Agile Development Blog

Along with our Project Stratus initiative (see our Scaling Agile to the Strategic Level blog series), Rally Idea Manager is a big piece of Rally’s goal to extend agility outside of development and into the enterprise.

Traditional ways in which product management collects user input – customer visits, enhancement request forms, homegrown systems, and commercial product management tools – tend to fall apart as development goes Agile.  Agile teams are hungry for user input as their frequent delivery schedule calls for fast feedback loops to continuously influence development.  Agile teams know it’s important to build things right, but making sure they build the right things requires product managers to engage quickly with customers around the world.

Product managers have another challenge in our competitive world — they can’t just take feature requests at face value. True product innovation comes from understanding the WHY behind feature requests. Rally Idea Manager is a social site specifically designed for actively engaging users in frequent conversations and getting to the WHY.

Rally Idea Manager was released a year ago to help product managers effectively prioritize their product backlogs by increasing the understanding of users’ needs. Powered by our partner Brightidea, the leader in ideation and innovation systems, Rally Idea Manager is honed for product marketers and product managers working with Agile teams.

That launch was a result of Rally’s own Agile product management experience. When I started at Rally in the summer 2007, we had just launched Agile Commons with a “Feature Requests” hive to discuss product ideas. Three years later (last October) we adopted Rally Idea Manager, and branded our site “Rally Ideas.” With Rally Ideas, we have been learning how to effectively leverage a user community to drive innovation in our products and to account for user input into our brutal prioritization process.

This month, to celebrate the first anniversary of the Rally Idea Manager launch, we released a bunch of added value for product managers to keep their user community vibrant, including things like:

• A user reputation system and leaderboard: to monitor and incentivize user participation in the community
• Customizable idea tabs: for users to easily locate their favorite ideas and for product managers to highlight special features in this week’s discussions
• Improved search: to minimize the creation of duplicate ideas
• Rally integration enhancements: to link new ideas to existing Rally stories and update idea statuses based on any Rally story states
• Better idea status change notifications: to keep users informed of specific status changes
• A “idea interest report by company” report: to better understand the specific needs of a given customer

The below demo highlights some of the new additions. To learn more, read the Product Blog from Rally’s site owner, who is blazing new trails with our own deployment of Rally Idea Manager (Rally Ideas), so we can improve the offering for you to engage with your own end-users.

And because launching a user community site is new to many organizations, we decided to consolidate our 4 years (and counting) of learning into a 2-day workshop where you can learn how to set up your very own Rally Idea Manager site. The workshop covers how to setup your site (frankly, that’s the easy part), how to market your site, who to involve in your organization and how to keep your site vibrant so user input keeps flowing into product backlogs. Interested? Contact rim@rallydev.com for more information.

Catherine Connor is a Product Marketing Director and product owner for Rally Idea Manager. She loves Colorado summers (which finally arrived this year), for all the camping, hiking, biking and sailing opportunities!

This is the second post in our blog series, Measuring the Impact of your Agile Investments. The series focuses on measuring the impact that Agile practices have on business outcomes.

For many leaders, increasing the productivity of the development organization (delivering features the business needs and generating improved ROI) is their primary and over-riding goal. ‘Doing more with less’ is a mantra they preach to their teams continuously, and which colors every decision they make.

Yet few have a clear and consistent definition of productivity or an effective means of measuring it.

Productivity: a relative measure of the efficiency of a system in converting inputs into useful outputs.

Productivity: the ratio of the real value of outputs to the combined input of labour and capital.

Productivity: a measure relating a quantity and quality of output to the inputs required to produce it.

So, in simplest terms:

Productivity = Valuable Outputs / Costly Inputs

Be Careful What you Wish For

While I am a ardent believer in the value of metrics, it is important to keep in mind the potential for unintended consequences. Individual and group behaviors will evolve to meet your measures – not necessarily your goals. So ensure that the measures you use promote the behaviors you desire.

Most documented productivity metrics in software development define a unit of output as either a KLOC (thousand lines of code) or as a Function Point. Both have significant disadvantages.

KLOCs are generally favored for the simple reason that they’re unambiguous and easy to measure. However, they can unintentionally promote poor design and coding practices. Elegant, efficient, maintainable software takes more time to write, and takes fewer lines of code. Therefore, a KLOC metric inadvertently creates a disincentive for building high-quality software, and rewards poorly thought through designs and shoddy craftsmanship.

