How fast is your business’s cycle time?

Welcome to Agile Slices; a series of quick pragmatic articles of about 200 words, intended to help you, your team and your business, harness the power of agility.

 

How fast is your business’s cycle time?

 

Here’s a quick diagnostic tool for your company:

From the time funding is authorized on a new product, how many days does it take to get your first dollar of revenue?

This number is your cycle time. It’s similar to how fast a car can get from zero to sixty.

 

Before starting, there are going to be people reading this slice thinking, “Cycle time doesn’t apply to me because [really good reason here]”

Please, if this is you, before you leave this page, ask yourself, “How could this apply to me and my team?  What value could we get from this concept?”

 

 

[Those of you who are still with us, thanks for staying.]

 

If you don’t know your cycle time, you’re not alone.

If you do know your cycle time, you are far in front of your competition.

In most companies cycle time is in the hundreds of days. In a sad number, it’s over a thousand days. In a tragic number of cases, cycle time is infinite.

 

An infinite cycle time translates to: “The project was funded, staffed, started, and then canceled before ever making a dollar.”

 

What if I told you that there are companies that have a cycle time of zero?

What does that mean?

Tomorrow we’ll talk about how companies can have a cycle time of zero … or less.

 

 

In the mean time, start asking yourself:

What is my company’s current cycle time?

What is my department’s current cycle time?

What is my team’s current cycle time?

 

If you don’t know, guess, if you do know, ask yourself if there is any way to shorten your cycle time.

 

Stay On Mission.

 

If you have already used this slice, please add your voice to the conversation.  If it sounds silly, please take some actions to test a particular idea’s validity, and then share your results, good or bad, with the community.  If something strikes you as golden, then I’m glad I was able to provide value to your life, please let us know what difference it has made for you or your company.

One Response to “How fast is your business’s cycle time?”

  1. Are your requirements are too expensive? | Pragmatic Agility LLC Says:

    […] This is why reducing cycle time is so important. […]

Leave a Reply