Here is a small analysis, as a result of observations "from the inside" of the development of several very successful projects.

I will try to explain some of the basics of management on the example of the development of Internet projects using simple mathematics.


This post is written based on communication with a wonderful man named Yang. I wish you, Yang, fast and truly dynamic development, and that you learn to overcome not only external, but also internal obstacles on your career path.
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Efforts vs. Result

The Pareto principle says: "20% of effort brings 80% of the result." This pattern has a downside.

Often people ignore the experience of predecessors, calling some abstract reasons for failures, but for some reason, with cold observation from the side, the results are always predictable.

Under the efforts in the work on the Internet project means:

• Money
• Leadership time and strength
• Time and effort of involved project participants

The result can be only one! This is money.

There may be other intermediate metrics in the result. For example, the size of the audience of the project. Metrics can and should be influenced, and their development aimed at.

Waterfall Business Strategy

A document is compiled with a swollen structure, usually a technical specification or specification. Or the document is not written at all.

A huge amount of attention from managers and developers is devoted to scrupulous achievement of goals, covering the specification with implementation, re-flip, design and other fun tasks.

Let R - the expected result, in the amount of 10,000 units.
C - the cost of achieving it, in the estimated amount of 1000 units.
Thus, R = C * k, where k is the actual effectiveness of the work of the team on the project.

In our case, k is planned to be equal to 10.

What happens with this approach in reality?
80% of the R result can be achieved at 20% of the C expenditure. But the team does not see it - simply because the project is not running.

Instead, the time spent is increased 5 times. And, along with it, financial expenses increase accordingly.
If the project will live to open, but will get 0.5-1 R. Rarely more.

Thus, the actual value of k = (10,000 * 0.5) / (1000 * 2 ... 5) = 2 ... 2.5.

More modest than expected, right? In assumptions this can be argued, but for some reason in practice it always turns out this way. Or even sadder - when the project does not open or stagnates, not receiving proper development.

It should be borne in mind that the costs should include not only the direct spending of money, but also the waste of time of all project participants.

Usually the leaders of such projects resent competitors, “why did these upstarts do everything in a week? What do they think about themselves? Yes, newcomers are lucky ... ".

Agile in business

A document is compiled with a simple and clear structure. It may be very small, but if a team consists of more than 1 person, it is necessary. This is normal when this document is modified and supplemented in the process. The main thing is to keep old versions :)

Unlike the previous approach, specific, but small and always clear goals are put on the agenda.
By analogy with the example above, let R be the expected result, in the amount of 1000 units. C - the cost of achieving it, in the estimated amount of 500 units.

Planned efficiency is much less, see?

What makes The Team in this case. The goal is to achieve the set result as quickly as possible, and at low cost.
The goal is to launch a project. If the project is launched, then get the fastest possible step in development. Not to “do more” in one stage, but to make this stage faster.

So what do we get?

Realizing only 20% of the cost, we get C = 100.
Getting 80% of the result, we have R = 800.

Hence k = 8.

What does the head do next? He gets metrics from the fast-track phase, and immediately plans the next stage. As a result, there is a series of several solutions.

Suppose that some solutions were not effective, and lower the lower bar of the coefficients to 1.
R = ((C1 * k1) + (C2 * k2) + (C3 * k3) + (C3 * k3) + (C3 * k3)) * S
Substitute pseudoreal values.
R = ((100 * 1) + (100 * 8) + (100 * 5) + (100 * 2) + (100 * 8)) * 1.3 = 3120.
That is, we make economical steps, with different success: not successfully, very successfully, quite successfully, little successfully, very successfully.

The result obtained is more than 3 times higher than expected.

In a project with such a truly dynamic development, you can invest money without embarrassment. And, if the team keeps the pace of quick decision making, the capital will also grow. During the quarter - at times.

And what is the coefficient S?

This is a synergy. When decision-making is systematic, current plans are revised, short and quick tasks are set, by which results are immediately achieved - the karmic effect works. This team, unlike the one described in the previous chapter, receives unexpected gifts from fate.

In fact, everything is simple - with loyalty to new opportunities and constant search, opportunities that were previously hidden from view are easily discovered. If you rest your forehead on one document - it is difficult to see what is happening on the sides. If we constantly observe and develop, then the opportunities are found by the businessman themselves.

Dear Yang, understand that it would be a wise decision to just go and find this thousand dollars. Get a real result in a week, instead of trampling on an empty place for several months. There is no business without risk, simply because business is risk.

In the pharmacy

How to understand in what direction the project will move?

Again, observations from personal experience.

The first case. TK "worked out", but in fact the author of the project is simply not able to prescribe all their ideas. The documentation contains many spaces.

The way out: if it is impossible to write down our plans quickly and exceptionally clearly, then the scope of ideas should be revised. Towards simplification and acceleration. This affects efficiency, not imaginary details.

The second case. Some aspect or task of the project gets much more attention than the rest.

Treatment: to look for opportunities to implement the project without this aspect or solution of this task. There are always options! Do not rest your forehead on the concept. We need to revise it. Do not blunt and argue. Just do two projects. Yes, at least three! And develop them in parallel. It is much cheaper than you think =)

The third case: due to the solution of a problem, discovery or development is delayed by more than 3 working days.

So in front of my eyes a great project, an online store of conceptual sporting goods, died. For several months, the owner has been in search and communication with lawyers for a very unimportant factor related to retail sales (the owner has a lot of experience with B2B wholesale). All other work was done within a month.

In fact, there was a disguised fear before a big step in a person’s life. Not jurisprudence, but psychology, and nothing more.

Tablet: use the calendar, organizer, anything - just to limit yourself and other participants in the expenditure of time. Take intermediate results and move on. Develop and earn money, not dig, search and successfully find new problems for yourself.

Thank you for your attention and good luck to all!