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HOWMETRICSSHAPEYOURCULTURE
NICOLEFORSGREN,PHD
@NICOLEFV
DIRECTOR,ORGANIZATIONALPERFORMANCEANDANALYTICS,CHEF
CO-FOUNDER,DEVOPSRESEARCHANDASSESSMENT
@nicolefv
WEDON’TALWAYSTHINKOFITTHISWAY,BUT…
measurementis culture
@nicolefv
@nicolefv
"AsgoodasAmazonwas,itdidnotyethaveaculturethatfullyembracedmeasurementanddebate. Ithinkbuildingthiscultureisthekeytoinnovation. Creativitymustflowfromeverywhere.WhetheryouareasummerinternortheCTO,anygoodideamustbeabletoseekanobjectivetest,preferablyatestthatexposestheideatorealcustomers.Everyonemustbeabletoexperiment,learn,anditerate.Position,obedience,andtraditionshouldholdnopower.Forinnovationtoflourish,measurementmustrule.”- GregLindenhttp://glinden.blogspot.com/2006/04/early-amazon-shopping-cart.html
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YOUCAN’TIMPROVEWHATYOUDON’TMEASURE
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@nicolefv
Evaluatingwell-designedandexecutedexperimentsthatweredesignedtoimproveakeymetric,onlyabout1/3weresuccessfulatimprovingthekeymetric!
Online Experimentation atMicrosoft, Kohavi etal.http://stanford.io/130uW6X
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ALWAYSMEASURETHINGSTHATMATTER
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THATWHICHISMEASUREDGETSMANAGED
Inbusiness, youarewhatyoumeasure
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IFYOUCAPTUREONLYONEMETRIC,YOUKNOWWHATWILLBEGAMED
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@nicolefv@nicolefv
Sometimes, wejustmeasure ALLTHETHINGS.ButSTOPandaskyourself:
• Whatdoesthistellme?
• HowcanIusethistomakeadecision?
• Howdoesthisrelatetoanoutcome?
• Does itstillmakesense tomeasureandtrackthismetric?
• Whataretheunintended consequences ofimplementing this?
NOTEVERYTHINGTHATCANBECOUNTED…
COUNTS
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METRICSINFORMOURINCENTIVES…ANDSHAPEBEHAVIOR
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METRICSINFORMOURINCENTIVES…ANDSHAPEBEHAVIOR
Metric=delivercodeonschedule
Behavior=sprinttodelivercodeat5pmonFriday
Unintended consequence =opsteamspends theweekendputtingoutfires
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@nicolefv
JUSTBECAUSESOMETHINGISHARDTOMEASUREDOESN’TMEANITISN’TWORTHMEASURING
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WESTRUM ORGANIZATIONALCULTUREPATHOLOGICALPower-oriented
BUREACRATICRule-oriented
GENERATIVEPerformance-oriented
Lowcooperation Modest cooperation Highcooperation
Messengers shot Messengers neglected Messengers trained
Responsibilities shirked Narrowresponsibilities Risks areshared
Bridging discouraged Bridging tolerated Bridging encouraged
Failure leads toscapegoating Failure leads tojustice Failure leads toinquiry
Novelty crushed Novelty leads toproblems Novelty implemented
Westrum,R.(2004).Atypologyoforganisational cultures. Qualityandsafetyinhealthcare, 13(suppl 2),ii22-ii27.
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HOWTOMEASUREWESTRUMORGANIZATIONALCULTUREINASTATISTICALLY VALID&RELIABLEWAYRatehowstronglyyouagree(7)ordisagree (1)tothefollowingstatements:
• Onmyteam, information isactivelysought.
• Onmyteam,failuresarelearningopportunities, andmessengers ofthemarenotpunished.
• Onmyteam,responsibilities areshared.
• Onmyteam,cross-functional collaboration isencouragedandrewarded.
• Onmyteam,failurecausesenquiry.
• Onmyteam,newideasarewelcomed.
Forsgren,N.,J.Humble(2016).“TheRoleofContinuousDeliveryinITandOrganizationalPerformance.”IntheProceedingsoftheWesternDecisionSciencesInstitute(WDSI)2016,LasVegas, NV.
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WHATCANIDO?
• ReadandshareDataDriven,by@dpatil and@hmason• Askothersaboutmetrics:
• Isithappening?Where?
• Isitimportant?
• Thinkaboutyourownmetrics:• Startwithoutcomes:what’simportant?
• Thenthinkaboutwhatinfluences youroutcomes
• Defineandcommunicate
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METRICSHELPUSCOMMUNICATE
KEY:• Givethemmeaningfulnames• Definethemwell• Communicatethemoftenandacrossboundaries
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WE’VETALKEDABOUT:
MEASUREMENT ISCULTURE
• Youcan’timprovewhatyoudon’tmeasure
• Alwaysmeasurethingsthatmatter
• Thatwhichismeasured getsmanaged
• Ifyoucaptureonlyonemetric,youknowexactlywhatwillbegamed
• Metrics informourincentives… andshapebehavior
• Noteverything thatcanbecounted...Counts
• Justbecause something ishardtomeasure doesn’tmean itisn’tworthmeasuring
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IFMEASUREMENTISCULTURE&YOUAREN’TMEASURINGYOURWORK...
howisitaffectingyourculture?
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THANKYOUNICOLEFV.COM