While Function Points don’t necessarily promote poor design and craftsmanship, they have their own unique challenge – they are famously difficult and expensive to calculate and measure.

Perhaps even more importantly, both KLOCs and Function Points ignore the core aspect of ‘Value’ inherent in our definition of output – and therefore productivity.

It has been stated that 64% of the features and function in the typical software system are rarely or never used (Standish 2002). Calling the code that delivers these features and functions “productive” may be a mischaracterization.

Similarly, those features and functions that ARE commonly used are generally not of uniform value. The Pareto Principle would suggest that 80% of the value is delivered by 20% of the effort. Yet KLOC and Function Point-based metrics treat all features and functions (and code) delivered as interchangeable. This promotes focusing on the easiest and lowest technical risk; rather than the most valuable, most innovative and greatest business risk…

Output is a measure of the value delivered, not the effort expended.

A number of people in the Agile community have written about an alternative unit of output measure – Value Points.  While the simplicity and value focus of this model is appealing, it has challenges when scaled beyond a few teams. In order to be meaningful at the organizational level, you must normalize the relative value point scale across teams and programs – which can be difficult and expensive.

Also, the Value Point approach does not easily translate to initiatives and/or divisions that may not be delivering in an Agile manner. Having a common measure of output, and therefore productivity, is critical to measuring the impact of your Agile investment.

So, the approach we recommend is to associate a percentage of the total value of a given initiative to each Minimally Marketable Feature (MMF) or production release. These percentages can then be applied to a any monetary business justifications (ROI, NPV, Discounted Cashflow, etc.) to arrive at an expected dollar value realized from each release.

Hence,

Productivity = Total Value Realized (delivered to production) /  Total Cost of production (labor)

Using this approach, your organization (be it a Scrum team, a multi-team Agile program, a waterfall project, or even an entire product development group) base-lines their productivity for a period of time and monitors the change over time.

Example:

The division has 3 initiatives in progress:

• Initiative A:  Total Expected Value $5MM; being delivered by a Scrum team with an iteration run-rate of $70,000.
• Initiative B:  Total Expected Value of $25MM; being delivered by 5 Scrum teams with a combined iteration run-rate of $400,000.
• Initiative C:  Total Expected Value of $50MM; being delivered according to a project plan and resource matrix that charges $2.5MM to the project in the 1st quarter.

In Q1:

• Initiative A: Released to production monthly and delivered a total of 60% of Expected Value; or $3MM. 25% of the backlog has been burned-down in terms of story points. Total Cost $210,000. PRODUCTIVITY = 14.29
• Initiative B: Released to production quarterly and delivered a total of 65% of Expected Value; or $16.25MM. 35% of the backlog has been burned-down in terms of story points. Total Cost $1.2MM. PRODUCTIVITY = 13.54
• Initiative C: Completed requirements definition and is 50% done with Detailed Design, and delivered 0% of Total Expected Value. Total Cost $1.2MM. PRODUCTIVITY = 0

*undelivered work is WIP, and therefore not yet productive.

Aggregate Division Productivity for Q1 = 7.38

As you can see, it would be relatively straightforward to predict Q2 productivity – at the initiative as well as division levels – by assessing the various product roadmaps and traditional project plans. Those projections could then be used to:

• drive discussion about trade-offs on where to allocate limited capacity and maximize productivity
• staff and fund initiatives where productive potential is high, and to cancel successful projects whose greatest productive potential has already been harvested
• inform intelligent business decisions – which is WHY we’re measure outcomes

By understanding the productivity of the development organization (its efficiency in delivering features the business needs and delivering improved ROI), leaders can effectively drive improvements and business decisions that maximize productivity – Doing More with Less.

The next topic I’ll address in the Measuring Impact series is Quality. Most organizations claim to have a Quality focus, yet few take a holistic view of Quality or appreciate the strong correlation between Quality and our other Outcome Metrics – Productivity, Responsiveness, Customer Satisfaction, Employee Satisfaction and Predictability.

How are you measuring the impact of your agile investments? Please share your ideas and feedback in the comments.

Isaac Montgomery is the harried father of twin sons, the adoring husband of Angie, a frustrated hack on the golf course, and an Agile Coach at Rally Software. He blogs at Leading Results, you can follow him on twitter at @iwmontgomery

I leave on sabbatical next week to be the Entrepreneur in Residence at the Unreasonable Institute as they kick off their six-week program for 2011 (see my earlier post for background on the sabbatical). If you are in Boulder or flying by this summer and you dig social venture efforts, you should definitely consider attending one of the Unreasonable Events.

