Results Focused Delivery – Keeping an eye on ROI

How do you deliver a whole list of product features?  There are two question that you should ask of the project:

What does the stakeholder think are the most important features?
What features benefit the business the most?

You will often find that the two sets of answers that you receive will not match up.  In many situations the key features for the stakeholders are those most important to them as an individual, not the most important to the business.  There may be certain things that they will have been tasked to deliver within the product that are linked to their yearly performance metrics and goals, so it is a fairly sure thing that they will push these heavily in order to reach their targets.

You on the other hand will have a scope that dictates the product backlog of business benefits that are required from the system and will need to deliver a mix of business benefits and stakeholder features.

How do you do this effectively?

Start to look at business benefits in terms of return on Investment (ROI) in order to create leverage,  you can do this through evidence based delivery.

Take an example of a software platform where a stakeholder requires a mobile application as an additional feature.  You have a target audience, your number of prospective downloads and the cost of developing the app.  If you discover the true cost of each download the ROI may not be at the level required by the business.  It therefore ceases to be an asset that adds benefit to the product.

If this principle of calculating fiscal value or business benefit is applied to the whole of the product backlog you can assign those items with the greatest ROI to the top of the list and give clear reasons for each in terms of value to the business.

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Published by

Adam Scoot

After the consultancy, its all about the agile, a little bit of scrum and delivery. Other than that; Ski hard, Ski fast or go home.

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