Requires the following solution to be installed:
- Value Stream Enablement (63299979-14d1-4004-a4f1-1d5337caf8ca)
- Key Performance Indicators (KPIs) (bba9c0fa-727a-42f2-a300-521ed1cf2b44)
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Solution Overview
Value Stream Key Performance Indicators (KPIs) are the quantifiable measures used to evaluate how a Value Stream performs against its business objectives. Development Value Stream KPIs help close the feedback loop from:
- Strategic Themes through the Lean Budgeting process
- Portfolio Epics established in the Portfolio Kanban
- Business Outcomes created by portfolio investments in Development Value Streams
The solution enables the connection between KPIs (Indicators) and Value Streams. By monitoring KPIs within the Value Stream, organizations can identify areas for improvement, make data-driven decisions, and align actions with strategic objectives to deliver value to customers effectively and efficiently.
Now when you create a new KPI (Indicator) you'll be able to connect it to a Value Stream:
You will be able to see what KPIs are connected to a Value Stream on a Value Stream view:
And see what a KPI Value Stream on a KPI view:
Tips for Establishing KPIs
Since KPIs are specific to the type of Development Value Stream, SAFe can only offer general guidance. However, the following tips and examples provide universal recommendations for establishing KPIs:
- Good KPIs focus on objective, quantifiable, and measurable business outcomes
- Some Development Value Stream KPIs should focus on process measures such as speed, quality, flow, and self-assessments.
- Trending data allows you to predict better what will happen based on history.
- Ratio data enables comparison. A sudden spike or a long-term trend becomes visible if you compare a daily metric to the same one over a month.
- Limit the number of KPIs tracked for each value stream. Typically, four to seven provides a good set of metrics.
Often, the most meaningful metrics to assess the development value stream’s business outcomes are associated with their operational value streams. For example, the image below highlights some KPIs appropriate for various operational value streams. These metrics tell the story of how well the development value stream produces business results.
© Scaled Agile
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Version 1.0
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