EBM (Evidence-Based Management) Intro

EBM (Evidence-Based Management)

Measuring value to enable improvement and agility

What is Evidence-Based Management?
- EBM is a framework organizations can use to help them measure, manage, and increase the value they derive from their product delivery
- EBM focuses on improving outcomes, reducing risks, and optimizing investments
Why Evidence-Based Management?
- frequent inspection of results limits risk and improves the ability to deliver value
Their leaders
- manage investments based on ROI and value
- work to influence the organization to create an adaptive culture that allows it to take advantage of opportunities before their competitors do
EBM helps organizations, using an iterative and incremental approach, put their right measures in place to:
- invest in the right places
- make smarter decisions
- reduce risk
This empirical method alongside the agile principles and values enables successful steps of change for the organization
Start by looking at Value:
- Organizations invest in agile processes, tools, training, and coaching, but how much are they getting back? Has product delivery improved? How much happier are customers? Are employees satisfied and enabled?
Traditional metrics might give you insight into improvements of operational efficiency but the more important conversation is about improving your ability to create value for your customers and stakeholders
4 Key Value Areas contribute to an organization’s ability to deliver business value (Defined measures will vary by organization)

Current Value	Measures value delivered to customer or user today
Unrealized Value	Measures value that could be realized by meeting all potential needs of the customer or user
Time to Market	(responsiveness) Measures the ability to quickly deliver new capability, service, or productc
Ability to Innovate	(effectiveness) Measures the ability to deliver a new capability that might better serve a customer or user need

Understand your capabilities to determine next steps for improvement:
Embracing agile ways of working, such as iterative development, continuous integration, and test-driven development are only the first steps
Optimizing value delivery requires integrating the work of multiple Scrum Teams and ensuring that the entire organization can absorb the frequent product innovations coming from those teams
The key to understanding results and measures is in the ability to inspect and adapt based on that information
Examining the 4 Key Value Areas in EBM will help shine a light on an organization’s capabilities and product delivery practices
It drives the ability to make informed and evidence-based decisions for organizational learning and continuous improvement
Creating a culture of continuous improvement puts organizations on the path to competitive advantage