Agile Scrum Key Performance Indicator

Agile Scrum’s Impact: Key Performance Indicator #3

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The third KPI uncovered through the latest Global Study of Product Team Performance is the focus of my post today.

#3 Key Performance Indicator

Respondents Who Believe Using Agile Scrum Leads to Higher Product Profitability Tend to Be in Organizations That Meet or Exceed Their Financial Goals.

Only a certain group of survey respondents identified a methodology responsible for making their product more profitable. Those who named Agile Scrum as the source of their improved product profitability are, in fact, typically in companies that meet or exceed their financial goals.

Agile Scrum Delivers

This result is not surprising. Agile Scrum draws on many best practices and assembles them to deliver synergies that newbies often find eye opening. The practices and the synergies are “best practices” because they deliver higher productivity, better quality, and improved products. Each of these outcomes leads to positive financial results.

An Interesting Fact

The survey shows that over 52% of respondents believe that Agile Scrum leads to improved profitability. Yet, only 48% of organizations say they actually use Agile Scrum. The finding that more respondents associate Agile Scrum with product profitability than actually use it is consistent with results from previous years.

Since 43% of teams say they are high performing, the correlations would suggest that those teams using or at least believing in Agile Scrum make up the majority of teams that are high performing.

Next Week: #4 Key Performance Indicator

My next post will reveal the analysis behind the important fourth key performance indicator.

Recap of the First Three Key Performance Indicators:

  1. High performing teams have a clear definition of “done”.
  2. Respondents unable to associate a product development methodology with product profitability are unlikely to be on a high performing team.
  3. Respondents who believe using Agile/Scrum leads to high product profitability tend to be in organizations that meet or exceed their financial goals.

 

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