLE IN TEST
See more: http://brodzinski.com/2013/07/cumulative-flow-diagram.html
REMOVE ‘TO DO’ & ‘DONE’ TO SEE WIP
PROCEED WITH CAUTION
QUESTIONS/THOUGHTS?
REFERENCES
▸ https://less.works/less/principles/queueing_theory.html
▸ http://leankit.com/learn/kanban/lean-flow-metrics/
▸ http://hbswk.hbs.edu/archive/1460.html#1
▸ http://web.mit.edu/sgraves/www/papers/Little's%20Law-Published.pdf
▸ http://itsadeliverything.com/littles-law-the-basis-of-lean-and-kanban
▸ http://brodzinski.com/2013/07/cumulative-flow-diagram.html
▸ https://www.atlassian.com/agile/metrics
▸ https://stefanroock.wordpress.com/2010/03/02/kanban-definition-of-lead-time-and-cycle-time/
ATTRIBUTIONS
▸ Over Utilisation: http://media.virbcdn.com/cdn_images/resize_1600x1600/a3/PageImage-510914-3534502-overload.jpg
▸ Samuel Jackson Image: http://hqwallbase.pw/43039-wtf-wallpaper-1440x900/
▸ Illustrated CFD: http://paulklipp.com/images/Interpreting_a_Cumulative_Flow_Diagram.jpg
▸ Fail Image: http://www.sharenator.com/FAIL_6/
▸ NPS image: http://www.netpromotersystem.com/about/measuring-your-net-promoter-score.aspx
