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when we're measuring productivity, what are we trying to measure? i mean, really? ultimately its how much value is created, in what span of time. relevant to this example, the questions to be asked are: 1) how much does joe's paintjob increase the value of the home for the HGTV-obsessed house-flipper? 2) how much will the value of jim's watercolor appreciate after he kills himself following a week-long binge of heroin? put another way: how efficiently is value being created? the important answers lie more often in the decision process, and less often in the implementation schedule. for example, a web developer working on a brochureware site: the right question may be along the lines of 'how will the work you're doing affect the conversion rate?'. in reality, those decisions aren't up to him -- the might lie in the internet strategy department or some such. they push the order, the developer implements. a real measure of results is closer to 'did the designer make the right decisions to yield results?' rather than 'did the developer get the code done more or less quickly than last time?' in my experience, when someone who is a non-developer is trying to quantify developer 'productivity', what they're really doing is dodging the question of whether or not their decision-making was good or bad, usually when they know it's bad and are looking for something to roll downhill. more interesting to me, as a developer and sometimes manager, is whether or not a developer can deliver when they say they can? if clay says it'll be done in a week, and then it is, he's been sufficiently productive. 'sufficiently productive' is maybe the best thing we can do. the race analogy is an apt one -- if developer 1 can produce a set of functionality with the same defect level faster than developer 2, we can say that d1 is 'more productive', but it's a difficult thing to quantify absolutely. take the number of hours a developer spends working on a given project point, multiply it by their hourly rate, and you get a development cost for that project point. then consider the value that project will add to the product, over time. if you have 30,000 customers who haven't bought the product yet because it doesn't have Feature X, and adding feature X costs dollars Y, then your value-add is something line Z= customers * product price. your efficiency is something like Z/Y. clearly you want to minimize cost, and therefore keep your efficiency as high as possible, but the ways to manipulate that, and a lot of points to consider: a simple example -- if you can hire a developer that will take twice as long, but work at 1/3 of the rate, would the revenue lost during the extended development period negatively affect the profit efficiency? the important questions are somewhat higher up. |
I like the notion that productivity should be considered as rate of delivery of value. Unfortunately, this gets into the sticky questions of value to whom and for what purpose. An even more sticky question would be how to measure it if you can answer the first two questions.
On the "somewhat higher up" questions. Are we to hold the programmer responsible for such things as "conversion rates" which may be more impacted by advertising, quality of web site, and momentary media buzz than by anything the programmer did? If so, how is this measuring the productivity of the programmer. Its difficult to make the connection. That is unless you are the whole team from start to finish.
Perhaps the best we can do is compare present and past "productivity" to see what has improved and what has not. If there is a net improvement, then "productivity" has increased else not. Trying to put a number on it beyond plus or minus may be a hopeless dream.
Still, for something that seems to be driving the world's economy, a hopeless dream is not very satisfactory.