Breaking News
Comments
Newest First | Oldest First | Threaded View
<<   <   Page 2 / 2
RCollett
User Rank
Rookie
re: Productivity and pornography
RCollett   10/30/2010 10:30:13 PM
NO RATINGS
Himansuhu, Definitely want to use revenue (and profit) generated from the product -- to calculate the return on R&D. However, what if you have a really poor sales & mktg. and very productive R&D organization? If revenue is low, it appears that the return on R&D is low. Although financial measures that use revenue and profit can be very valuable, they can give a distorted picture. Metrics that, to the greatest extent possible, directly reflect the output of a particular organization provide the most insight when analyzing a business. Thanks for your comment. Ron

RCollett
User Rank
Rookie
re: Productivity and pornography
RCollett   10/30/2010 10:16:24 PM
NO RATINGS
Frank, I completely agree with you -- "lines of code" and "gates" or transistors, etc. are wholly inaccurate measures of output, and to use them invites misleading results and misguided behaviors. Thanks for your comment. Ron

RCollett
User Rank
Rookie
re: Productivity and pornography
RCollett   10/30/2010 10:13:08 PM
NO RATINGS
Luis, One approach is to use a model that calculates the amount of effort the average development team in the particular industry segment would expend on that project. Then compare that effort value with the amount that your team actually spent. If you spent less, then you were more productive. If you spent more, then you were less productive. Since this isn't a forum for commercials, I'll direct you to www.numetrics.com where there is further info on this. Thanks for your comment. Ron

RCollett
User Rank
Rookie
re: Productivity and pornography
RCollett   10/30/2010 10:05:12 PM
NO RATINGS
Mark, No doubt that value to the customer is the most important metric in business. And using a product's revenue (or profit) as a measure of Output is very useful. However, in most cases it yields an incomplete picture because revenue is the result of the Output of the entire enterprise, not just the R&D organization. For example, high revenue could be the result of powerful marketing and sales, as opposed to superior engineering. This actually is very common -- a strong sales/mktg. organization masks a weak R&D organization. Likewise, the revenue for a particular product line might be very low because of poor mktg/sales, but the productivity of the R&D organization could be very high. Thanks for your comment. Ron

wilber_xbox
User Rank
Manager
re: Productivity and pornography
wilber_xbox   10/30/2010 11:32:39 AM
NO RATINGS
attention grabbing title Ron! productivity is easier to define in manufacturing units as one need to simply check the end results but during research and development, i do not think the productivity is as simple. One way to check productivity can be through the return on investment as everything is about money in the end.

old account Frank Eory
User Rank
Rookie
re: Productivity and pornography
old account Frank Eory   10/30/2010 2:34:03 AM
NO RATINGS
This reminds me of stupid management metrics like "lines of code per hour" for software engineers and "gates per hour" for hardware engineers. It also reminds me of an old Dilbert cartoon in which managment was paying bonuses for verification engineers to discover bugs -- which quickly lead to collaboration between design & verificaton and a cartoon panel in which one of Dilbert's colleagues was coding a minivan worth of bugs!

Luis Sanchez
User Rank
Rookie
re: Productivity and pornography
Luis Sanchez   10/30/2010 2:25:49 AM
NO RATINGS
On schedule, within budget and less engineers. That's simple isn't it? But... we engineers like numbers so an equation is required for IC productivity. To measure complexity... I bet there ought to be some efforts being done already trying to measure that. In some top rated university in the US.

Mark Wehrmeister
User Rank
Rookie
re: Productivity and pornography
Mark Wehrmeister   10/29/2010 9:38:20 PM
NO RATINGS
Design complexity is less important than the value to the customer. Presumably, a more complex design will have greater value to the customer and fetch a higher initial price. Instead of trying to measure design complexity, use the market price for the result of that design as a proxy in the calculation of productivity.

<<   <   Page 2 / 2


Flash Poll
Top Comments of the Week
Like Us on Facebook
EE Times on Twitter
EE Times Twitter Feed

Datasheets.com Parts Search

185 million searchable parts
(please enter a part number or hit search to begin)
EE Life
Frankenstein's Fix, Teardowns, Sideshows, Design Contests, Reader Content & More
Max Maxfield

Vetinari Clock: Additional Possibilities
Max Maxfield
12 comments
In my previous blog on the topic of my Vetinari Clock project, we pondered a number of possibilities for the positioning of switches on the front panel, and we ended up with a number of ...

Jolt Judges and Andrew Binstock

Jolt Awards: The Best Books
Jolt Judges and Andrew Binstock
1 Comment
As we do every year, Dr. Dobb's recognizes the best books of the last 12 months via the Jolt Awards -- our cycle of product awards given out every two months in each of six categories. No ...

Engineering Investigations

Air Conditioner Falls From Window, Still Works
Engineering Investigations
2 comments
It's autumn in New England. The leaves are turning to red, orange, and gold, my roses are in their second bloom, and it's time to remove the air conditioner from the window. On September ...

David Blaza

The Other Tesla
David Blaza
5 comments
I find myself going to Kickstarter and Indiegogo on a regular basis these days because they have become real innovation marketplaces. As far as I'm concerned, this is where a lot of cool ...