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DevOps 
Means Business 
Presented by 
Nicole Forsgren | Gene Kim 
Findings From Puppet Labs State Of DevOps 2014 
PuppetCo...
Puppet Labs Webinar 2014 State of DevOps 
Agenda 
● Demographics 
● Key Findings 
● Survey Methodology and Analysis 
● IT ...
Research Team 
Gene 
Kim 
Multiple award-winning 
CTO, 
researcher and co-author 
of The Phoenix 
Project: A Novel About 
...
9,200+ 
Respondents from 
110 countries, 
across all industries 
Puppet Labs Webinar 2014 State of DevOps 
Demographics 
@...
27% of 
responses 
from companies 
with 500 to 9,999 
employees 
Size of Organization 
Puppet Labs Webinar 2014 State of D...
Puppet Labs Webinar 2014 State of DevOps 
Size of Infrastructure 
51% of 
respondents 
said their 
infrastructure 
include...
Puppet Labs Webinar 2014 State of DevOps 
Departments 
16% 
identified as 
DevOps 
Department
DevOps Grows Up 
2012 
2013 
2014 
What is devops? 
DevOps adoption is accelerating. 
Holy cow! DevOps works! 
Puppet Labs...
Why I Care: 
IT Performance Matters 
Puppet Labs Webinar 2014 State of DevOps
Cross-population Studies 
Industry Press 
Tradeshows 
Blogosphere 
Vendors 
Consultants 
Industry Analyst 
Anecdote 
Peer ...
High-performing IT Orgs are 
More Agile 
30x 8,000x 
more frequent 
faster lead times 
deployments 
than their peers 
Pupp...
High-performing IT Orgs are 
More Reliable 
Puppet Labs Webinar 2014 State of DevOps 
2x 12x 
the change 
success rate 
fa...
Firms with high-performing IT 
orgs are winning 
more likely to 
exceed 
profitability, 
market share 
& productivity 
goa...
How We Collected Responses 
Puppet Labs Webinar 2014 State of DevOps 
Snowball Sampling
Questions We Asked 
Likert-type questions give us a more nuanced 
measurement. 
Puppet Labs Webinar 2014 State of DevOps
Latent Constructs 
Some things can’t be measured directly, like happiness. 
Puppet Labs Webinar 2014 State of DevOps 
“Hap...
Quantifying IT Performance 
Puppet Labs Webinar 2014 State of DevOps 
Deploy 
30X 
more frequently 
with 
50% 
fewer failu...
Categorizing Companies: High, 
Medium, Low IT Performance 
Puppet Labs Webinar 2014 State of DevOps 
Deploy Frequency 
Mea...
Practices Correlated with IT 
Performance Metrics 
Throughput Metrics Stability Metrics 
Puppet Labs Webinar 2014 State of...
Practices Correlated with IT 
Performance Metrics 
Throughput Metrics Stability Metrics 
Puppet Labs Webinar 2014 State of...
Practices Correlated with IT 
Performance Metrics 
Throughput Metrics Stability Metrics 
Puppet Labs Webinar 2014 State of...
Practices Correlated with IT 
Performance Metrics 
Throughput Metrics Stability Metrics 
Puppet Labs Webinar 2014 State of...
Top Predictors of IT 
Performance 
• Peer-review of production changes (vs. 
Puppet Labs Webinar 2014 State of DevOps 
ext...
Puppet Labs Webinar 2014 State of DevOps 
Feedback Loops 
Source: Elisabeth Hendrickson: Care And Feeding Of Feedback Loop...
Puppet Labs Webinar 2014 State of DevOps 
Organizational Culture 
15% 52% 33%
Puppet Labs Webinar 2014 State of DevOps 
Organizational Culture 
Resources 
● http://www.thisamericanlife.org/radio-archi...
Puppet Labs Webinar 2014 State of DevOps 
Job Satisfaction 
Job satisfaction is the # 1 
predictor of organizational 
perf...
Surprises 
Gene 
• Version control of the environment is more 
important than version control of the code! 
• There’s neve...
Can Large Orgs Be High 
Performers? 
Yes. 
But orgs with 10,000+ 
employees 40% less likely 
to be high performing vs. 
50...
Can Large Orgs Adopt 
These Practices? 
Yes! 
(Automated testing, 
Continuous integration, 
proactive monitoring…) 
The on...
Surprises 
Nicole 
• DevOps practices and IT performance impact 
organizational performance 
• Change fail rate wasn’t par...
• Collect more stock tickers! 
• 2014-15 research goals 
• What do you want to know? 
• Put your ideas and problems you wa...
bit.ly/puppetquestions 
O&A
Oct 21-23 | DevOps Enterprise Summit 
A conference for horses, by horses, featuring Macy’s Disney, GE Capital, and 
more. ...
Resources 
• Download the 2014 State of DevOps Report: 
http://puppetlabs.com/2014-devops-report 
• Pre-order Jez’s forthc...
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DevOps Means Business - Gene Kim, IT Revolution Press & Nicole Forsgren Velasquez, Utah State University

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DevOps Means Business - Gene Kim, IT Revolution Press & Nicole Forsgren Velasquez, Utah State University

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DevOps Means Business - Gene Kim, IT Revolution Press & Nicole Forsgren Velasquez, Utah State University

  1. 1. DevOps Means Business Presented by Nicole Forsgren | Gene Kim Findings From Puppet Labs State Of DevOps 2014 PuppetConf 2014 September 23, 2014 2014 State of DevOps
  2. 2. Puppet Labs Webinar 2014 State of DevOps Agenda ● Demographics ● Key Findings ● Survey Methodology and Analysis ● IT Performance ● Organizational Culture ● Job Satisfaction ● Big Surprises ● Future Plans ● Q&A
  3. 3. Research Team Gene Kim Multiple award-winning CTO, researcher and co-author of The Phoenix Project: A Novel About IT, DevOps, and Helping Your Business Win. First time Google Slides user. Nicole Forsgren Professor at the Huntsman School of Business at Utah State University. IT impacts, knowledge management, and analytics consultant and researcher. Stats ninja. Jez Humble Principal at Thoughtworks, Lecturer at UC Berkeley, co-author of Continuous Delivery, and accomplished procrastinator. Nigel Kersten CIO at Puppet Labs and responsible for IT/Operations there. Almost fully recovered sysadmin. Puppet Labs Webinar 2014 State of DevOps
  4. 4. 9,200+ Respondents from 110 countries, across all industries Puppet Labs Webinar 2014 State of DevOps Demographics @botchagalupe#devops survey early observations #4 Retail, Banking, Finance and Healthcare respondents LT 15% total (typically the risk averse sectors)
  5. 5. 27% of responses from companies with 500 to 9,999 employees Size of Organization Puppet Labs Webinar 2014 State of DevOps
  6. 6. Puppet Labs Webinar 2014 State of DevOps Size of Infrastructure 51% of respondents said their infrastructure included <500 Servers @botchagalupe#devops survey early observations #1 Only 40% of respondents have more than 500 servers
  7. 7. Puppet Labs Webinar 2014 State of DevOps Departments 16% identified as DevOps Department
  8. 8. DevOps Grows Up 2012 2013 2014 What is devops? DevOps adoption is accelerating. Holy cow! DevOps works! Puppet Labs Webinar 2014 State of DevOps
  9. 9. Why I Care: IT Performance Matters Puppet Labs Webinar 2014 State of DevOps
  10. 10. Cross-population Studies Industry Press Tradeshows Blogosphere Vendors Consultants Industry Analyst Anecdote Peer Prior Experience Recommendation ROI Story Best Practice Benchmark Population Study We Are Here Academic Study Intuitive Analytical
  11. 11. High-performing IT Orgs are More Agile 30x 8,000x more frequent faster lead times deployments than their peers Puppet Labs Webinar 2014 State of DevOps
  12. 12. High-performing IT Orgs are More Reliable Puppet Labs Webinar 2014 State of DevOps 2x 12x the change success rate faster mean time to recover (MTTR)
  13. 13. Firms with high-performing IT orgs are winning more likely to exceed profitability, market share & productivity goals 50% Puppet Labs Webinar 2014 State of DevOps 2x higher market capitalization growth over 3 years*
  14. 14. How We Collected Responses Puppet Labs Webinar 2014 State of DevOps Snowball Sampling
  15. 15. Questions We Asked Likert-type questions give us a more nuanced measurement. Puppet Labs Webinar 2014 State of DevOps
  16. 16. Latent Constructs Some things can’t be measured directly, like happiness. Puppet Labs Webinar 2014 State of DevOps “Happiness Statistics” by Andrew Tarvin is licensed under CC BY 2.0
  17. 17. Quantifying IT Performance Puppet Labs Webinar 2014 State of DevOps Deploy 30X more frequently with 50% fewer failures ● Deploy Frequency ● Mean Time to Recover (MTTR) ● Lead Time for Changes
  18. 18. Categorizing Companies: High, Medium, Low IT Performance Puppet Labs Webinar 2014 State of DevOps Deploy Frequency Mean Time to Recover (MTTR) Lead Time for Changes MTTR Lead Time Deploy Frequency High-performing IT orgs Medium-performing IT orgs Low-performing IT orgs
  19. 19. Practices Correlated with IT Performance Metrics Throughput Metrics Stability Metrics Puppet Labs Webinar 2014 State of DevOps Deployment Frequency ● Continuous Delivery ● Version Control Mean Time to Recover (MTTR) ● Version Control ● Monitoring System and Application Health Lead Time for Changes ● Version Control ● Automated Testing Change Fail Rate ● Not strongly correlated with specific practices. ● Significant differences between groups with high, medium and low change fail rates. High performing IT orgs have 50% lower change fail rates than their peers.(mention Roy Rapoport!)
  20. 20. Practices Correlated with IT Performance Metrics Throughput Metrics Stability Metrics Puppet Labs Webinar 2014 State of DevOps Deployment Frequency ● Continuous Delivery ● Version Control Mean Time to Recover (MTTR) ● Version Control ● Monitoring System and Application Health Lead Time for Changes ● Version Control ● Automated Testing Change Fail Rate ● Not strongly correlated with specific practices. ● Significant differences between groups with high, medium and low change fail rates. High performing IT orgs have 50% lower change fail rates than their peers.(mention Roy Rapoport!)
  21. 21. Practices Correlated with IT Performance Metrics Throughput Metrics Stability Metrics Puppet Labs Webinar 2014 State of DevOps Deployment Frequency ● Continuous Delivery ● Version Control Mean Time to Recover (MTTR) ● Version Control ● Monitoring System and Application Health Lead Time for Changes ● Version Control ● Automated Testing Change Fail Rate ● Not strongly correlated with specific practices. ● Significant differences between groups with high, medium and low change fail rates. High performing IT orgs have 50% lower change fail rates than their peers.(mention Roy Rapoport!)
  22. 22. Practices Correlated with IT Performance Metrics Throughput Metrics Stability Metrics Puppet Labs Webinar 2014 State of DevOps Deployment Frequency ● Continuous Delivery ● Version Control Mean Time to Recover (MTTR) ● Version Control ● Monitoring System and Application Health Lead Time for Changes ● Version Control ● Automated Testing Change Fail Rate ● Not strongly correlated with specific practices. ● Significant differences between groups with high, medium and low change fail rates. High performing IT orgs have 50% lower change fail rates than their peers.(mention Roy Rapoport!)
  23. 23. Top Predictors of IT Performance • Peer-review of production changes (vs. Puppet Labs Webinar 2014 State of DevOps external change approval) • Version control of all production artifacts • Proactive monitoring of the production environment • High trust culture • Win-win relationship between Dev, Ops and Infosec • High job satisfaction
  24. 24. Puppet Labs Webinar 2014 State of DevOps Feedback Loops Source: Elisabeth Hendrickson: Care And Feeding Of Feedback Loops
  25. 25. Puppet Labs Webinar 2014 State of DevOps Organizational Culture 15% 52% 33%
  26. 26. Puppet Labs Webinar 2014 State of DevOps Organizational Culture Resources ● http://www.thisamericanlife.org/radio-archives/episode/403/nummi ● http://sloanreview.mit.edu/article/how-to-change-a-culture-lessons-from-nummi/ ● Read Toyota Kata by Mike Rother
  27. 27. Puppet Labs Webinar 2014 State of DevOps Job Satisfaction Job satisfaction is the # 1 predictor of organizational performance! Top Predictors of Job Satisfaction ★ High-trust organizational culture ★ Climate of learning ★ Win-win relationships between ops, dev and infosec teams ★ Proactive monitoring and autoscaling ★ Use of version control for all production artifacts ★ Automated testing
  28. 28. Surprises Gene • Version control of the environment is more important than version control of the code! • There’s never been a better time to know statistics Gene (channeling Jez) • Whether or not you have an integration or stabilization phase has zero impact on IT perf • Peer review is more effective than CAB Puppet Labs Webinar 2014 State of DevOps
  29. 29. Can Large Orgs Be High Performers? Yes. But orgs with 10,000+ employees 40% less likely to be high performing vs. 500 employee orgs… Puppet Labs Webinar 2014 State of DevOps
  30. 30. Can Large Orgs Adopt These Practices? Yes! (Automated testing, Continuous integration, proactive monitoring…) The only practice not being adopted is Peer Review vs. Change Approval! Puppet Labs Webinar 2014 State of DevOps
  31. 31. Surprises Nicole • DevOps practices and IT performance impact organizational performance • Change fail rate wasn’t part of IT performance Nicole (channeling Nigel) • Forming new DevOps teams and giving people DevOps titles is successful in practice Puppet Labs Webinar 2014 State of DevOps
  32. 32. • Collect more stock tickers! • 2014-15 research goals • What do you want to know? • Put your ideas and problems you want to explore in this Google+ Community:http://bit.ly/FutureStateOfDevOps Puppet Labs Webinar 2014 State of DevOps Future Plans
  33. 33. bit.ly/puppetquestions O&A
  34. 34. Oct 21-23 | DevOps Enterprise Summit A conference for horses, by horses, featuring Macy’s Disney, GE Capital, and more. Register at http://devopsenterprise.io/ Nov 9-14 | LISA ‘14 Systems engineering and ops professionals share real-world knowledge about designing, building & maintaining critical systems. https://www.usenix.org/conference/lisa14 Puppet Labs Webinar 2014 State of DevOps Upcoming Events
  35. 35. Resources • Download the 2014 State of DevOps Report: http://puppetlabs.com/2014-devops-report • Pre-order Jez’s forthcoming book Lean Enterprise: Adopting Continuous Delivery, DevOps, and Lean Startup at Scale: http://amzn.com/1449368425 •Sign up for Gene’s newsletter to receive a sample chapter of his forthcoming book DevOps Cookbook: http://itrevolution.com/blog

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