The Institute’s Global Summit and VIP reception were fantastic last year and attending these events are what got me hooked on spending my sabbatical with this group. Daniel, Teju and Tyler knocked the ball out of the park last summer and I can’t wait to be more involved this year.

When I say involved, I am going to be at the Unreasonable headquarters four to five days a week and leading recitation sessions for five of the 2011 fellows. I am also going to be working on the business model for the Rally Foundation. The Rally Foundation is the evolution of our corporate social responsibility (CSR) team and additional corporate stock funding. The CSR group has ramped up in 2011, and we are now focused on making our efforts sustainable in the long-term. We do not just want to grant 5% of our capital every year, we want to do more and more every year.

I get inspiration for a self-sustaining foundation model from three examples:

• The Salesforce Foundation’s Social Enterprise Model that is funded through license sales
• The DemandTec Retail Challenge funded by the company and partners
• The Whole Foods’ Whole Planet Foundation microfinance loan pool, donated by customers

To kick off Rally’s Foundation efforts and the Unreasonable Fellows of 2011, Ben Carey and I will be teaching a course on Business Model Canvas on Tuesday, June 21st at the Atlas building on the University of Colorado campus. Our course will be based on Ben’s post on the 1-hour session he gave at our RallyON conference in May, along with Alexander Osterwalder’s post about how Business Model Canvas links with Steve Blank’s customer development in the area of social entrepreneurship.

In the spirit of being unreasonable and helping to kick-off our Foundation’s efforts, we have decided to help sponsor Unreasonable.TV this summer. This is a fantastic effort focused on sharing the experiences and stories of the the Unreasonable entrepreneurs. Our Foundation team is really excited about the alignment of vision and values between the Unreasonable Institute and the Rally Foundation.

Let us know what you think and hopefully we will see you at some of the Unreasonable events this summer.

Ryan Martens is CTO/Founder of Rally and on the way to be the Entrepreneur-in-Residence at the Unreasonable Institute this summer in Boulder –  See the Institute’s 2011 Fellows – Watch the intro video to the Institute and follow my escapades in the Unreasonable Mansion with twitter @RallyOn

You may have heard the news today about our $20 million funding led by Meritech Capital Partners. Meritech is a leading provider of late-stage venture capital to category-defining private technology companies. We are excited about the opportunity and welcome Meritech to the Rally team.

Read more about this announcement and other company news, events, and culture at our new Rally Company Blog. You can also subscribe to the company blog via email or RSS.

Ryan Martens is CTO/Founder of Rally and on the way to be the Entrepreneur-in-Residence at the Unreasonable Institute this summer in Boulder –  See the Institute’s 2011 Fellows – Watch the intro video to the Institute and follow my escapades in the Unreasonable Mansion with twitter @RallyOn

We have all felt the pull of game play mechanics in software. You might be addicted to Angry Birds, Farmville, Foursquare or Mafia Wars? Or, maybe like me, you felt compelled to ski a couple extra runs this year thanks to the Epic Mix from Vail Associates. In either case, the achievement leveling and badging associated with the “gamification” of this software has most likely had some impact on your behavior.

Nowhere have I seen these techniques applied to software like I have experienced in StackExchange, a network of Q&A sites founded by Jeff Atwood and Joel Spolsky. Most of my experience is with the Project Management StackExchange, but there are 51 public sites and over 50 other domains emerging. Thanks to smart work by the StackExchange team, the leveling and badging mechanics are used to pull you into an ownership position with the community. As you earn reputation points, you are granted more privileges on the site. This progressive enablement of editing, voting, chatting and commenting capabilities seems perfectly matched with my gaining experience of the culture and ethics of the site. The more I use the site, the more I find myself developing a real sense of ownership and responsibility to the community. This is simply beautiful software for building a community of experts.

My positive experience with StackExchange has been echoed by a bunch of others at Rally. In fact, after playing with site back in March, Rally decided to partner with StackExchange to help share the knowledge from our inaugural RallyON Conference. Specifically, we started working with the project management and programers sites, as they have good coverage of agile, lean software, scrum, kanban, test-driven development, and continuous integration topics.

I encourage you follow our lead and try out StackExchange personally and with your agile teams. I think you will find it to be a great community for capturing and sharing knowledge on agile. Don’t miss Jean’s recent post, “Life in the StackExchange Lane,” to hear about her first month with the site.

