We have previously discussed getting started, organizing for delivery and processes. In this article, we will talk about analytics. Analytics is the art and science of defining your process metrics. It starts with figuring out what to measure.
What do you measure?
Typically, you measure things that you will help you figure out if you are on track to meet your goals. It may be a case of changing a process and measuring if things are getting better or simply tracking things across time to see if there is a natural improvement or regression. It is important in a digital transformation effort to provide metrics to everyone. Different level of staff will need a different outlook on things.
Types of Metrics:
The most common way of looking at metrics are classified as
1. Operational Metrics
2. Tactical Metrics
3. Strategic Metrics
Operational metrics are used by staff involved in producing the deliverables from your services. An example is a burndown metrics in an agile environment or tickets closed per day in a help desk situation. You need to define the metrics that are critical to your organization. Remember, these metrics are not a static collection. They should address areas that help you get things completed or improve. This should also include metrics that we are going to talk about in the next paragraph. Also, if you create metrics to track and make a process more effiicient. You should be ready to retire metrics when you no longer need to track them. Otherwise you will end up with a lot metrics the whole activity will lose its sensitivity. You may want to include predictive and prescriptive metrics in this group.
Tactical metrics are typically used by supervisors and managers to review things in an aggregate format. Managers need to look at how team performed or how processes performed during a specific period of time. These are more tactical in nature.
Strategic metrics are used by Senior Management to evaluate how things are progressing towards achieving the strategic goals of the department or organization. These typically will be a specific targeted metrics or in most cases a time series metric or other rolled up tactical metrics.
Value of Metrics:
Everyone in the organization should understand the value of the metrics provided to them and should be trained on using it to achieve their objective. This is a critical component in digital transformation that is often overlooked in the non-digital world.
Any well-developed metrics/analytics program should contain good visualizations. Visualizations provide an easy way for everyone to understand their analytics. Remember though a good visualization will not make a useless metrics good but a bad visualization can render a great metric ineffective. Design your visualization along with your metrics.
At SIMBYM we provide our customers with a good set of metrics to deliver service efficiently and the tools to visualize.
Let me know your thoughts on this series of articles. Your feedback is important for us.
Links to other articles in the series
Part 1: Digital Transformation – Getting Started
Part 2: Digital PPM Transformation – Organizing for Delivery