Saturday, April 4, 2009

The Surplus

I was watching the TV show "The Office" and there is an episode where there is a surplus and a decision needs to made how the extra money is spent. If they don't spend the money it goes away, and the next year they receive less money.

Think of this, if you plan on running a 4 hour marathon. Suppose you are going to be done 30 minutes early. Would you run extra miles after the race so you can run for the full 4 hours? That would be silly. Then again would you slow down so that you hit the line an exactly 4 hours. This is the same surplus problem.

Suppose a software team committed to delivering a project in 9 months and they finished what they agreed to in 8 months? Looks like there is a surplus. How should that time be spent? Should the team get assigned a new project? Should the team be allowed to determine what they need to do over that 1 month period?

I see a very similar relationships between the three scenarios. Management funds projects and pays for it through money and resources. If the project cost the price or less, management gets what they asked for. If there is extra money or resources who gets to spend it.

I would think the team gets to spend the money or time. Lets face it as teams we rarely have extra cash or time. We also are more then welcome to accept more work. I think it is time to reward teams for being good at what they do. Let them decide how to spend the extra money. Lets face it we will probably prototype out something with a long term goal in mind.

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