how_do_we_know_where_we_are_spending_our_money
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how_do_we_know_where_we_are_spending_our_money [2019/09/11 07:10] – [Can We Trust Agile Data to Make Decisions?] Added conversion to dollars hpsamios | how_do_we_know_where_we_are_spending_our_money [2019/09/11 07:30] – [Want to Know More?] Added links hpsamios | ||
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* Operating budget | * Operating budget | ||
- | See [Agile Software Capitalization](http:// | + | See [[how_do_we_do_software_capitalization_when_we_go_to_agile|How Do We Do Software Capitalization |
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+ | ===== Project Identifier ===== | ||
+ | |||
+ | Often the work that is being taken on is the result of a customer project, for example. Project Managers and other stakeholders will be interested in understanding, | ||
===== Funding Source ===== | ===== Funding Source ===== | ||
- | Organizations often have different sources of funding for an IT organization and it is up to the IT organization to ensure that the capacity allocated to work lines up with these funding sources. To track, | + | Organizations often have different sources of funding for an IT organization and it is up to the IT organization to ensure that the capacity allocated to work lines up with these funding sources. To track, we could tag based on: |
* Customer Projects | * Customer Projects | ||
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* Reverse | * Reverse | ||
- | For more information see [Kano Model](https:// | + | For more information see [[https:// |
- | ====== And Then There are More Arbitrary Definitions | + | ===== And Then There are More Arbitrary Definitions ===== |
One product development shop I worked with really wanted us to track truly innovative work separately from maintenance work. Their categories were a combination of a number of notions: | One product development shop I worked with really wanted us to track truly innovative work separately from maintenance work. Their categories were a combination of a number of notions: | ||
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- Initiatives: | - Initiatives: | ||
- | A combination of approaches is also used in many cases. | + | Different tools will support different approaches. Often a combination of approaches is also used. |
- | No matter the approach, we’d provide tools and dashboards to people | + | No matter the approach, we’d provide tools and dashboards to people |
Some organizations feel like that they need to get very precise with these categories. So for a particular category, for example Capitalization they won’t just label a feature with “Capital budget” or “Operating budget” but rather will try to estimate a percentage of the Feature that fits into each category (eg Feature is 33.3% capital budget, and the rest operating). | Some organizations feel like that they need to get very precise with these categories. So for a particular category, for example Capitalization they won’t just label a feature with “Capital budget” or “Operating budget” but rather will try to estimate a percentage of the Feature that fits into each category (eg Feature is 33.3% capital budget, and the rest operating). | ||
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In most cases it doesn’t really make a lot of difference what is used. In general I’ve found that a count approach is both simpler and more consistent over the long term. Most organizations are more comfortable using size because this seems like it is an important factor. The reality is that the “law of large numbers” takes over for large implementations so the counts are “good enough” and probably about the same as using size information. | In most cases it doesn’t really make a lot of difference what is used. In general I’ve found that a count approach is both simpler and more consistent over the long term. Most organizations are more comfortable using size because this seems like it is an important factor. The reality is that the “law of large numbers” takes over for large implementations so the counts are “good enough” and probably about the same as using size information. | ||
- | ====== | + | ====== |
- | A word on getting started on this reporting approach. Initially it is difficult for organizations to understand how you turn points and counts into dollars. See [[how_do_i_convert_points_and_velocity_to_dollars|How Do I Convert Points and Velocity to Dollars?]] for the general approach. | + | A word on getting started on Agile reporting approach. Initially it is difficult for organizations to understand how you turn points and counts into dollars. See [[how_do_i_convert_points_and_velocity_to_dollars|How Do I Convert Points and Velocity to Dollars?]] for the general approach. |
And then many people worry that tracking counts of epics, features, and stories, or epic, feature, and story points are less accurate than traditional time keeping systems. Experience shows that the data from these agile systems is in fact more accurate because, unlike traditional time card systems, the people doing the work actually have an interest (skin in the game) when it comes to count or point data. For more information, | And then many people worry that tracking counts of epics, features, and stories, or epic, feature, and story points are less accurate than traditional time keeping systems. Experience shows that the data from these agile systems is in fact more accurate because, unlike traditional time card systems, the people doing the work actually have an interest (skin in the game) when it comes to count or point data. For more information, | ||
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====== Want to Know More? ====== | ====== Want to Know More? ====== | ||
+ | |||
+ | * [[how_do_i_convert_points_and_velocity_to_dollars|How Do I Convert Points and Velocity to Dollars?]] | ||
+ | * [[how_do_we_do_software_capitalization_when_we_go_to_agile|How Do We Do Software Capitalization When we Go to Agile?]] | ||
+ | * [[can_we_trust_story_points_as_a_measure_of_effort|Can We Trust Story Points as a Measure of Effort?]] | ||
{{tag> | {{tag> | ||
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