People Analytics for IT Services and Software Product Companies

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For Software Product companies and IT Services firms, their most important asset are employees and their time. An organization that is able to manage the time of employees effectively is more likely to be profitable with higher Customer Satisfaction ratings and greater Employee Engagement. Software companies(both Services and Products) have technology and processes to estimate effort and status of the deliverables at individual and team level. Typical project execution consists of requirements definition, design, breakdown into tasks, effort estimation, task allocation and schedules, and tracking schedule variance. Output is not easily quantifiable in software projects, but metrics such as Function Points (waterfall model) and Sprint Velocity (agile model) are used to assess output.

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Despite this, most projects face delays and quality issues. It is not easily possible to identify process or structural issues that are impacting the team’s ability to deliver the best possible outcome. Further, there is no way to know whether the same team is capable of delivering more output in the same time. The biggest hurdle to productivity improvement in software engineering teams is the absence of accurate insights into the exact work time and distribution by activity. Organizations depend on relatively outdated technology.Entry/exit systems, manual time-sheets and using the allocated headcount to measure project utilization can be very inefficient, time-consuming and error-prone. Software Product companies typically don’t even have time sheets and use entry/exit systems only for security purposes. With a highly talented and knowledge based workforce, the trend is increasingly towards flexible timings and work from home option which makes it even more difficult to quantify effort. In IT Services companies, where Time & Material (T&M) contracts form over 2/3rd of all projects, productivity is often not a priority. There is a concern that higher productivity will mean a smaller team and loss of revenue or slower growth. However, CEOs who think strategically are aware that clients want value, there is intense competition that is leading to vendor churn, and hence irrespective of the business model, it is vital to build high quality teams that exceed customer expectations. Sapience is a unique People Analytics @ Work solution which provides the desired Automated Visibility into individual and team effort, at every level of the business. This allows continuous and dynamic fine-tuning of effort to ensure that the team is fully engaged and properly aligned with project needs, rather than post-facto analysis of what went wrong. Software firms (both Product and Services) can raise their game in each of these critical aspects of the business:

  • Best Effort: Sapience captures employee and team effort (work time and breakup across activities) as it varies over time and project phases and sprints. This is automated and does not require user inputs. It allows correlation of Effort with available Output metrics, thereby delivering never before 360° visibility into productivity and the insights to drive improvements.
  • Talent Utilization: There is always a demand from line managers for more headcount. When project deadlines slip, the first reason cited is of insufficient people. There is also the problem of talent hoarding where managers may be reluctant to let go of their people even if workload has reduced. This may cause an increase in attrition as people look for more challenges. With exact utilization information, staffing decisions become very objective. Reviews are data driven, and it becomes apparent whether the same team can deliver better results, or whether there is scope to transition some resources to other groups that need them.
  • Employee Engagement: Besides utilization differences between groups, Sapience often reveals a significant variance in workload within the group. Managers tend to rely heavily on 20-30% of their “go-to” team members. This stresses them while others feel disengaged. Through improved work allocation, you can elevate your stars to more challenging work and energize the whole team with sufficient interesting work.

The never before work trends and analytics across many different dimensions as delivered by Sapience is a game changer for IT Services and Software Product firms, significantly enhancing delivery excellence, employee engagement and the company’s bottom line.

Solution Features

Ability to capture team Effort and correlate with Output provides a 360° view into productivity, thereby increasing value creation from the same team and boosting financial performance

Employees get a Sapience Buddy app on their PC that is their guide on the path to productivity and wellness

Automated tracking and analysis of team effort and variations between Top 20% and the rest helps identify areas of improvement in workload distribution and employee engagement

By tracking time on core and non-core work, it becomes possible to drive high impact structural and process changes

Powerful analytics engine for comparing business units, projects, phases/sprints, teams, technology, roles, etc. enables head to head comparisons and bright spot analysis

Resource utilization trends and reports result in data driven decisions regarding staffing and hiring

Timesheet automation with prefilled timesheets including total work time and breakup across activities and tasks, reduces user time and ensures 100% timesheet compliance

Make productivity improvements through mindful work fun for employees with the Gamification Platform

Link Badges won from gamification platform to the Corporate Rewards program

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