In this presentation, METRI Supplier Performance Measurement expert Harold van Heeringen explains why the industry is struggling with the management of agile teams.
Basically, the teams themselves create a situation of ‘unaccountability’ by using measurement methods that are not standardized (e.g. story points). The metrics based on these measurements certainly have a lot of value in the teams themselves, and really support decision making on the team level, but they can’t be used for management purposes as they are not objective, repeatable, verifiable and defensible.
However, there will be people in the organization that do have accountability. They need to understand how the budgets need to be divided, what should be the team size of the teams and which teams will deliver which functionality at which moment in time. They also need to know if the performance of the teams is in line with what may be expected.
Ultimately, the CIO is responsible for the business value the teams deliver to the organization and the costs involved. Especially when (part of) the teams are outsourced to one or multiple suppliers, it becomes even more important to control the costs of and the value delivered by the teams.
This is the main reason that more and more organizations are including output-based metrics in the contracts with their suppliers. In this presentation, the main output based supplier performance metrics are highlighted and the way these metrics can be used in contracts is explained.
Drs. Harold van Heeringen, works for METRI as a senior consultant benchmarking, mainly in the application domain.
Harold is specialized in Supplier Performance Measurement processes, and in benchmarking software development teams and Maintenance & Support contracts. In addition, he develops market price models for suppliers which are used to challenge internal price calculations and to win new contracts.
Next to his job, Harold is also involved in several metrics related not-for-profit organizations:
Alexandre CHARLET works for CAST as Head of Field Operations in Benelux region. Alexandre worked for the IBM company, early 2000, mainly on first large Offshore contracts during 3 years. He joined CAST in 2006, managing several verticals (Manufacturing, retail, Telcos) and has been involved in many outsourcing contract negotiations when ADM KPI’s have been requested.
Until now 4 years, he is in charge of Benelux Area by developing new markets offer, mainly in the outsourcing area.
Next to his job, Alexandre is also involved in related not-for-profit organizations: