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Bernd Schiffer
01/03/2014 Agile India

NET PROMOTER SYSTEM FOR
AGILE ENVIRONMENTS
I want to open a

cinema!
The

book
about
NPS

(Net Promoter System)
1.) On a zero-to-ten
scale, how likely is it
that you’d
recommend my
cinema to a friend or
colleague of yours?
0

10

5

v...
Fred
Reichheld

“On a zero-to-ten scale, how likely is it that you would
recommend us (or this product/service/brand) to a...
Detractors


7-8

0-6

very unlikely

(aka delighted
customers)

(aka satisfied
customers)

(aka dissatisfied
customers)

0
...
Categorize!
Goal

Goal
Loyal
Customers

http://www.flickr.com/photos/braveheartsportsnetwork/5815110255/
Fred
Reichheld
… because loyal customers come back more
often, buy additional products and services,
refer their friends, ...
Recommendations

generate most value
Bad

Profits

Roaming
Fees

Gym
Subscription

Dark
Patterns
NPScore
1)
2)
3)
4)
5)

Count promoters, neutrals, and detractors.
Subtract detractors from promoters.
Divide the result b...
Real World

… and 1000s more
http://agilemanifesto.org/
NPS
for

Products
DAILY SCRUM
MEETING
(EVERY 24 HOURS)

2-4 WEEK
SPRINT

PRODUCT BACKLOG

SPRINT PLANNING

SPRINT BACKLOG
...
Get feedback…
1. …before building the feature.	

2. …directly after the feature is used (bottom-up).	

3. …periodically wh...
Detractors
(aka dissatisfied
customers)

Neutrals
(aka satisfied
customers)

0-6

7-8

Promoters
(aka delighted
customers)
9...
What I send
to my

clients

Detractors
(aka dissatisfied
customers)

Neutrals
(aka satisfied
customers)

0-6

7-8

Promoters...
Meetings
eNPS

(e = employee)

for the organisation
Personal NPS: 360º Feedback

eNPS
just for me
(e = employee)
Get feedback from
attendees about large
meetings/workshops.

Identify weak and strong
features and products.

Let every em...
?

Myth
or
Truth
A product has an NPS of
80. Therefore it’s certainly
market leader!

!
?

Myth
or
Truth
Your NPS is 60.

So what?
Two independent trainer having an
NPS of 20 and 60. The one with the
60 is the better trainer!

!
?

Myth
or
Truth
Can’t compare NPS without
common ground.
Asked the ultimate question, people in
different regions and countries will
answer differently!

?
!

Myth
or
Truth
Andere Länder,
andere Sitten!

German Saying
That’s a good idea: give an employee a
huge bonus if she brings the product’s
NPS up to x!

!
?

Myth
or
Truth
e
r
o
c
NPSys
te
m
Beware!
Having a
single metric
causes
cheating!

http://aldostrada.files.wordpress.com/2009/12/mr-burns-wallpaper2.gif
http://www.explainxkcd.com/wiki/index.php?title=937:_TornadoGuard - http://www.xkcd.com/937
Aim for a win,

not a certain score!
1.) On a zero-to-ten scale, how likely is it
that you’d recommend this session to a
friend or colleague of yours?
2.) Why ...
ank
h

T

u!
yo

Bernd Schiffer

‣ @berndschiffer	

NET PROMOTER ‣ @bold_mover	

‣ coaching@berndschiffer.com	

SYSTEM FOR...
Net Promoter System for Agile Environments @ Agile India 2014 in Bangalore, India
Net Promoter System for Agile Environments @ Agile India 2014 in Bangalore, India
Net Promoter System for Agile Environments @ Agile India 2014 in Bangalore, India
Net Promoter System for Agile Environments @ Agile India 2014 in Bangalore, India
Net Promoter System for Agile Environments @ Agile India 2014 in Bangalore, India
Net Promoter System for Agile Environments @ Agile India 2014 in Bangalore, India
Net Promoter System for Agile Environments @ Agile India 2014 in Bangalore, India
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Net Promoter System for Agile Environments @ Agile India 2014 in Bangalore, India

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Transcript of "Net Promoter System for Agile Environments @ Agile India 2014 in Bangalore, India"

  1. 1. Bernd Schiffer 01/03/2014 Agile India NET PROMOTER SYSTEM FOR AGILE ENVIRONMENTS
  2. 2. I want to open a cinema!
  3. 3. The book about NPS (Net Promoter System)
  4. 4. 1.) On a zero-to-ten scale, how likely is it that you’d recommend my cinema to a friend or colleague of yours? 0 10 5 very unlikely 2.) Why is that? very likely
  5. 5. Fred Reichheld “On a zero-to-ten scale, how likely is it that you would recommend us (or this product/service/brand) to a friend or colleague? I also instructed companies to ask at least one follow-up question: What is the primary reason for your score?”
  6. 6. Detractors
 7-8 0-6 very unlikely (aka delighted customers) (aka satisfied customers) (aka dissatisfied customers) 0 Promoters Neutrals
 5 9-10 10 very likely
  7. 7. Categorize! Goal Goal
  8. 8. Loyal Customers http://www.flickr.com/photos/braveheartsportsnetwork/5815110255/
  9. 9. Fred Reichheld … because loyal customers come back more often, buy additional products and services, refer their friends, provide valuable feedback, cost less to serve, and are less price sensitive.
  10. 10. Recommendations generate most value
  11. 11. Bad Profits Roaming Fees Gym Subscription Dark Patterns
  12. 12. NPScore 1) 2) 3) 4) 5) Count promoters, neutrals, and detractors. Subtract detractors from promoters. Divide the result by the number of all votes. Multiply the result with 100. You got a number between -100 and +100.
 That’s the NPScore!
  13. 13. Real World … and 1000s more
  14. 14. http://agilemanifesto.org/
  15. 15. NPS for Products DAILY SCRUM MEETING (EVERY 24 HOURS) 2-4 WEEK SPRINT PRODUCT BACKLOG SPRINT PLANNING SPRINT BACKLOG POTENTIALLY SHIPABLE PRODUCT INCREMENT http://lean.st/ & http://www.scrumalliance.org/
  16. 16. Get feedback… 1. …before building the feature. 2. …directly after the feature is used (bottom-up). 3. …periodically while features are used (top-down). Actions for NPS with Products
  17. 17. Detractors (aka dissatisfied customers) Neutrals (aka satisfied customers) 0-6 7-8 Promoters (aka delighted customers) 9-10 What is the Net Promoter System? 1 The Net Promoter System (NPS, or NPSystem) is an open-source customer relationship management tool. With the NPS, an organisation measures the loyalty of its customers. This feedback is used to improve the organisation’s services. At the core of the Net Promoter System is the so called ultimate question, which provides a simple metric, the Net Promoter Score (also called NPS, in this sheet NPScore). Read more about the NPS in John Warrillow’s article on Inc.com “One Question Can Predict the Future of Your Company” http://www.inc.com/articles/201106/whats-your-net-promoter-score.html 0 5 very unlikely 2 10 very likely What is the Net Promoter Score? The NPScore is a single number between -100 and 100 which sums the answers to the ultimate question “How likely is it that you would recommend our service to a friend or colleague?”. A number below 0 indicates a service in need of improvement, whereas a number between 0 and 50 indicates a good service, and a number above 50 usually means a top-of-theclass service. However, the NPScore is a relative metric, so it’s only comparable to related services. 4 How to get feedback through a single number…? 3 We don’t. The NPScore is an indicator for the quantitative feedback. With the NPScore we can compare different customers’ feedbacks on the same service. But we also ask another question “Why?”, which asks the customer for the reason of his giving this score. This is where we get the qualitative feedback. Also, we engage our customers in follow-up interviews, to learn more about potential improvements of our services. NPS explained Quantitative Feedback (answers to the ultimate question) Qualitative feedback (answers to “Why?”) How to calculate the Net Promoter Score? Each customer is asked to answer the ultimate question on a scale from 0-10, where 0 means “very unlikey” and 10 means “very likely”. The answers are categorised in 3 groups: detractors, dissatisfied customers (0-6); neutrals, satisfied customers (7-8); and promoters, delighted customers (9-10). The percentage of detractors minus the percentage of promoters results in the NPScore. # means “size of” (simply count…) number between -100 and 100 Net Promoter Score, Net Promoter and NPS are registered trademarks of Bain & Company, Satmetrix Systems and Fred Reichheld.
