Problem Definition. In dynamic IT project management, adopting agile methodologies like the Scaled Agile Framework (SAFe) is the possibility to achieving flexibility and customer-centricity. A significant challenge within this area is integrating Business Process Management (BPM) performance indicators into SAFe IT projects. These BPM indicators are crucial for improving decision-making, optimizing processes, and meeting business objectives. This study explores the integration of BPM performance indicators within SAFe, examining their impact on Program Increments (PIs), Agile Release Trains (ARTs), and value streams. It aims to demonstrate how these indicators can enhance the efficiency and effectiveness of SAFe-managed IT projects.
Results. To effectively manage business processes in SAFe IT projects, it is crucial to monitor specific performance indicators. These indicators offer insights into the efficiency and effectiveness of various processes. The table below briefly presents such metrics. Each indicator, essential for BPM in a SAFe context, is defined with its calculation method and target ranges, aiding in the continuous improvement and management of business processes.
Table I. Business Process Management Performance Indicators in SAFe IT Projects
To illustrate the practical application of these process performance indicators in SAFe IT projects, let's examine a real-life example of a software development project undertaken by a mid-sized IT company. The project was managed using the SAFe framework, with specific attention to the BPM performance indicators outlined in Table I. The project involved developing a new customer relationship management (CRM) software. The Agile Release Train (ART) consisted of multiple teams, each responsible for different modules of the software.
Interpreting Results. To evaluate the success of the CRM software project and the effectiveness of the SAFe implementation, Project Manager closely monitored key BPM performance indicators. This analysis not only provided insights into the project's progress but also identified areas where the application of SAFe principles could be optimized. The following is a detailed breakdown of each performance indicator and its impact on the project:
1.ART Velocity: Over the Program Increment, the ART completed 120 out of 150 story points. This slightly lower velocity indicated room for improvement in backlog management and sprint planning.
2.Team Capacity Utilization: Teams reported an average utilization of 80%, which falls into the “Good” range. This showed a balanced workload but highlighted potential for slightly increased capacity usage.
3.PI Predictability: 85% of the planned features were delivered, categorizing predictability as “Good”. This reflected strong planning but suggested the need for more flexible response to changing requirements.
4.Work-in-Progress Ratio: Maintained at an optimal 60%, indicating effective management of ongoing tasks without overwhelming the teams.
5.Iteration Flexibility Index: Rated at 15%, showing a balanced approach to handling unplanned work while maintaining focus on planned tasks.
6.Time-to-Market (TTM): The CRM software took 120 days from ideation to delivery, aligning with the industry average but indicating potential for faster delivery in future projects.
7.Defect Escape Rate: Post-release, the defect rate was found to be 8%, which is “Good”, though it highlighted the need for more rigorous testing.
8.Cycle Time: The average cycle time was 10 days per work item, showing efficient processing within the ART.
9.Business Value Achievement Rate: The project achieved 92% of its planned business value, categorizing it as “Good”. This demonstrated effective alignment with business objectives.
10.Program Increment Objectives Completion Rate: 88% of the PI objectives were met, falling into the “Good” category and underscoring strong alignment with the PI goals.
The analysis revealed that while the project was largely successful, there were opportunities for improvement in areas such as ART velocity and defect management. The data suggested that refining testing processes and enhancing sprint planning could further optimize performance. Overall, the use of these BPM performance indicators provided valuable insights, guiding the project team toward areas requiring attention and continuous improvement [1].
Conclusion. Integrating Business Process Management (BPM) performance indicators within the Scaled Agile Framework (SAFe) significantly enhances IT project management. By applying metrics like ART Velocity, Cycle Time, and Business Value Achievement Rate in a SAFe context, project teams gain critical insights into their performance, enabling continuous improvement and better alignment with business objectives. This approach not only enriches SAFe's agility but also introduces a structured, data-driven methodology for decision-making, ensuring that projects are efficient, effective, and strategically aligned with organizational goals.
List of References
1.Benedict T., Kirchmer M., Scarsig M., Frantz P., Saxena R., Morris D., Hilty J. BPM CBOK Version 4.0: Guide to the Business Process Management Common Body Of Knowledge. – 2013. – ISBN 9781704809342.
2.Leffingwell D. Agile Software Requirements: Lean Requirements Practices for Teams, Programs, and the Enterprise. – Addison-Wesley Professional, 2011. – ISBN 9780321635846.
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Scientific Advisor: Bagatska K.V., PhD in Economics, Associate Professor, State University of Trade and Economics
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