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Value over Velocity
Using metrics in larger organizations

led by MikeCottmeyer
recap prepared from flip charts found after conference by pmboos

The discussion looks as though it showed how the product backlog (with complexity measurements) feeds to a fixed team (e.g. 8 people) using a fixed iterative cycle (e.g. 2 weeks) thus giving a fixed cost. While you can meaure velocity, a better measurement for senior management and those managing the portfolio might be managing the story point(s) collective value delivered. When management hits the point where the cost per point outweighs the value per point.

Looks like there was a disussion of dependencies between story points.

And looks like there was a discussion between features rolling up to products, rolling up to product lines.

Product owner creates his point system (presume this is an issue for measuring across products/product lines).
Output is measured by Product Owner points
Can calculate $/point delivered
  • by team
  • by organization

$/point = fnancial velocity: predicts costs in the future
1. Points are evaluated fairly by team members
2. Teams have fixed cost per team

Q: what is the critical path (of value to be delivered) and how do you shorten it?

If you slow down a team, your cost/point goes up.

Q: Why would you want to slow down a high performance team?
A: Recalibrate points/team(?)

Q: What is a more accurate measurement than velocity?
A: Lead time to feature delivery; features have different point values

There is no absolute definition of "value"

Velocity as an input, not output, metric

Critical path from Gantt chart
- start with longest path through
- move from bottleneck team to bottleneck team (Theory of Constraints)

Kanban gives managers something to do besides remove impediments
- manage value stream

Model Kanban board

Value points as a Business Relative Level of Value

Looks like 2 conclusions were made and posted as a separate sheet on top of the last one:

We need a measure of value to balance optimaze multiple teams
This gives dlear role for functional managers - to measure/optimaize value flow through the organization
Created by pmboos. Last Modification: Thursday, 24 of June, 2010 16:05:18 CEST by pmboos.