SPM Benchmarks KPIs

  • Release version: Xanadu
  • Updated August 1, 2024
  • 2 minutes to read
    • Summarize
    Summarized using AI
    This content was generated using new OpenAI-powered functionality. Results are provided on an as is basis and are not guaranteed to be accurate or complete.

    Summary of SPM Benchmarks KPIs

    The Strategic Portfolio Management (SPM) Benchmarks KPIs provide important performance analytics by measuring usage count data for strategic, alignment, and execution aspects within the SPM Benchmarks application. These KPIs are available by default and help organizations monitor and optimize portfolio management effectiveness.

    Show full answer Show less

    Key Features

    • Strategic KPIs: Measure spend and work focus on business growth and operational run activities over the past 12 months and planned for the next 12 months. Metrics include percentage of spend and count of projects, demands, and epics dedicated to "grow & innovate" versus "run the business."
    • Alignment KPIs: Assess how well projects, demands, and epics align with organizational goals and strategies. They also track delivery methods, showing the percentage of work done via traditional (Waterfall), agile, or hybrid approaches.
    • Execution KPIs: Evaluate demand conversion rates to projects or epics, sprint story point completion versus planning, and team metrics such as average scrum team size and number of scrum teams per Agile Release Train (ART).

    Key Outcomes

    By leveraging these KPIs, ServiceNow customers can:

    • Gain clear insights into how resources are allocated between innovation and business operations, both historically and in future planning.
    • Understand the degree of alignment between portfolio items and strategic goals, enabling better portfolio prioritization and governance.
    • Monitor delivery methodologies to optimize project execution approaches across traditional, agile, and hybrid frameworks.
    • Track execution efficiency through demand conversion rates and sprint performance, supporting continuous improvement in delivery teams.
    • Evaluate team structures within Agile Release Trains to optimize team size and distribution for enhanced collaboration and delivery outcomes.

    The Strategic Portfolio Management KPIs are performance analytic indicators that collect the usage count data. Strategic, Alignment, and Execution KPIs are available by default in the SPM Benchmarks application.

    Table 1. Strategic KPIs
    KPI Formula
    % of spend on grow and innovate the business for the last 12 months (Sum of Actual cost spent on Projects & Demands that belong to innovate & grow in the last 12 months / Sum of Actual cost spent on all Projects & Demands in the last 12 months ) * 100
    % of spend on run the business for the last 12 months (Sum of Actual cost spent on Projects & Demands that belong to run in the last 12 months / Sum of Actual cost spent on all Projects & Demands in the last 12 months ) * 100
    % of work focused on grow & innovate the business (Count of all Projects, Demands & Epics that belong to grow & innovate / Count of all Projects, Demands & Epics ) * 100
    % of work focused on run the business (Count of all Projects, Demands & Epics that belong to run / Count of all Projects, Demands & Epics ) * 100
    Planned % spend on grow & innovate the business for next 12 months (Sum of Planned cost on Projects & Demands that belong to innovate & grow in next 12 months / Sum of Planned cost on all Projects & Demands in next 12 months ) * 100
    Planned % spend on run the business for next 12 months (Sum of Planned cost on Projects & Demands that belong to run in the next 12 months / Sum of Planned cost on all Projects & Demands in the next 12 months ) * 100
    Table 2. Alignment KPIs
    KPI Formula
    % of project, demands, and epics aligned to one or more goals (Count of Projects, Demands & Epics that are aligned to one or more goals / Count of all Projects, Demands & Epics) * 100
    % of project, demands, and epics aligned to one or more strategies (Count of Projects, Demands & Epics that are aligned to one or more strategies / Count of all Projects, Demands & Epics) * 100
    % of work delivered using traditional projects (Total count of open Project planning items that are having execution type as Waterfall / Total count of open Project planning items and Epic planning items) * 100
    % of work delivered using agile (Total count of open Epic planning items / Total count of open Project planning items and Epic planning items) * 100
    % of work delivered using hybrid projects (Total count of open Project planning items that are having execution type as Hybrid or Agile / Total count of open Project planning items and Epic planning items) * 100
    Table 3. Execution KPIs
    KPI Formula
    % of demands converted to projects or epics (Count of Demands that are converted to Projects or Epics in last 12 months / Count of Demands that are created in last 12 months) * 100
    % of story points completed vs planned with the sprint, in last 12 month (Total story points completed in the sprint that falls in last 12 months / Total story points planned in the sprint that falls in last 12 months) * 100
    Average number of scrum teams per ART Total number of teams in ARTs / Total number of ARTs
    Average scrum team size Total number of members in scrum teams / Total number of scrum teams