Click to register for the webinar- Defining Done

For us, StackExchange is quickly becoming an indispensable community building tool – let me tell you the story and why we are going to use it to clear questions for the next event in our agile webinar series! To get started, please see this example question on pm.stackexchange.com – “How do you define “Done” on a project?” To see how the StackExchange community is preparing for this experiment, you can view the question - “Growing the site with a new experiment” in the meta section of pm.stackexchange.com.

To understand the rational for all this work I want to explore three areas: First, recognizing what was not working for us in our community;  Second, appreciating the stack overflow approach behind StackExchange; Third, comparing and contrasting StackExchange with other Q&A sites.

It’s hard to build a general community, but we need to

Since 2004, we have been a provider of agile solutions through the combination of products and services. For our customers, Rally and its partners deliver large and sustainable gains in software development time-to-market, quality and productivity as well as increasing the sense of purpose and joy on teams. To increase the impact of agile for our users who are spread arcross 100 countries, we launched a social community in 2006; Agile Commons.

Agile Commons provided an open platform to encourage dialogue and discussions with our users and others in the community. Of course there are many places on the Internet to have these general discussions. As a result, the parts of Agile Commons that really took off were those more closely associated with Rally specific content. We just did not have enough traffic to clear the questions with well thought out answers that really covered a problem space. As a result, Agile Commons has morphed into an open commons primarily for Rally customers and users. In addition, the general Agile community discussion has continued to splinter across countless blogs (see the top 200 agile blog list – we are #12!), email lists, and twitter. Due to this splintering, it is really hard to quickly find good, well shaped answers to common agile questions.

This problem has been plaguing the agile community for years and finally boiled to the surface at the 10 year agile gathering in Snowbird this year. In that meeting the following four items were cited as critical steps to keep the community growing for the next 10 years:

• Demand Technical Excellence
• Promote Individual Change and Lead Organizational Change
• Organize Knowledge and Improve Education
• Maximize Value Creation Across the Entire Process

You can read more about the 10 years agile gathering in my February post as well as the many sites and attendees that I reference. I think the industry is ready to address this problem. Now what is the solution?

StackOverflow thinking

I have been passionate about building and sharing knowledge since I was first introduced to web technology via Mosiac in 1994; however, I would not call myself a knowledge management expert. I have continued to dip in and out of this space but being introduced to David Snowden’s work at the Lean Conference in 2010 has been a significant catalyst in my thinking and passion on social and knowledge management. His work has stoked my fire around this problem and solution space. David’s talks and the morphing of Agile Commons have driven my pursuit of a great space to manage agile knowledge in an open manner. My research took me through:

• Wikipedia on agile
• Agile Alliance Resources
• Lean Software & Systems Wiki
• Scrum Alliance community
• Linked In Groups on agile
• Google’s Knol on agile
• Quora on Agile
• Stackexchange on project management

It was StackExchange that stood out to me as the clear winner for managing what Snowden calls ordered knowledge. StackExchange’s Q&A format is truly amazing, it is first a community of experts and second a well gardened knowledge management system. See the PM StackExchange ABOUT post to understand how it is a combination of four great technologies.

If you have not tried stackexhange, jump into pm.stackexchange.com and try entering any project management question you can think of, including anything agile. As you type, you should see a list of related questions based on the keywords in your question. If you do not see your question, please enter it using these simple guidelines and make sure to use tags like agile, scrum, kanban, or TDD. The community will help you shape it into something that will get a good spectrum of answers in a matter of a week. Even in beta the PM StackExchange includes the following site stats:

I don’t care what yahoo group or wiki you are on in our community, it’s difficult find that kind of diverse network to help you with your day to day questions. As I noted, the site is still in public beta. My guess is by 2012, this community will have quadrupled.

Problems with other Q&A sites

This post is about Stackexchange, but, as I mentioned above, there are other solutions for managing a body of knowledge like this. I found a number of short-comings in those communities:

• There is not enough people in community to clear the answer broadly and quickly – too small a sample
• There is only a certain clique of people in a community that provides too much of a myopic answer – 1 right way
• There is focus on discussing and debating, not answering the question in a focused way that matches the question depth – a podium
• There is opacity with regard to governance and content ownership – lack of transparency = low trust
• There is a lack of moderation to keep the community – entropy happens

I believe StackExchange addresses all these issues in a remarkable set of people, policies and bots. I encourage you to help our community move forward by finding ways to organize and share knowledge on Agile in StackExchange. Please share your ideas and other agile resources in the comments.

