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Reported Benefits of Agile

Mike Cohn
August 20, 2012

Reported Benefits of Agile

This presentation summarizes a great deal of research on the benefits of becoming agile. Included are studies on improvements to time-to-market, quality, productivity, employee satisfaction, stakeholder satisfaction, and more.

It is available in PowerPoint and Apple Keynote format so you may use the presentation or slides from it in your own presentations.

Mike Cohn

August 20, 2012
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  1. ® Mountain Goat Software, LLC The major sources 1.QSMA (Michael

    Mah 2008) 6 Rigorous comparison of 26 agile projects to a database of 7,500 primarily traditional projects 6 Agile projects ranged from 26–1,000 people 2.David Rico (2008) 6 Survey of 51 published academic and research papers 2
  2. ® Mountain Goat Software, LLC 3.VersionOne (2008) 6 Opt-in online

    survey of over 3,000 people 4.Dr. Dobb’s Journal (2008) 6 Opt-in online survey of 642 people 6 Conducted by magazine columnist Scott Ambler 3
  3. ® Mountain Goat Software, LLC Areas studied 6 Higher productivity

    and lower cost 6 Improved employee engagement and job satisfaction 6 Faster time to market 6 Higher quality 6 Improved stakeholder satisfaction 4
  4. Mountain Goat Software, LLC ® Improved productivity Source: Mah 2008.

    Agile projects are 16% more productive at a statistically significant level of confidence. 5
  5. ® Mountain Goat Software, LLC 6 Dr. Dobb’s Journal 6

    82% said productivity is somewhat or much higher 6 VersionOne 6 23% said productivity was significantly improved 6 50% said productivity was improved 6
  6. Mountain Goat Software, LLC ® Cost Development Cost DDJ VersionOne

    Improved 32% 30% (&-(7" -2+6 Improved 5% 8% 7
  7. Mountain Goat Software, LLC ® Rico’s literature survey Lowest Reported

    Improvement Median Highest Reported Improvement 0.#3"2(4(26 14% 88% 384% Cost 10% 26% 70% 8
  8. ® Mountain Goat Software, LLC Higher job satisfaction 6 Fifteen

    months after adopting Scrum, 86% of Salesforce.com employees were having a “good time” or the “best time” 6 Only 40% said that before adopting Scrum 6 92% would recommend agile to others 6 Perhaps employees like agile because there’s 2/3rds less overtime according to University of Calgary research 9
  9. ® Mountain Goat Software, LLC Faster time to market 6

    VersionOne study found 6 64% said time to market improved 6 Another 23% said it was significantly improved 6 Michael Mah found 6 Agile projects have a 37% faster time to market at a statistically significant level of confidence 10
  10. Mountain Goat Software, LLC ® Salesforce.com 568% more value delivered

    in the first year of being agile. .30"$0$$-$ -#06  12
  11. ® Mountain Goat Software, LLC Higher quality 6 Rico 6

    Minimum quality improvement of 10% 6 Median quality improvement of 63% 6 ePlan Services 6 Over first nine months of using Scrum, defect rate per 1,000 non-comment lines of code went down 70% 13
  12. ® Mountain Goat Software, LLC VersionOne study 6 Quality 6

    44% said quality had improved 6 Another 24% said quality improved significantly 6 Fewer defects 6 84% said defects had gone down by 10% or more 6 30% said defects were down by 25% or more 14
  13. ® Mountain Goat Software, LLC Improved stakeholder satisfaction 6 Dr.

    Dobb’s 6 47% said stakeholder satisfaction was “somewhat higher” 6 Another 31% said it was “much higher” 15
  14. Mountain Goat Software, LLC ® VersionOne study Improved (&-(7" -2+6

    Improved -' -"$# !(+(262., - &$ changing priorities 41% 51% ,/0.4$#/0.)$"24(1(!(+(26 42% 41% Improved alignment of IT and business goals 39% 27% Reduced project risk 48% 17% 16
  15. ® Mountain Goat Software, LLC Sources 6 Ambler, Scott. 2008a.

    Agile adoption rate survey, February. http:// www.ambysoft.com/surveys/agileFebruary2008.html. 6 Cohn, Mike. 2009. Succeeding with Agile: Software development using Scrum. Addison-Wesley. 6 Greene, Steve, and Chris Fry. 2008. Year of living dangerously: How Salesforce.com delivered extraordinary results through a “big bang” enterprise agile revolution. Session presented at Scrum Gathering, Stockholm. http://www.slideshare.net/sgreene/scrum- gathering-2008-stockholm-salesforcecom-presentation. 6 Mah, Michael. 2008. How agile projects measure up, and what this means to you. Cutter Consortium Agile Product & Project Management Executive Report 9 (9). 17
  16. ® Mountain Goat Software, LLC Sources 6 Mann, Chris, and

    Frank Maurer. 2005. A case study on the impact of Scrum on overtime and customer satisfaction. In Proceedings of the Agile Development Conference, 70–79. IEEE Computer Society. 6 Rico, David F. 2008. What is the ROI of agile vs. traditional methods? An analysis of extreme programming, test-driven development, pair programming, and Scrum (using real options). A downloadable spreadsheet from David Rico’s personal website. http://davidfrico.com/agile-benefits.xls. 6 VersionOne. 2008. The state of agile development: Third annual survey. Posted as a downloadable PDF in the Library of White Papers on the VersionOne website. http://www.versionone.com/ pdf/3rdAnnualStateOfAgile_FullDataReport.pdf. 18
  17. ® Mountain Goat Software, LLC Copyright notice You are free:

    6 to Share―to copy, distribute and and transmit the work 6 to Remix―to adapt the work Under the following conditions 6 Attribution. You must attribute the work in the manner specified by the author or licensor (but not in any way that suggests that they endorse you or your use of the work). Nothing in this license impairs or restricts the author’s moral rights. For more information see http://creativecommons.org/licenses/by/3.0/ 19
  18. Mountain Goat Software, LLC ® Contact information Presentation by: Mike

    Cohn [email protected] www.mountaingoatsoftware.com Based on chapter 1 of Succeeding with Agile You can remove this slide but please credit the source somewhere in your presentation 20