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www.luxoft.com
VALUE METRIC
КАК ИСПОЛЬЗОВАТЬ БИЗНЕС-
МЕТРИКИ В AGILE-ПРОЕКТАХ
Moscow Agile Leadership Network
Alexey Pikulev
21 October 2015
www.luxoft.com
Metrics Ecosystem
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Measure for a
Purpose
We measure
things in order to
make decisions
toward a purpose
1
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Shrink the
Unknown
Measure from
multiple
perspectives and
don’t jump to
conclusions
2
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Seek to
Improve
Not all metrics
are useful; use
the ones that
help you learn
and improve
3
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Delight All
Stakeholders
Everything
depends on
everything; don’t
focus on just one
client’s goal
4
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Distrust All
Numbers
The observer
effect and biases
in human minds
make metrics
very suspicious
5
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Set Imprecise
Targets
Give direction to
support the goal,
and don’t focus
on one precise
end-point.
6
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Own Your
Metrics
Everyone should
measure for
themselves; don’t
measure
someone else
7
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Don’t Connect
Metrics to
Rewards Incentives cause
problems in
motivation and
performance;
don’t use them
8
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Promote
Values and
Transparency Shared values
and transparency
reduce people’s
desire to game
the system.
9
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Visualize and
Humanize Give metrics
meaning by
connecting them
to real work and
people 10
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Measure Early
and Often Measurements
fail when you
don’t measure
soon and often
enough 11
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Try Something
Else Don’t let metrics
get stale; keep
experimenting
with different
metrics 12
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OKRs
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OKRs Developed at Intel
Used by Google, LinkedIn,
Spotify, Zynga and many
more
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Example of an OKR Objective
• “Launch an awesome MVP”
Key Results
• “40% of users come back 2 times
in one week”
• “100+ recommendations”
• “15% conversion”
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About the objectives Supporting a higher-level purpose
Qualitative, not measurable
Ambitious, time-bound, actionable
Make people feel uncomfortable
Between 1 and 5 objectives per
person
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About the key results Quantitative (objective evaluation)
Maximum of 4 key results
Preferably outcome-based (not tasks)
Work from baseline (where am I
now?) to target (where do I want to
be?)
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About the OKRs Process repeats every quarter
Process is not top-down but iterative
Company + team + personal OKRs
Company / team OKRs have an owner
Mutual agreement manager/employee
Most OKRs emerge bottom-up
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About the evaluation
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Evaluation • Each key result graded on scale 0-100
• No science but an honest assessment
• Calculate average of grades
• Should take only a few minutes
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OKRs Example • “40% of users come back 2 times” 75%
• “100+ recommendations” 20%
• “15% conversion” 67%
Objective Avg()
• “Launch an awesome MVP” 54%
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Learning • Score > 90% = goals are too easy
• Score < 40% = goals are too hard
• Aim for 60-70% completion
• Low scores are not failures but learning
opportunities
• Scores matter less than the process
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Last but not least • OKRs + scores are transparent for all
• OKRs are not used for appraisals
• OKRs are not used for bonuses
• OKRs drive learning and collaboration
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Thank you!