Ryan Martens is CTO/Founder of Rally and on the way to be the Entrepreneur-in-Residence at the Unreasonable Institute this summer in Boulder –  See the Institute’s 2011 Fellows – Watch the intro video to the Institute and follow my escapades in the Unreasonable Mansion with twitter @RallyOn

This is a story of how I went from being the poster child for bad posting etiquette on pm.stackexchange.com to becoming their poster child for fast learner! A poignant tale of hubris, struggle, fear, benevolent mentorship, and redemption.

Prequel: The Lure

Some colleagues of mine at Rally Software (Karl Scotland, Ken Clyne, Eric Willeke, Ben Carey, and Ryan Martens) have been telling me about how much they were enjoying their experiences in StackExchange. My CTO colleagues Zach Nies and Mark Gammon have also been enthusiastic about the value of being engaged in the StackExchange community. But I was intimidated. I feared I wouldn’t know how to appropriately engage in either asking a question or answering a question. It turns out my fears were well-founded.

Scene 1: The Leap

I finally decided to jump in. I set-up an account, fairly easy to do. I perused some of the questions already posted by others. I saw the tags and the replies. I saw the voting. Somewhat intimidating. But, I had a topic I was really excited about. I thought it would make a great question. And so I made the leap; I took the plunge. And this is what was wrought:

Scene 2: The Faux Pas

Not a bad question. The problem was that in the text area below the question title, I gave further detail on the question. A lot of detail. I pulled a major faux pas: I waxed poetic on what I thought the answer was. (I’m not going to go into the topic here. Trust me. It was lengthy and unyielding. :-(

Fortunately for me, however, very timely and gentle advice appeared from Mark Phillips and jmort253:

Could they have been any nicer? What a great community!

Scene 3: Meeting with the masters

The good news is that help was on its way. Back in March, we’d spoken with Joel Spolsky (co-founder and CEO of StackExchange.) Ryan’s goal in talking with Joel was to look at how we at Rally could incorporate StackExchange into our upcoming RallyOn conference in May. How could we work together to create community in StackExchange as we were creating community in the conference?

The result? We brought in the great StackExchange masters Anna Lear and Mark Phillips to the RallyOn conference. In his opening remarks at the conference, Ryan introduced our two Zen StackExchange masters and Ryan’s hope for how we could all engage with them to kick start a powerful presence of the Agile community within StackExchange.

Yea! I was going to actually be able to work with Mark and Anna to become more comfortable and more productive in StackExchange!

Scene 4 : Lessons Learned

After Mark held a small session on getting started in StackExchange, I saw him in the hallway. I’d missed the session, but he quickly filled me in. It turned out, he’d used MY question/answer fumble as an example of how NOT to engage in StackExchange. I had become the poster child for bad StackExchange etiquette :-(

But both Anna and Mark quickly took my under their wing. We edited my original question. We commented on one of the answers. We created a new question. And we answered another question. The result was a new exchange of comments:

Close: A Happy Ending

Today, good news abounds. Mark recently wrote a phenomenal blog post: Why StackExchange is Hotter than Twitter

I continue to stay engaged asking and answering questions. I’ve learned to keep my questions short, my comments short, and my answers short. And, I’m gaining reputation points and earning badges, still with gentle guidance from Anna, Mark and “jmort253″.

My Rally colleagues continue to post as well. It is exciting to see the Agile community begin to expand in pm.stackexchange.com. Provocative questions with great answers. And through the tags, we can watch the expansion into other topic areas.

For the happiest ending of all, I’m saving the best for last: my email yesterday from StackExchange!

“Congratulations — you are one of the top new Project Management – Stack Exchange users for the month of May 2011! http://stackexchange.com/leagues/month/pm/2011-05-01 ” There was also the caveat that my name would not appear in the list of users because I still need to earn more reputation points. Okay, June, you are going down!

Help keep the story alive!

To wrap things up: I not only survived jumping into StackExchange; I love it. I’m hooked. So, my story is not over.

Now, I’d love your reply to this post to tell me how you are getting involved in StackExchange.

Jean Tabaka is an intrepid intercontinental traveller, a 6-badge holder in pm.stackexchange.com,  author and Agile Fellow at Rally Software Development. You can follow Jean on Twitter at @jeantabaka