  18. 18. What I send to my clients Detractors (aka dissatisfied customers) Neutrals (aka satisfied customers) 0-6 7-8 Promoters (aka delighted customers) 9-10 What is the Net Promoter System? 1 The Net Promoter System (NPS, or NPSystem) is an open-source customer relationship management tool. With the NPS, an organisation measures the loyalty of its customers. This feedback is used to improve the organisation’s services. At the core of the Net Promoter System is the so called ultimate question, which provides a simple metric, the Net Promoter Score (also called NPS, in this sheet NPScore). Read more about the NPS in John Warrillow’s article on Inc.com “One Question Can Predict the Future of Your Company” http://www.inc.com/articles/201106/whats-your-net-promoter-score.html 0 5 very unlikely 2 10 very likely What is the Net Promoter Score? The NPScore is a single number between -100 and 100 which sums the answers to the ultimate question “How likely is it that you would recommend our service to a friend or colleague?”. A number below 0 indicates a service in need of improvement, whereas a number between 0 and 50 indicates a good service, and a number above 50 usually means a top-of-theclass service. However, the NPScore is a relative metric, so it’s only comparable to related services. 4 How to get feedback through a single number…? 3 We don’t. The NPScore is an indicator for the quantitative feedback. With the NPScore we can compare different customers’ feedbacks on the same service. But we also ask another question “Why?”, which asks the customer for the reason of his giving this score. This is where we get the qualitative feedback. Also, we engage our customers in follow-up interviews, to learn more about potential improvements of our services. NPS explained Quantitative Feedback (answers to the ultimate question) Qualitative feedback (answers to “Why?”) How to calculate the Net Promoter Score? Each customer is asked to answer the ultimate question on a scale from 0-10, where 0 means “very unlikey” and 10 means “very likely”. The answers are categorised in 3 groups: detractors, dissatisfied customers (0-6); neutrals, satisfied customers (7-8); and promoters, delighted customers (9-10). The percentage of detractors minus the percentage of promoters results in the NPScore. # means “size of” (simply count…) number between -100 and 100 Net Promoter Score, Net Promoter and NPS are registered trademarks of Bain & Company, Satmetrix Systems and Fred Reichheld.
  19. 19. Meetings
  20. 20. eNPS (e = employee) for the organisation
  21. 21. Personal NPS: 360º Feedback eNPS just for me (e = employee)
  22. 22. Get feedback from attendees about large meetings/workshops. Identify weak and strong features and products. Let every employee contact promoters and detractors. Do a retrospective with customer feedback as data. Do a backlog refinement session with customer feedback. Get feedback from colleagues about you as an employee (eNPS). Get feedback from practitioners about learning sources (book club!). Visualise company-wide your customer feedback and teach everyone how to read it (open books!). Use feedback from colleagues to grow, e.g., via personal coaching. More Actions with NPS in Agile Environments
  23. 23. ? Myth or Truth
  24. 24. A product has an NPS of 80. Therefore it’s certainly market leader! ! ? Myth or Truth
  25. 25. Your NPS is 60. So what?
  26. 26. Two independent trainer having an NPS of 20 and 60. The one with the 60 is the better trainer! ! ? Myth or Truth
  27. 27. Can’t compare NPS without common ground.
  28. 28. Asked the ultimate question, people in different regions and countries will answer differently! ? ! Myth or Truth
  29. 29. Andere Länder, andere Sitten! German Saying
  30. 30. That’s a good idea: give an employee a huge bonus if she brings the product’s NPS up to x! ! ? Myth or Truth
  31. 31. e r o c NPSys te m
  32. 32. Beware! Having a single metric causes cheating! http://aldostrada.files.wordpress.com/2009/12/mr-burns-wallpaper2.gif
  33. 33. http://www.explainxkcd.com/wiki/index.php?title=937:_TornadoGuard - http://www.xkcd.com/937
  34. 34. Aim for a win,
 not a certain score!
  35. 35. 1.) On a zero-to-ten scale, how likely is it that you’d recommend this session to a friend or colleague of yours? 2.) Why is that? You knew that this was coming, right?
  36. 36. ank h T u! yo Bernd Schiffer ‣ @berndschiffer NET PROMOTER ‣ @bold_mover ‣ coaching@berndschiffer.com SYSTEM FOR AGILE ! ENVIRONMENTS ‣ http://slideshare.net/berndschiffer ‣ http://berndschiffer.com 01/03/2014
 Agile India ‣ http://boldmover.com ‣ http://agiletrail.com
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